Typically when a Golf Cart transaction takes place, the seller signs over the title to the buyer. This acknowledges the transfer of ownership and acts as a legal document for ownership going forward. Once the title is transferred, the new owner has the option to register the vehicle if their state law allows/requires it. In addition to the signed title, we suggest the buyer also secure a valid Golf Cart Bill of Sale document which stipulates the details including the mileage, engine hours, and general condition of the Golf Cart. This will help both the buyer and seller avoid legal issues down the road with claims against ownership or injuries/damage resulting from the use of the Golf Cart. It may also be required by your state.
What if the Title isn’t Available?
It is very common when purchasing a Golf Cart from a private seller that the title is not available. That is usually caused by one of two scenarios. Depending on the state, the original purchase of the Golf Cart may not have had a title but would have come with a Certificate of Origin (CO). You will need this to apply for registration if a title is not available. If the owner has the title but never applies for registration, the title is often misplaced or lost. The owner can apply for a replacement title with the state, but this is unfortunately very uncommon.
If the Golf Cart was purchased in a state that did not require the vehicle be titled, and only a Certificate of Origin was available, then the vehicle will likely have no registered owner with the state. In this scenario, there will be no way to document ownership of the car other than a bill of sale. In this scenario, be sure to get the original C.O. to be able to register the vehicle in the future.
If a title does not exist, it is a good practice to check with your local police department to ensure the vehicle hasn’t been reported as stolen.
What Makes a Bill of Sale?
When deciding on which Golf Cart Bill of Sale it is critical to look for certain criteria in the document itself, to be sure it is valid and binding. This includes:
Clear Buyer and Seller Information – If contested, a court will generally look to the title and the bill of sale for determining ownership. If the seller or buyers information is not clear, a judge may have difficultly interpreting who owns the Golf Cart. It is also crucial when registering the vehicle. Registering the vehicle will require both the title be signed and also a bill of sale documenting the purchase agreement.
The Offer – There must be a clear offer made by the seller which the buyer is accepting. Ambiguity will only make it more difficult when determining whether a contract is valid. You want a Golf Cart Bill of Sale that clearly spells out the year, make, model, mileage, condition and description of the vehicle.
An Exchange of Funds – In exchange for the Golf Cart, money is typically given to the seller. An effective bill of sale will include a clear itemization of the sale price using both numeric and written dollar amounts.
Competent Parties – Both parties entering in the agreement must be of sound mind and body. Typically this prevents child or persons with mental handicaps from entering in a contract that they may not understand. It can also be sometimes extended (based on your jurisdiction) to persons under the influence of alcohol or drugs. Persons under duress may also not be consider competent.
Can’t Break The Law – Generally, a valid contract can’t break the law. An agreement to split the funds from a bank robbery would be void as it violates public policy.
Golf Cart Bill of Sale Template
Below is our generic Golf Cart Bill of Sale Template that can be used for any state. Further below are state specific templates
