Al Manara Rd. 1, Warehouse #3, Al Quoz Industrial Area 1, Dubai, UAE

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Al Manara Rd. 1, Warehouse #3, Al Quoz Industrial Area 1, Dubai, UAE

How We Can Describe a Car Rental Agreement?

April 25, 2021

A car rental agreement is a legal document that must be completed and signed when ordering a car rental. It is a contract between the customer and the rental company or rental agent. This agreement is binding on both parties.

Usually, the rental agreement contains conditions that must be adhered to during the rental period. Different car rental companies have different conditions that apply during the rental period.

Together with the rental contract, you are responsible for the car during this period. Therefore, make sure you read and understand the contract thoroughly before signing it.


Car Rental Agreement
  • Mileage and fuel gauge limits

Mileage limits are usually set by the car rental company.  Some car rental companies offer unlimited mileage for their vehicles. For others, the mileage specified in the contract cannot be exceeded. In the latter case, you will have to pay additional fees for the extra mileage.

In most cases, the car rental contract includes a fuel policy and a fuel meter. Often the rental car has a full tank of fuel and you will have to refill it before returning it. This is known as a ‘full to full’ policy.

You should check the fuel gauge to ensure that the fuel level is as agreed.

  • Condition of the vehicle

 The condition of the rented vehicle will be clearly stated in the car rental contract. The vehicle is expected to be rented in a flawless working order.

At the end of the rental period, the car hire company will inspect the vehicle to ensure that it is returned in the same technical condition.  Any adverse changes will result in the payment of compensation.

Sometimes existing damage to the car is recorded on a separate document called an inspection form.

Inspect the car to make sure that all existing damage has been replaced before returning the car. If the damage has not been replaced, contact your car rental company immediately.

  • Lease term

The rental contract clearly states the duration of the car rental.  For example, many car rental companies require the customer to pick up and return the car at a certain time. If they do not comply, they will have to pay additional fees.

Most car rental companies have a 30-minute grace period for returning the car, after which you will be charged for an extra day.

  • Car rental details

The car rental contract contains all the details and specifications about the car you are renting. These details include the vehicle type, model, color, registration number and vehicle category.

  • Commitment

This includes a letter of commitment in which the hirer undertakes to take care of the vehicle during the rental period.

The renter also agrees to be responsible for any damage that occurs during the rental period.

  • Terms and conditions of the rental contract

In the car rental contract, the rental company also specifies its terms and conditions. This depends on the preference of the rental company or the general guidelines of the regulatory body.

For example, some car rental companies require that a certain mileage is not exceeded, while others offer unlimited mileage.

  • Payment

Also includes the basic rent and any additional charges. Usually the landlord will block a certain amount as a deposit on your credit card.


Car Rental Agreement

The Lessee undertakes to lease to the Lessee a vehicle identified as follows:

Make: [MAKE]

Model: [MODEL] Year: [YARN] VIN: [VIN

Year: [YARN] VIN: [VIN


Color: [COLOUR]


The term of this Vehicle Rental Agreement shall commence on the date and time of pick-up of the vehicle, as indicated directly above the signature line at the bottom of this agreement, and shall end when the vehicle is returned to the lessor and both parties comply with all terms and conditions of this agreement. The estimated rental period is as follows:

Estimated start date: [START DATE].

Estimated end date: [END DATE].

The parties may shorten or extend the estimated lease term by mutual agreement.


  • Paper form

A paper form is a common method of data entry. You can create paper forms for car rental contracts. A paper form does not depend on variables such as erratic power supply or poor internet connection. Once printed, it can be completed at any time.

However, it is more difficult to process, especially with large amounts of data. Paper forms can be easily damaged as they are susceptible to exposure to elements such as fire and water. Maximum data security cannot be guaranteed with paper forms. Data privacy can easily be breached.

It is also more expensive to create paper forms. You will expend a lot of money printing paper forms. This money can be applied to other aspects of your rental business.

  • Online Form

The online form is the best method of collecting data. Online forms help to capture and process thousands of pieces of data in a very short time.

An online form is a more convenient and efficient means of collecting data. Data collection platforms such as Form plus help you to create a customized car rental contract form for your business.

It is easier to track and analyze the data collected through online forms. In addition, online forms are more convenient as they can be completed anytime, anywhere.

In addition, your data is stored in a secure database, so you don’t have to worry about losing information.

However, you cannot complete an online form without a device with access to the Internet. This limits you a little.


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Al Manara Rd. 1, Warehouse #3, Al Quoz Industrial Area 1, Dubai, UAE

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