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Car ownership transfer not completed


28-Jul-2025 (In Motor Accident Law)
Hello, I have sold my car to my relative person but the RC transfer has not been completed. We both parties want to make a binding agreement which says that the new party is legally responsible in case of any mishap regarding the Car. Regards,
Answers (5)

Answer #1
933 votes
this cannot be done. you have to transfer the ownership if you want to be free of the liability. otherwise it will not matter whom you sell the car to. if the transfer is not done and if any accident happens, you will be liable as the owner of the vehicle.
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Answer #2
964 votes
कार बेचने के बाद जब तक RC ट्रांसफर नहीं होता, पुराने मालिक पर ही कानूनी जिम्मेदारी बनी रहती है, खासकर दुर्घटना या चालान की स्थिति में। ✔ आप एक लिखित एग्रीमेंट बना सकते हैं जिसमें यह स्पष्ट हो कि RC ट्रांसफर तक नई जिम्मेदारियाँ किसकी होंगी (जैसे: बीमा, दुर्घटना, रखरखाव आदि)। ✔ लेकिन यह एग्रीमेंट कानूनी रूप से RC ट्रांसफर का विकल्प नहीं है। ✔ जोखिम से बचने के लिए RC ट्रांसफर जल्द से जल्द कराना जरूरी है। ✔ वकील से सलाह लेकर एग्रीमेंट तैयार करवाएं। Until the RC (Registration Certificate) is officially transferred, the original owner remains legally responsible for the vehicle — especially in case of accidents, challans, or insurance claims. ✔ A written agreement can be made to clarify responsibilities (insurance, maintenance, liability) during the interim period. ✔ However, such an agreement cannot replace the legal need for RC transfer. ✔ To avoid legal risks, ensure RC transfer is completed promptly. ✔ It’s advisable to consult a lawyer to draft a proper agreement.
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Answer #3
948 votes
Even though you have sold the car and handed over possession, until the RC (Registration Certificate) is officially transferred in the RTO records, you will remain the legal owner in the eyes of law and can be held liable in case of any accident or offence involving the vehicle. A private agreement between you and the buyer, even if notarised, will not override the liability under the Motor Vehicles Act or other laws. It is strongly advised that you insist on completing the RC transfer at the earliest. Until then, you may draft an indemnity agreement stating that the buyer shall be solely responsible for any mishap, accident, or legal liability involving the vehicle, but please note that such an agreement is only enforceable between both parties and does not bind third parties or the government.
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Answer #4
694 votes
I’m Advocate Sumit Yadav. To help you effectively and guide you towards the right legal remedies, I’d appreciate more information about your case. Please share the relevant details as soon as possible. I look forward to hearing from you soon.
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Answer #5
938 votes
Since the RC is still in your name, you remain legally liable for any accidents or issues involving the car until the RC transfer is completed. However, you can sign a legally binding indemnity agreement with your relative. This agreement will state that from the date of sale, your relative is fully responsible for any mishap or legal issue related to the car and will compensate you if any liability arises in your name. Ideally, we should also complete the RC transfer at the earliest to avoid complications.
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