Use this vehicle sublease agreement template when you want to lease a vehicle you’re leasing to another party. It defines the responsibilities of both parties and ensures you’re not held liable for damages the Sublessee inflicts on the Vehicle.
Company: [Sublessor.Company]
Address: [Sublessor.StreetAddress] [Sublessor.City] [Sublessor.State] [Sublessor.PostalCode]
This Vehicle Sublease Agreement is entered into on the (Date) by and between [Sublessor.FirstName] [Sublessor.LastName] (“Sublessor”), located at [Sublessor.StreetAddress] [Sublessor.City] [Sublessor.State] [Sublessor.PostalCode] and [Sublessee.FirstName] [Sublessee.LastName] (“Sublessee”), located at [Sublessee.StreetAddress] [Sublessee.City] [Sublessee.State] [Sublessee.PostalCode] . The Sublessor hereby subleases the following Vehicle to the Sublessee for the duration specified and upon all conditions set forth in this agreement:
Henceforth, this above Vehicle will be referred to as “Vehicle” in this agreement.
The Sublessee and Sublessor agree to follow all the terms laid forth below.
Ensure you consider the Master Lease you have with the Vehicle’s Owner and that the sublease payments cover the balance of what you’ll have to pay for the lease.
The Sublessee agrees to pay a daily/weekly/monthly/annual amount of $(Amount) to rent the Vehicle from the Sublessor. This rental amount is payable on the 1st of each month. It is the sole responsibility of the Sublessee to ensure the Sublessor receives the payment by the 1st.
Should the Sublessor not receive payment by the 5th of each month, they are entitled to charge interest of (Percentage)%/a late fee of $(Amount) on the existing outstanding balance.
The agreement will commence on the (Start.Date) and operate on a flexible/fixed term, ending on (End.Date), unless both parties agree to renew the contract or when both parties agree to terminate the contract.
As you’re also leasing this Vehicle, you should clearly state your obligations to ensure you don’t default on the Master Lease. It’s very important to note that you can only sublet the Vehicle if you have written consent from the Master Lessor; otherwise, it’s illegal and can result in legal action.
Sublessor is the Lessee of the Vehicle by virtue of a lease (“Master Lease”), a copy of which is attached to this Sublease, and wherein (Owner.Name) is the Lessor (“Master Lessor”).
The Sublessor has the responsibility to ensure this sublease agreement is valid within the terms of the Master Lease. It is the sole responsibility of the Sublessor to ensure the Master Lessor is aware and approves of this sublease agreement.
Should the Master Lessor not be made aware and approve of this Sublease, no penalties shall befall the Sublessee upon the termination of this agreement. Any penalties Master Lessor imposes in this case will be the sole responsibility of the Sublessor.
At all times, the Sublease is subject and subordinate to the Master Lease. The terms, conditions, and responsibilities of the Master Lease shall be the terms, conditions, and responsibilities of the Sublease, except where the Sublease provisions directly contradict the Master Lease. Then, the Sublease shall control the Master Lease.
Note that the above provision is solely for terms like payment details, etc. You can’t add provisions that violate the Master Agreement, as it’ll render the sublease void.