Tag Archives: Graves Amendment

Auto Rental News Special Report: The Problem with Renting Fast Cars


I was a featured commentator in this report, the second highest viewed article of Auto Rental News in 2015: Traditional rental companies and leasing companies are protected by laws that eliminate vicarious liability (such as the federal Graves Amendment) or … Continue reading

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Dealership Arranged Leases: Is the Lessor Liable for the Lessee’s Negligent Operation of the Vehicle?


By Greg Johnson. A dealership leases a vehicle to a customer under a 48 month lease agreement. The lease is assigned to Honda Lease Trust, a leasing company, and administered by American Honda Finance Company. If the lessee-customer negligently causes … Continue reading

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Hey Dealer, Can I Get a Loaner?


By Greg Johnson. I recently wrote an article for the Minnesota Automobile Dealer Association’s MN Dealer Outlook Magazine (Winter 2015).  If your Minnesota dealership provides dealer-owned loaner vehicles to customers while the customer’s vehicle is being repaired, you’ll want to … Continue reading

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The Problem with Renting Fast Cars: A Special Report of the Auto Rental News


I was recently interviewed in connection with a most interesting article by Chris Brown of the Auto Rental News: “Enter the world of brokering, where fleet funding, commercial insurance and even car ownership are not necessities. As the name suggests, … Continue reading

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Yikes!! Self-Insured Enterprise Rent-A-Car Required to pay $600,000 on behalf of Renter even though Insurer’s Maximum Liability would have been $50,000.


By Greg Johnson. In Nelson v. Artley, 2014 Ill App (1st) 121681, reh’g denied (July 16, 2014), the court held that a self-insured car rental company (Enterprise) was required to pay a $600,000 judgment against its renter despite the fact … Continue reading

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Uber, Lyft and other Transportation Network Companies Hitting the Streets in Minneapolis (and further Eroding the Traditional Taxicab Business Model)


A major battle is taking place across the country involving who can — and who cannot – legally give customers a “taxicab” ride. The dispute pits traditional taxicab companies and new, tech savvy companies such as Uber and Lyft that … Continue reading

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Oops!! Self-Insured Owner of Rental Vehicle that had no Obligation to Afford Omnibus Coverage to Permissive Users not entitled to recover $260,000 Settlement Payment.


By Greg Johnson. In an unusual twist, a rental car company insisted it was obligated to pay damages to a third party who was injured by the permissive operator of its rental vehicle and the renter maintained it was not. … Continue reading

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The Graves Amendment: Does it Shield Membership-Based Car Sharing Services from Vicarious Liability?


By Greg Johnson. Does the Graves Amendment apply to membership-based car-sharing companies like Zipcar? In a previous post, I provided an overview of the Transportation Equity Act of 2005 (49 USC § 30106) (a/k/a “Graves Amendment”), a federal law which … Continue reading

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The Graves Amendment: Is an Auto Dealer Vicariously Liable for a Customer’s Negligent Operation of a Loaner Vehicle?


By Greg Johnson. Does the Graves Amendment apply to auto dealerships who provide loaner vehicles to their customers? In a previous post, I provided an overview of the Transportation Equity Act of 2005 (49 USC § 30106) (a/k/a “Graves Amendment”), … Continue reading

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Odd Federal Graves Amendment Case: to Avoid Vicarious Liability Owner of Vehicle Must Prove its Affiliate was also Free of Negligence.


By Greg Johnson. In Stratton v. Wallace, 11-CV-74-A HKS, 2014 WL 3809479 (W.D.N.Y. Aug. 1, 2014), the court came to an odd result under the Graves Amendment (Transportation Equity Act of 2005 (49 USC § 30106)), a statute intended to … Continue reading

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