As an A4DD Business Builder, you get a sample vehicle lease agreement.  It is based in part on text supplied by an association vendor for illustration purposes only.

The Association discourages companies from leasing or renting vehicles to independent delivery drivers.  This is especially true if the entity doing the leasing is the same entity that contracts with the drivers for delivery services.  Or an entity with shared ownership.  Leasing vehicles to drivers may be used against you in court if you are accused of misclassifying drivers as independent contractors instead of employees.

If you must lease vehicles, pay attention to these guidelines from legal and insurance professionals:

• pricing terms should be reasonably in line with market rates
• charge drivers a flat rate (daily/weekly/monthly) so they can show a profit or loss — don’t just pay a lower commission.
• don’t try to exert much control over how drivers use (or don’t use) the vehicle
• don’t require drivers to maintain a delivery contract with you, but you can get creative with cancellation provisions (see sample)

The Association does not offer legal advice nor do we recommend this lease language for any particular jurisdiction.  We encourage you to customize terms to suit your needs and consult with qualified legal counsel about using this or any model contract.  If you can’t avoid leasing vehicles to independent delivery drivers, we hope this sample helps you get started faster and more affordably versus starting from scratch.

You must be an A4DD Business Builder to access the sample vehicle lease.

Use the Contact Us form if you have any questions.