If you`re in the business of loaning out cars, it`s important to have a loaner car agreement template that protects your interests. This agreement will outline the terms and conditions of the car loan, ensuring that both parties are clear on their responsibilities and expectations.
Here are some important things to include in your loaner car agreement template:
1. Identification of Parties Involved
The agreement should clearly identify the parties involved, including the loaner and the borrower, as well as their contact information.
2. Description of the Car
Make sure to include the make, model, year, and VIN number of the car being loaned, as well as any notable features or damage.
3. Duration of the Loan
Specify the length of the loan period, including the start and end dates, and any conditions for extending the loan.
4. Insurance Requirements
Specify that the borrower must have insurance coverage on the car during the loan period, and require proof of insurance before handing over the keys.
5. Restrictions on Use
Detail any restrictions on how the car can be used, such as limitations on mileage, prohibited activities, or required maintenance.
6. Terms of Return
Specify the date and time by which the borrower must return the car, as well as any penalties for late returns or failure to return the car.
7. Acknowledgement of Liability
Include a waiver of liability that acknowledges the borrower assumes responsibility for any damage or loss to the car during the loan period.
8. Jurisdiction and Governing Law
Specify the jurisdiction and governing law that will apply in the event of any disputes arising from the loan.
By using a loaner car agreement template, you can ensure that your car loan process is smooth, safe, and legally sound. Make sure to consult with a lawyer to ensure that your agreement meets all relevant legal requirements and protects your interests.
