Bill of sale title transfer

A California Bill of Sale (Form REG 135) and a Notice of Transfer and Release of Liability (Form REG 138 / NRL) are two critical documents used when buying or selling a vehicle privately in California. While often used together, they serve distinctly different legal and legal-protection purposes.

1. California Vehicle Bill of Sale (Form REG 135)

A Bill of Sale is a contract that acts as receipt and proof of purchase, establishing the transfer of ownership from the seller to the buyer.

* Purpose: It establishes proof of purchase and documents the purchase price for tax calculation by the DMV. It is especially critical if the vehicle title is missing, damaged, or out of space for signatures.

* Key Details Included:

* Seller and buyer full names, addresses, and signatures.

* Vehicle details (VIN, make, model, year, and license plate number).

* Date of sale and final sale price.

* Odometer reading at time of transfer.

* Who Keeps It: Both the buyer and seller should sign and keep a copy for their personal record keeping.

2. Notice of Transfer and Release of Liability (NRL / Form REG 138)

The Notice of Transfer and Release of Liability is a mandatory notification submitted by the seller directly to the California DMV.

* Purpose: It protects the seller by notifying the DMV that they no longer possess or own the vehicle. Filing this relieves the seller of civil liability for any parking tickets, toll violations, traffic infractions, or accidents involving the vehicle after the sale date.

* Deadline: California law requires the seller to submit this form within 5 calendar days of selling or transferring the vehicle.

* Key Details Included:

* License plate number and last 5 digits of the VIN.

* Buyer’s full name and current address.

* Date of transfer and odometer reading.

* How to Submit: It can be submitted online via the California DMV website for instant processing or mailed using Form REG 138.

Key Differences Summary

| Feature | Bill of Sale (REG 135) | Notice of Transfer & Release of Liability (REG 138) |

| :--- | :--- | :--- |

| Primary Goal | Documents purchase price & ownership proof. | Releases seller from traffic, toll, or civil liability. |

| Submitted To | DMV (by buyer during registration) or kept for records. | DMV directly (submitted by seller). |

| Deadline | Completed at time of sale. | Within 5 calendar days of sale. |

| Responsible Party | Signed by both buyer and seller. | Prepared and filed by the seller. |