Hire of Motor car on daily basis

THIS AGREEMENT OF HIRE-PURCHASE  made and entered into  at …..………….. this …………… day of  …….……………. 20…… between Mr. ……..………………. (hereinafter referred to as the Owner) of the one part and Mr. ………………………. (hereinafter referred to as the Hirer) of the other part as follows :

WHEREAS 

(1) The Owner owns a motor car bearing registration No. ……... make ………………… and known as ……………………. (or a Motor truck being registered No.………….) hereinafter referred to as the said vehicle.

(2) The Owner desires to give the said vehicle on hire as he is unable to use it himself and the hirer has offered to take it on Hire on the following terms agreed upon between the parties.

Now it is agreed between the parties as follows :

(1) The Owner will let on hire and the Hirer will take on hire the said vehicle for a period of  ……………. months from the date hereof that is upto and inclusive of  …………… day of ………….. 20……

(2) The charges for such hire will be Rs. ……….. per day to be paid in full at the commencement of the next day by the Hirer to the Owner.  Day means the period from …….  a.m. to the following ……. a.m. 

(3) The Hirer has paid to the Owner on the execution of this agreement a sum of Rs. …… as a security deposit which will be refunded to the Hirer when the said vehicle is returned by the Hirer to the Owner in good and running condition but subject to the conditions hereinafter mentioned.

(4) If the Hirer fails to return the said vehicle within the said period the Owner will be entitled to adjust the said deposit amount towards the market price of the said vehicle and the Owner will be entitled to claim and the Hirer will be bound to pay on demand the market price of the said vehicle less the amount of the said deposit.

(5) If the said vehicle is returned in a damaged or defective condition the Owner will be entitled to adjust the cost of repairs to the vehicle against the said deposit and will return to the Hirer the balance if any.  If the cost of repairs exceeds the deposit then the Hirer will be liable to pay the excess on demand.

(6) The Hirer s	hall ply the vehicle only within the limits of the Municipal Corporation of .…………………… and shall not take it outside the said limits without the prior permission of the Owner.

(7) The Hirer shall observe all the rules and regulations applicable for running vehicle and carrying passengers and shall indemnify and keep indemnified the Owner against any loss or damages suffered or incurred by the Owner on account of breach of any such rules and regulations.

(8) All the expenses for repairs to the vehicle and for petrol, diesel and other necessities required to run the vehicle will be borne by the Hirer and the Owner will not be responsible for the same.

(9) The Owner assures the Hirer that the vehicle is duly insured as required by law and all the taxes in respect thereof are paid.

(10) If the Hirer commits breach of any term or condition hereof, the Owner will be entitled to cancel this agreement by giving ……….. days notice to the Hirer and on the expiration of such period the agreement shall be deemed to be expired.

(11) The Hirer will be liable to the Owner for any damage to the vehicle caused due to his or his agent's negligence but not otherwise.

(12) If the said vehicle meets with any accident, and on account thereof the Owner is required to suffer any loss or damages, the same will be made good by the Hirer and the Owner will be entitled to appropriate the said deposit or any part thereof towards such loss or damages without prejudice to the right of the Owner to recover his balance of such loss or damages if any and the same shall be paid by the Hirer to the Owner on demand with interest at Rs. …….. per cent per annum from the date of demand of bill payment.

IN WITNESS WHEREOF the parties have put there hands the day and year first hereinabove written.

Owner                                              						Hirer.