Understanding the Legal Requirements for Selling an Unroadworthy Car

If you’ve got an old car sitting in your driveway that no longer runs or fails safety checks, you might be wondering whether you can legally sell it. In Australia, particularly in states like Queensland and Victoria, there are clear legal steps you need to follow when selling a vehicle that is considered unroadworthy. Selling without following these requirements could result in fines or disputes. This article will help you understand what counts as “unroadworthy,” what your responsibilities are, and how to complete the process without trouble.

What Does It Mean for a Car to Be Unroadworthy?

An unroadworthy car is one that doesn’t meet the legal standards required for it to be driven safely on public roads. This might include issues like bald tyres, faulty brakes, broken seatbelts, rust in structural areas, or problems with the ABS (Anti-lock Braking System). Every state has its own checklist for assessing vehicle roadworthiness. In Queensland, for example, the Department of Transport and Main Roads has strict criteria a car must meet to be considered safe.

If your car fails these requirements, it cannot legally be registered or driven until repaired and re-inspected.

Can You Sell an Unroadworthy Car in Australia?

Yes, it is legal to sell an unroadworthy car in Australia, but only under specific conditions. The most important part is disclosure. You must clearly inform the buyer, in writing, that the vehicle is not roadworthy and is being sold “as is.” In most cases, especially in Queensland, the car must not be driven until it is repaired and receives a new safety certificate. You’ll also need to remove the number plates and submit a transfer of ownership form. This ensures that the buyer becomes legally responsible for the vehicle.

What Happens If You Don’t Follow the Law?

Selling an unroadworthy car without proper disclosure or documentation can result in serious consequences. You may be fined, and worse, held liable if the vehicle is involved in an accident or causes damage. That’s why written agreements are essential. These should state that the car is unroadworthy and not to be used on public roads until certified. Taking these steps protects both you and the buyer and keeps the transaction legally sound.

When Is a Roadworthy Certificate Required?

In most Australian states, a roadworthy certificate is required when selling a registered vehicle. However, when selling an unregistered or unroadworthy vehicle, the seller can legally avoid this step by clearly stating the car’s condition in the agreement. Keep in mind that some buyers may request a certificate regardless, especially if they plan to register and drive the vehicle soon. It’s always a good idea to clarify expectations early in the conversation.

Selling to Car Removal Companies

If the process sounds overwhelming, you're not alone. Many people turn to car removal services to simplify the sale. These companies specialise in buying cars in all conditions including unroadworthy ones and take care of the paperwork for you. A service like Best Cash for Cars Melbourne offers free towing, immediate payment, and ensures that your car is removed and deregistered according to local regulations. They understand how to handle vehicles that don’t meet safety standards and make the process fast and stress-free.

What to Include in a Sales Agreement

A written agreement is one of the most important parts of a legal private sale. It should include the vehicle’s make, model, VIN, current condition, and a note that it is being sold without a roadworthy certificate. This protects both parties and helps prevent legal issues later. You should also include the buyer’s signature, the sale price, and a statement that the car is not safe for road use unless repaired and re-certified.

What Happens to Unroadworthy Cars After Sale?

Once an unroadworthy vehicle is sold, buyers typically have two options repair it or scrap it. Some may choose to restore the car and obtain a roadworthy certificate, especially if it holds personal or resale value. Others might strip it for parts or sell it to a scrapyard. Either way, the car must be transported, not driven, until legally cleared for the road. It's important to note that any on-road use before certification could result in fines or legal consequences.

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Common Myths About Selling Unroadworthy Vehicles

One common myth is that unroadworthy cars can’t be sold at all. This is false selling is allowed as long as the condition is disclosed. Another misunderstanding is that you must always provide a safety certificate. In fact, if the car is unregistered or being sold for parts, a certificate is not legally required. A third myth is that only dealers can buy such vehicles, but many private buyers and recyclers are willing to take them—especially if priced appropriately.

Final Thoughts

Selling an unroadworthy car is entirely possible as long as you follow the rules. The key is honesty, proper documentation, and understanding what’s required in your state. If managing the process on your own feels too complex, using a trusted service like Best Cash for Cars ensures that you’re staying within the law while saving time and effort. With the right approach, you can legally pass on your unwanted vehicle and make the most out of a situation that might otherwise feel stressful.

Written by: Matt Lewis Automotive Expert at Best Cash For Cars Melbourne

Call Us: 0422 009 009

Location: 14 Drovers Pl, Pakenham VIC 3810, Australia