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Conditional Sale Agreement

Free conditional sale agreement template — the seller retains ownership of goods until the buyer completes all payments.

This free conditional sale agreement covers 1. Goods Sold, 2. Payment Terms, 3. Retention of Title, 4. Risk of Loss, 5. Default with 9 clearly marked [placeholder] fields to fill in — built for founders, freelancers, and small business owners formalizing a business decision or agreement without paying a lawyer to draft it from scratch. Copy it into your own word processor, fill in the placeholders, and review it — or adapt it — before use. It's part of docstoc's free document template library, alongside business, legal, real estate, finance, and HR templates. Every template here is free to copy with no signup required, and each one carries a plain disclaimer: this is a starting point for informational purposes, not a substitute for advice from a licensed professional in your jurisdiction.

Template — click to edit

Conditional Sale Agreement

Seller: [Name] · Buyer: [Name] · Date: [Date]

1. Goods Sold

Seller agrees to sell to Buyer the following goods: [Description], for a total price of [Amount].

2. Payment Terms

Buyer will pay the total price in [Number] installments of [Amount], due [Schedule], beginning [Date].

3. Retention of Title

Title to the goods remains with Seller and does NOT pass to Buyer until all payments under this Agreement have been made in full. Buyer may use and possess the goods during the payment period.

4. Risk of Loss

Notwithstanding Seller's retention of title, risk of loss or damage to the goods passes to Buyer upon delivery.

5. Default

If Buyer fails to make a payment when due, Seller may, after [Notice Period] written notice, repossess the goods and retain payments already made as [liquidated damages / rental for use, per applicable law].

6. Buyer's Restrictions

Until full payment is made, Buyer will not sell, encumber, or remove the goods from [Location] without Seller's written consent.


Seller: ______________________ Date: ____________ Buyer: ______________________ Date: ____________

*This document is provided for informational and educational purposes only and does not constitute legal advice. Conditional sale agreements are treated as secured transactions under the UCC in most US states — a seller who wants their retained title to be enforceable against the buyer's other creditors typically needs to file a UCC-1 financing statement, not just rely on this contract language alone.*

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What's included

Who this template is for

Freelancers & solo founders

Handling routine business paperwork without commissioning custom legal drafting for every document.

Small businesses

Standardizing recurring documents — leases, agreements, notices — across a growing operation.

Anyone reviewing before signing

Using a clear starting structure to understand what a document should cover, even if a lawyer finalizes it.

Early-stage businesses

Getting the basics documented before things get more complex.

FAQ

Is this conditional sale agreement template really free?

Yes, completely free — view, edit, and download this conditional sale agreement as a PDF without creating an account.

What does this conditional sale agreement cover?

This business template includes 1. Goods Sold, 2. Payment Terms, 3. Retention of Title, 4. Risk of Loss. Fill in the [bracketed] placeholders, edit any clause online, then download a PDF — the docstoc.io footer stays on every export.

Is this legal advice?

No. This is a general-purpose starting structure, not advice for your specific situation. Business agreements can hinge on details — state of formation, industry-specific regulation, how a dispute would actually play out — that a template can't account for. Have a business attorney review anything that involves real money or real risk before you rely on it.

Can I edit the wording?

Yes — edit directly on the page, adjust any section or clause, and re-fill the 9 placeholder fields to match your situation before downloading a PDF. It's a starting structure, not a rigid script.

Where can I find more free templates like this?

Browse more free business and related document templates in the docstoc library at /document-templates/.

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