A Louisiana bill of sale is a document that validates the ownership transfer from the seller to the buyer.
To be legally binding, the bill of sale must include essential information about the transfer, such as:
The agreed price and method of payment
Signatures of both the buyer and the seller
The details of the parties involved in the transaction (their names and addresses)
Description of the goods being sold or transferred (identification, condition)
However, sellers and buyers are free to add any additional details to this important document that they consider necessary.
In this article, you can find out everything you need about the Louisiana bill of sale and download a professional template for this document.
Louisiana Bill of Sale Parties
In a bill of sale, the parties involved are typically referred to as the seller and the buyer.
The seller is the person or entity selling the goods to another person and may include private individuals or dealers.
The buyer, on the other hand, is the person or entity purchasing the goods from the seller and paying the agreed-upon price.
It is important to note that multiple sellers or buyers can be involved in a single transaction, depending on the nature of the goods being sold and the terms of the agreement.
Buyer And Seller Disclosure
When creating a bill of sale, it is important to include detailed information about the goods being transferred from the seller to the buyer. This information helps ensure that the parties are fully informed about the purchase.
The "as-is" agreement is a common disclosure included in a bill of sale which implies that the buyer is aware of any defects or errors in connection with the goods being sold. Therefore, if the buyer agrees to purchase the goods in such a condition, they cannot later demand that the seller remove any defects or errors that were known to the buyer at the time of the purchase.
Additionally, in car sales, the seller must disclose the total number of kilometers or miles the vehicle has traveled (the odometer disclosure).
Louisiana Bill of Sale Description of Goods
It is essential to provide a detailed and accurate description of the goods being sold to ensure a clear record of the terms and conditions of the sale.
For example, when we sell a vehicle, it is important to specify key details such as the location of the vehicle, including the state and county, as well as the make, model, body type, and Vehicle Identification Number (VIN).
Additionally, it is crucial to provide a full evaluation of the condition of the vehicle, including any known defects, damages, or other issues. This will avoid any disputes or disagreements about the condition of the vehicle.
Louisiana Bill of Sale Purchase Price
Payment is a crucial aspect that needs to be defined when it comes to the transfer of goods.
As a buyer, you want to ensure that you're paying for your purchased goods in a way that is secure, convenient, and in line with your preferences. If you’re a seller, you want to receive payment for your goods in a reliable and timely way.
We've listed three common methods of purchase below:
Generally, goods are exchanged for their monetary equivalent in transactions that involve the purchase and sale of products. To specify the payment method, the bill of sale will include the amount of money the buyer must pay to the seller.
This method involves the exchange of goods of equivalent value, with the buyer appearing as the seller and vice versa. The bill of sale should indicate the value of the goods being exchanged and the additional amount to be paid if the value of the goods being exchanged is lower.
Sometimes, a good may be exchanged as a gift without the expectation of monetary payment. In such cases, the buyer may choose to give the good away or offer it at a lower price than what it would regularly sell for, especially in cases where the buyer and seller have a certain family relationship.
Louisiana Bill of Sale for Motor Vehicles (Cars) Requirements
Suppose you're buying or selling a motor vehicle in Louisiana, and the title assignment doesn't include the date of sale, selling price, or signatures of the buyer and seller.
In that event, you will need a bill of sale to document the transaction, which will contain the following information:
Names and addresses of the parties
Make, model, and year of manufacture of the vehicle
Vehicle Identification Number (VIN)
Odometer reading on the day of sale
Purchase price and date of the sale
Signature of the seller or of the authorized person
Notary public seal identifying the seller and his signature
A bill of sale is not required for vehicles purchased outside of the state of Louisiana. However, it is recommended that the buyer and seller make a bill of sale for their legal safety.
Abandoned or Junk Vehicles
Vehicles that are classified as junk or salvage are exempt from registration; however, to be operational, they must undergo the process of reconstructed vehicle titling.
In that case, it is necessary to submit a notarized copy of the bill of sale to successfully complete the procedure.
Vehicles Sold by Dealers
While Louisiana state law does not impose a legal obligation to provide a bill of sale when purchasing a motor vehicle from a dealer, it is customary for both parties to provide one.
Vehicles Sold by Private Parties
In Louisiana, a bill of sale is mandated for the registration of motor vehicles bought from private parties. The bill of sale must have both the buyer and the seller sign it, and a public notary must certify it.
Louisiana Bill of Sale for Boats (Vessel) Requirements
Louisiana state law prescribes mandatory registration of motorized and non-motorized vessels, including sailboats 12 feet or longer. Therefore, it is necessary to submit a notarized bill of sale to the Department of Louisiana Wildlife and Fisheries for the successful registration of the vessel.
In this case, the bill of sale should contain the following:
Personal information of the seller and buyer
Make, model, and year of the boat
Motor model and serial number
Hull identification number (HID)
Louisiana Bill of Sale for Firearms Requirements
The bill of sale for a firearm purchase in Louisiana must include the following details:
Information about the buyer and the seller
Firearms make and model
Caliber and serial number
In addition to the signatures of the buyer and seller, the bill of sale should be signed by two witnesses in front of a notary public.
Louisiana Bill of Sale for Horses Requirements
A bill of sale is not required to purchase a horse in Louisiana.
However, parties will most often decide to document the sale and enter in the bill of sale their personal data, information on the breed, origin, and physical condition of the horse, as well as any diagnosed diseases.
Louisiana Bill of Sale for Trailers (RVs) Requirements
For the sale of a recreational trailer in Louisiana and its transfer, the parties will provide the bill of sale with the following details:
Names and addresses of the buyer and seller
Model, make, and year of manufacture
Damages if any
Date of purchase
Signatures of the parties
Louisiana Bill of Sale Other Requirements
Official Louisiana authorities provide different types of forms in English. This means that parties who fill out the form will have additional translation costs if they are not fluent in English.
However, buyers and sellers can agree to a bill of sale in a different language if they both understand it.
Both the buyer and seller should keep a copy of the bill of sale for their personal records. In addition, a copy should be provided to the motor vehicle registration office. This step is essential to protecting the interests of both parties involved in the transaction.
Louisiana Bill of Sale Taxes
The tax on motor vehicle sales is levied on both motorized and non-motorized vehicles. Besides the state sales tax, which is 4.45 percent, numerous parishes, and municipalities charge a local sales tax that varies from 1.85 to 7 percent.
The buyer is responsible for remitting the state and local sales taxes to the Office of Motor Vehicles.
Louisiana Bill of Sale FAQ
A bill of sale can be handwritten as long as it contains all the elements required by Louisiana state law.
For a bill of sale to be considered valid, both the buyer and the seller must sign it. However, if the item being sold is a firearm, signs from the two extra witnesses are required.
You can visit our website and download a bill of sale template customized to your specific needs. This will save you time and ensure that the document is completed accurately and efficiently.
The bill of sale provides security for both the buyer and the seller. The buyer has proof that he paid the purchase price, while the seller cannot be held liable for anything not included in the bill of sale.