Tips on Buying Cars: selling leased car, state buyer, leasing company

Question
QUESTION: I have identified an out-of-state buyer from Washington for my car which is currently leased in CA. He is traveling to CA to purchase the car by paying the pay-off amount to the dealer in cash and wants to drive the car off the lot upon making the payment. However, the dealer says it will take 3 days or so to release the title. It will be released to me and then I will fed-ex it directly to him in WA. Can I complete a bill of sale and give it to him before I receive the title? How can I protect from liability until I transfer the title? By the way, the dealership (VW) is not willing to help in any way as far as I can tell, in case you were going to suggest something like that. Thanks for any advice!

ANSWER: I'm in New York, and you're in California, right?  Maybe leasing laws are different there, but I don't see how you can transfer ownership or even participate in the selling of a vehicle you don't own.  The leasing company owns it, and they're the only one that can transfer title.  Your main concern should be the release of any further financial obligation on your part once this other person takes delivery of the vehicle.  You should be concentrating on making sure you're no longer responsible for the lease terms, the condition of the car, and/or removing any insurance you're obligated for.  You can give him a bill of sale, but I don't see where it would mean anything.  If I were you, I'd discuss this with an attorney, and get their advice as how to best proceed, before I went any further with this deal.

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QUESTION: Thanks for your advice. I have already discussed with the lease company and am not concerned about financial obligations once the pay-off is met. The buyer is planning to take out an insurance policy on the car before taking delivery of it. Is this possible for him to do & more importantly would it release me of liability before the buyer takes possession of the title? We will also go to a notary and each sign a sale agreement and I am thinking perhaps a general release of liability.

Answer
Sounds like you're on the right track.  I'd want the buyer's insurance agent to send me a copy of the buyer's proof of insurance BEFORE the transaction takes place.  The notary is a very good idea (get copies of EVERYTHING), as well as the liability release.  Good luck.