Loaner Agreement Terms & Conditions - Woodlyn Ophthalmic: Fill & Download for Free

Are you 100% positive you did not sign ANY papers? Even some kind of loaner agreement that has fine print? Did you give them ANY money, even a check to hold?If the car is a new car, you might have a problem if you signed any sort of agreement and gave money of any sort.If a used car, even with signed agreement and money paid, it should be easy to back out…easy as far as legalities and paperwork. Hard in terms of being pressured to keep it after all they did for you.

It depends. Did you sign an agreement or contract before being handed the keys to the loaner car? If the loaner agreement/contract says that the person borrowing the car (you) is responsible for all damage to the car and to third parties, then it falls upon you or your insurance company. If you have physical damage coverage on your own car, the policy will also cover the temporary substitute vehicle. Your policy will also cover you for liability while driving the loaner.If there was no agreement/contract the question is murky. This is a bailment situation. (The term bailment refers to the transfer of personal property to another person for safekeeping, or for the other person to control or use temporarily.)The duty owed depends upon the nature of the bailment. If the bailment was for the bailor’s benefit, the duty owed is less—to merely avoid recklessness or gross negligence. If it was unilaterally for the bailee’s benefit, the bailee owes a higher standard of care and might have an absolute duty to return the vehicle in the same condition in which it was received.One could argue that this was a bailment for mutual benefit in that the loaner was provided as incentive to have your own vehicle worked on in the shop. The bailee’s duty is one of reasonable care. A bailee’s failure to take reasonable care of the property may result in the bailee’s liability for any damages that might be incurred due to his negligence. For example, if a sudden hail storm smashes the windshield through no negligence on the bailee’s part, he would not owe for the glass replacement.

Repeat after me: cars are not investments.Whether you pay cash, have a car payment, lease, or say screw it, I’ll just use Uber… there is a cost over time. Storage/parking, maintenance/repairs, fuel/electricity, wear items….Eventually it all turns into either $/mile or $/time. Never ends. Even if you paid cash and “own it forever”(maybe particularly in that case as you have the unrecognized opportunity cost of “what else could you have done with the cash”).There’s also the “convenience fee”. What am I talking about? Well if you purchase an inexpensive car, “because inexpensive”, and it has repair issues, in addition to cost-to-repair you also have cost-for-alternative-transportation and cost-of-my-time-to-deal-with-this maybe including other ancillary costs like “she broke up with me because car” and “lost job because car”.Leases vary. If you don’t like the terms of the lease, negotiate. It’s a financial agreement, not a black/white thing. The big issue is mileage - if you drive a lot… you’ll need to have that accommodated in the agreement.It also helps to understand why leases are so popular. Sure you can pay less for more car, but the real winner is the dealer - they record the transaction as a sale, get paid for that, get paid for originating the lease, have a car coming back in three years that’s guaranteed to meet their “certified pre-owned” specs, and you’ll probably take another lease from them. Rinse and repeat baby!So the rational thing to do is take a time horizon. And figure out what you’re willing to pay over that horizon to (a) have transportation, (b) enjoy it (if you have any of that on board), and (c) not have to stress about it. If you’re self employed or work in a field where there is driving involved there are also potential tax implications you need to consult a professional over to ensure you’re not making decisions that leave money on the table.If your thoughts align around “new(er) car, zero hassles, change every less-than-three years” then leasing could be a great option. It’s not a “payment” it’s a combination of costs, fixed over time (with the right maintenance-and-loaner-car-included lease).If your thoughts line up around “but I want *this* car and can’t see wanting to change that”… not do much.My personal rubric involves a great deal of (b) and as a result a significant portion of my auto budget comes from the “entertainment” bucket vs the “transportation” bucket. Your mileage may vary.