Boat Bill of Sale

Electronic Signature

Boat Bill of Sale Generator

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Signature Requirements

Electronic Signature

Both buyer and seller must sign the boat bill of sale. Electronic signatures are valid under ESIGN Act and UETA for most state registrations; however, USCG documented vessel transfers require notarized bills of sale submitted to the National Vessel Documentation Center.

Sample Boat Bill of Sale Generated by Legal Tank

Boat Bill of Sale

Parties

1.1

This Boat/Vessel Bill of Sale is made on [____________] by [____________] ("Seller") and [____________] ("Buyer").

Vessel Description

2.1

Seller hereby sells and transfers to Buyer the following vessel (the "Vessel"): Year: [____________]; Make: [____________]; Model: [____________]; Length: [____________]; Hull Identification Number (HIN): [____________]; Registration Number: [____________]; State of Registration: [____________]; Engine Make/Model: [____________]; Engine Serial Number: [____________].

Purchase Price and Payment

3.1

The Purchase Price is [$__________], paid by [cash / certified check / wire transfer / other: ____________]. Seller acknowledges receipt of the full Purchase Price.

Title Transfer

4.1

Seller shall deliver a properly endorsed certificate of title (or certificate of documentation) free and clear of all liens and encumbrances. Buyer shall transfer registration with the appropriate state agency within the required time period. If the Vessel is documented with the U.S. Coast Guard, Seller shall execute all documents necessary to transfer documentation.

View all 10 sections

Coast Guard Documentation

5.1

[If applicable:] The Vessel [is / is not] documented with the U.S. Coast Guard. Documentation Number: [____________]. Seller shall execute a Bill of Sale in the form required by the Coast Guard (46 CFR Part 67) and any additional documentation necessary to transfer the Vessel's documentation.

Condition

6.1

The Vessel is sold "AS IS" without warranty. Buyer has inspected the Vessel and accepts it in its current condition. Seller makes no warranties regarding condition, seaworthiness, fitness, or merchantability. [OR: Seller provides the following warranty: ____________.]

Trailer

7.1

[If applicable:] The sale [includes / does not include] a trailer. Trailer Description: Year: [____________]; Make: [____________]; VIN: [____________]. Separate title transfer may be required for the trailer.

Liens

8.1

Seller represents the Vessel is free from all liens, maritime liens, encumbrances, and security interests. Seller shall indemnify Buyer against any pre-existing liens discovered after sale.

Taxes and Fees

9.1

Buyer is responsible for all sales tax, use tax, registration fees, documentation fees, and any other charges related to the transfer.

Governing Law

10.1

This Bill of Sale is governed by the laws of the State of [_____________] and applicable federal maritime law. This document constitutes the complete agreement regarding the sale of the Vessel.

What Is a Boat Bill of Sale?

A boat bill of sale is a legal document that records the transfer of ownership of a watercraft or vessel from a seller to a buyer, including critical identification details such as the hull identification number (HIN), engine specifications, and the purchase price. This document is required by most state Department of Natural Resources (DNR) agencies and marine divisions to process boat registration transfers and calculate applicable sales tax. Unlike motor vehicles, which are governed primarily by state DMV regulations, boats may also fall under federal jurisdiction through the United States Coast Guard (USCG) if the vessel is documented rather than state-registered.

The Federal Boat Safety Act of 1971 established the requirement that all manufactured boats carry a hull identification number, a 12-character serial number permanently affixed to the transom that uniquely identifies the vessel. Under 33 CFR Part 181, the HIN must be included on the bill of sale and verified by the buyer before completing the transaction. The HIN serves the same purpose for boats that the VIN serves for motor vehicles, enabling identification, theft recovery, and recall tracking through the USCG and NHTSA databases. A boat bill of sale should also document the engine type, horsepower, serial number, fuel type, and whether the vessel is powered by an inboard, outboard, or sterndrive motor.

One critical distinction in boat sales is the difference between USCG documentation and state registration. Vessels measuring five net tons or more that are used in coastwise trade, fishing, or international navigation must be documented with the National Vessel Documentation Center using form CG-1340, which must be notarized. State-registered boats, which include most recreational vessels under five net tons, are registered through the state DNR or wildlife agency and require a bill of sale for the transfer. Buyers should determine which registration system applies before completing the purchase, as the documentation requirements differ significantly. A general bill of sale can serve as a starting template but must be customized with marine-specific fields.

Boat transactions often involve a marine survey, which is a professional inspection of the vessel's hull, mechanical systems, electrical components, and safety equipment. While not legally required for private sales, lenders and insurance companies typically mandate a marine survey before approving financing or issuing a hull policy. The bill of sale should reference any survey findings, disclose known defects, and specify whether the vessel is sold as-is or with representations about its condition. Buyers should also verify that the boat is not subject to any outstanding maritime liens under the Jones Act or state lien statutes, and confirm that the trailer, if included, is documented separately with its own vehicle bill of sale since trailers are titled as motor vehicles in most states.

FeatureUSCG DocumentationState Registration
Applicable Vessels5+ net tons, commercial or international useMost recreational vessels under 5 net tons
Administered ByNational Vessel Documentation CenterState DNR or wildlife agency
Transfer ProcessNotarized bill of sale + Form CG-1340Bill of sale + state registration form
Lien RecordingFederal preferred ship mortgage systemState UCC filing or title notation
Display RequirementsDocumentation number on hull, no state numbersState registration numbers on hull

⚠ Warning: Maritime liens for unpaid repairs, storage, towing, or fuel attach to the vessel itself under admiralty law, not to the owner personally. If you purchase a boat with an outstanding maritime lien, the lienholder can seize the vessel from you even though you had no involvement in the original debt.

⚖️ State-Specific Note: When a boat is sold with a trailer, always prepare separate documentation for each. Under 46 USC § 31301, federally documented vessels follow admiralty transfer rules through the USCG, while the trailer transfers through the state DMV as a motor vehicle. A single combined document may be rejected by one or both agencies.

Why You Need a Boat Bill of Sale

You are purchasing a recreational boat from a private seller and your state DNR requires a bill of sale along with the signed registration certificate to transfer the boat into your name and calculate applicable sales tax. Download our free boat bill of sale template to get started with all required marine-specific fields.

You are selling a USCG-documented vessel and must complete the transfer through the National Vessel Documentation Center using form CG-1340, which requires a notarized bill of sale documenting the transaction. Get a quote for your boat bill of sale to ensure compliance with both federal USCG and state DNR requirements.

You bought a used boat that includes a trailer, and you need separate documentation for the vessel transfer through the DNR and the trailer transfer through the DMV since they are titled under different systems.

You are financing a boat purchase and the marine lender requires a detailed bill of sale documenting the HIN, engine specifications, purchase price, and lien terms before approving the loan and recording their security interest. You may also need a Free promissory note to formalize the repayment terms.

You acquired a boat through inheritance or as a gift and need a bill of sale or transfer document to register the vessel in your name, which may also require an affidavit of heirship if the previous owner passed away without transferring the title.

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Boat Bill of Sale is often used alongside other contracts & agreements documents. Depending on your situation, you may also need:

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Key Sections in a Boat Bill of Sale

Buyer and Seller Information

This section identifies both parties by full legal name, mailing address, and contact information. For USCG-documented vessels, the buyer must also provide citizenship documentation because federal law restricts vessel documentation to U.S. citizens, permanent residents, and qualifying U.S. entities under 46 USC Chapter 125.

Vessel Description and HIN

The vessel description must include the hull identification number (HIN), manufacturer, model, year built, overall length, hull material (fiberglass, aluminum, wood), hull type, and primary color. The 12-character HIN is the most critical identifier and must match the number physically affixed to the boat's transom and any accompanying registration or documentation certificate.

Engine and Propulsion Details

This section documents the engine manufacturer, model, serial number, horsepower, fuel type (gasoline, diesel, electric), and propulsion configuration (inboard, outboard, sterndrive, jet). If the vessel has multiple engines, each must be individually described with its own serial number and specifications.

Trailer Information

If a trailer is included in the sale, it must be described separately with its own make, model, year, VIN, and license plate number. Most states title boat trailers as motor vehicles, so a separate bill of sale or combined form with a distinct trailer section is necessary to transfer trailer ownership through the DMV.

Purchase Price and Tax Disclosure

The purchase price section states the total consideration paid for the vessel, engine, and trailer, ideally broken out separately since different tax rates may apply to the vessel and trailer in some states. State DNR agencies use the stated price to calculate sales or use tax on the boat, while the DMV calculates trailer tax separately.

Lien and Encumbrance Disclosure

The seller must disclose whether any maritime liens, preferred ship mortgages, or security interests exist against the vessel. For USCG-documented vessels, lien searches can be conducted through the National Vessel Documentation Center. For state-registered boats, the buyer should verify lien status through the state titling agency.

As-Is Disclaimer or Warranty

This section specifies whether the vessel is sold as-is with no warranties or with specific representations about its seaworthiness, mechanical condition, or structural integrity. Most private boat sales are conducted as-is, but the seller should still disclose known material defects to avoid fraud claims.

Signatures and Notarization

Both parties must sign and date the bill of sale. For USCG-documented vessel transfers using form CG-1340, notarization is mandatory under federal regulations. For state-registered boats, notarization requirements vary by state but are recommended to strengthen the document's evidentiary value in disputes.

Boat Bill of Sale Legal Requirements

The Federal Boat Safety Act of 1971 and 33 CFR Part 181 require all manufactured boats to carry a hull identification number (HIN), which must be accurately recorded on the bill of sale for the transfer to be valid.

Vessels of five net tons or more used in coastwise trade, commercial fishing, or international navigation must be documented with the USCG under 46 USC Chapter 125, and transfers require a notarized bill of sale filed with the National Vessel Documentation Center.

Most states require boat buyers to register their vessel with the state DNR or wildlife agency within 15 to 30 days of purchase, submitting the bill of sale, previous registration, and applicable fees to complete the transfer.

State sales or use tax applies to boat purchases in most jurisdictions, and the DNR uses the purchase price stated on the bill of sale to calculate the tax owed, with penalties for understating the sale price.

Maritime liens for unpaid repairs, storage, towing, or fuel may attach to the vessel itself rather than the owner personally under federal admiralty law and state maritime lien statutes, making lien disclosure and verification essential before purchase.

Common Boat Bill of Sale Mistakes to Avoid

Failing to include the hull identification number (HIN) or recording it incorrectly, which will cause the state DNR or USCG to reject the registration or documentation transfer application. A boat bill of sale template with dedicated HIN fields prevents this error.

Not preparing a separate bill of sale or title transfer for the boat trailer, which is titled as a motor vehicle in most states and cannot be transferred on the vessel's registration documents.

Overlooking maritime lien searches before completing the purchase, which can result in the buyer acquiring a vessel encumbered by unpaid repair, storage, or fuel debts that attach to the vessel itself under admiralty law.

Using a standard vehicle bill of sale that lacks marine-specific fields such as HIN, hull material, engine serial numbers, and USCG documentation number, resulting in an incomplete document that state agencies will not accept.

Neglecting to verify whether the vessel requires USCG documentation rather than state registration, which applies to vessels of five net tons or more used in coastwise trade, commercial fishing, or international waters.

Failing to disclose known hull damage, osmotic blistering, or engine problems in the bill of sale, which can expose the seller to fraud claims even in an as-is sale if the defects were deliberately concealed.

Frequently Asked Questions About Boat Bill of Sales

Do you need a bill of sale to register a boat?
Yes, most states require a bill of sale as part of the boat registration transfer process. The bill of sale documents the purchase price, which the state DNR uses to calculate applicable sales or use tax, and provides proof that the seller authorized the transfer of ownership to the buyer. Without a bill of sale, the DNR may refuse to process the registration transfer or may assess tax based on the vessel's fair market value rather than the actual purchase price. Some states have their own mandatory bill of sale forms that must be used, while others accept any document that contains the required information including the HIN, vessel description, parties' names, and signatures.
Does a boat bill of sale need to be notarized?
Notarization requirements for boat bills of sale vary by state and by the type of vessel documentation. For USCG-documented vessels, the bill of sale and form CG-1340 must be notarized as required by federal regulations under 46 USC Chapter 125. For state-registered recreational boats, some states require notarization while others do not. Even in states where notarization is optional, having the document notarized provides independent verification of the signers' identities and strengthens the bill of sale's evidentiary weight. Marine lenders and insurance companies often require notarized bills of sale regardless of state law.
What is a hull identification number?
A hull identification number (HIN) is a unique 12-character serial number permanently affixed to the transom of every manufactured boat, serving as the vessel's primary identifier. The HIN was mandated by the Federal Boat Safety Act of 1971 and is regulated under 33 CFR Part 181. The number encodes the manufacturer's identification code, the hull serial number, the date of manufacture, and the model year. The HIN allows law enforcement to track stolen vessels, enables the USCG to issue safety recalls, and is used by state DNR agencies to maintain registration records. Buyers should always physically verify the HIN on the boat matches the number on the registration certificate and bill of sale before completing the purchase.
What should be included in a boat bill of sale?
A complete boat bill of sale should include the full legal names and addresses of the buyer and seller, the hull identification number (HIN), vessel manufacturer, model, year built, overall length, hull material, and primary color. It should also document all engine specifications including manufacturer, model, serial number, horsepower, and fuel type. The purchase price, payment method, and any financing terms must be stated. The document should include an as-is disclaimer or warranty terms, disclosure of known defects, lien and encumbrance disclosures, and the signatures of both parties with the date of sale. If a trailer is included, it requires separate documentation.
Can I sell a boat without a title?
Selling a boat without a title is possible but complicated and varies significantly by state. Some states do not issue titles for boats and rely solely on registration certificates, while others title boats similarly to motor vehicles. If your state requires a title and it has been lost, the seller should apply for a duplicate title before completing the sale. In states where boats are not titled, the registration certificate and a bill of sale are sufficient to transfer ownership. For USCG-documented vessels, the Certificate of Documentation serves as the proof of ownership and a title is not applicable. Buyers purchasing a boat without proper documentation should proceed cautiously and may need to obtain a bonded title or court order to establish clear ownership.
What is the difference between USCG documentation and state registration?
USCG documentation is a federal registration system administered by the National Vessel Documentation Center for vessels of five net tons or more that are used in coastwise trade, commercial fishing, or international navigation. It provides a federally recognized proof of nationality and ownership and is required for vessels engaged in certain commercial activities. State registration is administered by state DNR or wildlife agencies and applies to most recreational vessels. A USCG-documented vessel does not display state registration numbers but must still comply with state tax and safety equipment requirements. The key practical differences are that USCG documentation enables preferred ship mortgages, facilitates international travel, and provides a federal lien recording system.
Do I need a bill of sale for a boat trailer?
Yes, you need a separate bill of sale for a boat trailer because trailers are classified as motor vehicles in most states and are titled and registered through the DMV, not the DNR. Even when a boat and trailer are sold together as a package, the vessel transfer is processed through the state marine registration system while the trailer transfer is processed through the motor vehicle titling system. The trailer bill of sale should include the trailer's make, model, year, VIN, gross vehicle weight rating, and purchase price. Some states allow the boat and trailer to be listed on a single bill of sale form with separate sections, but the title transfer applications must be filed separately.
How do I transfer ownership of a boat?
To transfer ownership of a boat, the seller must sign over the registration certificate or title to the buyer and provide a completed bill of sale documenting the transaction. The buyer then submits these documents along with applicable fees to the state DNR or marine registration agency to obtain new registration in their name. For USCG-documented vessels, the transfer is processed through the National Vessel Documentation Center using a notarized bill of sale and form CG-1340. If a trailer is included, the buyer must also transfer the trailer title through the DMV as a separate transaction. Most states require the transfer to be completed within 15 to 30 days of the sale date to avoid late fees and penalties.

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