1. Purpose of Vehicle Loan
Penelope’s Garage may provide the Member with temporary use of a Loaner Vehicle while the Member’s personal vehicle is undergoing inspection, maintenance, service, or repairs.
Loaner vehicles are provided as a membership convenience. Availability is not guaranteed and remains subject to vehicle availability, driver eligibility, insurance requirements, and Company approval.
2. Loaner Vehicle Checkout
Each time a Loaner Vehicle is provided, Penelope’s Garage will create a checkout record identifying, as applicable:
The Loaner Vehicle’s year, make, model, and license plate;
The checkout date and expected return date;
The odometer reading and fuel level;
Existing damage or wear;
The authorized mileage allowance; and
Any additional conditions applicable to that particular loan period.
Penelope’s Garage may take photographs of the Loaner Vehicle before releasing it to the Member. These photographs may document the odometer, existing wear and tear, fuel level, and interior and exterior condition.
The Member is encouraged to take their own photographs at the time of pickup.
3. Loan Period and Return
The Loaner Vehicle must be returned by the date and time communicated by Penelope’s Garage, immediately upon completion of the Member’s vehicle service or repairs, or upon request by Penelope’s Garage, whichever occurs first.
Penelope’s Garage may require the return or exchange of a Loaner Vehicle at any time.
The Member must return the Loaner Vehicle to the location designated by Penelope’s Garage unless another return arrangement is approved in writing.
4. Mileage Limit
Unless otherwise stated in the applicable checkout record, the Loaner Vehicle includes a mileage allowance of 200 miles per authorized day.
Any mileage exceeding the authorized allowance will be subject to an additional charge of $0.35 per mile.
5. Insurance and Liability
The Member acknowledges and agrees that the Member’s personal automobile insurance policy shall serve as the primary insurance coverage during each loan period, to the fullest extent permitted by applicable law and the terms of the applicable insurance policies.
Any insurance maintained by Penelope’s Garage or the titled owner of the Loaner Vehicle shall serve as secondary or excess coverage in the event the Member’s insurance does not fully cover a claim, except where applicable law or the terms of an insurance policy require otherwise.
The Member agrees to contact their insurance carrier and verify that their policy provides coverage for their operation of a temporary substitute, borrowed, non-owned, or loaner vehicle before taking possession of a Loaner Vehicle.
The Member must maintain active personal automobile insurance throughout every loan period and provide Penelope’s Garage with current proof of insurance upon request.
The Member is responsible for:
Insurance deductibles;
Uninsured or underinsured losses;
Policy exclusions;
Denied claims;
Amounts exceeding available insurance coverage; and
Damage or expenses not paid by an insurance carrier.
In the event of an accident, damage, vandalism, or theft, the Member agrees to promptly notify both their insurance provider and Penelope’s Garage and to cooperate fully with any resulting claim, investigation, or legal proceeding.
The Member authorizes Penelope’s Garage to contact the Member’s insurance carrier and provide relevant documents or information concerning the Loaner Vehicle, loan period, accident, damage, or claim.
Ohio requires financial responsibility for operation of a motor vehicle, including when the driver is not the owner of that vehicle.
6. Authorized Drivers
Only the Member and any additional driver expressly approved by Penelope’s Garage may operate the Loaner Vehicle.
Each authorized driver must:
Be at least 18 years old;
Hold a current and valid driver’s license;
Maintain active automobile insurance applicable to their operation of the Loaner Vehicle; and
Meet any additional eligibility requirements established by Penelope’s Garage or its insurance provider.
The Member may not allow an unauthorized person to drive or otherwise take possession of the Loaner Vehicle.
The Member remains responsible for the Loaner Vehicle and for any loss, claim, or damage caused by a person to whom the Member provides access.
7. Conditions of Use
The Member agrees to:
Operate the Loaner Vehicle responsibly and lawfully;
Use the Loaner Vehicle only for ordinary personal transportation;
Follow all applicable traffic and parking laws;
Secure the vehicle and safeguard its keys;
Immediately notify Penelope’s Garage of any warning light, mechanical problem, or unsafe condition; and
Stop operating the vehicle if continued operation could create a safety risk or cause additional damage.
The Loaner Vehicle may not be used for:
Ridesharing or delivery services;
Racing or speed testing;
Towing or pushing another vehicle or object;
Driver training;
Commercial transportation;
Off-road operation;
Any illegal activity; or
Any other unauthorized or abusive purpose.
The Loaner Vehicle may not be operated by anyone who is impaired by alcohol, marijuana, medication, or any other substance.
Smoking and vaping are prohibited inside the Loaner Vehicle.
8. Fuel, Cleanliness, and Vehicle Condition
The Member must return the Loaner Vehicle in substantially the same condition in which it was provided, excluding ordinary wear and tear.
The Loaner Vehicle must be returned with the same fuel level recorded at checkout. If additional fuel is required, the Member will be charged the cost of the fuel plus a $10 convenience fee.
The Member may also be responsible for reasonable charges associated with:
Excessive cleaning;
Smoke or odor remediation;
Stains or interior damage;
Pet-related damage;
Lost or damaged keys;
Missing equipment or accessories; and
Damage beyond ordinary wear and tear.
9. Accidents, Damage, and Theft
The Member must immediately notify Penelope’s Garage of any accident, collision, damage, vandalism, theft, impoundment, or police contact involving the Loaner Vehicle.
When an accident occurs, the Member agrees to:
Contact law enforcement or emergency services when appropriate;
Obtain the other driver’s contact and insurance information;
Photograph the vehicles, damage, and accident scene when safely possible;
Obtain a police report or incident number when available;
Avoid admitting fault or promising payment; and
Cooperate with Penelope’s Garage, the vehicle owner, and all applicable insurance carriers.
The Member may not authorize repairs, disposal, settlement, or release of the Loaner Vehicle without approval from Penelope’s Garage, except where immediate emergency action is reasonably necessary to protect people or property.
10. Damage, Tickets, Tolls, and Other Charges
The Member is responsible for any damage not covered by insurance, including applicable deductibles and non-covered events.
The Member is responsible for all traffic citations, parking tickets, tolls, impound charges, towing charges, and other violations or expenses incurred during the loan period.
The Member agrees to reimburse Penelope’s Garage for these amounts and any reasonable administrative expenses incurred in identifying the responsible driver, responding to the charge, or recovering the Loaner Vehicle.
11. Indemnification
To the fullest extent permitted by law, the Member agrees to indemnify and hold harmless Penelope’s Garage, its owners, employees, agents, affiliates, and the titled owner of the Loaner Vehicle from claims, damages, liabilities, penalties, expenses, or losses arising from:
Misuse or unauthorized use of the Loaner Vehicle;
Operation by an unauthorized driver;
The Member’s violation of this Agreement;
The Member’s violation of applicable law; or
Inaccurate information provided concerning the Member’s driver’s license, insurance, or eligibility.
12. Driver’s License and Insurance Records
The Member agrees to provide Penelope’s Garage with:
A copy or photograph of the Member’s valid driver’s license;
Current automobile insurance information; and
Updated documentation whenever the Member’s license or insurance information changes or expires.
The Member authorizes Penelope’s Garage to securely retain this information for identification, vehicle-loan, insurance, and claims-related purposes during the membership and any applicable loan period.
Failure to maintain a valid driver’s license or active automobile insurance will immediately suspend the Member’s eligibility to receive or operate a Loaner Vehicle.
13. Continuing Effect
This Agreement applies to every Loaner Vehicle provided to the Member. The Member will not be required to sign a new complete agreement for each vehicle, but Penelope’s Garage may require the Member to sign or electronically acknowledge a vehicle-specific checkout record.
The Member’s responsibilities concerning insurance, damage, reimbursement, tickets, tolls, claims, and indemnification survive the return of the Loaner Vehicle and the termination of membership.