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Employee Company Vehicle Use Agreement

This agreement outlines the terms and conditions for an employee's use of a company-owned vehicle, establishing responsibilities and usage policies. It is used when an employee is granted access to a company vehicle for business or approved personal use.

Updated 15d ago
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Company Letterhead

{{company_name}}

{{company_address}}

Phone: {{phone}}

Email: {{email}}

Website: {{website}}

EMPLOYEE COMPANY VEHICLE USE AGREEMENT

This Employee Company Vehicle Use Agreement ("Agreement") is entered into on this {{day}} day of {{month}}, {{year}}, by and between {{company_name}} (hereinafter referred to as "the Company"), and {{employee_name}} (hereinafter referred to as "the Employee"), residing at {{employee_address}}.

1. Vehicle Assignment

The Company hereby assigns the Employee the use of a company vehicle with the following details:

Make: {{vehicle_make}}

Model: {{vehicle_model}}

Year: {{vehicle_year}}

Registration Number: {{vehicle_registration_number}}

VIN: {{vehicle_VIN_number}}

The Employee acknowledges receipt of the aforementioned vehicle in good working order and clean condition, save for any defects noted in the attached Vehicle Inspection Report (Appendix A).

2. Permitted Use

The company vehicle is provided primarily for business use in connection with the Employee’s duties for the Company. Limited personal use may be permitted as per the Company's Vehicle Policy (Appendix B), provided it does not interfere with business operations.

The vehicle shall not be used for illegal activities, off-road driving, racing, or any use that may invalidate the Company's insurance policy. The Employee shall not permit any unauthorised person to drive the vehicle.

3. Employee Responsibilities

The Employee agrees to:

a) Exercise due care and diligence in the operation and maintenance of the vehicle.

b) Adhere to all traffic laws and regulations.

c) Report all accidents, damage, or theft involving the vehicle to the Company and the police within {{reporting_period}} hours.

d) Keep the vehicle clean and in good condition.

e) Ensure the vehicle is regularly serviced according to the manufacturer's recommendations and Company policy.

f) Be responsible for all fines, penalties, and traffic violations incurred while the vehicle is in their possession, unless directly attributable to a company instruction.

g) Not smoke in the vehicle and ensure no passengers smoke in the vehicle.

h) Return the vehicle to the Company upon termination of employment or demand, in the same condition as received, reasonable wear and tear excepted.

4. Fuel and Maintenance

The Company will be responsible for the cost of fuel for business use. Personal use fuel costs will be the responsibility of the Employee.

The Company will cover scheduled maintenance and repairs not resulting from Employee negligence or misuse. The Employee must obtain prior approval from {{approving_department/manager}} for any non-emergency repairs exceeding {{approval_threshold_amount}}.

Fuel Card Number: {{fuel_card_number}}

5. Insurance

The Company maintains comprehensive insurance coverage for the vehicle. Details of the insurance policy are available from {{insurance_contact_person/department}}. The Employee will be responsible for paying the insurance excess of {{insurance_excess_amount}} in the event of an accident where the Employee is found to be at fault, or for damages resulting from negligence.

Any additional insurance cover for personal items or risks not covered by the Company policy is the Employee's responsibility.

6. Vehicle Return

Upon termination of employment, or at any time upon request by the Company, the Employee shall immediately return the vehicle, all keys, fuel cards, and related documentation to the Company.

Failure to return the vehicle as required may result in legal action and/or deductions from final pay.

7. Acknowledgment and Agreement

The Employee acknowledges that they have read, understood, and agree to abide by all the terms and conditions set forth in this Agreement and the Company's Vehicle Policy (Appendix B). The Employee further understands that violation of this agreement may result in disciplinary action, up to and including termination of employment, and potential financial liability.

This Agreement supersedes any prior oral or written understandings or agreements between the Company and the Employee regarding the use of a company vehicle.

Signature Block

_____________________________

Employee Signature

Date: {{employee_signature_date}}

_____________________________

Employee Name (Printed)

_____________________________

For {{company_name}}

Authorised Signature

Date: {{company_signature_date}}

_____________________________

Authorised Signatory Name (Printed)

Title: {{signatory_title}}

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