AB 672

This bill allows a vehicle rental company to hold a renter or driver of a rented

vehicle liable for loss of use of the vehicle under certain circumstances.

Under current law, the total liability of a renter or authorized driver for damage

to a rented private passenger vehicle may not exceed the actual costs to repair the

vehicle or the fair market value of the vehicle immediately before the damage

occurred, whichever is less, and the costs incurred by the rental company for towing

and storage of the vehicle. A rental company may not hold a renter or driver of a

rental vehicle liable for loss of use of the vehicle.

Under this bill, a rental company may hold a renter or driver of a rented private

passenger vehicle liable for loss of use that results from an accident for which the

renter or driver is cited or charged with inattentive driving, reckless driving,

operating while intoxicated, homicide by negligent operation or intoxicated use of a

vehicle, or a failure to yield violation that resulted in bodily harm or death. Loss of

use must be calculated using the daily rental rate stated in the rental agreement for

the vehicle, multiplied by the number of loss-of-use days, not to exceed 30 days.