Canadian Legal Documents
BILL OF SALE AGREEMENTS
“A Bill of Sale is a written agreement under which the title to personal chattels is transferred; in a more technical sense, a document evidencing a contract of the sale of goods that may be required to be registered under the various provincial ‘Bill of Sale’ and ‘Personal Property Security’ statutes. In certain cases, a bill of sale must be registered; otherwise, the sale may be treated as void as regards third parties, e.g., the creditors of the seller, as well as subsequent buyers and mortgagees in good faith.” Quoted from Personal Property Security Act, SNS 1995-96, c.13. Barron’s Canadian Law Dictionary.
When buying a considerable item, the purchaser should request that the seller (vendor) provide some form of Sales Receipt in order to secure the purchaser with confirmation of the sale.
Below is a list of a few common items that require a bill of sale (this link takes you to legaldepot.com where you can obtain forms).
A bill of sale should include pertinent statements or comments regarding the sale, noting various details such as the condition of the item purchased. A vendor who can show proof of ownership provides reassurance that you are not buying stolen goods. If the item is new, it may come with a warranty. Though a sales receipt is proof of purchase, a Bill of Sale provides the purchaser with a higher level of legal protection and options. To obtain a Bill of Sale form follow this link.