Vehicle Use Agreement Between Two Parties for Malaysia

Vehicle Use Agreement Between Two Parties Template for Malaysia

A comprehensive legal agreement governed by Malaysian law that establishes the terms and conditions for the use of a vehicle between two parties. This document outlines the rights and responsibilities of both the vehicle owner and user, including usage terms, maintenance obligations, insurance requirements, and liability provisions. It incorporates relevant requirements from Malaysian road transport legislation and contract law, ensuring compliance with local regulations while protecting the interests of both parties involved in the vehicle use arrangement.

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What is a Vehicle Use Agreement Between Two Parties?

The Vehicle Use Agreement Between Two Parties is essential for situations where one party grants another the right to use a vehicle in Malaysia while retaining ownership. This document is commonly used in both personal and business contexts, such as when companies provide vehicles to employees, when individuals share vehicles, or in informal leasing arrangements. The agreement ensures compliance with Malaysian transportation and contract laws while clearly defining the terms of use, maintenance responsibilities, insurance requirements, and liability allocation. It serves as a crucial tool for preventing disputes and protecting both parties' interests by documenting all aspects of the vehicle use arrangement, from initial handover to eventual return.

What sections should be included in a Vehicle Use Agreement Between Two Parties?

1. Parties: Identification and details of the vehicle owner and the authorized user

2. Background: Context of the agreement and relationship between the parties

3. Definitions: Definitions of key terms used throughout the agreement

4. Vehicle Details: Specific information about the vehicle being subject to the agreement

5. Term of Agreement: Duration of the vehicle use arrangement, including start and end dates

6. Usage Rights and Restrictions: Permitted uses of the vehicle and specific restrictions or limitations

7. Responsibilities of the User: User's obligations regarding vehicle operation, safety, and compliance with laws

8. Maintenance and Care: Requirements for vehicle maintenance, cleaning, and general upkeep

9. Insurance and Liability: Insurance requirements and allocation of liability between parties

10. Costs and Expenses: Allocation of operating costs, fuel, maintenance, and other expenses

11. Termination: Conditions and process for ending the agreement

12. Return of Vehicle: Requirements and conditions for returning the vehicle

13. Governing Law: Specification of Malaysian law as governing law

14. Dispute Resolution: Process for resolving disputes between parties

What sections are optional to include in a Vehicle Use Agreement Between Two Parties?

1. Additional Drivers: Section to be included if multiple drivers will be authorized to use the vehicle

2. Commercial Use Provisions: Additional terms if vehicle will be used for commercial purposes

3. Cross-Border Travel: Special provisions for vehicle use in other countries, particularly Singapore and Thailand

4. Modification Rights: Terms regarding permitted or prohibited modifications to the vehicle

5. Subletting Prohibition: Specific terms prohibiting subletting or lending of the vehicle to third parties

6. Tracking Devices: Terms regarding installation and use of GPS or other tracking devices

7. Special Equipment: Provisions regarding any special equipment included with the vehicle

What schedules should be included in a Vehicle Use Agreement Between Two Parties?

1. Schedule 1: Vehicle Specification: Detailed description of the vehicle including make, model, year, registration number, and current condition

2. Schedule 2: Initial Condition Report: Detailed documentation of vehicle condition at the start of the agreement, including photographs

3. Schedule 3: Insurance Requirements: Specific insurance coverage requirements and policies

4. Schedule 4: Maintenance Schedule: Required maintenance intervals and responsibilities

5. Schedule 5: Fee Schedule: Breakdown of any fees, deposits, and payment terms

6. Appendix A: Authorized Drivers: List of authorized drivers and their license details (if applicable)

7. Appendix B: Usage Territory: Map or description of permitted usage areas and any restricted zones

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Malaysia

Publisher

Genie AI

Document Type

Use Agreement

Cost

Free to use
Clauses
Relevant Industries

Transportation

Logistics

Fleet Management

Car Rental

Corporate Services

Automotive

Sharing Economy

Business Services

Manufacturing

Retail

Construction

Professional Services

Relevant Teams

Legal

Operations

Administration

Human Resources

Procurement

Facilities Management

Risk Management

Corporate Services

Fleet Management

Compliance

Contract Management

Relevant Roles

Fleet Manager

Operations Director

Administrative Officer

Legal Counsel

Compliance Officer

Human Resources Manager

Procurement Manager

Facilities Manager

Risk Manager

Contract Administrator

Transport Coordinator

Business Development Manager

Office Manager

Corporate Services Manager

Fleet Administrator

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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