What are the obligations for someone that is driving a leased vehicle? That driver has agreed to pay for the vehicle over the time period that has been stated in the terms of the lease. Any leased vehicles must be returned to the leaser when the stated term has ended.
Expectations directed at the person holding the lease
Obtain car insurance; that insurance should cover the leased vehicle until the term ends, and the same vehicle gets returned to the leaser. Personal Injury Lawyer in St John’s makes sure that the level of coverage meets the requirements of the state laws, and the requirements given in the terms of the lease.
Normally, the required insurance needs to provide liability coverage, at the least. That should guarantee the payment of medical expenses, wage loss, property damage, and pain and suffering for the driver and occupants of any vehicle(s) with which the leased vehicle might collide.
When drivers happen to live in a no-fault state, then those same drivers must purchase PIP coverage (personal injury protection) as well. In some state comprehensive coverage has also been mandated.
The leaser cannot be held liable for damages that were caused by the lessee’s negligence.
The law has stated that the person that enjoys the ability to drive a car, truck, van or SUV, while paying less than the typical payment of someone that has purchased something from a dealer, must ensure that object of their enjoyment. Today, increasing number of car buyers choose to pay over time.
For that reason, there has been a greater interest among consumers in the savings that could be linked to leasing, as opposed to buying. When the number of consumers that had chosen to drive leased vehicles began to increase significantly, the government made clear that the lessees and not the leasers would be held liable for any damages.
Still, the government has no good way of enforcing that particular law. If someone were to convince a friend or relative that their monthly income could be increased by their readiness to purchase and lease a car to someone that stood willing to make monthly payments, the government could not enforce its policy.
Hence, if the lessee suffered some minor damages, then he or she might manage to twist the arm of the leaser, and thus get funds for covering the repairs for those minor damages. Once a lessee had succeeded with such a deception, what more might he or she try to do?
What could keep that same lessee from setting the terms of the lease agreement? Indeed, what could guarantee payment of the car’s sale price to the leaser, following the termination of that same agreement, and purchase of the car for sale?