Bill of Sale — Industrial Machinery / Equipment (Australia)
This Bill of Sale for Industrial Machinery / Equipment (the “Agreement”) is made and entered into on [Sale Date] by and between:
[Seller Name], [Seller Type], [Seller ABN/ACN], of [Seller Address], [Seller City], [Seller State] [Seller Postcode], Australia (the “Seller”); and
[Buyer Name], [Buyer Type], [Buyer ABN/ACN], of [Buyer Address], [Buyer City], [Buyer State] [Buyer Postcode], Australia (the “Buyer”).
The Seller wishes to sell the Plant (as defined below) to the Buyer, and the Buyer wishes to purchase the Plant from the Seller, on the terms and conditions set out in this Agreement.
IN CONSIDERATION of the payment of the Purchase Price by the Buyer to the Seller, and for other good and valuable consideration (the receipt and adequacy of which are hereby acknowledged), the parties agree as follows:
1. DESCRIPTION OF PLANT AND EQUIPMENT
1.1 The Seller agrees to sell and transfer to the Buyer, and the Buyer agrees to purchase from the Seller, the following machinery and equipment (the “Plant”):
Description: [Machinery Description]
Primary Serial / Chassis Number: [Serial Number]
Current Location of Plant: [Machinery Location]
1.2 The Plant is sold in the following condition: [Condition Of Machinery].
2. PURCHASE PRICE AND GST
2.1 The total purchase price for the Plant (including attachments and accessories, if any) is AUD $[Purchase Price] (the “Purchase Price”), which is [Gst Treatment].
2.2 Where the supply of the Plant is a taxable supply under the A New Tax System (Goods and Services Tax) Act 1999 (Cth) (GST Act) and the price is stated exclusive of GST, the Buyer must pay to the Seller an amount equal to 10% of the Purchase Price in addition, subject to receipt of a valid tax invoice from the Seller.
2.3 The Buyer shall pay the Purchase Price [Payment Method].
2.4 Time is of the essence with respect to all payments under this Agreement.
3. WORK HEALTH AND SAFETY COMPLIANCE
3.1 The parties acknowledge that the Plant constitutes “plant” within the meaning of the Work Health and Safety Act 2011 (Cth) and the applicable state or territory Work Health and Safety legislation in [Governing State] (WHS Legislation).
3.2 WHS Compliance Status: [Whs Compliance].
3.3 The Buyer acknowledges that it is responsible for conducting its own due diligence regarding the Plant’s compliance with all applicable WHS Legislation before placing the Plant into service. The Buyer must ensure that the Plant is registered with the relevant regulator (if applicable) before use.
3.4 The Buyer acknowledges that certain categories of plant (including cranes, pressure vessels, forklifts, and other items of powered mobile plant) may require registration with the relevant WHS regulator in [Governing State] before they can be lawfully used.
4. TRANSFER OF TITLE AND RISK
4.1 Subject to clause 6 (Retention of Title) if applicable, title to and ownership of the Plant shall pass from the Seller to the Buyer on the date of this Bill of Sale, upon receipt of the full Purchase Price by the Seller.
4.2 Risk of loss, damage, or destruction to the Plant passes to the Buyer at the same time as title passes under clause 5.1. From that time, the Buyer is responsible for insuring the Plant.
4.3 The Buyer is responsible for all costs of collection, transport, and delivery of the Plant from its current location at [Machinery Location].
5. SELLER’S WARRANTIES
5.1 The Seller warrants that:
- the Seller has full legal right and authority to sell the Plant;
- the Plant is free from any registered PPSR security interest (other than as disclosed in writing to the Buyer before execution of this Agreement);
- the serial number stated in clause 1 is the correct serial number of the Plant; and
- the Seller is not aware of any material defect in the Plant that has not been disclosed to the Buyer.
5.2 Nothing in this Agreement limits any statutory guarantee applicable to the Buyer under the Australian Consumer Law (Schedule 2 to the Competition and Consumer Act 2010 (Cth)) that cannot lawfully be excluded.
5.3 To the maximum extent permitted by law, and subject to clause 9.2, the Seller’s total liability under this Agreement is limited to the Purchase Price.
6. GENERAL PROVISIONS
6.1 Entire Agreement. This Agreement constitutes the entire agreement between the parties with respect to the sale of the Plant and supersedes all prior negotiations, representations, and agreements.
6.2 Amendments. This Agreement may only be varied by a written document signed by both parties.
6.3 Severability. If any provision of this Agreement is void or unenforceable, it shall be severed and the remaining provisions shall continue in full force.
6.4 Governing Law. This Agreement is governed by the laws of [Governing State], Australia, and applicable Commonwealth legislation including the PPSA, the GST Act, and the Work Health and Safety Act 2011 (Cth). The parties submit to the non-exclusive jurisdiction of the courts of [Governing State].
6.5 PPSR Search. The Buyer acknowledges that prior to entering into this Agreement it has had the opportunity to search the Personal Property Securities Register at ppsr.gov.au to confirm the Plant is free from any registered security interests.
EXECUTED as an agreement on the date first written above.
SELLER
Full name: [Seller Name]
Address: [Seller Address], [Seller City], [Seller State] [Seller Postcode]
[Seller ABN/ACN]
BUYER
Full name: [Buyer Name]
Address: [Buyer Address], [Buyer City], [Buyer State] [Buyer Postcode]
[Buyer ABN/ACN]
Seller
________________
Signature
Date: ________________
Buyer
________________
Signature
Date: ________________
What Is a Bill of Sale — Industrial Machinery / Equipment (Australia)?
A Bill of Sale — Industrial Machinery / Equipment in Australia transfers ownership of the goods from seller to buyer, records the price and any warranties, and provides the buyer with proof of title under the Australian Consumer Law (Competition and Consumer Act 2010, Schedule 2).
Industrial plant and machinery are significant capital assets for most businesses. Unlike standard consumer goods, high-value plant and equipment is subject to a range of legal obligations that go beyond the basic sale of goods framework. Australian WHS legislation imposes obligations on designers, manufacturers, importers, suppliers, and users of plant to confirm that it is safe. Certain categories of plant are required to be registered with the WHS regulator in the relevant state or territory before they can be used.
The legal framework governing machinery sales in Australia is shaped by several key legislative instruments. The Work Health and Safety Act 2011 (Cth) and its state and territory equivalents govern plant safety, registration, and compliance obligations. The Personal Property Securities Act 2009 (Cth) (PPSA) governs security interests in machinery and equipment. The Australian Consumer Law (ACL) applies mandatory statutory guarantees to sales of goods in trade or commerce. The A New Tax System (Goods and Services Tax) Act 1999 (Cth) determines whether and how GST of 10% applies to the sale.
The legal framework governing the Bill of Sale — Industrial Machinery / Equipment (Australia) in Australia draws on several key statutes and regulatory bodies. Under Australian law, the Privacy Act 1988 (Cth) and Australian Privacy Principles (APPs) govern personal data in this document. The Australian Consumer Law (Schedule 2, Competition and Consumer Act 2010) provides consumer guarantees under Sections 51-54. The Federal Circuit and Family Court of Australia has jurisdiction over family law matters under the Family Law Act 1975 (Cth). The Australian Financial Complaints Authority (AFCA) handles consumer financial disputes. State and territory Magistrates Courts handle small civil claims. Parties executing a Bill of Sale — Industrial Machinery / Equipment (Australia) in Australia should confirm the document reflects current law, including any amendments enacted since the original drafting date. The Australian Consumer Law (Competition and Consumer Act 2010, Schedule 2) sets the foundational requirements.
When Do You Need a Bill of Sale — Industrial Machinery / Equipment (Australia)?
An Australian Machinery and Equipment Bill of Sale is needed whenever industrial plant or equipment changes hands and the parties want a written record of the transaction and the transfer of title. A Bill of Sale for machinery is important in a wide range of commercial and industrial contexts:
Surplus equipment disposals. When a business sells surplus or no longer needed machinery — such as manufacturing equipment, construction plant, agricultural machinery, or food processing equipment — a Bill of Sale records the agreed terms and (where the seller is GST-registered) supports the issue of a tax invoice.
Business asset sales. When a business sells part of its assets (but not as a going concern), a Bill of Sale for each item of plant is essential for recording the transfer of title and for accounting and depreciation purposes.
Construction and mining plant. For high-value plant such as excavators, bulldozers, cranes, and drilling rigs, a Bill of Sale is essential for PPSR registration purposes and to document WHS compliance obligations.
Auction and liquidation sales. When plant is sold by auction or by a liquidator, the Bill of Sale provides a formal record of the transaction and the seller’s authority to sell.
Deferred payment or instalment sales. Where the buyer does not pay the full price at the time of delivery, a retention of title clause combined with PPSR registration protects the seller’s ownership interest until full payment is received.
Parties in Australia should prepare a Bill of Sale — Industrial Machinery / Equipment (Australia) proactively rather than waiting for a dispute to arise. Courts interpret agreements based on the written terms rather than oral representations. Under Australian law, the Privacy Act 1988 (Cth) and Australian Privacy Principles (APPs) govern personal data in this document. The Australian Consumer Law (Schedule 2, Competition and Consumer Act 2010) provides consumer guarantees under Sections 51-54. The Federal Circuit and Family Court of Australia has jurisdiction over family law matters under the Family Law Act 1975 (Cth). The Australian Financial Complaints Authority (AFCA) handles consumer financial disputes. State and territory Magistrates Courts handle small civil claims. Where the transaction involves regulated activities, prior approval from the relevant authority may be required before execution.
What to Include in Your Bill of Sale — Industrial Machinery / Equipment (Australia)
A well-drafted Australian Machinery and Equipment Bill of Sale should include the following key elements to be legally effective and protect both parties:
Detailed identification of the plant. The machinery should be described with sufficient precision to identify it uniquely. This includes the make, model, year of manufacture, serial number, model number, capacity or specifications, hours of use (for mobile plant), colour, quantity, and current location.
Purchase price and GST treatment. The price must be stated in Australian Dollars (AUD) and the GST treatment specified clearly. For commercial sales by GST-registered sellers, a tax invoice must be issued.
WHS plant compliance disclosure. The Bill of Sale should state whether the plant complies with applicable WHS legislation at the date of sale, or whether the buyer is purchasing on an as-is basis.
Hazardous materials disclosure. Where the plant contains or is associated with hazardous materials (such as asbestos insulation, hydraulic oil, refrigerants, or lead-based paint), this must be disclosed.
Manufacturer warranty transfer. If a transferable manufacturer’s warranty remains on the plant, the Bill of Sale should record the warranty details and the seller’s obligation to assist with the transfer.
Transfer of title, risk, and delivery. The Bill of Sale should specify when title and risk pass, and which party is responsible for collecting and transporting the plant.
Retention of title and PPSR registration. Where the buyer pays in instalments, a retention of title clause and PPSR registration protects the seller’s ownership interest until full payment is received.
Additional compliance elements for a Bill of Sale — Industrial Machinery / Equipment (Australia) used in Australia include: Under Australian law, the Privacy Act 1988 (Cth) and Australian Privacy Principles (APPs) govern personal data in this document. The Australian Consumer Law (Schedule 2, Competition and Consumer Act 2010) provides consumer guarantees under Sections 51-54. The Federal Circuit and Family Court of Australia has jurisdiction over family law matters under the Family Law Act 1975 (Cth). The Australian Financial Complaints Authority (AFCA) handles consumer financial disputes. State and territory Magistrates Courts handle small civil claims. Forms-legal.com provides this template as a starting point for Australia-compliant documentation.
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Reference this free template in an article, syllabus, or research note:
Forms Legal. (2026). Bill of Sale — Industrial Machinery / Equipment (Australia) (Australia) [Legal document template]. Forms Legal. https://forms-legal.com/australia/personal/bills-of-sale/bill-of-sale-machinery-equipment-australia
"Bill of Sale — Industrial Machinery / Equipment (Australia) (Australia)." Forms Legal, 2026, https://forms-legal.com/australia/personal/bills-of-sale/bill-of-sale-machinery-equipment-australia.
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year = {2026},
howpublished = {\url{https://forms-legal.com/australia/personal/bills-of-sale/bill-of-sale-machinery-equipment-australia}},
note = {Free legal document template. Based on Australian Consumer Law (Competition and Consumer Act 2010, Schedule 2)}
}Also available for these jurisdictions:
Frequently Asked Questions
When industrial machinery (referred to as ‘plant’ under Australian WHS legislation) changes hands, both the seller and buyer have obligations under the Work Health and Safety Act 2011 (Cth) and the corresponding WHS regulations in each state and territory. The designer, manufacturer, importer, and supplier of plant each have duties to ensure, so far as is reasonably practicable, that the plant is designed and manufactured to be safe and without risks to health and safety when used for its intended purpose. Sellers of used plant should require that it is in a safe condition at the time of sale and should disclose any known defects or safety hazards to the buyer. Certain categories of plant are required to be registered with the relevant WHS regulator before they can be used. Plant that requires registration includes boilers and pressure vessels, cranes and hoists above certain capacities, and certain types of amusement devices. The buyer is responsible for registering the plant (if required) and for ensuring it is safe to use before placing it into service.
The sale of machinery or equipment by a GST-registered seller in the course of its enterprise is generally a taxable supply under the A New Tax System (Goods and Services Tax) Act 1999 (Cth), and GST of 10% is payable by the buyer. The seller must issue a tax invoice showing the GST amount, which the buyer (if also GST-registered and using the plant in its business) may then use to claim an input tax credit (ITC). The sale price should clearly state whether it is inclusive or exclusive of GST. If the sale of plant forms part of the sale of a business as a going concern, the supply may be GST-free under section 38-325 of the GST Act if all the going concern conditions are met. Private individuals selling their own personally used machinery who are not GST-registered do not charge GST on the sale.
The Personal Property Securities Register (PPSR), maintained under the Personal Property Securities Act 2009 (Cth), is a national online register of security interests in personal property (which includes machinery, equipment, and other goods). A security interest is a right that a creditor holds over a debtor’s personal property as security for the payment of a debt or obligation. Common examples of security interests over machinery include chattel mortgages, equipment finance leases, and retention of title arrangements. Before purchasing second-hand machinery in Australia, the buyer should search the PPSR at ppsr.gov.au by the machine’s serial number to check whether there are any registered security interests. If a security interest is registered and the seller has not arranged for it to be discharged before the sale, the buyer may take the machinery subject to the security interest — meaning the lender could potentially repossess the machine even after it has been sold.
Under the Australian Consumer Law (ACL), which is Schedule 2 to the Competition and Consumer Act 2010 (Cth), it is unlawful to engage in misleading or deceptive conduct, make false or misleading representations about goods, or fail to disclose information where there is a duty to do so. Sellers of machinery must not misrepresent the condition of the equipment and should disclose all known material defects. Where machinery contains or is associated with hazardous materials — such as asbestos (common in older plant manufactured before the 1980s), hydraulic oil, refrigerants, or lead-based paint — the seller should disclose this clearly in the Bill of Sale. Under Australia law, Australian Consumer Law (Competition and Consumer Act 2010, Schedule 2), parties should seek independent legal advice from a qualified lawyer to confirm compliance with all applicable requirements. Under Australian law, the Privacy Act 1988 (Cth) and Australian Privacy Principles (APPs) govern personal data in this document. The Australian Consumer Law (Schedule 2, Competition and Consumer Act 2010) provides consumer guarantees under Sections 51-54. Forms-legal.com provides this template as a starting point for Australia-compliant documentation.
Whether a manufacturer’s warranty can be transferred when machinery is sold depends entirely on the terms of the warranty provided by the manufacturer. Some Australian manufacturers and distributors offer transferable warranties that can be assigned to a new owner upon the sale of the equipment, provided that the transfer is registered with the manufacturer within a specified period and any transfer fee is paid. Other warranties are personal to the original purchaser and are not transferable. The Bill of Sale should accurately record the warranty details and the seller’s obligation to assist the buyer in completing the transfer process. Under Australia law, Australian Consumer Law (Competition and Consumer Act 2010, Schedule 2), parties should seek independent legal advice from a qualified lawyer to confirm compliance with all applicable requirements. Under Australian law, the Privacy Act 1988 (Cth) and Australian Privacy Principles (APPs) govern personal data in this document. The Australian Consumer Law (Schedule 2, Competition and Consumer Act 2010) provides consumer guarantees under Sections 51-54. Forms-legal.com provides this template as a starting point for Australia-compliant documentation.
This template is provided for informational purposes only and does not constitute legal advice. Laws vary by jurisdiction and change over time. Consult a qualified attorney for advice specific to your situation.Full disclaimer
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