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Car Rental Agreement Template – California

Define rental dates, payment, mileage, insurance, and inspections with this Car Rental Agreement.

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Car Rental Agreement Template – California

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Car Rental Agreement Template


Car Rental Agreement ("Agreement")

Agreement Date: [MM/DD/YYYY]

Rental File ID: [Rental File ID]

This Agreement is entered into by and between:

Car Owner / Rental Company: [Full Name / Company Name]

Address: [Address]

Email: [Email Address]

Phone: [Phone Number]

and

Renter: [Full Name]

Driver’s License Number: [License Number]

License State/Country: [Jurisdiction]

Address: [Renter Address]

Phone: [Phone Number]

Together, the "Parties."


1. Rental Snapshot

Start Date and Time: [Start Date and Time]

End Date and Time: [End Date and Time]

Pickup Location: [Location]

Return Location: [Location / Same as pickup]


2. Authorized Driver(s)

Authorized Driver(s): [Renter and any additional drivers]

No unlisted drivers may operate the vehicle.


3. Vehicle Information

Make: [Make]

Model: [Model]

Year: [Year]

Color: [Color]

License Plate: [Number]

VIN: [VIN / N/A]

Odometer at Check-Out: [Mileage]

Fuel Level at Check-Out: [Fuel level]


4. Rental Fee and Payment

Total Rental Cost: $[Amount]

Security Deposit: $[Amount] [Refundable/Nonrefundable; terms]

Payment Method: [Bank transfer / Credit card / Cash / Other]

Late Return Fee: $[Amount] per [hour/day]

Authorized Charges: [Fuel; tolls; tickets; cleaning; damage; admin fees]


5. Mileage and Fuel Policy

Included Mileage: [Mileage per day / Total mileage]

Extra Mileage Charge: $[Amount] per [mile/km]

Fuel Return Standard: [Same level / Full-to-full / Other]

Fuel Charge if Not Met: $[Amount or formula]


6. Insurance and Liability

Insurance Included: [Yes/No; coverage summary]

Renter Provides Own Insurance: [Yes/No; proof attached]

Renter Responsibility: [All damage not covered; deductible; loss of use if applicable]

Fines/Violations/Tolls: Renter is responsible for all charges incurred during the rental period.


7. Vehicle Use Restrictions

Geographic Limit: [City/County/State(s)/Country]

Prohibited Uses: [Illegal activity; racing; DUI; off-road; unlisted drivers; other]


8. Inspection and Condition

The Parties will inspect the vehicle at check-out and return.

Inspection Record: [Appendix A completed; photos link]


9. Appendix A – Condition Checklist

[Complete table and attach additional photos as needed.]

Area / Item

Check-Out

Return

Notes / Photo ID

Exterior

[OK / Noted]

[OK / Noted]

[Notes; Photo ID]

Glass/Lights

[OK / Noted]

[OK / Noted]

[Notes; Photo ID]

Interior

[OK / Noted]

[OK / Noted]

[Notes; Photo ID]

Keys/Accessories

[Complete / Missing]

[Complete / Missing]

[Notes]


10. Tolls, Parking, and Evidence Checklist

Toll Handling Method: [Transponder / Plate-billed / None]

Evidence Folder / Link: [Drive/Folder/URL]

Evidence Checklist: [Check-out photos; return photos; odometer photo; fuel photo; receipts; N/A]


11. Breakdowns, Accidents, and Termination

Accident/Breakdown Packet: [If accident/breakdown: police report no.; tow details; claim no.; photos link]

Termination: [Mutual written consent / breach; fees if any]


12. Governing Law and Entire Agreement

Governing Law: This Agreement is governed by the laws of the State of California.

Entire Agreement: This document contains the full agreement between the Parties.

Amendments: Any amendment must be in writing and signed by both Parties.

IN WITNESS WHEREOF, the Parties have executed this Agreement as of the Agreement Date.

Owner / Company Signature

Name: [Name]

Signature: ___________________________

Date: [MM/DD/YYYY]

Renter Signature

Name: [Name]

Signature: ___________________________

Date: [MM/DD/YYYY]

Return Inspector Acknowledgment

Name: [Name / N/A]

Signature: ___________________________

Date: [MM/DD/YYYY]

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Car Rental Agreement Template – California

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For quick answers, scroll below to see the FAQ.

Click below for detailed info on the template.
For quick answers, scroll below to see the FAQ.

California Car Rental Agreement Template FAQ


Can the security deposit be a “hold” rather than a full charge?

Yes. Many rentals use a deposit as a temporary authorization rather than a separate charge, but the agreement should spell out what that means in plain terms. Use the deposit line to define the amount, whether it is refundable, and what categories of costs can be applied against it (for example, fuel shortfall, tolls, tickets, cleaning, or damage). If you run a card hold, it also helps to state when you expect the hold to be released and what documentation you will use if you apply any portion of the deposit.


What should be captured in the check-out and return condition checklist?

Treat the checklist as your shared snapshot of the vehicle’s condition at two points in time. The most useful entries are concrete and verifiable: visible dents, scratches, windshield chips, tire condition, interior stains, odors, and missing accessories. Pair each “Noted” item with a photo or video reference so it is easy to match later. If you want fewer disputes, have both parties acknowledge the completed checklist and keep the same categories on both check-out and return.


How do we handle tolls, parking fees, or tickets that arrive after the rental ends?

Late-arriving charges are common, so address them upfront. The template’s tolls/parking appendix is designed to define the handling method (transponder, plate-billed, or reimbursed by receipt) and any processing fee, if you use one. You can also specify where notices should be sent, what information the renter must provide if contesting a charge, and how you’ll link the charge back to the rental using the Rental File ID and the evidence folder reference.


Can the rental be extended, and how should the return time change be documented?

Extensions are easiest when the agreement names a clear approval method. Use a short amendment line that requires written confirmation (email, text, or a signed addendum) and that restates the updated end date/time and any pricing change. If you charge late fees, distinguish an approved extension from an unapproved late return. You can also add a line about where the updated “return confirmation” will be stored (for example, in the same folder as the inspection photos).


What if the renter wants to add another driver mid-rental?

Adding a driver is primarily a documentation problem: you want the person’s identity, license jurisdiction, and confirmation that they are authorized. The simplest approach is to treat it like a mini-amendment: list the added driver by name, date the change, and keep it with the Rental File ID records. If you work with AI Lawyer, you can generate a short add-driver page that mirrors your signature format so the change is easy to audit later.


What should the parties do if they disagree about whether damage is “new”?

Your best protection is consistency. If there is a dispute, compare the check-out checklist and photos against the return checklist and photos, using the same categories (exterior, glass, tires, interior, accessories). The agreement can also state that the parties will rely on timestamped photos and the inspection table as the baseline record. If you estimate repair costs, note whether you will use receipts, written estimates, or invoices to support the charge.


Is it acceptable to store inspection photos and incident files in a shared drive folder?

Yes, if you keep the storage method consistent and access-controlled. The template’s photo/video reference lines let you standardize a folder link and a naming rule so files are searchable later. A practical approach is to name files with the Rental File ID, date, and viewpoint (for example, “ID-1234-FrontBumper-Checkout”). You can also add who can access the folder and how long you plan to retain records as part of your internal recordkeeping practice.

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