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A bill of sale may or may not be required for selling a car, depending on the state or country. It serves to protect both the seller and buyer by reducing fraud, settling disputes, and facilitating transactions, acting primarily as a receipt or proof of purchase without contractual significance. It's important to note that a bill of sale does not prove ownership; it only confirms payment for the vehicle. Key elements of a bill of sale typically include the transaction date, names and addresses of both parties, a description of the vehicle, and the VIN. Some states may require the bill of sale to be notarized or submitted to authorities.
