Friday, September 23, 2011

Who is Responsible if Your Customer Wrecks or Damages Your Vehicle on a Test Drive?


Legislators raised this question during the last legislative session. They proposed that a large sign be posted in the dealership or the person test-driving the vehicle sign a disclosure. This bill did not pass because many used car dealers are already using a test drive agreement.
Using a test drive agreement benefits the dealer in many ways. It discloses how long the vehicle can be test driven, how many miles they may drive, who can drive the vehicle, disclosure of insurance, valid drivers license and most importantly, who will pay first if the vehicle is wrecked or damaged. It is not necessary to fill out every line of the test drive agreement but only what you may think will protect you in each case. It is important they sign it agreeing to the terms of the test drive.