HOW TO UTILIZE THE BILL OF SALE (SAMPLE1.txt) STEP 1: Print out this text to refer to while completing the Bill of Sale. STEP 2: Load the SAMPLE1.txt file, then print a copy of it for later reference (press F5 to print). STEP 3: With SAMPLE1.txt still on the screen, save the file with a new filename by pressing "Ctrl", "K" then "N" and entering a new filename. The new filename should appear at the top of the screen. You will edit the newly-named file, not the original. (This protects the original file from being corrupted or from being accidentally deleted during the editing process.) STEP 4: You may choose to fill the form out on screen or print it out for completion by hand (necessary if you plan to take the Bill of Sale to some location without a computer). To ready the form for either method of completion, you must delete the explanatory paragraph (including the Page Break "L" character) at the top of the Bill of Sale, then delete the numbers and their surrounding parentheses throughout the text. These items should not appear on your completed Bill of Sale. If you plan to complete the form on disk, you should also delete the underlined sections except where the underlined sections are to be used for signatures. If you plan to fill the form out by hand, leave the "blanks." STEP 5: Complete the Bill of Sale as outlined below. BILL OF SALE EXPLANATORY TEXT The following numbered sections correspond to numbered blanks in the basic Bill of Sale provided on this disk (SAMPLE1.txt). Read each section carefully before completing the form. We recommend that you print this document for easy reference while completing the form. (1) - Type or write "Sale of Personal Property" (in Louisiana this should be "Sale of Movables") in this blank. This is the basic title of the act and shows the general intent of this document. This sample Bill of Sale was created specifically for personal property and should not be used for real estate or other titled transactions (cars, boats, etc.). (2) - Type or write the complete name of the Vendor (seller). It is wise to always use as complete and as descriptive of a name as possible. If a person uses initials, it can be helpful to so indicate by putting "(NONOI)" after the initials to indicate that there are "no other names or initials." For example, "J.R. (NONOI) Ewing," if the "J" and "R" do not stand for any other names. (3) - Type or write the name of the state where the sale is taking place. This may be a state other than the state(s) where the Vender (seller) and Vendee (buyer) reside. (4) - Type or write the complete name of the Vendee (buyer). See (2) for more on using complete names. (5) - Type or write the name of the County (in Louisiana use "Parish") where the act (Bill of Sale) is executed. (6-8) - Type or write the Day, Month, and Year when the act (Bill of Sale) is executed. (9) - Type or write the name of the Notary Public used where the act is executed. A Notary is not always necessary, but one is generally recommended since an act before a Notary Public meets more stringent form requirements and keeps the persons who signed the act from being able to deny their signatures. You should always check the formal requrements of the state you are in to see if a Notary is required for a particular transaction. (10-12) - Type or write the County (or Parish in Louisiana), City and State where the Notary Public is commissioned to act. (13) - Type or write the complete name and address of the Vendee (buyer). This can be very helpful in the event that the Vendor (seller) needs to have a ready reference of where the item was purchased in case some question arises at a later date. (14) - Type or write the name and address of the Vendee (buyer). This can be helpful in the event that the Vendor (seller) needs to contact the Vendee for some reason--such as a recall notice received from the manufacturer of the item. (15) - Type or write the exact location of the personal property (referred to as movables in Louisiana). This is particularly necessary when dealing with a large item that might be left in the location where it is purchased so that the item can easily be identified. This can be particularly important in financing situations. If the item is part of equipment used in a business which is being sold, care should be taken that special laws regarding sales of the assets of a business are being observed (for example, Bulk Sales Laws). (16) - Type or write a complete description of the personal property being sold. The considerations are similar to those for the location. The more detailed the description is, the better the Bill of Sale. If an item has a serial number, then you should include it. Also, include any identifying model name or number, a description and even the color. Don't be afraid of being too descriptive. (17) Type or write the purchase price here. This sample Bill of Sale assumes a cash consideration. The cash price should be set out exactly. If there is any other consideration for the sale (for example an exchange or property), that should be set out as well. If part of the consideration is being loaned, a promissory note and some other loan documentation may be in order. This will be discussed in more depth in the future when other legal forms are provided. (18) - Type or write the number of originals (signed copies of the Bill of Sale), such as "in duplicate original" or "in triplicate original." Though this section can be eliminated in many situations, it may be helpful to have multiple originals so that all parties to the act can have an original as evidence if a dispute arises. (19) - Type or write the location in which the document is executed. This should include the City, State and County (or Parish in Louisiana). (20) - The witnesses will sign here. It is always a good practice to print or type the names of the parties and the witnesses, as well as the notary, beneath the line where they sign (signatures can be difficult to read). NOTE: Different states have different formal requirements about the number of witnesses necessary for a valid act. This is particularly true if one or more of the parties are blind or illerate. Check your state's laws to make sure. In most situations, a notary and two witnesses will meet the most stringent standards.