"Vehicle Lease Agreement Template"

What Is a Vehicle Lease Agreement?

A Vehicle Lease Agreement is a legal document that records the terms and conditions of a vehicle lease signed by a vehicle owner (the lessor) and a customer ( the lessee). The lessee must pay to use the vehicle temporarily, for a negotiated period of time. Any motor vehicle can be leased with this agreement, as long as it has a vehicle identification number and license plate.

Alternate Name:

  • Vehicle Lease Contract.

If you need to draft your own Vehicle Lease Agreement template, you may download one below or create a more personalized document using our online form builder.

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How Does a Vehicle Lease Agreement Work?

Vehicle Lease Agreements allow you to use the vehicle for a specified period of time in exchange for periodic money payments. With a lease you never own the vehicle - at the end of the contract period, you must return it to the lessor.

You have to describe the leased vehicle in full detail, state the full retail value of the vehicle, and the amount of the lease. Record the obligations of the parties and the possibility of inspections. Include the provision for late fees and early termination penalties. A properly drafted agreement will protect the interest of both parties - you will avoid miscommunications and misunderstandings, especially if you choose to sign the lease in the absence of a professional lawyer.

It is also possible to enter into a Vehicle Rental Agreement if you wish to sign an agreement for a certain period of time to use the vehicle. On the contrary, a lease is signed for the long term - twelve months and more, with an option to renew. Once you sign the lease, there is no change in the agreement for a fixed period of time, whereas in a rental agreement the owner of the vehicle can change the contract anytime. When the term of the lease is over, the lessee has the option to purchase the vehicle, and the Vehicle Rental Agreement does not offer such an opportunity.

What Happens at the End of the Vehicle Lease Term?

Once the lease is over, the lessee must return the vehicle to the lessor. The vehicle must be in good condition, without excessive interior wear, damage, and significant mechanical breakage, otherwise the lessee will have to pay for the repairs.

The lessor is allowed to offer the lessee to purchase the vehicle. If the lessee agrees to do it, the lease payments are included in the total purchase price. If you choose to end the lease before its term is up, you may be subject to early termination penalties, including having to pay the rest of the lease payments with additional fees and charges.


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Vehicle Lease Agreement
This Vehicle Lease Agreement (hereinafter referred to as the “Agreement”) is entered
into as of _________________ by and between ________________________, with a
mailing address of _____________________________________________________
_____________________________________ (hereinafter referred to as the “Lessor”)
and __________________________, with a mailing address of __________________
____________________________________ (hereinafter referred to as the “Lessee”),
collectively referred to as the “Parties,” both of whom agree to be bound by this
Agreement.
1. Vehicle Being Leased. The Lessor agrees to lease the following vehicle to the
Lessee:
_____________________
_____________________
_____________________
Make
Body
Year
_________________________________
_________________________________
Model
VIN
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
Additional information
hereinafter referred to as the “Vehicle”. The Lessor owns the Vehicle that is the subject
of this Lease.
2. Lease Amount. The amount of the Vehicle Lease is $____________________ per
______________________________.
Period
The Lease includes unlimited miles. The Lessee will not be required to pay any fees for
miles used.
3. Vehicle Cost Disclosure. The full retail value of the Vehicle as of ____________ is
$____________________.
4.
Down
Payment.
The
Lessee
will
provide
a
down
payment
of
$____________________, which will be deducted from the amount to be paid over the
term of the Lease.
5. Lease Duration. This Agreement will begin on _____________________ and
remain in full force and effect until the Vehicle is returned to the Lessor. It is agreed
Vehicle Lease Agreement
This Vehicle Lease Agreement (hereinafter referred to as the “Agreement”) is entered
into as of _________________ by and between ________________________, with a
mailing address of _____________________________________________________
_____________________________________ (hereinafter referred to as the “Lessor”)
and __________________________, with a mailing address of __________________
____________________________________ (hereinafter referred to as the “Lessee”),
collectively referred to as the “Parties,” both of whom agree to be bound by this
Agreement.
1. Vehicle Being Leased. The Lessor agrees to lease the following vehicle to the
Lessee:
_____________________
_____________________
_____________________
Make
Body
Year
_________________________________
_________________________________
Model
VIN
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
Additional information
hereinafter referred to as the “Vehicle”. The Lessor owns the Vehicle that is the subject
of this Lease.
2. Lease Amount. The amount of the Vehicle Lease is $____________________ per
______________________________.
Period
The Lease includes unlimited miles. The Lessee will not be required to pay any fees for
miles used.
3. Vehicle Cost Disclosure. The full retail value of the Vehicle as of ____________ is
$____________________.
4.
Down
Payment.
The
Lessee
will
provide
a
down
payment
of
$____________________, which will be deducted from the amount to be paid over the
term of the Lease.
5. Lease Duration. This Agreement will begin on _____________________ and
remain in full force and effect until the Vehicle is returned to the Lessor. It is agreed
that the Lessee will return the Vehicle on _____________________ unless the
Agreement is terminated earlier.
6. Damage or Loss. As permitted given the extent of the law, the Lessee will be
responsible for risk of theft, damage, loss, or destruction of the Vehicle from any and
every cause. If while in the Lessee's possession the Vehicle becomes damaged, the
Lessee agrees to pay for any and all costs of repair, up to the current value of the
Vehicle. If while in the Lessee's possession, the Vehicle becomes lost, the Lessee agrees
to pay the Lessor its current value.
7. Late Return. If the Vehicle is returned to the Lessor after the date and time that the
Lease period ends, the Lessee agrees to pay the Lessor a charge of
$____________________ per day for each day beyond the end of the lease period, until
the Vehicle is returned. The Lessor is also allowed to subtract these charges from the
security deposit (if applicable).
8. Security Deposit. In addition to the fees listed in the Lease Amount and Late Return,
The Lessee agrees to pay a deposit of $____________________ at the time this
Agreement is signed. The Lessor may use this deposit to cover any amounts due under
this Agreement.
9. Insurance. Insurance coverage is required for the Vehicle under this Agreement.
10. Vehicle Responsibility. The Lessee agrees that they will be the sole operator of the
Vehicle over the term of the Lease, unless otherwise agreed upon with the Lesser.
11. Vehicle Care. It is agreed that the Vehicle must only be used in a proper and careful
manner consistent with the Lessor's instructions and/or as the Vehicle was originally
designed.
12. Legal Fees. In the event of a dispute resulting in legal action, the successful party
will be entitled to its legal fees, including, but not limited to its attorneys’ fees,
collection fees and the like.
13. Legal and Binding Agreement. This Agreement is legal and binding between the
Parties as stated above. The Parties each represent that they have the authority to enter
into this Agreement.
14. Governing Law and Jurisdiction. The Parties agree that this Agreement shall be
governed
by
____________________
law.
State
15. Entire Agreement. The Parties acknowledge and agree that this Agreement
represents the entire agreement between the Parties. In the event that the Parties desire
to change, add, or otherwise modify any terms, they shall do so in writing to be signed
by both parties.
The Parties agree to the terms and conditions set forth above as demonstrated by their
signatures as follows:
LESSOR
LESSEE
Name: ______________________
Name: ______________________
Signed: _____________________
Signed: _____________________
Date: _______________________
Date: _______________________
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