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The Car Consignment form is a crucial document for anyone looking to sell a vehicle through a dealership or consignment service. It establishes a clear agreement between the vehicle owner, known as the Consignor, and the dealership, referred to as the Consignee. This form outlines essential details, such as the vehicle's make, model, and VIN, as well as the minimum selling price that the Consignor is willing to accept. Importantly, the Consignor retains the right to approve any sale, ensuring control over the transaction. The agreement specifies the duration of the consignment, along with terms related to insurance coverage and the condition of the vehicle. It also includes information on commission rates, advertising costs, and any additional fees that may apply. By detailing responsibilities and expectations, the Car Consignment form helps protect both parties, making the selling process smoother and more transparent.

Key takeaways

When filling out and using the Car Consignment form, keep these key takeaways in mind:

  • Accurate Information: Ensure all vehicle details, including make, model, VIN, and condition, are accurately filled in. This information is crucial for potential buyers.
  • Understand Your Rights: The Consignor retains final approval over any sale. Familiarize yourself with the terms regarding the vehicle's title and insurance during the consignment period.
  • Commission and Fees: Be aware of the commission rates and any additional fees for services like repairs, detailing, or advertising. This will affect your net proceeds from the sale.
  • Removal and Impound Policies: Know the procedures for removing your vehicle from the Consignee's premises. Understand the conditions under which the vehicle may be impounded if fees are not paid.

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Documents used along the form

When consigning a vehicle, several additional forms and documents are commonly used alongside the Car Consignment form. Each of these documents plays a crucial role in ensuring a smooth transaction and protecting the interests of all parties involved.

  • Title Transfer Document: This document is essential for transferring ownership of the vehicle from the consignor to the buyer once the vehicle is sold. It includes details like the vehicle identification number (VIN) and the names of both the seller and buyer.
  • Bill of Sale: A bill of sale is a record of the transaction between the consignor and the buyer. It outlines the sale price, vehicle details, and the date of sale. This document serves as proof of ownership transfer.
  • Vehicle History Report: This report provides a comprehensive history of the vehicle, including past accidents, title issues, and service records. It helps potential buyers make informed decisions.
  • Insurance Documents: These documents confirm that the vehicle is insured during the consignment period. They detail the coverage type and the insurance provider, ensuring that the vehicle is protected against potential risks.
  • Inspection Report: An inspection report verifies the vehicle's condition before it is sold. It covers aspects like safety, emissions, and any necessary repairs, providing transparency to potential buyers.
  • Commission Agreement: This document outlines the commission structure between the consignor and the consignee. It specifies the percentage of the sale price that the consignee will receive upon the sale of the vehicle.
  • Incorporation Documents: For those looking to establish their business in New York, completing the Articles of Incorporation form is vital. To assist with this process, resources such as Formaid Org can provide valuable templates and guidance.
  • Power of Attorney: A power of attorney may be required if the consignor cannot be present for the sale. This document allows the consignee to act on behalf of the consignor, facilitating the transaction.

Having these documents ready can streamline the consignment process and help avoid potential issues. Each form serves a specific purpose, ensuring that both the consignor and consignee are protected throughout the sale of the vehicle.

Dos and Don'ts

When filling out the Car Consignment form, it is essential to ensure accuracy and clarity. Here are some important dos and don'ts to consider:

  • Do provide complete and accurate information about the vehicle, including the year, make, model, and VIN number.
  • Do disclose any known issues with the vehicle, such as past accidents or title branding.
  • Do carefully read the commission structure and understand any additional fees that may apply.
  • Do keep a copy of the signed agreement for your records after submission.
  • Don't leave any sections of the form blank; incomplete forms may delay the consignment process.
  • Don't misrepresent the condition of the vehicle; honesty is crucial to avoid future disputes.
  • Don't forget to sign and date the agreement, as this is required for it to be valid.
  • Don't assume the Consignee will handle all details; stay proactive in communication throughout the consignment period.

Common mistakes

Filling out a Car Consignment form can be straightforward, but mistakes can easily happen. One common error is not providing complete contact information for both the consignor and consignee. Missing details like phone numbers or addresses can lead to communication issues later. Ensuring that all required fields are filled out correctly is essential for a smooth process.

Another frequent mistake involves the vehicle description. Incomplete or inaccurate details about the vehicle's make, model, year, and VIN can create confusion. It’s crucial to double-check this information to avoid potential disputes or delays in the selling process. A clear and accurate description helps potential buyers understand what is being offered.

People often overlook the importance of specifying the minimum selling price. Leaving this section blank can lead to misunderstandings about what the consignor expects. By clearly stating a minimum price, the consignor protects their interests and sets clear expectations for the consignee.

Additionally, some consignors forget to indicate whether the vehicle has had any prior accidents or damage. This information is vital for transparency and can significantly impact the vehicle's resale value. If there are any relevant details about the vehicle’s history, they should be disclosed upfront.

Another common oversight is neglecting to review the commission structure. Understanding how much the consignee will take from the sale is crucial for the consignor. Not clarifying these terms can lead to unexpected deductions from the sale price, which can be frustrating.

Some people also fail to provide accurate insurance information. It’s important to ensure that the vehicle remains insured during the consignment period. Missing this detail can leave the consignor vulnerable in case of damage or theft while the vehicle is in the consignee's possession.

Moreover, consignors sometimes forget to sign and date the form. This step is necessary to validate the agreement. An unsigned form can be considered incomplete and may lead to complications down the line.

Lastly, failing to keep a copy of the completed form is a mistake that can have serious repercussions. Having a copy on hand ensures that the consignor can refer back to the terms of the agreement if any issues arise. It’s always a good practice to maintain records of important documents.

By avoiding these common pitfalls, consignors can help ensure a smoother and more successful consignment process. Attention to detail is key, and taking the time to fill out the form correctly pays off in the long run.

File Characteristics

Fact Name Fact Description
Parties Involved The Consignor is the person consigning the vehicle. The Consignee is the dealer or individual selling the vehicle on behalf of the Consignor.
Exclusive Listing This agreement grants the Consignee the exclusive right to sell the vehicle during the consignment period.
Minimum Selling Price The Consignor sets a minimum selling price for the vehicle, which must be approved by them before any sale.
Insurance Requirement The Consignor must maintain theft, fire, comprehensive, and liability insurance on the vehicle throughout the consignment period.
Commission Structure The Consignee charges a commission based on the sale price of the vehicle, with specific rates outlined in the agreement.
Condition Disclosure The Consignor must disclose if the vehicle has been in an accident or has any other significant issues, such as flood damage.
Return of Vehicle At the end of the consignment period, the vehicle must be returned to the Consignor unless a new agreement is made.
Indemnification Clause The Consignor agrees to indemnify the Consignee against any claims related to the vehicle during the consignment period.
Governing Law The consignment agreement is subject to state-specific laws governing vehicle sales and consignment, which may vary by state.

Form Sample

USED VEHICLE CONSIGNMENT AGREEMENT

Exclusive listing with the exclusive right to sell

I (We) _____________________________________ the Consignor(s) agree(s) to consign and deliver possession to ________________

___________________________________________at address of _______________________, with telephone number _____________,

Dealer No. __________________, the Consignee, the vehicle described as follows, for the sole purpose of selling the vehicle with a

minimum selling price of $______________. Consignor(s) shall have final approval of any proposed sale of the vehicle.

This agreement is to begin on ______________________ and will terminate on ________________. The terms of this agreement are that

the Consignor shall return the vehicle to the consignor(s), or enter into a new agreement at the termination of this consignment agreement.

Year

 

Make

 

 

Model

 

VIN#

 

License Plate #

 

Odometer

 

Style

 

Exterior Color

 

Actual Miles, TMU, Exempt?

 

□

□

□

□

□

□

□

□

Air Conditioning Power Locks

Keyless Entry No. Remotes: __________

Power Windows Power Seats Power Sunroof

Leather – Color: ____________________

Cloth – Color: _____________________

□

□

□

□

□

□

□

□

Engine: ____________________________

Transmission: _______________________

AWD

FWD

RWD 4WD Navigation DVD system

□

□

□

□

□

□

□

□

AM/FM Cassette AM/FM CD Player AM/FM CD Changer Manuals Maintenance Records Floor Mats

______________________

______________________

Consignor(s) warrant(s) that he/she (they) has/have possession of the title or that the title is held by the below listed lien holder and that there are no interests, liens, or claims against the vehicle which are not below:

Name of Lien holder:

 

Address:

Phone No.:

 

Account No.:

The Consignor(s) agree(s) that, pending sale, the vehicle’s title shall remain in Consignor(s) name and that theft, fire, comprehensive and liability insurance be and/or must remain in effect during the consignment period.

Agent Name:

 

Phone No.:

Insurance Co.:

 

Address:

Policy No.:

 

Liability Limits:

Effective:

 

Expiration:

The Consignor(s) represents and warrants that to the best of the Consignor(s) knowledge, information and belief, that the vehicle has not been involved in an accident. If the vehicle has been in an accident, the Consignor(s) has provided Consignee with the relevant information.

□

□

□

□

□

Yes

Yes

Yes

Yes

Yes

□

□

□

□

□

No

Has this vehicle ever been in an accident?

No

Has this vehicle ever been in a flood?

No

Has this vehicle ever had hail damage?

No

Has this vehicle ever had a branded title?

No

Is the vehicle currently unable to pass safety or emissions inspections?

If “Yes” checked above, please provide details:

Indicate whether the vehicle is:

□

□

Yes Yes

□

□

No

AS-IS - NO WARRANTY

No

WARRANTY

Condition of Vehicle:

□ Excellent

□ Average

□ Poor

The vehicle requires the following work:

The delivery of this vehicle is on consignment and is not a sale of the vehicle to the Consignee. The Consignee agrees to receive the vehicle in trust and not to permit its use for any other purposes than what is contained in this agreement without express written consent of the Consignor(s).

Consignor(s) hereby agree(s) to the following commission rates as set forth by the Consignee:

Sale Price of Vehicle

Commission/Costs

Sale Price of Vehicle

Commission/Costs

$0-$_______

$_______

$_______-$_______

$_______

$_______ - $_______

$_______

$_______ and up

___%

Carfax & NADA reports are included in commission cost. Advertising on Autotrader, KBB, CarGurus, TrueCar, Vast, Edmunds &

CarFax Online are included in commission cost. Cars.Com, Craigslist, Ebay and any other specialty ad site are extra on cars under

$_______. Complete detailing, safety inspection, repair work, financing and offered warranty plans are available at an extra cost and are

not included in the commission fee.

Additional Fees If Applicable:

 

$_______

Safety Inspection/Emission

$___ + Sales Tax (cars/lt trucks)

Finance Facilitation Fee:

Labor Rate

$_____/hour, plus parts

Professional Detail

$_______ & Up

Warranty Plans:

$_____ & up

 

 

Upon completion of sale and receipt of a good, negotiable title, the net amount due to the Consignor(s) from the Consignee shall be the gross sale amount less any costs for repairs or detailing previously agreed to by Consignor(s), and commission rate as set forth in this agreement, and further agrees that the Consignee will pay off any existing encumbrances against said vehicle and deduct the same from the net amount due.

If repairs are required before or during the period of consignment, Consignee shall notify the Consignor(s) and shall secure Consignor(s) approval before any work shall commence. All repair costs will be deducted from the Consignor(s) net. If the vehicle is not sold during the specified agreement term, Consignor(s) agree(s) to pay repairs before vehicle is returned to Consignor(s).

In the event the vehicle is sold by someone other than the Consignee during the period of agreement, the Consignor(s) agree(s) to pay the Consignee _____ percent ( ___%) of the price received. In the event a sale is made to a buyer who discussed the vehicle with the

Consignee, then the Consignor(s) agree(s) to pay the Consignee _____ percent ( ___%) of the vehicle’s selling price.

Should the Consignor(s) wish to remove the vehicle from Consignee’s premises, Consignee shall require a minimum of _________ ( __ )

hours’ notice. The vehicle can then be removed between the hours of ______ and ______ pm on weekdays or subject to appointment. All

advertising, detail, repair, inspection, and any other costs incurred while the vehicle was on the Consignor’s premises will be due at the time of removal.

If the vehicle remains unsold and a new agreement is not considered, or if the vehicle has been sold but not removed from Consignee’s premises or if the Consignor(s) or buyer(s) are delinquent in paying fees, Consignee may have the vehicle impounded at the Consignor(s)

or buyer(s) expense without prior notice to the Consignor(s) or buyer(s). Additionally, Consignee may, at any time, demand that the vehicle be removed from Consignee’s premises upon _________ ( __ ) hour notice to Consignor(s).

Consignor(s) hereby promise(s) to defend, indemnify and hold harmless Consignee, its employees agents and assigns from any and all demands, judgments, claims, including reasonable legal and all other expenses actually incurred and paid, incident to any claim whether baseless or well founded by any third party in connection with any automobile taken by Consignee on consignment, including without limitation any claim for taxes by any State of the United States, territory or political subdivision thereof. The indemnification language contained herein shall survive the termination of this agreement,

It is further agreed that the Consignee, its agents or assigns are not responsible for any damage to the vehicle due to fire, accident, theft, vandalism or any cause whatsoever.

Consignor:

 

 

Email:

 

Address:

 

 

Home Phone

 

 

 

 

Work Phone:

 

Signature:

 

 

Date:

 

Consignee on behalf of ________________________:

 

 

 

NOTICE TO CONSIGNOR: Failure of the Consignee to comply with the terms of this agreement may be a violation of stature which could result in criminal or administrative sanctions, or both. If you feel the Consignee has not complied with the terms of this agreement, please contact the Department of Motor Vehicles, Division of Investigations and Occupational Licensing Bureau of Investigations, via the local Department of Motor Vehicles office. The Consignee is the person(s) or dealer who is selling the vehicle(s) on behalf of the Consignor. The Consignor is the person(s) who has given the vehicle to the Consignee to be sold.