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Car Rental Agreement Template

Prepared by

[Sender.FirstName]

[Sender.LastName]

Prepared for [Client.FirstName] [Client.LastName]

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This Car Rental Agreement is entered into between [Sender.FirstName][Sender.LastName] (“Owner”) and [Client.FirstName][Client.LastName] (“Renter”) (collectively the “Parties”) and outlines the respective rights and obligations of the Parties relating to the rental of a car.

1. Identification of rental vehicle

Owner hereby agrees to rent to Renter a passenger vehicle identified as follows:

⚙️ Make
? Model
? VIN
? Year
? Color

(hereinafter referred to as “Rental Vehicle”).

2. Rental term

The term of this Car Rental Agreement runs from the date and hour of vehicle pickup as indicated just above the signature line at the bottom of this agreement until the return of the vehicle to Owner, and completion of all terms of this agreement by both Parties. The estimated rental term is as follows:

⏱ Estimated start date:

⏱ Estimated end date:

The Parties may shorten or extend the estimate term of rental by mutual consent.

3. Scope of use

Renter will use the Rented Vehicle only for personal or routine business use, and operate the Rented Vehicle only on properly maintained roads and parking lots. Renter will comply with all applicable laws relating to holding licensure to operate the vehicle, and pertaining to operation of motor vehicles. Renter will not sublease the Rental Vehicle or use it as a vehicle for hire. Renter will not take the vehicle location limit.

Renter will not allow any other person to operate the Rented Vehicle unless identified here:

Primary vehicle operator:	DL #
Additional vehicle operator:	DL #
Additional vehicle operator:	DL #

4. Mileage

Mileage of the Rental Vehicle is mileage at the time of commencement of this Car Rental Agreement. Mileage on the vehicle will be limited [Mileage.Limitations]. Any mileage on the vehicle in excess of this limitation will be subject to an excess mileage surcharge of [Excess.Mileage.Fee] per mile.

5. Rental fees

Renter will pay to Owner rental fees for use of the Rental Vehicle as follows:

? Base fee:

⛽️ Fuel:

Excess mileage fees as set forth in Paragraph 4, above.

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6. Security deposit

Renter will be required to provide a security deposit to Owner in the amount of [Security.Deposit] dollars (“Security Deposit”) to be used in the event of loss or damage to the Rental Vehicle during the term of this agreement. Owner may, in lieu of collection of a security deposit, place a hold on a credit card in the same amount. In the event of damage to the Rental Vehicle, Owner will apply this Security Deposit to defray the costs of necessary repairs or replacement. If the cost for repair or replacement of damage to the Rental Vehicle exceeds the amount of the Security Deposit, Renter will be responsible for payment to the Owner of the balance of this cost.

7. Insurance

Renter must provide to Owner with proof of insurance that would cover damage to the Rental Vehicle at the time this Car Rental Agreement is signed, as well as personal injury to the Renter, passengers in the Rented Vehicle, and other persons or property. If the Rental Vehicle is damaged or destroyed while it is in the possession of Renter, Renter agrees to pay any required insurance deductible and also assign all rights to collect insurance proceeds to Owner.

8. Indemnification

Renter agrees to indemnify, defend, and hold harmless the Owner for any loss, damage, or legal actions against Owner as a result of Renter’s operation or use of the Rented Vehicle during the term of this Car Rental Agreement. This includes any attorney fees necessarily incurred for these purposes. Renter will also pay for any parking tickets, moving violations, or other citations received while in possession of the Rented Vehicle.

9. Representations and warranties

Owner represents and warrants that to Owner’s knowledge, the Rental Vehicle is in good condition and is safe for ordinary operation of the vehicle.

Renter represents and warrants that Renter is legally entitled to operate a motor vehicle under the laws of this jurisdiction and will not operate it in violation of any laws, or in any negligent or illegal manner.

Renter has been given an opportunity to examine the Rental Vehicle in advance of taking possession of it, and upon such inspection, is not aware of any damage existing on the vehicle other than that notated by separate Existing Damage document.

10. Jurisdiction and venue

In the event of any dispute over this agreement, this Car Rental Agreement will be interpreted by the laws of [Sender.Country], and any lawsuit or arbitration must be brought in the corresponding region of [Sender.Country]. If any portion of this agreement is found to be unenforceable by a court of competent jurisdiction, the remainder of the agreement would still have full force and effect.

11. Entire agreement

This Car Rental Agreement constitutes the entire agreement between the Parties with respect to this rental arrangement. No modification to this agreement can be made unless in writing signed by both Parties. Any notice required to be given to the other party will be made to the contact information below.

Date and time of vehicle pickup:

MM / DD / YYYY

Signature

MM / DD / YYYY

Signature

[Sender.FirstName][Sender.LastName]

[Client.FirstName][Client.LastName]

Useful resources

Car Rental Agreement FAQ

A vehicle rental agreement is a legal document made between the owner of the vehicle and the person renting the vehicle. It typically lays down conditions about the rental period, mileage, payment, fuel, condition of the vehicle, etc.

Each rental agreement needs to have a few critical details, such as the name of the parties, rental term, the scope of use, fee, mileage, insurance, indemnification, etc. There are many templates available online that you can borrow from for comparison.

A conditional sale contract is the one wherein the buyer takes possession of the purchase, but the title of the purchase remains with the person who sold the product. The title and right of the product are handed over to the buyer when they pay off the product’s full value.