Legal Question in Insurance Law in New York

Rental Car Agreements

I was involved in a fender-bender with a rental car on the 34th day of my rental, caused by an icy hill--I slid into a parked car. The rental agency submits that anything over 30 days is considered a "lease", and so rental laws don't apply. My insurance company has agreed with this position & since I don't carry collision coverage on my own car, they will not cover the damage to the rental car. The rental agency is now harrassing me for payment of the $1,500 repair, even though their own damage report only indicated a "scratched bumper". (The insurance company never sent an adjuster to look at the car.) They did not notify me prior to getting the repairs done, and so I was not able to obtain my own quote for the repairs. Am I liable for this unverified amount of damages to the rental car? And since I paid for each rental term separately, doesn't that imply a new rental agreement? Thank you for your reply.


Asked on 4/25/00, 10:17 pm

1 Answer from Attorneys
Robert R. Groezinger GroezingerLaw P.C.

Re: Rental Car Agreements

Generally, any term of use in excess of 30 days is considered a rental. How long was your rental agreement for?

Approval is generally required for the repair shop to do the work--did you sign anything giving them the "ok" to do the work--or did you say "ok" over the telephone?

The cost, while it appears high, may be reasonable. Even so, perhaps you paid for the car rental with a credit card and it has collision-type rental coverage on it.

Unfortunately, your predicament is very fact-dependant.

The above information is provided only as a guide as there are very many unsupplied facts.

Good Luck.

RRG

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Answered on 6/08/00, 10:21 am


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