Hello, I have a buyer for my very old Registration expired car. Registration expired in 2018 and has not been renewed. The buyer too is not bother about expired registration. How do I go about selling this car without renewing the registration but being safe with respect to any liabilities? Is there a standard document or procedure for this ? I want to avoid the renewal of registration because it may not be posible as it is more than 20 years old. It could be a headache, costly and cumbersome. Can I sell the car with a single stamped legal sale document stating something on these lines : "I am selling the car to so an so person(with address details, aadahar card details) I hold no ownership and liability on the car after the sale. The new owner should ideally register the car in his name after the sale. But if not, I as the old buyer have anything to do with the car's use / misuse and accidents etc." I then take the buyer's signature on this document. After that, I submit a copy of document to RTO and original with me. Can it be done this way ? The new owner may or may not transfer the car on his name in RTO but I have no liabilities for the car, because of that above document of sale that both of us signed. The vehicle may remain in my name on expired RC book. But all the liabilities related to the car would be the buyer's. Is this way OK Or I need to do some other documentation etc..? Thanks
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As per the Central Motor Vehicle Rules, all private vehicles are to re-register the vehicle after 15 years for every 5 years, for as long as it is considered road worthy by the department.
you would be liable in case any accident occurs as car has not been transferred by buyer in his name
First of all you should be aware that the registration will remain same whereas you have not paid the life tax for this vehicle after it was expired long ago.
Therefore there is no legal impediment to sell the vehicle even though the vehicle insurance or road tax has not been updated.
If the vehicle cannot be on road in the absence of updated road tax or insurance premiums, then you cannot sell the vehicle which cannot be road worthy.
It would be considered as an offence to sell the vehicle without proper documents and also the buyer would be implicated in the offence if he is buying this vehicle without proper documents.
If you are desirous of selling the vehicle to the prospective buyer then you may better update the documents of the vehicle with updated tax payments and insurance.
What you are contemplating is outside rules of motor vehicle transfer. A valid registration, PUC and insurance are mandatory documents for transfer of ownership of motor vehicle. Any private transfer is illegal and not considered valid. Form 28, Form 29 and Form 30 have to be essentially filled up and submitted.
Registration needs to be renewed before transferring. If it's related to PUC related circulars where 15 years car are scrapped then such can't be renewed. Even if you sell it may not get transferred in his name.
If the registration has expired, the seller cannot legally shirk his responsibility merely by putting a disclaimer clause in a sale agreement.
Dear Client,
The laws for selling an unregistered car vary state by state, but you’ll need to prove that the sale is lawful no matter where you are. You’ll need a clear title to show that no one else owns the vehicle and that you’re free to sell it.
Hope this clarifies your query and requirement.
Thank you.
Hello , Thanks to everyone for all your valuable inputs! Definitely, I do not wish to sell the car in any illegal way or any other way that I face troubles later for any reason. Except for reply from Mr Anik Miu, everyone has clearly stated that selling an unregistered car is illegal. My problem is that the difference between the Re-registration cost of such an old car and my selling price is just 3000 Rs. So I get just 3000 Rs selling it after spending on Re-registration. The re-registration cost with insurance, tax, fine etc for such an old car is around 17000/- Rs But I do understand that if selling unregistered car is illegal, than I will not do it. Thanks. Dear Mr Anik, Could you please elaborate on your point in which you say "but you’ll need to prove that the sale is lawful no matter where you are. You’ll need a clear title to show that no one else owns the vehicle and that you’re free to sell it." Thanks.
It would be illegal to sell an unregistered vehicle
better to re register it and then sell the car
No need to prove sale but need to intimate to RTO that sale has happened and transfer needs to be done in new buyer's name
This is a public forum where plenty of lawyers render their opinion as per their own understanding of law, hence you may choose the opinion and suggestion whichever you may feel better and proceed in that direction if at all it is accommodated in law.
Whatever circumstance, you may better avoid indulging in adopting illegal steps in a hurry to sell or dispose the car in order to prevent any legal liability at a later stage.
Dear Client,
Registration of vehicles is necessary since vehicles are allowed to be driven in public places only after registration by the registering authority, as under the provisions of Section 39 of the Motor Vehicle Act 1988, has been done. Consult your local motor vehicles department for more information on your state’s vehicle laws.
Thank You.