[{"data":1,"prerenderedAt":529},["ShallowReactive",2],{"document-installment-sale-contract-D12709":3},{"document":4,"label":23,"preview":11,"thumb":24,"description":5,"descriptionCustom":6,"apiDescription":5,"pages":8,"extension":10,"parents":25,"breadcrumb":29,"related":35,"customDescModule":182,"customdescription":6,"mdFm":183,"mdProseHtml":528},{"description":5,"descriptionCustom":6,"label":7,"pages":8,"size":9,"extension":10,"preview":11,"thumb":12,"svgFrame":13,"seoMetadata":14,"parents":16,"keywords":15},"INSTALLMENT SALE CONTRACT This agreement in entered on this [DATE], BETWEEN: [COMPANY NAME] (the \"Buyer\"), a corporation organized and existing under the laws of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] AND: [COMPANY NAME] (the \"Seller\"), a corporation organized and existing under the laws of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] Subject to the Terms and Conditions set forth below of this Installment Sale Contract this \"Contract\", Seller hereby sells the product described below, the \"Goods\", to Buyer and Buyer having been offered both a cash sale price and a time sale price, hereby buys the Goods from Seller on a time sale basis. Both parties agree as follow: DESCRIPTION OF THE GOODS BEING SOLD PURCHASE PRICE AND PAYMENT TERMS Purchase Price: $__________ (__________________________) Less Deposit Paid: $__________ (__________________________) Outstanding Balance: $__________ (__________________________) Interest Charges: Interest shall accrue at the rate of [SPECIFY] % per year on any unpaid balance. INSTALLMENT PAYMENT The Buyer will pay to the Seller [NUMBER] equal [WEEKLY/MONTHLY] installments of $ [AMOUNT], starting on [START DATE] until the Outstanding Balance and accrued interest is paid in full. LATE PAYMENT FEES If payment is not made within [SPECIFY] days as stipulated in the payment terms the Buyer shall pay an additional late payment fee in the amount of $ [SPECIFY]. All payments shall first be applied to outstanding late payment fees, then to accrued interest and thereafter to the Outstanding Balance. TAXES The Buyer shall pay all taxes, contributions, fees and other charges related to the Goods where such fees are applicable. PREPAYMENT The Buyer may prepay the Outstanding Balance in whole or in part at any time, without premium or penalty. All prepayments apply first to unpaid late fees, then to accrued interest and then to the Outstanding Balance. METHOD OF PAYMENT To facilitate payment, the Buyer may exercise the option to make payment by direct deposit or electronic funds transfer to the Seller's account. All payments by cheque must be sent to the seller's address. ACCELERATION OF DEBT PAYMENT IN THE EVENT OF DEFAULT If the Buyer does not make any payment on the due date for any reason whatsoever, the Buyer shall make payment of the amount due within [NUMBER] days, otherwise the Seller may demand immediate payment of the full balance due and accrued interest. REMEDIES IN EVENT OF DEFAULT If an event of default occurs, Seller, at its option, may exercise any one or more of the following remedies: Proceed at law to enforce specifically Buyer's performance or to recover damages; Declare this Contract in default, and cancel this Contract or otherwise terminate Buyer's right to use the Goods and Buyer's other rights, but not its obligations, hereunder; Declare all amounts due or to become due under this Contract, excluding any unearned portion of the Finance Charge, immediately due and payable; Recover any additional damages and expenses sustained by Seller by reason of the breach of any covenant, representation or warranty contained in this Contract; Enforce the security interest granted herein; Require Buyer to assemble the Goods and additional security and make them available to Seller at a place designated by Seller which is reasonably convenient to both parties; Enter any premises where any Goods or additional security may be located and take immediate possession thereof and remove (or disable in place) such Goods without notice, liability, or legal process; and ",null,"Installment Sale Contract","5",513,"doc","https://templates.business-in-a-box.com/imgs/1000px/installment-sale-contract-D12709.png","https://templates.business-in-a-box.com/imgs/250px/12709.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#12709.xml",{"title":15,"description":6},"installment sale contract",[17,20],{"label":18,"url":19},"Legal Agreements","/templates/business-legal-agreements/",{"label":21,"url":22},"Purchase & Sale Agreements","/templates/purchase-sale-agreement/","Installment Sale Contract Template","https://templates.business-in-a-box.com/imgs/400px/12709.png",[26,17,20],{"label":27,"url":28},"Templates","/templates/",[30,31,32],{"label":27,"url":28},{"label":18,"url":19},{"label":33,"url":34},"Sales & Purchase","/templates/sales-and-purchase/",[36,40,44,48,52,56,60,64,68,72,76,80,84,105,120,138,153,167],{"label":37,"url":38,"thumb":39,"extension":10},"Contract for the Sale of Goods","/template/contract-for-the-sale-of-goods-D1237","https://templates.business-in-a-box.com/imgs/250px/1237.png",{"label":41,"url":42,"thumb":43,"extension":10},"Contract for the Manufacture and Sale of Goods","/template/contract-for-the-manufacture-and-sale-of-goods-D1236","https://templates.business-in-a-box.com/imgs/250px/1236.png",{"label":45,"url":46,"thumb":47,"extension":10},"Agreement to Rescind Contract of Sale","/template/agreement-to-rescind-contract-of-sale-D1165","https://templates.business-in-a-box.com/imgs/250px/1165.png",{"label":49,"url":50,"thumb":51,"extension":10},"Contract of Sale of Commercial Property","/template/contract-of-sale-of-commercial-property-D1169","https://templates.business-in-a-box.com/imgs/250px/1169.png",{"label":53,"url":54,"thumb":55,"extension":10},"Purchase and Sale Agreement","/template/purchase-and-sale-agreement-D13884","https://templates.business-in-a-box.com/imgs/250px/13884.png",{"label":57,"url":58,"thumb":59,"extension":10},"Assignment of Real Estate Contract and Sale Agreement","/template/assignment-of-real-estate-contract-and-sale-agreement-D1157","https://templates.business-in-a-box.com/imgs/250px/1157.png",{"label":61,"url":62,"thumb":63,"extension":10},"Bulk Sale Agreement","/template/bulk-sale-agreement-D1231","https://templates.business-in-a-box.com/imgs/250px/1231.png",{"label":65,"url":66,"thumb":67,"extension":10},"Conditional Sale Agreement","/template/conditional-sale-agreement-D1235","https://templates.business-in-a-box.com/imgs/250px/1235.png",{"label":69,"url":70,"thumb":71,"extension":10},"Sale Agreement for International Goods","/template/sale-agreement-for-international-goods-D12553","https://templates.business-in-a-box.com/imgs/250px/12553.png",{"label":73,"url":74,"thumb":75,"extension":10},"Bill of Sale","/template/bill-of-sale-D1229","https://templates.business-in-a-box.com/imgs/250px/1229.png",{"label":77,"url":78,"thumb":79,"extension":10},"Amendment to Sales Contract","/template/amendment-to-sales-contract-D1224","https://templates.business-in-a-box.com/imgs/250px/1224.png",{"label":81,"url":82,"thumb":83,"extension":10},"Sale of Shares Agreement","/template/sale-of-shares-agreement-D340","https://templates.business-in-a-box.com/imgs/250px/340.png",{"description":85,"descriptionCustom":6,"label":86,"pages":87,"size":88,"extension":10,"preview":89,"thumb":90,"svgFrame":91,"seoMetadata":92,"parents":93,"keywords":103,"url":104},"PROMISSORY NOTE This Promissory Note (the \"Note\") is made and effective the [DATE], BETWEEN: [LENDER NAME] (the \"Lender\"), an individual with his main address located at OR a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] AND: [YOUR COMPANY NAME] (the \"Borrower\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] TERMS FOR VALUE RECEIVED, the Borrower promises to pay to the order of Lender, at its principal office located at [ADDRESS], or at such other place that is designated in writing by the holder hereof, the principal sum of [AMOUNT], together with all charges and interest herein provided, payable at the rate and in the manner hereinafter set forth: Borrower shall make monthly payments of principal and interest at the rate of [%] per annum based upon an amortization of [NUMBER] months. Monthly payments shall be due on or before the first day of each month with the first payment being due on or before [DATE]. If not sooner paid, all amounts due under this Note, including principal, interest and other charges shall be due and payable in full on or before the first day of [MONTH], [YEAR] (the \"Maturity Date\"). Time is of the essence of the payment obligations hereunder and each monthly payment shall be due and payable on or before the first day of each month. This Note is and will be secured by a certain first priority security interest in all of the tangible and intangible property of the Borrower, to be recorded in all applicable governmental offices. The parties shall execute a separate security agreement, in form and substance acceptable to the Lender in all respects. Borrower agrees to execute any such security agreements presented by the Lender or other documents required by the Lender in order to perfect its security interest in the above described property. Said Security Agreement and any other instruments and documents executed in connection with or given as security for this Note shall hereinafter be referred to collectively as the \"Loan Documents.\" All of the terms, covenants, Conditions, representations and warranties contained in the Loan Documents are hereby made part of this Note to the same extent and with the same force and effect as if fully set forth herein. If all or any portion of any payment due hereunder is not received by the Lender within [NUMBER] calendar days after the date when such payment is due, Borrower shall pay a late charge equal to [%] of such payment, such late charge to be immediately due and payable without demand by Lender. Borrower shall have the right to prepay all (but not a portion) of the indebtedness evidenced by this Note at any time, by paying the Lender an amount equal to the sum of (I) the principal balance then outstanding, (ii) all interest accrued to the date of such prepayment, (iii) all interest calculated through the Maturity Date, and (iv) any late charge or charges then due and owing. If any payment under this Note is not paid in full by the [DAY] of any month during the term hereof or if the entire amount due as represented by this Note is not paid in full on or before the Maturity Date, or should default be made in the performance or observation of any of the terms, covenants, or conditions contained in the Loan Documents, or if any representation or warranty contained in the Loan Documents is breached or is or becomes untrue, this Note shall be in default, and the entire principal amount outstanding hereunder, accrued interest thereon, all late charges, if any, and any and all other charges due hereunder, shall, at Lender's option, immediately become due and payable, without further notice, the giving of such notice being expressly waived by the Borrower","Promissory Note","3",39,"https://templates.business-in-a-box.com/imgs/1000px/promissory-note-D434.png","https://templates.business-in-a-box.com/imgs/250px/434.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#434.xml",{"title":6,"description":6},[94,97,100],{"label":95,"url":96},"Finance & Accounting","finance-accounting",{"label":98,"url":99},"Business Loans","business-loan",{"label":101,"url":102},"Promissory Notes","promisory-note","promissory note","/template/promissory-note-D434",{"description":106,"descriptionCustom":6,"label":107,"pages":8,"size":108,"extension":10,"preview":109,"thumb":110,"svgFrame":111,"seoMetadata":112,"parents":113,"keywords":118,"url":119},"AGREEMENT OF PURCHASE AND SALE OF BUSINESS ASSETS This Agreement of Purchase and Sale (the \"Agreement\") is made in two original copies, effective [DATE] BETWEEN: [YOUR COMPANY NAME] (the \"Vendor\"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [PURCHASER NAME] (the \"Purchaser\"), an individual with his main address located at OR a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] SUBJECT-MATTER The Purchaser agrees to buy and the Vendor agrees to sell to the Purchaser as a going concern all the undertaking and assets owned by the Vendor in connection with the [TYPE OF BUSINESS] business carried on as [YOUR COMPANY NAME] at [YOUR COMPLETE ADDRESS] (the \"business\") including, without limiting the generality of the foregoing: The furniture, fixtures and equipment more particularly described in Schedule A (the \"equipment\"); All saleable stock in trade (the \"stock in trade\"); All useable parts and supplies (the \"parts and supplies\"); All leasehold interest in the lease held by the Vendor from [NAME OF LANDLORD] (the \"lease\"); The goodwill of the business together with the exclusive right to the Purchaser to represent itself as carrying on business in succession to the Vendor and to use the business style of the business and variations in the business to be carried on by the Purchaser (the \"goodwill\"). The following assets are expressly excluded from the purchase and sale: [LIST EXCLUSIONS, e.g. cash on hand or on deposit, accounts receivable, book and other debts due or accruing due]. PURCHASE PRICE The purchase price payable for the undertaking and assets agreed to be bought and sold is the total of the amounts computed and allocated as follows: For the equipment - [AMOUNT]; For the stock in trade, its direct cost to the Vendor; For the parts and supplies, their direct cost to the Vendor; For the goodwill - [AMOUNT]; For all other assets agreed to be bought and sold. The purchase price for the stock in trade shall be established by an inventory taken and valued after close of business on the day before the day of closing. The Vendor shall produce evidence satisfactory to the Purchaser of the direct cost to the Vendor of items included in stock in trade. The Purchaser may exclude from the purchase and sale any items which the Purchaser reasonably considers unsaleable by reason of defect in quality or in respect of which the Purchaser is not reasonably satisfied as to proof of direct cost. The purchase price for the parts and supplies shall be established by an inventory taken and valued after close of business on the day before the day of closing. The Vendor shall produce evidence satisfactory to the Purchaser of the direct cost to the Vendor of items included in the parts and supplies. The Purchaser may exclude from the purchase and sale any items which the Purchaser reasonably considers unusable or in respect of which the Purchaser is not reasonably satisfied as to proof of direct cost. TERMS OF PAYMENT The Vendor acknowledges receiving a check for [AMOUNT] from the Purchaser on execution of this agreement to be held as a deposit by the Vendor on account of the purchase price of the undertaking and assets agreed to be bought and sold and as security for the Purchaser's due performance of this agreement. The balance of the purchase price for the undertaking and assets agreed to be bought and sold shall be paid, subject to adjustments, by certified check on closing. The balance of the purchase price due on closing shall be specially adjusted for all prepaid and assumed operating expenses of the business including but not limited to rent and utilities. CONDITIONS, REPRESENTATIONS AND WARRANTIES In addition to anything else in this agreement, the following are conditions of completing this agreement in favor of the Purchaser: That the Purchaser obtain financing on terms satisfactory to it to complete the purchase; that the carrying on of the business at its present location is not prohibited by land use restrictions; That the lessor of the lease consents to its assignment to the Purchaser; That the Purchaser obtain all the permits and licenses required for it to carry on the business; That the Vendor supply or deliver on closing all of the closing documents; That the premises shall be in the same condition, reasonable wear and tear expected, on the date of passing as they are currently in; That Seller's board of directors has duly authorized the execution of this agreement. The following representations and warranties are made and given by the Vendor to the Purchaser and expressly survive the closing of this agreement. The representations are true as of the date of this agreement and will be true as of the date of closing when they shall continue as warranties according to their terms. At the option of the Purchaser, the representations and warranties may be treated as conditions of the closing of this agreement in favor of the Purchaser. However, the closing of this agreement shall not operate as a waiver or otherwise result in a merger to deprive the Purchaser of the right to sue the Vendor for breach of warranty in respect of any matter warranted, whether or not ascertained by the Purchaser prior to closing: The Vendor is a resident of [YOUR COUNTRY] within the meaning of the Income Tax Act of [YOUR COUNTRY]; The Vendor owns and has the right to sell the items listed in Schedule A; The assets agreed to be bought and sold are sold free and clear of all liens, encumbrances and charges; The equipment is in good operating condition; ","Agreement of Purchase and Sale of Business Assets",65,"https://templates.business-in-a-box.com/imgs/1000px/agreement-of-purchase-and-sale-of-business-assets-D318.png","https://templates.business-in-a-box.com/imgs/250px/318.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#318.xml",{"title":6,"description":6},[114,115],{"label":95,"url":96},{"label":116,"url":117},"Buy & Sell Shares","buy-sell-shares","agreement purchase sale business assets","/template/agreement-of-purchase-and-sale-of-business-assets-D318",{"description":121,"descriptionCustom":6,"label":122,"pages":123,"size":124,"extension":10,"preview":125,"thumb":126,"svgFrame":127,"seoMetadata":128,"parents":129,"keywords":136,"url":137},"EQUIPMENT LEASE AGREEMENT This Equipment Lease Agreement (the \"Agreement\") is effective [DATE], BETWEEN: [YOUR COMPANY NAME] (the \"Lessor\"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [COMPANY NAME] (the \"Lessee\"), a company organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] WITNESSETH that in consideration of the mutual covenants and agreements to be performed and kept during the terms hereof and of any renewal, the Lessor and the Lessee covenant and agree as follows: LEASE The Lessor hereby leases to the Lessee and the Lessee hereby leases from the Lessor the equipment described in [SPECIFY SCHEDULE] and in all other Schedules which may hereafter be executed by the [COMPANY NAME] for the purpose of adding equipment thereto, which equipment including all original and replacement items, parts, accessories, and additions relating thereto is hereafter called the \"Equipment\". EQUIPMENT DESCRIPTION The Lessee authorizes the Lessor to complete the description of the Equipment in [SPECIFY SCHEDULE] with the insertion of serial numbers and other details specifically identifying the Equipment, such schedule to be signed by both parties hereto and form part of this Lease. WARRANTIES BY LESSEE & LESSOR The Lessee and Lessor each represents and warrants that it has the power to enter into this lease, and that this lease is properly and lawfully authorized and executed by it. LESSOR'S WARRANTIES Lessor and Lessee acknowledge that there are no other warranties, conditions, terms, representations of inducements expressed or implied statutory or otherwise, save as are expressly contained in this lease. Lessor warrants that the equipment shall be delivered to the Lessee in accordance with the specifications contained in [SPECIFY SCHEDULE]. The Lessor makes no representations with respect to the suitability of the equipment to the Lessee's operations. Lessor's warranties shall not extend to any party assigned this Lease by Lessor pursuant to Clause [NUMBER] herein. WARRANTIES BY MANUFACTURERS Any warranties, conditions or guarantees by the manufacturers or suppliers of the Equipment are theirs alone and not the Lessor's but are for the joint and several benefit of and enforcement by the Lessee and the Lessor. Any claims of the Lessee in connection with manufacturer's warranties, conditions or guarantees shall be made directly by the Lessor (but not Lessor's assignee) on behalf of the Lessee against the manufacturer or supplier only. TITLE The Lessor covenants that it has good titles to the Equipment and the Lessee acknowledges the Lessor's ownership of and title to the Equipment and covenants to defend the same against any contrary claim. TERM The term of this lease with respect to each piece of Equipment shall commence on the date of acceptance thereof by the Lessee in accordance with Clause [NUMBER] herein and shall continue for the term specified in [SPECIFY SCHEDULE] hereto. Rental payments with respect to each piece of Equipment shall commence and accrue due to the Lessor on such date of acceptance of such piece of Equipment by the Lessee. POSSESSION, LOCATION The Lessee shall take and, when not in default hereunder, retain exclusive control of the Equipment from the Lessee's location shown on [SPECIFY SCHEDULE]. The Lessee shall not change such location without the Lessor's prior written consent, which will not be unreasonably withheld. PERSONAL PROPERTY, LANDLORD'S DISTRESS The Equipment is and shall remain personal and moveable property. The Lessee shall not affix the Equipment nor permit it to be affixed so that it becomes part of realty and shall notify the Lessee's, Landlords, mortgagees, insurers and all others who may have an interest in or claim against the premises where the Equipment is to be located. Any removal from such premises shall be at the Lessee's risk and expense. IDENTIFICATION PLATES The Lessor may affix plates, tags or markings to the Equipment showing its interest therein, and the Lessee may display its name and such other information as may reasonably promote its business, such Lessee's markings shall be mutually approved by the parties. All Lessee's markings must be removed by the Lessee upon termination of the lease. ORDER, DELIVERY, INSTALLATION Order and delivery and installations of the Equipment shall be entirely at the Lessor's risk and expense and shall be arranged by the Lessor on behalf of the Lessee in a manner and upon terms and conditions according to the Lessee's written instructions and, to the extent of such instructions are not provided for, according to the Lessor's sole discretion but still at the Lessor's risk and expense. The Lessor shall not be responsible for any costs, losses or damages suffered by the Lessee arising out of or in connection with delays in or refusal to accept delivery of equipment. INSPECTION The Lessee shall inspect the equipment prior to delivery and accept or reject it. Notice of rejections shall be received in writing within [NUMBER] hours by the Lessor and in the absence thereof, the Lessee shall be deemed conclusively to have accepted the Equipment. Rejection shall only occur if the equipment is not in accordance with the specifications contained in [SPECIFY SCHEDULE] or as the result of faulty materials or workmanship. RE-DELIVERY, REMOVAL AT TERMINATION Upon termination of this lease for any reason, the Lessee shall deliver the Equipment entirely at its own expense to an address as designated by the Lessor in the same condition as received, reasonable wear and tear from proper use only accepted, within [NUMBER] days of the date of termination. Brakes and tires will show no more than [PERCENTAGE %] wear for each year of the Lease has elapsed and the trailers must have all signage and customer specified paint removed and returned to a white color. All damages from accident and abuse must be repaired prior to the termination of the Lease in a manner approved by the Lessor. RENT: OTHER PAYMENTS: NO SET-OFF The Lessee shall pay to the Lessor rental in the amount and at the times shown in Schedule \"A\" hereto. The Lessee shall pay to the Lessor on demand all other amounts becoming payable hereunder. The Lessee shall make such payments to the Lessor at the address of the Lessor shown above or as otherwise designated by the Lessor, without any set-off or reduction whatsoever for claims the Lessee may assert against the Lessor. Any payment not paid by the due date shall bear interest thereafter at [PERCENTAGE %] per month. UNCONDITIONAL PAYMENT Lessee's obligation to pay rent and other amounts hereunder shall be absolute and unconditional under all circumstances and without limiting the generality of the foregoing, shall not be affected by the following: Failure of the Equipment to perform in the manner expected by the Lessee. Damage to or destruction of the Equipment so that it is either completely beyond repair or partially so and whether or not it is economically justifiable to repair. Theft of the Equipment or part thereof irrespective of whether the Equipment was insured by the Lessee or the Equipment is uninsured. Seizure of the Equipment by a third party (including landlord or mortgages of the premises on which the Equipment is located). USE: MAINTENANCE: REPAIR The Lessee shall comply with all applicable laws, rules and regulations of government or other authority, with all manufacturer's and Lessor's published operation and maintenance instructions and specifications, and with all terms of any insurance policy in connection with the Equipment. The Lessor may inspect the state of repair of the Equipment at any reasonable time. ALTERATIONS ETC. TO EQUIPMENT","Equipment Lease Agreement","7",71,"https://templates.business-in-a-box.com/imgs/1000px/equipment-lease-agreement-D1140.png","https://templates.business-in-a-box.com/imgs/250px/1140.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#1140.xml",{"title":6,"description":6},[130,133],{"label":131,"url":132},"Production & Operations","production-operations",{"label":134,"url":135},"Equipment Agreement","equipment-agreement","equipment lease agreement","/template/equipment-lease-agreement-D1140",{"description":139,"descriptionCustom":6,"label":140,"pages":141,"size":9,"extension":10,"preview":142,"thumb":143,"svgFrame":144,"seoMetadata":145,"parents":147,"keywords":151,"url":152},"SERVICE AGREEMENT This SERVICE AGREEMENT (\"Agreement\") is effective [DATE], BETWEEN: [COMPANY NAME] (the \"Contractor\"), a company organized and existing under the laws of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] AND: [COMPANY NAME] (the \"Customer\"), a company organized and existing under the laws of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] (The Contractor and the Customer shall be individually referred to as a \"Party\" and collectively referred to as the \"Parties\", as the context may require). WHEREAS A. Contractor has experience and expertise in [DESCRIBE EXPERIENCE AND SERVICE]. B. Customer desires to have Contractor provide services for them. C. Contractor desires to provide services to Customer on the terms and conditions set forth herein (the \"Services\"). NOW THEREFORE, in consideration of the above recitals, the representations, warranties, and agreements contained in this Agreement and for other good and valuable consideration, the receipt and adequacy of which are now acknowledged, the Parties agree as follows: SERVICES PROVIDED Beginning on upon agreement to this contract, [CONTRACTOR] will provide to [CUSTOMER] the following service (collectively, the /Services\"): Description of the project: [DESCRIBE THE SERVICE REQUIRED]. SCOPE OF WORK Contractor agrees to provide Services pursuant to the Scope of Work set forth in Exhibit A attached hereto (the \"Scope of Work\"). TERM Unless both parties mutually agree on an extension, this contract will automatically terminate on [SPECIFY]. PERFORMANCE The parties agree to do everything possible to ensure that the terms of this Agreement take effect. PAYMENT FOR SERVICES In exchange for the Services rendered, a payment of [SPECIFY] will be made to the Contractor upon completion of the scheduled Services described in this Contract. If an invoice is not paid on the due date, interest will be added to the current balance. These amounts shall be payable, and the Customer shall pay all overdue amounts at the lesser of [SPECIFY] per cent per annum or the maximum percentage permitted by applicable law. Or Customer will pay Contractor as follows: [SPECIFY]. DELIVERY OF SERVICES The Contractor will exercise due diligence in the provision of services. However, the Customer acknowledges that the indicated delivery times and other payment milestones listed in Scope of Work are estimates and do not constitute final delivery dates. SECURITY The Contractor must make reasonable security arrangement to protect Material from unauthorized access, collection, use, alteration or disposal. OWNERSHIP RIGHT The Customer shall hold the copyright for the agreed version of the Services as delivered, and the Customer's copyright notice may be displayed in the final version. All works, ideas, discoveries, inventions, patents, products or other information that may be protected by copyright (collectively, the \"Work Product\" developed in whole or in part by the Contractor in connection with the Services, shall be the exclusive property of the Customer. Upon request, the Contractor shall execute all documents necessary to confirm or perfect the exclusive ownership of the Customer's \"Work Product\". The Contractor retains exclusive rights to pre-existing materials used in the Customer's projects. The Customer shall not have the right to reuse, resell or otherwise transfer material belonging to the contractor or third parties. The Contractor reserves the right to use the finished public product as an example of a product. RETURN OF PROPERTY Upon the expiry or termination of this Agreement, the Contractor will return to the Customer any property, documentation, records or Confidential Information which is the property of the Customer. COMPENSATION For all services rendered by the Contractor under this Agreement, the Customer shall indemnify the Contractor. In the event that the Customer fails to make any of the payments mentioned, the Contractor shall have the right, but shall not be obliged, to exercise any of the following remedies: ","Service Agreement","6","https://templates.business-in-a-box.com/imgs/1000px/service-agreement-D12711.png","https://templates.business-in-a-box.com/imgs/250px/12711.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#12711.xml",{"title":146,"description":6},"service agreement",[148,150],{"label":18,"url":149},"business-legal-agreements",{"label":18,"url":149},"purchase agreement","/template/purchase-agreement-D12711",{"description":154,"descriptionCustom":6,"label":155,"pages":156,"size":9,"extension":10,"preview":157,"thumb":158,"svgFrame":159,"seoMetadata":160,"parents":162,"keywords":161,"url":166},"LOAN AGREEMENT This Loan Agreement (\"Agreement\") is made and effective the [DATE], BETWEEN: [LENDER NAME] (the \"Lender\"), an individual with his main address located at OR a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] AND: [YOUR COMPANY NAME] (the \"Borrower\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] Promise to Pay Within [NUMBER] months from today, Borrower promises to pay to Lender the sum of [AMOUNT], and interest and other charges stated below. Responsibility Although this Agreement may be signed below by more than one person, Borrower understands that both parties are individuals responsible for paying back the full amount. Breakdown of Loan Amount of Loan: Other (Describe): Amount Financed: Finance Charge: Total of Payments: Annual Rate: Repayment Borrower will repay the amount of this note in [NUMBER] equal uninterrupted monthly installments of [AMOUNT] each on the [DAY] of each month starting on the [DATE], and ending on [DATE]. Prepayment Borrower has the right to prepay the whole outstanding amount at any time","Loan Agreement","2","https://templates.business-in-a-box.com/imgs/1000px/loan-agreement-D417.png","https://templates.business-in-a-box.com/imgs/250px/417.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#417.xml",{"title":161,"description":6},"loan agreement",[163,164,165],{"label":95,"url":96},{"label":98,"url":99},{"label":98,"url":99},"/template/loan-agreement-D417",{"description":168,"descriptionCustom":6,"label":169,"pages":8,"size":9,"extension":10,"preview":170,"thumb":171,"svgFrame":172,"seoMetadata":173,"parents":175,"keywords":180,"url":181},"LITIGATION AGREEMENT This Litigation Agreement (\"Agreement\") is effective as of [DATE], BETWEEN: [FIRST PARTY NAME] (the \"First Party\"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [YOUR COMPLETE ADDRESS] AND: [SECOND PARTY NAME] (the \"Second Party\"), an individual with its main address located at OR a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at: [COMPLETE ADDRESS] WHEREAS, the Parties have entered into a Litigation Agreement with each other to [SPECIFY PURPOSE] on [EFFECTIVE DATE]; WHEREAS, this Agreement shall define the rights and duties of each Party in connection with the ongoing Litigation; WHEREAS, the Parties wish to evidence their contract in writing; WHEREAS, the Parties are duly authorized and have the capacity to enter into and perform this Contract; WHEREAS, the Parties affirm to understand all the provisions contained in this Agreement, and in case either Party requires clarification as to one or more of the provisions contained herein, either Party has requested clarification or otherwise sought guidance. NOW THEREFORE in consideration and as a condition of both Parties entering into this Agreement and other valuable considerations, the receipt and sufficiency of which consideration is acknowledged, the Parties agree as follows: INDEMNIFICATION The First Party agrees that, to the maximum extent permitted by applicable law (but subject to the limitations set forth herein), it shall indemnify, defend and hold harmless the other Party, its affiliates, and each of their respective directors, officers, partners, shareholders, members, employees, agents (including counsel, auditors, accountants, and advisors), heirs, successors, predecessors, and assigns (collectively, \"Indemnified Parties\") from, against and in respect of and shall reimburse the amount of any loss, liability, damage, judgment, civil fine and penalty, expense, including reasonable costs of investigation and defence and reasonable attorneys' fees and expenses, including such fees and expenses at trial and on any appeal (collectively, \"Losses\"), suffered or incurred by, and any Proceeding against, any of the Indemnified Parties arising out of or resulting from (i) the Litigation or (ii) any breach of any representation, warranty or covenant by the First Party contained in this Agreement. PAYMENT Both Parties intend to be responsible for one-half of the costs and attorney fees incurred in Litigation and to be responsible for one-half of any Loss suffered or incurred by either Party or any of their affiliates in connection with the Litigation. To effectuate this intention, the First Party agrees that, to the maximum extent permitted by applicable law (but subject to the limitations set forth herein), it shall indemnify, defend and hold harmless each of the Indemnified Parties from, against and in respect of and shall reimburse the amount of any Loss suffered or incurred by, and any Proceeding against, any of the Indemnified Parties arising out of or resulting from the Litigation. The First Party shall have no liability or responsibility in respect of any non-monetary Losses suffered or incurred by any Indemnified Party, including injunctive relief. The Second Party agrees that, to the maximum extent permitted by applicable law (but subject to the limitations set forth herein), it shall indemnify, defend and hold harmless, jointly and severally, each of the First Party Indemnified Parties from, against and in respect of, and shall reimburse the amount of any Loss suffered or incurred by, and any Proceeding against, any of the First Party Indemnified Parties arising out of or resulting from the Litigation. REPRESENTATION OF THE PARTIES This Agreement in all respects has been voluntarily and knowingly executed by such Party and is the legal, valid and binding obligation of such Party. Such Party has the full power and authority to enter into this Agreement and perform its obligations hereunder. The execution, delivery and performance of this Agreement by such Party are not prohibited by and do not violate or conflict with or require any consent or approval with respect to (i) such Party's organizational documents, (ii) any order, writ, injunction, decree or judgment of any Governmental Body, (iii) any material contract or agreement to which such Party is a party or by which it is bound, or (iv) any law, rule or regulation applicable to such Party. Such Party has had an opportunity to seek and has sought independent legal advice from attorneys of its choice and other advice from such accountants and other professionals as it deems appropriate, in each case with respect to the advisability of executing this Agreement, and such Party has carefully read this Agreement and has made such investigation of the facts pertaining to this Agreement as it deems necessary. CONTROL OF LITIGATION The First Party shall have the exclusive right to manage, direct, and control the Litigation. The Second Party shall not have the authority without the express prior written consent of the First Party Indemnified Parties, not to unreasonably withhold or delay, to file any pleading, make any admission, accept any finding of fact or enter into any settlement regarding the Litigation which provides that the conduct or behavior of the First Party Indemnified Parties constitutes gross negligence, willful misconduct, intentional failure to perform a duty or reckless disregard of the consequences of such conduct or behavior. ","Litigation Agreement","https://templates.business-in-a-box.com/imgs/1000px/litigation-agreement-D13022.png","https://templates.business-in-a-box.com/imgs/250px/13022.png","https://templates.business-in-a-box.com/svgs/docviewerWebApp1.html?v6#13022.xml",{"title":174,"description":6},"litigation agreement",[176,177],{"label":18,"url":149},{"label":178,"url":179},"Litigation & Settlement","litigation-settlement","security agreement","/template/security-agreement-D13022",false,{"seo":184,"reviewer":197,"quick_facts":201,"at_a_glance":204,"personas":208,"variants":233,"glossary":259,"clauses":296,"how_to_fill":347,"common_mistakes":388,"faqs":413,"industries":441,"comparisons":458,"diy_vs_lawyer":471,"jurisdictions":484,"related_template_ids_curated":505,"schema":515,"classification":516},{"meta_title":185,"meta_description":186,"primary_keyword":187,"secondary_keywords":188},"Installment Sale Contract Template | Free Word Download","Free installment sale contract template for equipment, vehicle, and real estate sales. Covers payment schedule, title retention, default, and remedies.","installment sale contract template",[189,190,191,192,193,194,195,196],"installment sale agreement template","installment payment contract template","seller financing contract template","installment sale contract word","installment purchase agreement template","equipment installment sale contract","vehicle installment sale contract","land installment contract template",{"name":198,"credential":199,"reviewed_date":200},"Bruno Goulet","CEO, Business in a Box","2026-05-02",{"difficulty":202,"legal_review_recommended":203,"signature_required":203},"advanced",true,{"what_it_is":205,"when_you_need_it":206,"whats_inside":207},"An Installment Sale Contract is a legally binding agreement in which a buyer purchases an asset — equipment, a vehicle, or real property — by making scheduled payments to the seller over time rather than paying the full price upfront. The seller typically retains legal title to the asset until the final installment is paid, providing built-in security without a separate lien filing. This free Word download gives you a structured, professionally drafted starting point you can edit online and export as PDF.\n","Use it when a buyer cannot or will not pay in full at closing and both parties agree to a structured payment schedule — common in private equipment sales, vehicle transactions between businesses, and seller-financed real estate deals where traditional bank financing is unavailable or impractical.\n","The template covers the full purchase price, down payment, installment schedule with interest, title retention and transfer conditions, insurance and maintenance obligations, default triggers and cure periods, remedies including repossession, prepayment rights, and governing law.\n",[209,213,217,221,225,229],{"title":210,"use_case":211,"icon_asset_id":212},"Small business owners selling equipment","Financing a buyer's purchase of machinery or commercial equipment in installments","persona-small-business-owner",{"title":214,"use_case":215,"icon_asset_id":216},"Private vehicle sellers","Structuring a car or truck sale to an individual or business with scheduled payments","persona-seller",{"title":218,"use_case":219,"icon_asset_id":220},"Real estate investors","Seller-financing a land or property sale when the buyer cannot secure a bank loan","persona-real-estate-investor",{"title":222,"use_case":223,"icon_asset_id":224},"Equipment dealers and lessors","Offering installment purchase terms as an alternative to outright cash sales","persona-equipment-dealer",{"title":226,"use_case":227,"icon_asset_id":228},"Franchise operators","Selling business assets or a franchise location to a successor on deferred terms","persona-franchise-applicant",{"title":230,"use_case":231,"icon_asset_id":232},"Attorneys and paralegals","Drafting a client-ready installment sale agreement for a commercial transaction","persona-attorney",[234,238,241,245,248,252,255],{"situation":235,"recommended_template":236,"slug":237},"Selling commercial or industrial equipment to another business","Installment Sale Contract (Equipment)","installment-sale-contract-D12709",{"situation":239,"recommended_template":240,"slug":237},"Selling a vehicle privately with deferred payment terms","Vehicle Installment Sale Agreement",{"situation":242,"recommended_template":243,"slug":244},"Seller financing a real estate or land parcel purchase","Land Contract (Contract for Deed)","audit-contract-D13507",{"situation":246,"recommended_template":86,"slug":247},"Buyer needs a standard loan from a lender rather than seller financing","promissory-note-D434",{"situation":249,"recommended_template":250,"slug":251},"Selling a business including goodwill and assets on deferred terms","Business Sale Agreement","agreement-of-purchase-and-sale-of-business-assets-D318",{"situation":253,"recommended_template":122,"slug":254},"Leasing equipment with an option to purchase at end of term","equipment-lease-agreement-D1140",{"situation":256,"recommended_template":257,"slug":258},"Short-term deferred payment between businesses on a single transaction","Deferred Payment Agreement","deferred-compensation-agreement-D13830",[260,263,266,269,272,275,278,281,284,287,290,293],{"term":261,"definition":262},"Installment Sale","A sale in which the buyer pays the purchase price in two or more scheduled payments over time rather than in a single lump sum at closing.",{"term":264,"definition":265},"Seller Financing","An arrangement in which the seller acts as the lender, extending credit to the buyer instead of requiring the buyer to obtain a third-party loan.",{"term":267,"definition":268},"Retention of Title (ROT)","A clause under which the seller keeps legal ownership of the asset until the buyer completes all scheduled payments.",{"term":270,"definition":271},"Purchase Price","The total agreed amount the buyer will pay for the asset, including down payment and the sum of all installments before interest.",{"term":273,"definition":274},"Down Payment","The initial upfront amount paid by the buyer at signing, reducing the outstanding balance on which installments and interest are calculated.",{"term":276,"definition":277},"Amortization Schedule","A table showing each installment payment broken down into principal reduction and interest, with the remaining balance after each payment.",{"term":279,"definition":280},"Default","A buyer's failure to make a scheduled payment or fulfill another material obligation under the contract by the required date.",{"term":282,"definition":283},"Cure Period","A defined window of time — typically 10 to 30 days — after notice of default during which the buyer may remedy the breach before the seller exercises remedies.",{"term":285,"definition":286},"Repossession","The seller's right to reclaim the asset from the buyer upon an uncured default, typically available when the seller has retained title.",{"term":288,"definition":289},"Prepayment","The buyer's payment of some or all of the remaining balance before its scheduled due date, which may or may not be subject to a prepayment penalty depending on the contract terms.",{"term":291,"definition":292},"Security Interest","A legal claim on an asset that a creditor — here, the seller — holds as collateral until the debt is fully repaid, which may need to be registered under the applicable personal property security law.",{"term":294,"definition":295},"Acceleration Clause","A contract provision that makes the entire remaining balance immediately due and payable if the buyer defaults, rather than allowing the seller to sue only for the missed installments.",[297,302,307,312,317,322,327,332,337,342],{"name":298,"plain_english":299,"sample_language":300,"common_mistake":301},"Parties, asset description, and recitals","Identifies the seller and buyer as legal entities, provides a precise description of the asset being sold, and states the background and purpose of the agreement.","This Installment Sale Contract is entered into as of [DATE] between [SELLER LEGAL NAME], a [STATE/PROVINCE] [ENTITY TYPE] ('Seller'), and [BUYER LEGAL NAME], a [STATE/PROVINCE] [ENTITY TYPE] ('Buyer'). Seller agrees to sell to Buyer, and Buyer agrees to purchase from Seller, the following asset: [ASSET DESCRIPTION — make, model, serial number, VIN, or legal description as applicable] (the 'Asset').","Using a vague asset description such as 'equipment as agreed.' If the description does not uniquely identify the asset, a repossession or insurance claim can be challenged — include serial numbers, VINs, or legal parcel descriptions.",{"name":303,"plain_english":304,"sample_language":305,"common_mistake":306},"Purchase price and down payment","States the total purchase price, the amount paid as a down payment at signing, and the remaining balance that will be paid in installments.","The total purchase price for the Asset is $[AMOUNT] ('Purchase Price'). Buyer shall pay a down payment of $[DOWN PAYMENT AMOUNT] upon execution of this Contract. The remaining balance of $[BALANCE] shall be paid in installments as set out in Section [X].","Omitting the down payment from the balance calculation, creating an arithmetic mismatch between the payment schedule and the total owed — which the buyer's lawyer will catch immediately and use to negotiate.",{"name":308,"plain_english":309,"sample_language":310,"common_mistake":311},"Installment payment schedule and interest","Sets out when each payment is due, the amount of each installment, the interest rate applied to the outstanding balance, and the method for calculating interest.","Buyer shall pay [NUMBER] equal monthly installments of $[INSTALLMENT AMOUNT], commencing on [FIRST PAYMENT DATE] and continuing on the [DAY] of each month thereafter until paid in full. Interest shall accrue on the unpaid principal balance at the rate of [X]% per annum, calculated monthly. A detailed amortization schedule is attached as Schedule A.","Stating a payment amount without an attached amortization schedule. If total installments multiplied by payment count do not equal principal plus interest, the discrepancy triggers disputes at payoff.",{"name":313,"plain_english":314,"sample_language":315,"common_mistake":316},"Retention of title and conditions of transfer","Establishes that the seller retains legal title to the asset until the buyer has made all payments in full, and specifies the steps for transferring title at that point.","Title to the Asset shall remain with Seller until Buyer has paid all installments, interest, and other amounts due under this Contract in full. Upon receipt of final payment, Seller shall execute and deliver to Buyer all documents necessary to transfer clear title, including [CERTIFICATE OF TITLE / DEED / BILL OF SALE], within [10] business days.","Not specifying the title transfer mechanics or timeline. A buyer who has made all payments and cannot get the seller to sign over title faces a costly legal action — spell out exactly what documents must be delivered and when.",{"name":318,"plain_english":319,"sample_language":320,"common_mistake":321},"Insurance and maintenance obligations","Requires the buyer to maintain adequate insurance on the asset and keep it in good working condition throughout the payment period, protecting the seller's collateral interest.","Buyer shall, at Buyer's expense, maintain property and casualty insurance on the Asset in an amount not less than $[AMOUNT] or the replacement value, whichever is greater, naming Seller as loss payee. Buyer shall maintain the Asset in good repair and shall not make material alterations without Seller's prior written consent.","Omitting the seller as loss payee on the insurance policy. If the asset is destroyed and the insurance payout goes only to the buyer, the seller has no collateral and an unsecured debt — structurally the worst outcome.",{"name":323,"plain_english":324,"sample_language":325,"common_mistake":326},"Default, notice, and cure period","Defines what constitutes a default — including missed payments and breach of other obligations — and gives the buyer a specified period to cure before the seller may exercise remedies.","Buyer shall be in default if Buyer fails to make any installment payment within [10] days of its due date, fails to maintain required insurance, or breaches any other material obligation under this Contract. Seller shall provide written notice of default, and Buyer shall have [20] days from receipt of such notice to cure the default.","Setting a cure period shorter than the applicable statutory minimum in the governing jurisdiction. In several US states and Canadian provinces, consumer transactions require a minimum cure notice period — a shorter contractual period is void and can void the repossession.",{"name":328,"plain_english":329,"sample_language":330,"common_mistake":331},"Remedies upon default, including repossession","Specifies what the seller may do after an uncured default — including accelerating the balance, repossessing the asset, and pursuing a deficiency judgment for any shortfall.","Upon an uncured default, Seller may, at Seller's election: (a) declare the entire unpaid balance immediately due and payable; (b) repossess the Asset in accordance with applicable law; and (c) pursue any other remedy available at law or in equity. If Seller repossesses and resells the Asset, Buyer shall remain liable for any deficiency between the resale proceeds and the amount owed.","Allowing self-help repossession language without referencing applicable law requirements. In most jurisdictions, repossession without breaching the peace is permitted for personal property — but real property always requires a judicial process. Blanket self-help language in a real estate installment contract will be struck down.",{"name":333,"plain_english":334,"sample_language":335,"common_mistake":336},"Prepayment rights and penalties","States whether the buyer may pay off the remaining balance early, and whether a prepayment penalty applies.","Buyer may prepay the outstanding principal balance, in whole or in part, at any time without penalty. Any partial prepayment shall be applied first to accrued interest and then to the outstanding principal balance in the order of maturity.","Imposing a prepayment penalty without checking whether it is permitted by the governing jurisdiction. Several US states cap or ban prepayment penalties on consumer installment sales — an unenforceable penalty clause can void related provisions.",{"name":338,"plain_english":339,"sample_language":340,"common_mistake":341},"Representations and warranties of the seller","The seller's promises that they own the asset free of undisclosed encumbrances, have authority to sell it, and that the asset is as described.","Seller represents and warrants that: (a) Seller has good and marketable title to the Asset, free and clear of all liens, encumbrances, and claims except as disclosed in Schedule B; (b) Seller has full authority to enter into this Contract; and (c) the Asset is in the condition described in Schedule C as of the date of this Contract.","Selling an asset with an undisclosed lien. A prior security interest in the asset survives the sale in most jurisdictions — the buyer pays in full and the prior creditor still has a claim. Sellers must discharge or disclose all existing encumbrances before closing.",{"name":343,"plain_english":344,"sample_language":345,"common_mistake":346},"Governing law, entire agreement, and notices","Specifies the jurisdiction whose law governs the contract, confirms the written contract supersedes all prior agreements, and sets out how formal notices must be delivered.","This Contract is governed by the laws of [STATE/PROVINCE/COUNTRY]. This Contract constitutes the entire agreement between the parties and supersedes all prior negotiations and representations. Notices shall be in writing and delivered by [certified mail / email with read receipt] to the addresses set out above.","Choosing a governing jurisdiction with no connection to where the asset is located or used. For real property, courts apply the law of the situs regardless of what the contract says — and for vehicles, most states require title transfer formalities under their own law.",[348,353,358,363,368,373,378,383],{"step":349,"title":350,"description":351,"tip":352},1,"Identify the parties and describe the asset precisely","Enter both parties' full legal names and entity types. For the asset, include every identifier available — serial number, VIN, make, model, year, or legal property description. Attach photographs or a condition report as a schedule.","For vehicles, record the odometer reading at signing in the asset description — disputes about condition almost always reference mileage at time of sale.",{"step":354,"title":355,"description":356,"tip":357},2,"Set the purchase price, down payment, and financed balance","Enter the total agreed purchase price, the down payment collected at signing, and the resulting balance to be financed. Confirm these three numbers add up correctly before drafting the payment schedule.","Document how the purchase price was determined — a written valuation, appraisal reference, or comparable sale — to defend against later claims that the price was unfair.",{"step":359,"title":360,"description":361,"tip":362},3,"Build and attach the amortization schedule","Use the interest rate and term to generate a full amortization table showing each payment date, the principal and interest components of each payment, and the remaining balance. Attach it as Schedule A and reference it in the payment clause.","Use an online amortization calculator and round installment amounts to the nearest dollar — a fractional cent rounding difference compounded over 60 payments creates a payoff shortfall that buyers dispute.",{"step":364,"title":365,"description":366,"tip":367},4,"Draft the retention of title and transfer mechanics","Confirm the seller will retain legal title until final payment and describe exactly what documents will be transferred — certificate of title, bill of sale, or deed. State the timeline for delivery after final payment.","Hold the signed title transfer document in escrow with a neutral third party — releasing it automatically upon final payment removes the risk that a seller becomes unreachable after the last check clears.",{"step":369,"title":370,"description":371,"tip":372},5,"Set insurance, maintenance, and use restrictions","Specify the minimum insurance coverage amount and type, confirm the seller is named as loss payee, and state any restrictions on where the asset may be used, relocated, or modified during the installment period.","Ask for a certificate of insurance naming you as loss payee before releasing the asset — do not rely on the buyer's verbal confirmation that coverage is in place.",{"step":374,"title":375,"description":376,"tip":377},6,"Define default triggers, cure periods, and remedies","List every default event — missed payment, lapsed insurance, unauthorized modification — and set a cure period of at least 20 days. Confirm the remedies section references applicable law for repossession to avoid an unenforceable self-help clause.","Check the statutory cure period for the asset type and jurisdiction before finalizing — for consumer transactions in several US states, contractual cure periods shorter than the statutory minimum are void.",{"step":379,"title":380,"description":381,"tip":382},7,"Have both parties sign before the asset changes hands","Both seller and buyer must sign the contract before or at the moment the asset is delivered. Do not release the asset on a handshake with a promise to sign later — an unsigned agreement is unenforceable in most jurisdictions.","Use a witness or notary for high-value transactions — particularly real property installment contracts, which typically require notarization to be recorded.",{"step":384,"title":385,"description":386,"tip":387},8,"Register the security interest if required","For personal property, file a UCC-1 financing statement (US), PPSA registration (Canada), or equivalent to perfect the seller's security interest and protect priority against third-party creditors. For real property, record the contract with the county recorder or land registry.","A title retention clause alone does not protect the seller against a bona fide purchaser who buys from the buyer and has no notice of the seller's interest — registration creates constructive notice and defeats such claims.",[389,393,397,401,405,409],{"mistake":390,"why_it_matters":391,"fix":392},"Vague or missing asset description","A description like 'one forklift' or 'the property at 123 Main St' without serial numbers, VINs, or a legal parcel description makes repossession legally challengeable and title transfer documents ambiguous.","Include every available identifier — serial number, VIN, make, model, year, and a legal property description for real estate. Attach a signed condition report as a schedule.",{"mistake":394,"why_it_matters":395,"fix":396},"No amortization schedule attached","If the installment amount and the total payment count do not mathematically reconcile to principal plus interest, the parties disagree on the payoff balance at every payment — and courts cannot enforce an ambiguous payment obligation.","Generate a full amortization table before signing, attach it as Schedule A, and have both parties initial it to confirm agreement on every payment amount and due date.",{"mistake":398,"why_it_matters":399,"fix":400},"Failing to perfect the seller's security interest by registration","A title retention clause in the contract binds the buyer but does not defeat a third-party creditor or subsequent purchaser who has no notice of the seller's interest — leaving the seller with an unsecured claim if the buyer becomes insolvent.","File a UCC-1 financing statement (US) or PPSA registration (Canada) within the required window — typically within 20 days of the transaction for purchase money security interest priority.",{"mistake":402,"why_it_matters":403,"fix":404},"Setting a cure period shorter than the statutory minimum","In several US states and Canadian provinces, consumer installment sale statutes mandate a minimum cure notice period before repossession. A shorter contractual period is void, and repossessing without proper notice exposes the seller to conversion or wrongful repossession liability.","Research the statutory cure requirements for the asset type and governing jurisdiction before finalizing the default clause, and match or exceed the minimum.",{"mistake":406,"why_it_matters":407,"fix":408},"Not naming the seller as loss payee on the buyer's insurance","If the asset is damaged or destroyed, the insurance payout goes to the buyer — who may pocket it rather than repair the asset or pay down the balance — leaving the seller with no collateral and a potentially uncollectible debt.","Require a certificate of insurance naming the seller as loss payee before releasing the asset, and require the buyer to notify the seller immediately of any lapse in coverage.",{"mistake":410,"why_it_matters":411,"fix":412},"Using self-help repossession language for real property","Self-help repossession of real property — re-entering and changing locks — is illegal in every US state and most other common-law jurisdictions, exposing the seller to forcible entry and detainer liability regardless of what the contract says.","For real property installment contracts, use a forfeiture or judicial foreclosure clause referencing the applicable state statute, and include a requirement to record the contract to establish the seller's priority.",[414,417,420,423,426,429,432,435,438],{"question":415,"answer":416},"What is an installment sale contract?","An installment sale contract is a legally binding agreement in which a buyer purchases an asset — equipment, a vehicle, or real property — by making scheduled payments to the seller over time rather than paying the full price at closing. The seller typically retains legal title to the asset until the final payment is received, providing built-in security without a separate lien. The arrangement is also known as a seller financing agreement, a conditional sale contract, or — for real property — a land contract or contract for deed.\n",{"question":418,"answer":419},"How is an installment sale contract different from a loan?","In an installment sale, the seller finances the purchase directly and retains title as security — no bank or third-party lender is involved. In a conventional loan, a lender advances funds to the buyer at closing, the buyer pays the seller immediately, and the lender holds a mortgage or lien on the asset. Installment sales are typically faster to close and more flexible on credit terms but expose the seller to credit risk that a lender would otherwise absorb.\n",{"question":421,"answer":422},"What assets are commonly sold under installment sale contracts?","The most common assets are commercial equipment (manufacturing machinery, construction equipment, restaurant equipment), vehicles (cars, trucks, agricultural equipment), and real property (vacant land, residential investment property, small commercial buildings). Installment sales are particularly common when the buyer cannot qualify for traditional financing or when both parties prefer to avoid third-party lenders.\n",{"question":424,"answer":425},"Does the seller need to charge interest on an installment sale?","Interest is not legally required in most jurisdictions, but leaving it out creates tax complications. In the US, the IRS imputes interest on installment sales that do not charge at least the Applicable Federal Rate (AFR) — treating the seller as if interest was received even when it was not. In Canada, similar imputed interest rules apply under the Income Tax Act. Always charge at least the applicable minimum rate and document it in an amortization schedule.\n",{"question":427,"answer":428},"What happens if the buyer defaults on an installment sale contract?","The seller's remedies typically include accelerating the entire remaining balance, repossessing the asset, and suing for any deficiency between the resale value and the amount owed. The specific process — including required notice, cure periods, and repossession procedures — is governed by state or provincial law. For real property installment contracts, repossession always requires a judicial foreclosure or statutory forfeiture process, never self-help.\n",{"question":430,"answer":431},"Should the seller register a security interest or record the contract?","Yes, in virtually all cases. For personal property (equipment, vehicles), filing a UCC-1 financing statement in the US or a PPSA registration in Canada perfects the seller's security interest and protects priority against the buyer's other creditors. For real property, recording the installment contract with the county recorder or land registry provides constructive notice to subsequent purchasers. Without registration, a title retention clause protects the seller only against the buyer — not against third parties.\n",{"question":433,"answer":434},"Are there tax implications for the seller in an installment sale?","In the US, installment sale reporting under IRC §453 generally allows the seller to recognize gain proportionally as payments are received, rather than all in the year of sale — which can reduce the seller's tax burden significantly. However, depreciation recapture is typically recognized in full in the year of sale regardless of payment timing. In Canada, similar installment reporting rules apply under the Income Tax Act. Sellers should consult a tax advisor before structuring any installment sale involving appreciated property.\n",{"question":436,"answer":437},"Can the buyer sell or transfer the asset before paying in full?","Not without the seller's consent when a title retention clause is in place — the buyer cannot transfer better title than they have, and they do not have legal title until the final payment. The contract should expressly prohibit transfer, encumbrance, or sublease of the asset without prior written consent. A buyer who attempts to sell an asset subject to a perfected security interest triggers the default clause and potentially criminal liability in some jurisdictions.\n",{"question":439,"answer":440},"Do I need a lawyer to draft an installment sale contract?","For straightforward equipment or vehicle transactions between sophisticated businesses, a well-drafted template is typically sufficient. Engage a lawyer when the asset value exceeds $50,000, when real property is involved, when the buyer is a consumer (triggering additional statutory protections), when the transaction crosses jurisdictions, or when complex default and remedies provisions are required. A 1–2 hour template review typically costs $300–$600 and is worthwhile for any high-value installment sale where repossession might actually be necessary.\n",[442,446,450,454],{"industry":443,"icon_asset_id":444,"specifics":445},"Construction and heavy equipment","industry-construction","Buyers finance excavators, cranes, and loaders over 24–60 months; sellers perfect UCC security interests and require builder's risk insurance naming them as loss payee.",{"industry":447,"icon_asset_id":448,"specifics":449},"Agriculture","industry-agriculture","Tractors, combines, and irrigation equipment are frequently sold on installment terms between farmers and dealers, with seasonal payment schedules aligned to harvest cycles rather than fixed monthly dates.",{"industry":451,"icon_asset_id":452,"specifics":453},"Real estate and land","industry-real-estate","Seller-financed land contracts (contracts for deed) are common for rural parcels and investment properties; these always require judicial forfeiture or foreclosure on default and must be recorded to bind third parties.",{"industry":455,"icon_asset_id":456,"specifics":457},"Automotive and fleet","industry-automotive","Private vehicle sales and small fleet transactions use installment contracts to spread cost over 12–48 months, with title held by the seller until payoff and the contract registered against the VIN where state law permits.",[459,462,465,468],{"vs":86,"vs_template_id":460,"summary":461},"promissory-note-D12756","A promissory note is a standalone debt instrument evidencing the buyer's obligation to repay a sum — it does not itself transfer or retain title to any asset. An installment sale contract combines the sale, payment schedule, and title retention in one document. For complex transactions, both documents are used together: the contract governs the sale and the note evidences the debt.",{"vs":122,"vs_template_id":463,"summary":464},"equipment-lease-agreement-D12714","A lease transfers the right to use equipment for a period in exchange for periodic payments, without conveying ownership — the lessee returns the asset at term end. An installment sale contract transfers ownership incrementally as payments are made, with title passing at final payment. Tax and accounting treatment differ significantly: leases are typically expensed; installment purchases are capitalized and depreciated.",{"vs":250,"vs_template_id":466,"summary":467},"business-sale-agreement-D195","A business sale agreement covers the purchase of an entire business — goodwill, customer relationships, inventory, and multiple assets as a going concern. An installment sale contract covers a single defined asset. When a business is sold on deferred terms, a business sale agreement governs the overall transaction and a separate promissory note or installment schedule handles the payment mechanics.",{"vs":65,"vs_template_id":469,"summary":470},"D{CONDITIONAL_SALE_ID}","A conditional sale agreement and an installment sale contract are functionally identical in most common-law jurisdictions — both involve deferred payment and title retention until full payment. The terminology differs by jurisdiction and industry: 'conditional sale' is more common in UK and Canadian commercial practice; 'installment sale contract' is standard in US equipment and real estate transactions. The substantive legal rights are the same.",{"use_template":472,"template_plus_review":476,"custom_drafted":480},{"best_for":473,"cost":474,"time":475},"Equipment or vehicle installment sales between businesses where the asset value is under $50,000 and both parties are sophisticated","Free","30–60 minutes",{"best_for":477,"cost":478,"time":479},"Assets over $50,000, consumer buyers, cross-border transactions, or any deal where repossession is a realistic risk","$300–$600","1–3 days",{"best_for":481,"cost":482,"time":483},"Real property installment contracts, multi-asset business sales on deferred terms, or transactions involving regulated industries","$1,000–$3,500+","1–2 weeks",[485,490,495,500],{"code":486,"name":487,"flag_asset_id":488,"note":489},"us","United States","flag-us","Installment sales of personal property are governed by UCC Article 2 (sale) and Article 9 (security interests). Sellers must file a UCC-1 financing statement to perfect their security interest and protect priority. For real property, installment contracts (contracts for deed) are regulated at the state level — requirements for recordation, cure periods, and forfeiture procedures vary significantly. IRC §453 provides favorable installment sale tax reporting for sellers recognizing gain over the payment period, but depreciation recapture is recognized immediately.",{"code":491,"name":492,"flag_asset_id":493,"note":494},"ca","Canada","flag-ca","Personal property security is governed provincially under each province's Personal Property Security Act (PPSA). Sellers must register a financing statement in the province where the asset is located or the debtor is situated to perfect title retention and priority. Consumer protection legislation in several provinces — including Ontario's Consumer Protection Act — imposes mandatory disclosure requirements and minimum cure periods that override contract terms for consumer installment purchases. Quebec civil law applies distinct rules under the Civil Code, including specific provisions on instalment sales and seller's resolutory clauses.",{"code":496,"name":497,"flag_asset_id":498,"note":499},"uk","United Kingdom","flag-uk","Conditional sale agreements in the UK are governed by the Sale of Goods Act 1979 and, for consumer transactions, the Consumer Credit Act 1974. Consumer conditional sale agreements above £50 but below £25,000 require FCA authorization and mandatory statutory disclosures. The seller retains title under a reservation of title (Romalpa) clause but must comply with the Consumer Credit Act's default notice requirements — a minimum 14-day notice — before enforcing remedies. Scotland applies distinct property law principles to title retention.",{"code":501,"name":502,"flag_asset_id":503,"note":504},"eu","European Union","flag-eu","Retention of title clauses are recognized across EU member states but enforceability in insolvency varies significantly — Germany and the Netherlands provide strong seller protection; France requires registration of retention clauses in most insolvency contexts to bind a liquidator. The EU Consumer Credit Directive imposes mandatory disclosure requirements and a right of early repayment without disproportionate penalty for consumer installment transactions. GDPR is relevant where the seller collects and processes buyer personal data during the credit assessment or payment process.",[247,251,254,506,507,508,509,510,511,512,513,514],"purchase-agreement-D12711","bill-of-sale-D1229","loan-agreement-D417","security-agreement-D13022","personal-guarantee-D405","deed-of-sale-and-assignment-lease-D1171","payment-plan-agreement-D12663","vehicle-service-agreement-D14077","non-disclosure-agreement-nda-D12692",{"emit_how_to":203,"emit_defined_term":203},{"primary_folder":149,"secondary_folder":517,"document_type":518,"industry":519,"business_stage":520,"tags":521,"confidence":527},"sales-and-purchase","agreement","general","all-stages",[522,523,524,525,526],"contract","legal","installment-sale","payment-agreement","asset-purchase",0.95,"\u003Ch2>What is an Installment Sale Contract?\u003C/h2>\n\u003Cp>An \u003Cstrong>Installment Sale Contract\u003C/strong> is a legally binding agreement under which a buyer purchases an asset — most commonly commercial equipment, a vehicle, or real property — by making scheduled payments to the seller over a defined period rather than paying the full price at closing. The seller typically retains legal title to the asset until the buyer completes every payment, providing built-in collateral security without requiring a separate mortgage or lien filing. Interest accrues on the outstanding balance according to a fixed rate, and the full payment schedule, including the principal and interest breakdown for each installment, is documented in an attached amortization table. Unlike a conventional financed purchase, there is no bank or third-party lender involved — the seller acts as the creditor, the asset secures the debt, and the contract governs the entire relationship from sale to final transfer of title.\u003C/p>\n\u003Ch2>Why You Need This Document\u003C/h2>\n\u003Cp>Without a written installment sale contract, both parties are exposed to serious financial and legal risk from the moment the asset changes hands. A seller who releases equipment or a vehicle on a handshake payment plan has no enforceable right to repossess if payments stop — and no documented basis to calculate what is owed. A buyer who makes payments without a written schedule has no proof of what they have paid, no guarantee they will receive clear title at the end, and no protection against a seller who later claims additional amounts are due. An undocumented installment arrangement also creates tax reporting uncertainty for both parties under US and Canadian installment sale rules. This template gives sellers an enforceable title retention clause backed by a perfectable security interest, a clear default and repossession mechanism calibrated to applicable law, and a complete payment record from day one — and gives buyers a documented path to unencumbered ownership at final payment.\u003C/p>\n",1779808902533]