Deed Of Sale Motorcycle – LTO Portal In Philippines

Deed Of Sale Motorcycle

Deed Of Sale Motorcycle – LTO Portal In Philippines. If you are buying a second hand or pre owned motorcycle, you will need this sample Deed of Sale Motorcycle. The purchase agreement is a document that functions both as a contract and as a proof of sale. Therefore, it is an excellent protection in the event that some problems arise in the future.

Like the Deed of Sale for Motor Vehicles, the Deed of Sale for Motorcycles is one of a number of documents required by the Department of Land Transport (LTO) as part of the vehicle-buying process. It is a pretty important document, and one that has a dotted line near the end to be filled out by you so it is worth making sure that you sign it on the proper line.

LTO Portal

What is DeeD of Sale Motorcycle?

The deed of sale for motorcycles is just as similar to a deed of sale for a motor vehicle as it is for the motorcycle. As a legal document, it serves as a contract of sale between the buyer and seller. This type of contract is no different from any other type of contract in that all three elements must be present in order for it to be considered valid: the consent of the contracting parties, the object within the contract that will be the subject matter of the contract, and the cause of the obligation that will be created. The consummation of the contract occurs when both parties agree on the motorcycle’s price in a contract of sale or deed of sale. It is also important that the Deed of Sale of the Motorcycle is notarized, otherwise, the transaction will be void. There is nothing that can make the transaction legal when it has been invalidated, not even your signature on the contract of sale.

There may be similarities between the deed of sale for a motorcycle and other types of deeds of sale. Although it is similar to deeds of sale motor vehicles for cars, it is also a little bit different. It is important to emphasize that the deed of sale motorcycle is exclusively for motorcycles and should state explicitly that the subject of the contract is a motorcycle, as opposed to any motor vehicle.

Contents

Just like any other legal affidavit document, such as an Affidavit of Loss. The specifics. It is almost always necessary to provide the following information in the Deed of Sale:

  • Parties’ names and identities 
  • Both parties’ addresses
  • The vehicle’s details
  • The OR/CR includes the following general details:
    • Vehicle type
    • Vehicle body
    • Vehicle make
    • Vehicle year and model
    • Vehicle series
    • Plate number
    • LTO MV file number
    • Number of registration certificate
    • Numbers of MC motors and chassis
  • Date of sale: A statement indicating the date of sale should be included in the document.
  • Warranty and representations: This document should also include representations and warranties made by the seller, such as the property is free of liens, mortgages, and encumbrances, or that the property is in good condition.
  • Notice of rights and obligations: The document should contain any notice of rights and obligations that the buyer or seller may have, such as taxes and insurance coverage.
  • Special instructions: Any special instructions, such as the transfer of utilities, or any other matter that has been agreed upon between the parties, can be included in the document.
  • The purchase price of the vehicle, and 
  • Statement of acknowledgement ( notarization )

By affixing the seal and signature of a licensed attorney and the filing information, the Deed of Sale becomes a public legal document, making the process of proving its authenticity and executing it easier. It is also easier to prove the transaction in court with the aid of the acknowledgement statement attached to it. 

Additionally, the Deeds of Sale for Motorcycles are generally submitted with the following documents:

  • Please provide two (2) photocopies of your government-issued identification cards or documents
  • Signatures of three (3) specimens

To facilitate the transfer of ownership of a motorcycle at the LTO, the Deed of Sale Motorcycle is normally submitted along with the following documents:

  • Assumption of Car Mortgage Notarized Statement
  • The release of chattel mortgages
  • Certificate of Registration and Original Office Receipt (OR/CR) 
  • Official LTO receipt confirming payment of the Motor Vehicle User’s Charge (MVUC)
  • The Philippine National Police – Highway Patrol Group (PNP-HPG) has issued a motor vehicle clearance certificate
  • CTPL stands for Compulsory Motor Vehicle Liability Insurance
  • Motor Vehicle Inspection Report (MVIR) that has been completed and approved
  • Number of Tax Identification (TIN)
  • If the vehicle belonged to a corporation or company: A certificate from the secretary

Benefits

In the case of a motorcycle, a deed of sale is evidence of the sale. Likewise, a verbal agreement of sale can work, but it cannot prove the sale and cannot be used when transferring ownership to the LTO. Additionally, it is impossible for a buyer to prove ownership without a deed of sale because it can be withdrawn at any time. Additionally, in cases of problems like accidents, the seller may also suffer.

Having a notarized and signed deed of sale for motorcycles can provide a number of benefits, including:

  • It is enforceable to enforce the contract of sale.
  • A valid deed of sale prevents either party from changing their mind about the transaction.
  • As stated in the deed of sale, any liabilities related to the motor vehicle will be the responsibility of the responsible person or owner of the vehicle.
  • This document serves as a proof of sale, which is required for the transfer of property
  • A motorcycle is transferred from the seller to the buyer under this agreement.

If the motorcycle is registered with the LTO, this information may be included as one of the requirements.

  • Legal proof of ownership: The Deed of Sale serves as the legal proof of ownership of a motorcycle, and it can be used to update the property records.
  • Clear statement of ownership: This type of document is typically used when there is a clear statement of ownership of a motorcycle, regardless of liens or encumbrances.
  • Flexibility: It can be customized to include specific terms and conditions that meet the needs of both the buyer and seller.
  • Protection for both parties: A Deed of Sale can protect both parties in the event of liens, mortgages, and encumbrances, as well as prove the responsibility over contingencies such as the completion of certain repairs or improvements to the motor vehicle prior to the closing.
  • Simplicity: A Deed of Sale contains a simple and straightforward legal document that details the conditions that must be met before the sale is considered complete (in cases of an open deed of sale).

Consequences of not having one

There are a number of disadvantages to not having a Deed of Sale of Motorcycle, including:

  • A proper record of the sale of the motorcycle would not be available.
  • If you are a seller, the LTO will not process transactions that pertain to the transfer of ownership of a vehicle from your name to the buyer’s name.
  • Motorcycles that are improperly registered are also considered to be traffic violations.
  • A motorcycle rider is always at risk of being held responsible for accidents, crimes, or violations that are committed while riding a motorcycle.
  • There will not be a legal and binding agreement as to who will be responsible for completing certain repairs, improvements, liens, mortgages, or other encumbrances on the motorcycle before the sale is considered to be final.

When is a sale deed needed and who does it?

The deed of sale for a motorcycle is required when you sell or purchase a secondhand or used motorcycle. Normally, this document is prepared by the seller since they have more to lose. However, the buyer is not prohibited from assisting in the preparation and execution of the deed of sale.

Procedures

The Deed of Sale for a Motorcycle is similar to the Deed of Sale for a Motor Vehicle (car), except it does not include the information about the body. As a result, the following guide will be helpful to you in executing a Deed of Sale for motorcycles.

It is important to note that the documents used in executing a Deed of Sale Motor Vehicle are exactly the same, both signed by the seller and buyer to indicate their agreement with all the terms contained in the document.

Fees

Getting a deed of sale document or securing one from the LTO doesn’t require any money, but since the deed of sale does have to be notarized in order to be considered a legal document, then there is the notarial fee to consider. A Deed of Sale normally needs a notarial fee of between 1-2% of the property value, and unlike the affidavit documents, which usually cost around P100.00 to P800.00 to have notarized, the notarial fee for a Deed of Sale depends on whether it is for a motorcycle or a motor vehicle. Nonetheless, the cost of this document may vary depending on the price of the motor vehicle being sold.

Where to get it

A LTO-accredited notary public does not exist, therefore buyers or sellers of secondhand or used motorcycles may have their Deed of Sale of Motorcycle notarized at any notary public in the country. Keep in mind, however, that the location and reputation of the notary public may have an impact on the price of notarial fees.

Deed of Sale for Motorcycle

A Deed of Sale Motorcycle Sample can help you write a Deed of Sale for Motorcycle without starting from scratch if you do not know what it looks like on paper.

Deed of Sale of a Motor Vehicle

KNOW ALL MEN BY THESE PRESENTS:

That I, _____________________________ , Filipino, of legal age, a resident of _________________________________________________, 

Is the lawful owner of a certain motor vehicle which is more specifically described as follows:

MAKE: _______
BODY TYPE: Motorcycle
PLATE NO: _______
SERIES: _______
COLOR: _______
TYPE: _______
MV FILE NUMBER: _______
MOTOR NUMBER: _______
SERIAL/CHASSIS NUMBER: _______

That for and in consideration of the sum of ________________________________________________  (P_________________) PESOS, Philippine Currency, the receipt where of is here by acknowledged to my entire gratification, I hereby sell, deliver, and convey by way of Absolute Sale unto ___________________________________________, Filipino, of legal age, and resident of _____________________________________________________, the above described motor vehicle, free from all liens and obligations.

IN WITNESS WHEREOF, we have hereunto affixed our hands this ____ day of _______________ at _____________________.

_________________                           _________________

VENDOR                                             VENDEE

Witnessed by: 

___________________                      ___________________

Acknowledgment

Republic of the Philippines)

City of……………..) S.S.

BEFORE ME , personally appeared:

 Name   Competent Evidence of Identity    Date/Place Issued

They are known to me and they are known to me to be the same people who executed the foregoing instrument and acknowledged to me that they have done so free of charge and voluntarily.

WITNESS MY HAND AND SEAL, as of the date and place indicated above.

Notary Public.

Doc. No.: _____;

Page No.: _____;

Book No.: _____;

Series of 20____.

Deed of Sale of Motor Vehicle Details In PDF

Deed_of_Sale_MotorcycleDownload

Guide to Creating a Deed of Sale of Motor Vehicle

  1. Prepare the Vehicle Information
    • Gather accurate details like the VIN, plate number, make, model, and odometer reading.
  2. Agree on Sale Terms
    • Discuss and finalize the sale price, payment method (cash, bank transfer, etc.), and the date of handover.
  3. Draft the Document
    • Use a reliable format or template to ensure all necessary legal points are covered.
  4. Sign the Deed
    • Both buyer and seller must sign the document. It’s advisable to have a witness or notarization for added security.
  5. Submit to the Authorities
    • The buyer must register the car in their name at the Land Transportation Office (LTO) or equivalent agency.

Deed of Sale of Motor Vehicle – Video Guide

Important Reminders

When selling or purchasing a used motorcycle, a Deed of Sale Motor Vehicles must be signed and notarized, stating that the vehicle is in fact a motorcycle. Please take note of the following important reminders before you prepare one:

  • It is generally the seller who prepares the Deed of Sale of Motorcycle, but this is not a rule that can be enforced by all.
  • There is no law stating that the seller must prepare it, therefore, the buyer may also prepare one if he wishes.
  • A Deed of Sale is usually prepared by the seller of the motorcycle since the seller usually has more at stake when an accident occurs.
  • It is important to ensure that the deed of sale is prepared properly in order to facilitate the transfer of ownership through the LTO.
  • In order to serve as proof that the motorcycle has changed ownership and is no longer under the seller’s control, it is necessary to make sure that there is a deed of sale in place.
  • As with any other motor vehicle, motorcycles are subject to the registered owner rule, which means that in case there is a doubt when there is an accident, the presumption of liability falls to the registered owner of the motorcycle.
  • It is very important for new owners of cars to register them with the Land Transportation Office (LTO) because of the registered owner rule.
  • Motorcycle registration at the LTO is not covered by the deed of sale as it only proves that the car was bought and sold by the parties listed in the document.
  • Those listed on the certificate of registration may be held liable should the motorcycle driver be involved in an accident. Therefore, it is highly recommended that ownership be transferred after the sale.
  • A seller who does not possess a deed of sale or refuses to execute one should never be considered in the process of purchasing a motorcycle.
  • Likewise, if the seller does not provide you with the motorcycle’s official receipt and certificate of ownership, this is also a red flag so it is best not to pursue the sale.

What Happens If There Is No Deed of Sale?

Without a Deed of Sale of Motor Vehicle, the buyer may face significant challenges:

  • No Proof of Ownership: You may not be able to transfer the vehicle into your name.
  • Risk of Fraud: If the seller later denies the transaction, you may lose the vehicle or face legal battles.
  • Penalties and Fines: The original owner may still be liable for traffic violations or taxes if ownership isn’t officially transferred.

Benefits of a Properly Executed Deed of Sale

A well written and duly signed Deed of Sale of Motor Vehicle ensures peace of mind for both parties. Its benefits include:

  • Smooth title transfer with government agencies
  • Avoidance of disputes about ownership or defects
  • Ease in obtaining insurance or registering the vehicle
  • Financial transparency in used vehicle sales

FAQs About Deed of Sale Motorcycle

Is a notarized Deed of Sale Motorcycle required for LTO transfer?

Ans: Yes, the LTO requires a notarized deed of sale before processing any ownership transfer.

Who is responsible for preparing the Deed of Sale Motorcycle?

Ans: Usually, the seller prepares the document, but the buyer can also help with drafting it.

What happens if I don’t notarize the deed of sale?

Ans: The transaction will not be legally binding, and LTO will not honor it for registration purposes.

How much is the notarial fee for a motorcycle deed of sale?

Ans: Fees range from 1–2% of the sale price, depending on the motorcycle’s value and the notary public’s rates.

Can I use a car’s deed of sale template for a motorcycle?

Ans: No. Though similar, a deed of sale for motorcycles should explicitly mention that the vehicle is a motorcycle.

Conclusion

Buying a second hand motorcycle in the Philippines involves more than just payment it requires a Deed of Sale Motorcycle to ensure a smooth and legal transfer of ownership. This notarized document protects both parties, serves as proof of transaction, and is essential for registering the vehicle under the new owner’s name at the LTO. Without it, the sale remains unofficial and risky. Always finalize your purchase with a valid deed of sale.

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