Contract hire car's and death

[RRH]

Guys, Dad passed away last week.

His car needs to go back to the contract hire co- it's half way through a 24 month contract.

What usually happens - will they expect to claim the payment for the balance of the term from the estate?

Thanks

[Soovy]

RRH said:

Guys, Dad passed away last week.

His car needs to go back to the contract hire co- it's half way through a 24 month contract.

What usually happens - will they expect to claim the payment for the balance of the term from the estate?

Thanks

What does the contract say? There will likely be a clause which deals with it.

Often in contracts death is an "Event of Default" which entitles them to certain things (this is what I have in my company's terms and conditions).

One of these things MAY be the remainder of the payments, or a proportion of them and details of how the car is to be delivered up to them.

Whether they'd actually pursue the estate for any money in light of your situation is another matter though.



Sincere condolences for your loss.

Edited by Soovy on Tuesday 17th January 14:03

[RRH]

Haven't got that far in to the paperwork yet

[Ali2202]

Sorry to hear of that Fella. Hope you get sorted at minimal £.

[Will145]

Dealt with this last year when my dad passed away. He had a BMW which was only 3 months into the term.
The company gave me three options.
1. Take over the lease agreement.
2. Buy the car from them.
3. Pay an early termination fee and they keep the car. I did option 3 as I couldn'tt be bothered with the hassle, fee was about £2500 I believe which was paid out of the estate.

Of course it depends on the lease company. Condolences and best of luck

ETA the company were very understanding - they took the car into storage and waited until the estate was settled.

[Deva Link]

Be careful of the car's insurance cover. Policy ceases on death of the policyholder so even named driver's can't use the car unless the insurance gives the OK.

[mattviatura]

Very sorry for your loss.

I sell contract hire, feel free to PM me and if it's a company I deal with or know about I'll see if I can establish their policy for you.

[RRH]

Thanks everyone. As soon as I get to the papers I'll find out what's going on... until then, I shall revel in 68mpg bliss (rather than twin turbo diesel v8!)

[J4CKO]

Sorry to hear that mate

[darkcat]

sorry to hear
yes very much depends on the contact.

What I'd do is drop the car off, give them the keys and leave (quickly). everyone's happy.

[Piepiepie]

RRH said:

Thanks everyone. As soon as I get to the papers I'll find out what's going on... until then, I shall revel in 68mpg bliss (rather than twin turbo diesel v8!)

In this case....

Deva Link said:

Be careful of the car's insurance cover. Policy ceases on death of the policyholder so even named driver's can't use the car unless the insurance gives the OK.

Be careful of this. Assuming the Policy is your fathers, this policy has now ended due to death. Which means if you're driving it as a named driver, it cant be done.

If you're driving it on your own car with 'drive any other car thrid party', it also wont be covered, as there is no existing policy in force on the actual vehicle.

You can only drive it with your own policy on the car in question.

After that, sorry to hear the loss, and im not trying to be a knob about insurance, i'd hate for you to get in the st over technicalities, as a lot of people do.