Is a Contract Required When Selling a Car?
1 Answers
Selling a car with or without a written contract is up to the parties involved. Overview of Sales Contracts: The act of selling a vehicle falls under the category of a sales contract. While a written sales contract is not mandatory, it is generally advisable to draft one in line with common transaction practices. This helps prevent disputes, mitigate risks, and facilitates the vehicle transfer process after the sale. Legal Basis: Article 596 of the Civil Code of the People's Republic of China stipulates that a sales contract typically includes clauses such as the name, quantity, quality, price, performance period, place and method of performance, packaging method, inspection standards and methods, settlement method, language of the contract and its validity, among others.