Free Alabama Bill of Sale

After the Bill of Sale is signed by both parties, legal ownership of the property is transferred, effective as of the date provided in the document, regardless of which party has possession of the property.

Tangible personal property includes jewelry, furniture, cars, and other items that have a physical essence. Intangible personal property includes cash accounts, stocks, bonds, and other similar assets that are non-physical. A coin is tangible personal property, while 25 cents in a checking account is intangible personal property.

The property listing can be detailed, or it may be described in one or more broad categories. Obviously, a more detailed description makes it easier to identify the property that is being transferred. This program offers two alternatives. First, if a property description already exists, perhaps in the form of an attachment, it can simply be attached as "Exhibit A." Second, the program allows for the property to be described in the body of the Bill of Sale, along with sales price information for each item of property. If this option is used, a total of the items are conveniently provided.

1. The Bill of Sale document should be signed by both parties. It is not necessary that the signatures be witnessed or notarized.

2. This document cannot be used to transfer real estate. Furthermore, any personal property that has been pledged as security for a loan should not be transferred until a release has been obtained from the party to whom the loan is owed.

3. After the Bill of Sale is signed by both parties, legal ownership of the property is transferred, effective as of the date provided in the document, regardless of which party has possession of the property.

4. The original copy of the Bill of Sale should be given to the Buyer. The Seller should retain a copy.

Generally, the Seller provides a warranty that the property is being transferred free and clear of any liens or encumbrances, that is, no other party has a valid claim to the property. In addition, the Seller usually transfers the property "AS IS," without any promises regarding its condition. The Seller may nevertheless be bound by ORAL representations of the property's condition. In some cases, the Seller may be willing to warrant that the property "is in good working condition."