Whenever you buy a car from a new or used car dealer have you noticed or remembered that they always have you sign a filled out buyers order which states the sales price, tax, etc…? Why do you think this is? Yes, most states require it of car dealers, but it is also part of the dealer’s insurance policy that you bought the car AS IS WHERE IS and cannot return it unless required by state laws. It also lists any additional items added to the car or items that will be added later (most car dealers now use a addendum paper called the we – owe for additional owed items). Basically it becomes undeniable proof that you agreed to the price and terms stated.
So we know car dealers use a buyers order, but should private sellers and buyers? Absolutely, all private buyers and sellers should demand a buyers order completely filled out as it displays the vehicle identification number, mileage at time of purchase, and anything the seller promises. If you are a buyer demand that any promises the seller makes be put in writing on the buyers order and signed. This then becomes a legally enforceable agreement which can be used as proof in court if need be. You can easily find a blank buyers order online by Googling (searching Google) the keywords car purchase agreement or buyers order.
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If the seller promises things like I just had the brakes all fixed, and the ignition and alternator replaced and he can’t show you receipts have him put it on the buyers order. That way if it later turns out that they lied and none of that was done you can take them court and make them pay to have it done. Also, if they won’t put it in writing then you know they are most likely lying. Even though a buyers order (or bill of sale as it is commonly known) is not required for private party sales (most states only require a clear and properly filled out title to transfer ownership) it is a good insurance policy for both the seller and the buyer as it clearly defines what exactly was sold and what was agreed to upon.
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Now, this may sound kind of juvenile to most, but believe me, all kinds of things can and do happen after a car is sold. The buyer can have buyers remorse and want to return the car. If the seller didn’t write out a buyers order and keep the signed original for himself (always keep the signed copy if you are the seller) then the buyer could claim the seller made certain promises (regardless if they did or not) which would then constitute a warranty and then legally the seller could be made to pay for endless shop and service bills or take back the car. This could all easily be avoided by stating the words – the buyer agrees that they are purchasing this vehicle AS IS WHERE IS and that there is no stated warranty or owed items.” Anytime you add something like this statement to the buyers order it is a good idea to make line next to it and have the customer (buyer) initial it (or sign it if your state laws require that). Buyers remorse happens a lot more than you think and this is why some car owners prefer to sell their car back to CarMax for the actual wholesale value and avoid this along with the inconvenience of having to show the car and answer phone calls.
The buyers order is also handy for tax purposes as it documents that you no longer own the vehicle and exactly what it was sold for. Basically, the purpose of the buyers order is to help keep both parties honest and to document the entire transaction so there are no disagreements later after the fact. Regardless of whether you are a buyer or seller you need to have a signed and fully filled out copy of the buyers order whenever you purchase or sell a car. Believe me, if you don’t obtain a signed and filled out buyers order then you are asking for an absolute nightmare to happen and nobody needs that.
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