Why Does My Boat Sales Contract Say ‘$1 and Other Valuable Consideration?’

I am in the process of selling a boat through a broker. The transaction is ready to close, and I am troubled by the bill of sale form that my broker has asked me to sign. The form is identified as Coast Guard form number CG-1340. The problem is that, under the “consideration received” section, my broker has inserted the phrase “one dollar and other valuable consideration.” In fact, we are selling the boat for $85,000. I am concerned that this is being done at the buyer’s request to help him to avoid the payment of sales or use tax on the purchase. I believe that this is illegal or unethical, or both, but the broker is now advising that if I refuse to sign the bill of sale, I could be in breach of the purchase contract. What can I do? The “one dollar and other valuable consideration” language is pre-printed on the Coast Guard Bill of Sale form, and it is neither illegal nor unethical. The Coast Guard Form CG-1340 (Bill of Sale) is used by the Coast Guard to record the transfer of ownership of a vessel. The purpose of the form is to provide evidence of the...