Scrap Vehicle Sale Agreement Template for Canada

The Scrap Vehicle Sale Agreement is essential for documenting the legal transfer of vehicles intended for recycling or scrapping in Canada. This document is typically used when individuals or businesses want to dispose of end-of-life vehicles, insurance write-offs, or vehicles no longer suitable for road use. It includes crucial details about the vehicle's condition, ownership status, and environmental considerations, while ensuring compliance with federal and provincial regulations regarding vehicle disposal and environmental protection. The agreement is designed to protect both sellers and buyers by clearly outlining responsibilities, particularly regarding environmental liability and transfer of ownership. It's commonly used by scrap yards, auto recyclers, and vehicle owners to ensure proper documentation and legal compliance in vehicle disposal transactions.

1. Parties: Identification of the seller and buyer, including full legal names, addresses, and contact information

2. Background: Brief context explaining the purpose of the agreement - the sale of a vehicle for scrap purposes

3. Definitions: Key terms used in the agreement including 'Scrap Vehicle', 'Completion Date', 'Purchase Price', etc.

4. Vehicle Details: Specific information about the vehicle including make, model, year, VIN, registration number, and current condition

5. Purchase Price and Payment: Agreed price for the scrap vehicle and payment terms including method and timing

6. Transfer of Ownership: Terms regarding the transfer of vehicle ownership and required documentation

7. Seller's Representations: Seller's warranties regarding vehicle ownership, liens, and accurate disclosure of vehicle condition

8. Environmental Compliance: Provisions regarding handling of hazardous materials and environmental regulations

9. Collection and Delivery: Terms for vehicle collection or delivery, including timing and responsibility for costs

10. Risk and Insurance: Transfer of risk and insurance responsibilities during collection/delivery

11. Termination: Circumstances under which the agreement can be terminated

12. Governing Law: Specification that the agreement is governed by Canadian law and the relevant province