Car Rental Agreement Template
This owner-friendly car rental agreement is for a private individual who is renting out their own car to another individual for a set period. It is written for personal use, with both parties described as individuals with identity and driving license details, and at each step the terms protect the owner and the vehicle.
It suits lending your car to a friend, neighbour or acquaintance for a fee, for example for a trip or while their own car is being repaired. It is not designed for a professional rental business running a fleet, and if you are the renter you would want lower liability for damage and a share of the owner's insurance, so a more balanced version would serve you better.
Rental of the Vehicle and Description of the Vehicle records the car, its condition and its equipment, while Rental Fee and Payment Terms and Security Deposit set the rate and the deposit held against damage and charges. Mileage Allowance and Excess Mileage Charges applies a daily limit with a fee for every extra mile, and Fuel Policy and Refueling Charges requires the car back with a full tank. Insurance Obligations of the Renter makes the renter arrange their own cover, and Liability for Loss and Damage holds the renter fully liable for any damage that insurance does not pay. Traffic Violations, Fines, Tolls and Penalties, Return of the Vehicle and Late Return, and Indemnification and Limitation of Owner's Liability complete the owner's protections.
Fill in the placeholders such as [Owner Full Legal Name], [Renter Full Legal Name], the vehicle details, the rental rate, the deposit and the mileage limit. Distances are expressed in miles, so switch to kilometres if that suits you, and note that the governing law is deliberately left blank; check local rules on insuring a privately owned car that someone else drives.
You can edit the agreement online in DraftLex, regenerate any section and download it as a Word file. This template is general information and not legal advice.
CAR RENTAL AGREEMENT
This Car Rental Agreement (the "Agreement") is made and entered into as of [Effective Date] (the "Effective Date"), at [City/Place of Signing].
BETWEEN:
[Owner Full Legal Name], an individual born on [Date of Birth], holding identification document no. [ID/Passport Number], residing at [Owner Address], e-mail [Owner E-mail], telephone [Owner Telephone] (hereinafter the "Owner");
AND:
[Renter Full Legal Name], an individual born on [Date of Birth], holding identification document no. [ID/Passport Number] and driver's license no. [Driver's License Number] issued by [Issuing Authority] and valid until [Expiry Date], residing at [Renter Address], e-mail [Renter E-mail], telephone [Renter Telephone] (hereinafter the "Renter").
The Owner and the Renter are hereinafter referred to individually as a "Party" and collectively as the "Parties".
WHEREAS, the Owner is the lawful owner of a privately owned passenger motor vehicle which the Owner uses for personal purposes and does not make available to the public as a business;
WHEREAS, the Renter wishes to rent such vehicle from the Owner for the Renter's temporary personal use, and the Owner is willing to rent it on the terms of this Agreement;
NOW, THEREFORE, in consideration of the mutual covenants set out herein, the Parties agree as set forth below.
Definitions and Interpretation
"Agreement" means this Car Rental Agreement, including any written amendments signed by both Parties.
"Authorized Driver" means the Renter and any additional individual expressly named in this Agreement or approved by the Owner in writing before driving, who holds a valid driver's license for the category of the Vehicle and satisfies the requirements of this Agreement.
"Daily Mileage Allowance" means the maximum number of miles per Rental Day, stated in this Agreement, that the Renter may drive the Vehicle without incurring an Excess Mileage Charge.
"Delivery Condition Report" means the written or photographic record, signed or acknowledged by both Parties at delivery, describing the condition, odometer reading, fuel level and accessories of the Vehicle.
"Excess Mileage Charge" means the fee per mile payable by the Renter for each mile driven in excess of the aggregate Daily Mileage Allowance for the Rental Term.
"Insurance Policy" means the comprehensive motor vehicle insurance coverage, including mandatory third-party liability coverage, that the Renter is required to obtain and maintain at the Renter's own cost under this Agreement.
"Rental Fee" means the amount payable by the Renter to the Owner for the use of the Vehicle, as set out in this Agreement, exclusive of any other charges, costs, fines or damages payable hereunder.
"Rental Day" means each period of 24 consecutive hours, or part thereof, commencing at the time of delivery of the Vehicle to the Renter.
"Rental Term" means the period beginning at the time of delivery of the Vehicle to the Renter and ending upon the return of the Vehicle to, and its acceptance by, the Owner in accordance with this Agreement.
"Security Deposit" means the sum of money paid by the Renter to the Owner as security for the performance of the Renter's obligations under this Agreement.
"Vehicle" means the motor vehicle described in this Agreement, together with its keys, tires, tools, documents, accessories, equipment and any replacement parts installed during the Rental Term.
In this Agreement, headings are for convenience only and do not affect interpretation; words in the singular include the plural and vice versa; "including" means "including without limitation"; references to "written" or "in writing" include e-mail and electronic messages sent to the contact details stated in this Agreement; and references to sections are to sections of this Agreement.
This Agreement constitutes the entire agreement between the Parties regarding its subject matter and supersedes all prior discussions and understandings. No amendment shall be effective unless made in writing and signed or expressly confirmed in writing by both Parties.
Rental of the Vehicle and Description of the Vehicle
The Owner hereby rents to the Renter, and the Renter hereby rents from the Owner, the Vehicle for the Rental Term and on the terms and conditions of this Agreement. The Vehicle is rented solely for the Renter's personal use.
The Vehicle is described as follows: make [Make]; model [Model]; year of manufacture [Year]; color [Color]; registration number [License Plate Number]; vehicle identification number [VIN]; fuel type [Fuel Type]; transmission [Transmission Type]; odometer reading at delivery [Odometer Reading] miles.
The Owner represents that the Owner is the lawful owner of the Vehicle or is otherwise entitled to rent it, and that the Vehicle is, at delivery, registered and roadworthy. Save as expressly stated in this Agreement, all warranties and conditions, express or implied, including fitness for a particular purpose, are excluded to the fullest extent permitted by law.
Title to the Vehicle remains at all times with the Owner. Nothing in this Agreement transfers ownership, or grants the Renter any option to purchase, or any lien, security interest or other right in the Vehicle. The Renter shall not sell, pledge, lease, sublease, lend or otherwise encumber or dispose of the Vehicle or any part of it.
The Renter acknowledges having inspected the Vehicle, or having had the opportunity to do so, and accepts it as being in good order and condition except as noted in the Delivery Condition Report. The Delivery Condition Report shall be prima facie evidence of the condition of the Vehicle at delivery.
The Owner shall deliver with the Vehicle the registration documents, proof of insurance details required to be carried, and the following accessories: [List of Accessories, e.g., spare tire, jack, warning triangle, child seat]. The Renter shall keep all such items in the Vehicle and return them with the Vehicle.
This is a rental agreement for a personal vehicle between private individuals. The Owner is not acting as a professional car rental company, and the Renter acknowledges that the Vehicle is made available as a courtesy on the terms stated herein.
Rental Term, Delivery and Collection
The Rental Term shall commence on [Start Date] at [Start Time] and, unless earlier terminated or extended under this Agreement, shall end on [End Date] at [End Time] (the "Scheduled Return Time"), being a total of [Number] Rental Days.
The Vehicle shall be delivered to the Renter at [Delivery Location]. Delivery shall occur upon the Renter's presentation of a valid driver's license and identification document, payment of the Rental Fee and Security Deposit due at delivery, and presentation of evidence of the Insurance Policy in accordance with this Agreement.
At delivery, the Parties shall jointly inspect the Vehicle and complete the Delivery Condition Report, recording the odometer reading, fuel level and any existing damage. The Owner may take dated photographs or video of the Vehicle, which the Renter agrees may be used as evidence.
The Owner may refuse or delay delivery, without liability to the Renter, if the Renter fails to satisfy any condition for delivery, appears to be impaired by alcohol, drugs or fatigue, or if the Owner reasonably believes that delivery would breach this Agreement. In such case the Owner may cancel this Agreement and retain any non-refundable amounts paid under the cancellation terms below.
The Vehicle shall be returned to the Owner at [Return Location] at or before the Scheduled Return Time. The Owner may, at the Owner's sole discretion, agree to collect the Vehicle from another location, in which case the Renter shall pay a collection fee of [Collection Fee Amount] plus the Owner's reasonable costs.
The Renter may request an extension of the Rental Term in writing not less than [Number] hours before the Scheduled Return Time. An extension shall be effective only upon the Owner's written confirmation, and shall be charged at the rate stated in this Agreement. The Owner has no obligation to grant any extension.
If the Renter cancels this Agreement before delivery, the Renter shall give written notice to the Owner. If notice is given fewer than [Number] hours before the start of the Rental Term, the Owner may retain [Cancellation Fee Amount or Percentage] of the Rental Fee as a cancellation charge. The Owner may cancel before delivery for reasons beyond the Owner's reasonable control, including mechanical failure, in which case the Owner shall refund amounts prepaid and shall have no further liability.
Rental Fee and Payment Terms
The Renter shall pay the Owner a Rental Fee of [Daily Rate] per Rental Day, being a total Rental Fee of [Total Rental Fee] for the initial Rental Term. All amounts under this Agreement are stated in [Currency].
The Rental Fee for the initial Rental Term shall be paid in full in advance, on or before delivery of the Vehicle, by [Payment Method, e.g., bank transfer/cash]. The Owner is not obliged to deliver the Vehicle until cleared funds have been received.
Any extension of the Rental Term shall be charged at [Extension Daily Rate] per Rental Day, payable in advance of the extension or, where the extension arises through late return, upon demand.
The Rental Fee is non-refundable in the event of early return of the Vehicle by the Renter, or termination by the Owner pursuant to the default provisions of this Agreement, unless the Owner agrees otherwise in writing.
All sums payable by the Renter under this Agreement are payable without set-off, counterclaim, deduction or withholding. The Renter shall bear all bank charges, transfer fees and currency conversion costs relating to payments made by the Renter, and any taxes applicable to the rental payable by the Renter.
Any amount not paid when due shall bear interest at the rate of [Interest Rate] per annum from the due date until payment in full, without prejudice to any other right or remedy of the Owner. The Owner may apply any amounts received first to costs, then to interest, then to the oldest outstanding debt.
The Owner may deduct from the Security Deposit any amount owed by the Renter under this Agreement, but such deduction does not limit the Renter's liability for any shortfall, which the Renter shall pay within [Number] days of written demand.
Security Deposit
On or before delivery of the Vehicle, the Renter shall pay the Owner a Security Deposit of [Security Deposit Amount] by [Payment Method]. Delivery is conditional upon receipt of the Security Deposit in full.
The Security Deposit is held as security for the performance of all of the Renter's obligations under this Agreement, including payment of the Excess Mileage Charge, refueling charges, cleaning costs, fines, tolls, repair costs, loss or damage to the Vehicle, and any other sums due. The Security Deposit is not a limit on the Renter's liability and shall not be treated as a prepayment of the Rental Fee.
The Owner may, but is not obliged to, hold the Security Deposit in a separate account. No interest shall accrue on the Security Deposit in favor of the Renter.
Following the return of the Vehicle and inspection, the Owner shall refund the Security Deposit, less any lawful deductions, within [Number] days after the return of the Vehicle, provided that the Renter has complied with this Agreement.
Where the amount of loss, damage, fines or other charges cannot be determined at the time of return, the Owner may retain from the Security Deposit a reasonable amount, as estimated by the Owner in good faith, until the actual amount is determined, and shall account to the Renter for the balance, if any, within [Number] days after such determination.
If the Security Deposit is insufficient to cover the amounts due, the Renter shall pay the shortfall to the Owner within [Number] days of written demand, accompanied by reasonable supporting documentation such as invoices, estimates or notices.
The Renter irrevocably authorizes the Owner to apply the Security Deposit against any sums owed hereunder without prior notice. Any refund shall be made by the same method as the original payment or as otherwise agreed in writing.
Mileage Allowance and Excess Mileage Charges
The Renter shall be entitled to drive the Vehicle up to [Daily Mileage Allowance] miles per Rental Day. The aggregate allowance for the Rental Term shall be the Daily Mileage Allowance multiplied by the number of Rental Days, including any extension (the "Aggregate Allowance").
The mileage shall be determined by comparing the odometer readings recorded in the Delivery Condition Report at delivery and in the return record upon return of the Vehicle. The Parties agree that the readings so recorded shall be conclusive, absent manifest error.
For each mile driven in excess of the Aggregate Allowance, the Renter shall pay the Owner an Excess Mileage Charge of [Excess Mileage Rate] per mile. The Aggregate Allowance applies across the entire Rental Term, and unused miles on any Rental Day may be carried forward to other Rental Days within the same Rental Term, but shall not give rise to any refund or credit.
The Excess Mileage Charge is payable upon return of the Vehicle. The Owner may deduct it from the Security Deposit in accordance with this Agreement.
The Renter shall not disconnect, tamper with, reset, replace or otherwise interfere with the odometer or any other mileage recording device. If the odometer is inoperative or has been tampered with during the Rental Term, the Owner may determine the mileage by reasonable estimation, including by reference to the Renter's declared itinerary, and the Renter shall pay the Excess Mileage Charge on that basis.
The Renter shall promptly notify the Owner if the odometer malfunctions. Mileage driven in connection with towing, or on the Owner's written instruction, shall not count against the Aggregate Allowance if recorded by the Parties in writing.
Fuel Policy and Refueling Charges
The Vehicle shall be delivered with the fuel level recorded in the Delivery Condition Report, being [Fuel Level at Delivery, e.g., full tank].
The Renter shall return the Vehicle with a full tank of fuel, being the same level as the full tank mark on the fuel gauge, and with the same type of fuel as specified for the Vehicle in this Agreement.
The Renter shall be responsible for the cost of all fuel consumed during the Rental Term. The Owner shall not be liable to reimburse the Renter for any fuel or fluids used or any other operational expenses.
If the Vehicle is returned with less than a full tank, the Owner may refuel the Vehicle and the Renter shall pay (i) the cost of the fuel required to fill the tank at prevailing local prices, and (ii) a refueling service fee of [Refueling Service Fee]. Any such amount may be deducted from the Security Deposit.
The Renter shall use only the type of fuel specified by the Owner, being [Fuel Type and Grade]. If the Renter fills the Vehicle with incorrect fuel, the Renter shall be liable for all costs of draining, flushing, towing, repair and any resulting loss of use, whether or not such costs are covered by the Insurance Policy.
No refund or credit shall be given for fuel remaining in the tank in excess of the level recorded at delivery.
The fuel level shall be determined by the Owner at the time of return by visual inspection of the fuel gauge, and the Owner's recorded reading and any supporting photograph shall be conclusive absent manifest error.
Authorized Drivers and Permitted Use
The Vehicle shall be driven only by the Renter and by any additional Authorized Driver named in this Agreement as follows: [Additional Authorized Driver Name, License Number]. Any further person may drive the Vehicle only with the Owner's prior written consent.
Each Authorized Driver shall (i) be at least [Minimum Age] years of age, (ii) hold a full and valid driver's license for the category of the Vehicle which has been held for at least [Number] years, and (iii) not be disqualified or suspended from driving. The Renter shall provide copies of the licenses of all Authorized Drivers upon request.
The Renter shall be fully responsible for the acts and omissions of every person driving or using the Vehicle, whether or not an Authorized Driver, with or without the Renter's permission, as if they were the Renter's own acts and omissions.
The Vehicle shall be used solely for the Renter's personal, social and domestic purposes, and shall be driven only on public paved roads in [Permitted Territory], in a careful and lawful manner and in accordance with all applicable traffic laws.
The Vehicle shall not be taken outside the Permitted Territory without the Owner's prior written consent, which may be withheld at the Owner's discretion or granted subject to additional conditions or charges.
The Renter shall take all reasonable precautions to protect the Vehicle from damage, loss and theft, including locking the Vehicle when unattended, removing the keys, closing all windows, activating any alarm or immobilizer, and not leaving valuables or documents inside. The Owner assumes no responsibility for personal belongings left in the Vehicle.
The Renter shall keep the Vehicle reasonably clean, shall check oil, coolant, tire pressure and other fluid levels at reasonable intervals, and shall observe all instructions of the Owner and the Vehicle's manual and warning indicators.
Prohibited Uses and Restrictions
The Renter shall not, and shall not permit any person to, use the Vehicle: (i) for hire or reward, including taxi, ride-sharing, delivery or courier services, or for any commercial purpose; (ii) for carrying passengers in excess of the number of seats or load in excess of the permitted weight; or (iii) for towing any vehicle or trailer.
The Vehicle shall not be driven by any person under the influence of alcohol, narcotics, medication or any substance impairing driving ability, or while the driver is excessively fatigued, or in violation of any legal limit.
The Vehicle shall not be used in any race, rally, speed test, competition, driving instruction or training, or for any off-road driving or on unpaved or unsuitable surfaces.
The Vehicle shall not be used for any unlawful purpose, including the carrying of illegal goods, drugs, weapons or contraband, or for any act that may result in its seizure, confiscation or impoundment.
The Renter shall not smoke or vape in the Vehicle, carry animals other than in suitable carriers, or transport any item likely to damage, stain or soil the interior of the Vehicle, or any flammable, explosive, hazardous or odorous materials.
The Renter shall not make any modification, alteration, addition or repair to the Vehicle, shall not install any accessory, sticker or advertising on it, and shall not remove or tamper with any tracking device, camera or other equipment installed by the Owner.
The Renter acknowledges that the Vehicle may be equipped with a GPS tracking device, and consents to its use by the Owner for the purposes of locating the Vehicle, monitoring compliance with this Agreement, and recovering the Vehicle in the event of theft or breach.
Any breach of this section constitutes a material breach of this Agreement, and the Renter shall be liable for all resulting loss and damage, notwithstanding that it may be excluded from coverage under the Insurance Policy.
Insurance Obligations of the Renter
The Renter shall, at the Renter's sole cost and expense, obtain and maintain throughout the Rental Term an Insurance Policy providing, at a minimum, comprehensive coverage (including collision, fire and theft) and third-party liability coverage with limits not less than [Minimum Coverage Limits] covering the Vehicle and all Authorized Drivers.
The Insurance Policy shall name the Owner as owner, and as loss payee in respect of any claim for damage to or loss of the Vehicle, to the extent such designation is available, and shall provide that it is primary with respect to any insurance maintained by the Owner.
The Insurance Policy shall (i) not include a deductible or excess greater than [Maximum Deductible Amount] unless the Renter bears the excess amount, and (ii) shall be valid for the territory of use and the type of use permitted under this Agreement.
Prior to delivery, the Renter shall provide to the Owner a copy of the Insurance Policy and certificate or other evidence of coverage. The Owner shall not be obliged to deliver the Vehicle until such evidence has been provided and verified by the Owner.
The Renter shall comply with all terms and conditions of the Insurance Policy and shall not do or omit anything that could invalidate the coverage. The Renter shall notify the Owner immediately of any cancellation, lapse, suspension or modification of the Insurance Policy.
The Renter shall bear all deductibles, excesses, exclusions, uninsured amounts, increases in premium and any loss in no-claims bonus of the Owner's own insurance arising from the Renter's use of the Vehicle. The Owner makes no representation that any insurance maintained by the Owner (if any) will respond to any claim arising during the Rental Term.
If the Renter fails to obtain or maintain the Insurance Policy, the Owner may, but is not obliged to, obtain coverage at the Renter's expense or terminate this Agreement and recover the Vehicle, and the Renter shall be liable as if the Vehicle were uninsured.
Maintenance, Breakdown and Repairs
The Renter shall, at the Renter's cost, ensure routine care of the Vehicle during the Rental Term, including checking and replenishing fuel, oil, coolant, washer fluid and tire pressure, and shall promptly stop driving when any warning light or sign of malfunction appears.
The Renter shall not carry out, or authorize any third party to carry out, any maintenance or repair of the Vehicle without the Owner's prior written consent, except for emergency measures strictly necessary to protect the Vehicle or the safety of persons.
In the event of a breakdown or mechanical failure not caused by the Renter's misuse, negligence or breach, the Renter shall immediately notify the Owner and follow the Owner's instructions. The Owner shall, at the Owner's discretion, arrange for repair or towing of the Vehicle, and the reasonable costs of any repair of a defect existing prior to the Rental Term shall be borne by the Owner.
The Renter shall bear all costs of repair, towing, recovery and replacement of parts arising from tire damage, punctures, loss of keys, locking of keys inside the Vehicle, wrong fuel, battery discharge caused by the Renter, and any breakdown caused by the Renter's misuse, negligence or breach of this Agreement.
The Owner shall have no obligation to provide a replacement vehicle in the event of any breakdown, repair, accident or unavailability of the Vehicle, and shall not be liable for any loss, inconvenience, expense or loss of use suffered by the Renter or any third party as a result.
If the Vehicle is unusable for reasons not attributable to the Renter, the Owner may, in its sole discretion, refund the Rental Fee proportionately for the unused Rental Days, which shall be the Renter's sole remedy.
The Renter shall allow the Owner access to the Vehicle at any reasonable time for inspection, maintenance and repair, and shall inform the Owner of its location upon request.
Accidents, Theft and Incident Reporting
In the event of any accident, collision, damage, fire, vandalism, theft, or other incident involving the Vehicle (an "Incident"), the Renter shall immediately stop, take all reasonable steps to ensure the safety of persons and prevent further damage, and notify emergency services where required or appropriate.
The Renter shall notify the Owner by telephone at [Owner Emergency Telephone] as soon as possible, and in any event within [Number] hours after the Incident, and shall confirm the notification in writing, giving full details of the date, time, place, circumstances, persons and vehicles involved, injuries, witnesses and any police report.
The Renter shall report every Incident involving theft, vandalism, injury, third-party property damage or suspected criminal activity to the police within [Number] hours, and shall obtain and provide to the Owner a copy of the police report or reference number.
The Renter shall not admit liability, make any settlement, offer or promise of payment, or negotiate with any third party or insurer in relation to an Incident without the Owner's prior written consent, other than to give the information required by law.
The Renter shall promptly notify the Renter's insurer, file a claim under the Insurance Policy, and fully cooperate with the Owner and the insurer in the investigation and settlement of the claim, including by providing accurate statements, documents, photographs and, if required, keys and the Vehicle itself.
In the event of theft, the Renter shall immediately deliver to the Owner all keys, documents and accessories in the Renter's possession. Failure to deliver all keys, or to provide a satisfactory explanation for the theft, shall be presumed to be negligence by the Renter.
The Renter shall remain liable for the Rental Fee and other amounts due until the Vehicle is returned to the Owner or, in the event of total loss or theft, until the Owner has been compensated in accordance with this Agreement.
Liability for Loss and Damage
The Renter shall be responsible for the Vehicle from the time of delivery until the Owner has accepted its return in accordance with this Agreement, and bears the risk of loss, theft and damage to the Vehicle throughout such period.
The Renter shall be fully liable to the Owner for all loss of or damage to the Vehicle, including its tires, glass, undercarriage, interior, accessories, keys and documents, occurring during the Rental Term, howsoever caused, except to the extent that such loss or damage is actually paid or compensated to the Owner under the Insurance Policy or by a third party.
Without limiting the foregoing, the Renter's liability shall extend to all amounts not covered by insurance, including any deductible or excess, any amount refused by the insurer due to exclusions, breach of policy conditions or the Renter's conduct, and any amount exceeding the policy limits.
In the event of damage, the Renter shall pay the reasonable cost of repair as evidenced by an invoice or estimate from a qualified repairer chosen by the Owner, together with a reasonable amount for diminution in value of the Vehicle, if any, towing and storage costs, administrative costs, and loss of rental income or loss of use for the period reasonably required for repair, calculated at the Daily Rate.
In the event of theft or total loss, the Renter shall pay the Owner the market value of the Vehicle immediately before the loss, as determined by reference to [Valuation Method, e.g., independent valuation or recognized price guide], less any amounts actually received by the Owner under the Insurance Policy, together with associated costs.
Normal wear and tear resulting from ordinary and proper use shall not constitute damage for which the Renter is liable. The question of whether any condition constitutes normal wear and tear shall be determined by comparison with the Delivery Condition Report.
The Renter shall pay all amounts under this section within [Number] days of the Owner's written demand. The Owner shall provide reasonable supporting documentation, and shall credit the Renter with any insurance recovery received in respect of the same loss.
The Owner may pursue recovery directly against the Renter, without first claiming against any insurer, and the Owner is under no obligation to claim under any insurance policy of the Owner.
Traffic Violations, Fines, Tolls and Penalties
The Renter shall be solely responsible for all traffic and parking violations, fines, penalties, tolls, congestion or road charges, impoundment and towing fees and other charges or sanctions incurred in connection with the Vehicle during the Rental Term, whether notified during or after the Rental Term.
The Renter shall pay all tolls and charges promptly when due, and shall not use any toll device or transponder belonging to the Owner except as expressly allowed in writing, in which case the Renter shall reimburse the Owner for all charges incurred.
If any authority or third party issues a notice, fine or claim to the Owner in respect of the Rental Term, the Owner may (i) pay the amount and recover it from the Renter together with an administrative fee of [Administrative Fee Amount], or (ii) disclose the Renter's name, address and driver's license details to the issuing authority, and the Renter consents to such disclosure.
The Renter shall pay to the Owner any amount demanded under this section within [Number] days of written demand, and the Owner may deduct such amount from the Security Deposit. This obligation shall survive the expiry or termination of this Agreement.
The Renter shall, upon the Owner's request, promptly complete any form or provide any information required by an authority to identify the driver, and shall bear all costs incurred by the Owner in connection with contesting or processing any such fine or charge.
The Renter shall be liable for any consequences arising from the Renter's violation of traffic laws, including seizure or confiscation of the Vehicle, and shall compensate the Owner for any loss of use, costs of recovery and release of the Vehicle.
Return of the Vehicle and Late Return
The Renter shall return the Vehicle to the Owner at the Return Location and at or before the Scheduled Return Time, in the same condition as at delivery, subject to normal wear and tear, with all keys, documents, accessories and equipment, in a reasonably clean condition and with a full tank of fuel.
Upon return, the Parties shall jointly inspect the Vehicle and record the odometer reading, fuel level and any damage. Return shall be deemed completed only upon the Owner's acceptance following inspection. If the Renter is not present at the inspection, the Owner's inspection and records shall be binding on the Renter, absent manifest error.
If the Vehicle is returned outside the Owner's availability hours or in the absence of the Owner, the Renter shall remain responsible for the Vehicle until the Owner has had a reasonable opportunity to inspect it, and the Owner shall be entitled to record damage discovered within [Number] hours after the return.
If the Vehicle is returned in a condition requiring excessive cleaning, including removal of stains, odors, smoke, sand, pet hair or waste, the Renter shall pay a cleaning fee of [Cleaning Fee Amount] or the actual costs of cleaning, whichever is greater.
If the Renter fails to return the Vehicle by the Scheduled Return Time, without the Owner's written consent, the Renter shall pay (i) a late return fee of [Late Fee Amount] for each hour or part thereof of delay for the first [Number] hours, and (ii) thereafter, for each further Rental Day or part thereof, [Late Daily Rate], being [Percentage]% of the Daily Rate.
If the Vehicle is not returned within [Number] hours after the Scheduled Return Time, the Owner may treat the Vehicle as unlawfully withheld, report it to the police as missing or stolen, repossess it at the Renter's cost, and enter any premises where it is reasonably believed to be located, to the extent permitted by law.
Late payment of the charges under this section shall not constitute an extension of the Rental Term nor a waiver of any right of the Owner. The Renter shall remain liable for all loss caused by the late return, including the Owner's costs of alternative transportation and any compensation payable to third parties.
Indemnification and Limitation of Owner's Liability
To the fullest extent permitted by law, the Renter shall indemnify, defend and hold harmless the Owner from and against all claims, demands, actions, losses, liabilities, damages, fines, costs and expenses (including reasonable legal fees) arising out of or in connection with the possession, use or operation of the Vehicle during the Rental Term, or any breach of this Agreement by the Renter or any Authorized Driver or other user.
The indemnity in this section extends to claims by third parties, including passengers, other road users and property owners, for death, personal injury or damage to property, and shall survive the termination of this Agreement.
To the fullest extent permitted by law, the Owner shall not be liable to the Renter or any Authorized Driver or passenger for any loss, damage, injury or expense arising from the use of the Vehicle, including any indirect, incidental, special or consequential loss, loss of profit, loss of time, loss of use, or loss of personal belongings, whether arising in contract, tort or otherwise.
Without limiting the foregoing, the Owner shall not be liable for any defect in the Vehicle not known to the Owner at delivery, for any mechanical failure or breakdown, or for any delay or failure of the Owner to perform which results from circumstances beyond the Owner's reasonable control.
Where, notwithstanding the above, the Owner is found liable to the Renter, the Owner's aggregate liability under or in connection with this Agreement shall not exceed the Rental Fee actually paid by the Renter for the Rental Term.
Nothing in this Agreement excludes or limits any liability that cannot be excluded or limited by law, including liability for death or personal injury caused by the Owner's gross negligence or intentional misconduct.
The Renter acknowledges that the Renter uses the Vehicle at the Renter's own risk, and that the Renter is responsible for assessing the Vehicle's suitability for the Renter's intended journey and for the safety of all passengers.
Default and Termination
Each of the following shall constitute an event of default by the Renter (each an "Event of Default"): (i) failure to pay any amount when due; (ii) breach of any provision of this Agreement, including the provisions on permitted use, Authorized Drivers and insurance; (iii) provision of false or misleading information; (iv) failure to return the Vehicle at the Scheduled Return Time; (v) abandonment of the Vehicle; and (vi) the Renter's insolvency or inability to pay debts as they fall due.
Upon the occurrence of an Event of Default, the Owner may, by notice to the Renter and without prejudice to any other remedy, terminate this Agreement with immediate effect, require immediate return of the Vehicle, and repossess the Vehicle, at the Renter's expense, wherever it may be located, to the extent permitted by law.
Where an Event of Default is capable of remedy, the Owner may, at its discretion, allow the Renter [Number] hours to remedy it, but is not obliged to do so. Any such allowance shall not constitute a waiver.
Upon termination for an Event of Default, the Renter shall not be entitled to any refund of the Rental Fee, and all amounts owing by the Renter shall become immediately due and payable, including the cost of recovery of the Vehicle and the Owner's reasonable legal fees and expenses.
The Owner may terminate this Agreement at any time on written notice if the Vehicle becomes subject to a recall, safety defect, legal seizure or other circumstance that, in the Owner's reasonable opinion, makes continued rental inadvisable, in which case the Owner shall refund the Rental Fee for the unused period as the Renter's sole remedy.
The Renter may terminate this Agreement before the end of the Rental Term by returning the Vehicle to the Owner in accordance with this Agreement, but shall not be entitled to any refund of the Rental Fee, except as the Owner may agree in writing.
Termination or expiry of this Agreement shall not affect any accrued rights or liabilities, nor any provision intended to survive, including the provisions on payment, liability, indemnification, fines and dispute resolution.
Governing Law and Dispute Resolution
This Agreement, and any non-contractual obligations arising out of or in connection with it, shall be governed by and construed in accordance with the laws of [Governing Law Jurisdiction].
The Parties shall first attempt in good faith to resolve any dispute arising out of or in connection with this Agreement, including any question regarding its existence, validity or termination (a "Dispute"), by amicable negotiation. Either Party may initiate negotiations by written notice describing the Dispute.
If the Dispute is not resolved within [Number] days after the notice of Dispute, either Party may submit the Dispute to mediation in [Mediation Location] before a mediator mutually agreed by the Parties, with costs shared equally.
If the Dispute is not resolved by mediation within [Number] days of the commencement of mediation, the Dispute shall be finally resolved by the competent courts of [Jurisdiction/Court Location], to whose exclusive jurisdiction the Parties irrevocably submit, provided that the Owner may seek urgent injunctive relief, or recovery of the Vehicle, in any court of competent jurisdiction.
The prevailing Party in any legal proceedings shall be entitled to recover its reasonable costs and legal fees from the other Party, as determined by the court.
All notices under this Agreement shall be in writing and delivered by hand, registered post or e-mail to the address of the receiving Party stated at the beginning of this Agreement, or any other address notified in writing. Notices shall be deemed received upon delivery if by hand, [Number] days after posting if by registered post, and on the next business day after transmission if by e-mail without notice of failed delivery.
If any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect, and the invalid provision shall be replaced by a valid provision most closely reflecting the Parties' intent. No failure or delay in exercising any right shall operate as a waiver.
This Agreement may be executed in counterparts, including by electronic signature, each of which shall be deemed an original, and all of which together constitute one instrument.
The Parties have read and understood this Agreement, have had the opportunity to obtain independent legal advice, and have signed it on the date stated below, to take effect on the Effective Date.
OWNER
Name: [Owner Full Legal Name]
ID/Passport No.: [Owner ID Number]
Address: [Owner Address]
Telephone: [Owner Telephone]
E-mail: [Owner E-mail]
Signature: [Owner Signature]
Date: [Date of Signing]
RENTER
Name: [Renter Full Legal Name]
ID/Passport No.: [Renter ID Number]
Driver's License No.: [Renter Driver's License Number]
Address: [Renter Address]
Telephone: [Renter Telephone]
E-mail: [Renter E-mail]
Signature: [Renter Signature]
Date: [Date of Signing]
ADDITIONAL AUTHORIZED DRIVER (if any)
Name: [Additional Driver Full Name]
Driver's License No.: [Additional Driver License Number]
Signature: [Additional Driver Signature]
Date: [Date of Signing]