"Equipment Rental Agreement Template"

What Is an Equipment Rental Agreement?

An Equipment Rental Agreement is a legal document signed by two parties, individuals or companies, to establish the details of the rental of equipment owned by one party to another. This contract is used when a tangible property is rented out and is irreplaceable as proof in the event of a dispute.

Alternate Name:

  • Equipment Rental Contract.

If you need an Equipment Rental Agreement template, you may download one below or compose a more personalized document using our online form builder.

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What Does an Equipment Rental Agreement Look Like?

First of all, you must clearly outline the equipment that is subject to a lease. The renter promises to rent the equipment described in the document to the rentee who utilizes this equipment for a specific amount of time in exchange for monetary compensation. A simple Equipment Rental Agreement must include the payment terms, the chosen method of payment, security deposit, the duration of the rental period, location of the transaction, expected dates of delivery and returns, fees for late returns, and the insurance information.

Fully establish the equitable relationship between the renter and the rentee - decide who bears responsibility for repairs and maintenance, and think about the potential disputes and disagreements that may occur in the future. You may add the option to renew the agreement - the rentee will be able to renew the contract for a similar term.

Both parties confirm the understanding of the Equipment Rental Agreement terms and conditions. The papers are signed by both parties. It is possible to obtain a notary seal or sign the document in the presence of one or several witnesses.

Difference Between Equipment Rental and Lease

An Equipment Rental Agreement should not be confused with an Equipment Lease Agreement. The lease period for equipment is usually longer to cover the renting of equipment for twelve months and more. Rental Agreements allow the lessor to raise the amount of rent quickly, and it is allowed to renegotiate the terms of the agreement monthly which can be beneficial to lessees who are not interested in long-term rent or are simply not sure of the specific equipment.

Nevertheless, an Equipment Lease Contract has its advantages - the lessor receives a guaranteed income in the form of lease payments, the lessee knows a fixed rental amount, thus, the parties are provided with a sense of stability.


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Equipment Rental Agreement
This ​ E quipment Rental 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 “Owner”)
and _______________________, with a mailing address of _____________________
____________________________________ (hereinafter referred to as the “Renter”),
collectively referred to as the “Parties,” both of whom agree to be bound by this
Agreement.
1. Equipment Being Rented. The Owner agrees to rent the following equipment to
the Renter:
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
hereinafter referred to as the “Equipment”.
2. Rental Amount. The amount of the Equipment Rental is $____________________
per ______________________________.
P eriod
3. Rental Duration. This Agreement will begin on __________________ and remain
in full force and effect until the Equipment is returned to the Owner. It is agreed that
the Renter will return the Equipment on __________________ unless the Agreement
is terminated earlier.
4. Damage or Loss​ . As permitted given the extent of the law, the Renter will be
responsible for risk of theft, damage, loss, or destruction of the Equipment from any
and every cause. If while in the Renter's possession the Equipment becomes damaged,
the Renter agrees to pay for any and all costs of repair, up to the current value of the
Equipment. If while in the Renter's possession, the Equipment becomes lost, the
Renter agrees to pay the Owner its current value.
5. Late Return. If the Equipment is returned to the Owner after the date and time that
the rental period ends, the Renter agrees to pay the Owner a charge of
$____________________ per day for each day beyond the end of the rental period,
until the Equipment is returned. The Owner is also allowed to subtract these charges
from the security deposit (if applicable).
Equipment Rental Agreement
This ​ E quipment Rental 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 “Owner”)
and _______________________, with a mailing address of _____________________
____________________________________ (hereinafter referred to as the “Renter”),
collectively referred to as the “Parties,” both of whom agree to be bound by this
Agreement.
1. Equipment Being Rented. The Owner agrees to rent the following equipment to
the Renter:
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
hereinafter referred to as the “Equipment”.
2. Rental Amount. The amount of the Equipment Rental is $____________________
per ______________________________.
P eriod
3. Rental Duration. This Agreement will begin on __________________ and remain
in full force and effect until the Equipment is returned to the Owner. It is agreed that
the Renter will return the Equipment on __________________ unless the Agreement
is terminated earlier.
4. Damage or Loss​ . As permitted given the extent of the law, the Renter will be
responsible for risk of theft, damage, loss, or destruction of the Equipment from any
and every cause. If while in the Renter's possession the Equipment becomes damaged,
the Renter agrees to pay for any and all costs of repair, up to the current value of the
Equipment. If while in the Renter's possession, the Equipment becomes lost, the
Renter agrees to pay the Owner its current value.
5. Late Return. If the Equipment is returned to the Owner after the date and time that
the rental period ends, the Renter agrees to pay the Owner a charge of
$____________________ per day for each day beyond the end of the rental period,
until the Equipment is returned. The Owner is also allowed to subtract these charges
from the security deposit (if applicable).
6. Security Deposit. In addition to the fees listed in Section 2 (Rental Amount) and
Section
5
(Late
Return),
the
Renter
agrees
to
pay
a
deposit
of
$____________________ at the time this Agreement is signed. The Owner may use
this deposit to cover any amounts due under this Agreement.
7. Insurance. No Insurance coverage is required for the Equipment under this
Agreement.
8. Equipment Care. It is agreed that the Equipment must only be used in a proper and
careful manner consistent with the Owner's instructions and/or as the Equipment was
originally designed.
9. Legal Fees. ​ I n 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.
10. ​ L egal 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.
11. Governing Law and Jurisdiction. ​ T he Parties agree that this Agreement shall be
governed by ____________________ law​ .
S tate
12. 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:
OWNER
RENTER
Name: ​ _ _____________________
Name: ​ _ _____________________
Signed: ​ _ ____________________
Signed: ​ _ ____________________
Date: _______________________
Date: _______________________
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