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Vehicle Rental Agreement

Effective Date: May 20, 2026

Last updated: May 20, 2026

This Vehicle Rental Agreement (“Agreement”) governs all vehicle rental transactions facilitated through PickARide.ng, an online car sale and rental platform registered in Lagos, Nigeria (“the Platform”). It is entered into by and between the Vehicle Owner or Rental Provider (“Owner”) and the Renter, with PickARide.ng acting as a digital facilitator and escrow service.


By initiating a rental booking on the Platform, both parties agree to the following terms:

1. Vehicle Description and Documentation

Each rental transaction shall specify:

  1. Vehicle make, model, year, color, license plate, and VIN (Vehicle Identification Number)
  2. Rental price and applicable charges (daily/hourly rate, extra mileage fees, fuel policy, etc.)
  3. Start and end dates/times of rental
  4. Included documents: valid registration, roadworthiness certificate, insurance cover, and proof of ownership

 

The Owner affirms that:

  1. The vehicle is roadworthy, clean, and legally owned
  2. The documentation is valid and will be presented at handover
  3. Any restrictions (e.g., geo-fencing, mileage limits, fuel grade) will be clearly disclosed in the listing

2. Booking Process and Confirmation

  • Rentals are initiated by the Renter selecting a listed vehicle and submitting a booking request.
  • Owners have up to 4 hours to confirm or reject the request.
  • Upon acceptance, the Renter is required to make full payment through PickARide.ng’s
    secure payment gateway.
  • A security deposit is authorized and held until the vehicle is returned and inspected.
    PickARide.ng reserves the sole discretion to review and adjust the required security deposit amount to ensure fairness and reasonableness for both Owner and Renter, taking into account the vehicle type, rental duration, and associated risks.

 

Confirmed bookings are binding and may only be modified or cancelled in accordance with the cancellation terms.

3. Security Deposit

As part of the booking process, the Renter may be required to pay a refundable security deposit, the amount of which is set by the Owner and displayed in the listing prior to confirmation. This deposit serves as a financial safeguard against:

  1. Damage to the vehicle not covered by insurance
  2. Excessive dirt or cleaning fees
  3. Late return penalties
  4. Traffic or parking fines incurred during the rental period
  5. Unauthorized use, such as off-roading, commercial haulage, or unapproved travel outside the agreed location.

i. Collection and Holding

  • The security deposit is collected by PickARide.ng at the time of booking, separate from
    the rental fee.
  • The funds are held in escrow and are not released to the Owner unless a verified claim is
    made and approved.

iI. Refund Process

  • If the vehicle is returned on time and in the agreed condition, the full deposit will be refunded to the Renter within 7 business days of return confirmation.
  • Refunds are issued to the original payment method used at booking, unless otherwise requested in writing.

III. Deductions and Claims

  • If the Owner identifies any issue (e.g., damage, late return, missing items), they must submit a claim with supporting evidence (photos, mechanic reports, etc.) within 2 hours of vehicle return.
  • The Platform will review the claim and, if valid, authorize partial or full deductions from the deposit to cover the cost.
  • If the claim is disputed, the deposit will be held until the matter is resolved through the Platform’s mediation or arbitration process.

IV. Insufficient Deposit

  • If the cost of repair or penalties exceeds the deposit amount, the Renter agrees to pay the additional balance within 5 business days of notice.
  • Non-payment may result in account suspension, legal recovery, or reporting to law enforcement where applicable.

4. Vehicle Use Terms and Conditions

The Renter agrees to the following conditions of use:

  • Authorized Use Only: The vehicle may only be driven by a driver specified and verified during the booking process as self-driving services are currently not provided by the platform.
  • Legal and Safe Operation: The vehicle must not be used for:
    1. Illegal activities or unregistered commercial use (e.g., rideshare, haulage without disclosure)
    2. Racing, off-roading, or towing
    3. Exceeding passenger or cargo limits
  • Location Limits: The vehicle may only be driven within Nigeria unless explicitly agreed
    upon in writing.
  • Vehicle Condition: The Renter must return the vehicle in the same condition it was
    received, with allowances for reasonable wear (see Section 8).

 

Violation of any of these terms may result in:

  • Forfeiture of the security deposit
  • Additional charges
  • Suspension from the platform
  • Legal action where appropriate

5. Payment Terms

  • Rental fees are collected in full upon booking confirmation.
  • The Platform deducts its 10% commission from the Owner’s payout.
  • The balance of the rental fee is held in escrow and released to the Owner after the vehicle
    is returned, provided that:
    1. No unresolved disputes or damage are reported by either party; and
    2. The vehicle is returned on time and in the agreed condition.

 

In the event of verified damage or breach of return terms, any deductions for repair or penalties shall be made from the Renter’s security deposit, not from the Owner’s rental earnings. Where the damage exceeds the security deposit, the Renter shall be liable for the outstanding balance.

6. Renter Entitlements for Defective or Misrepresented Vehicles

If the rented vehicle is delivered in a condition that renders it unsafe, inoperable, materially different from its listing, or unfit for the agreed purpose, the Renter is entitled to appropriate remedies, subject to verification by the Platform.

These entitlements may include:

  1. Full or partial refund of the rental fee, depending on the severity of the defect and duration of use
  2. Immediate cancellation of the rental without penalty, where the vehicle is entirely unusable
  3. Refund of the security deposit, unless the Renter is found to have contributed to the defect through misuse
  4. Alternative vehicle arrangement, where available and feasible, facilitated by the Platform or Owner at no extra cost to the Renter

 

Examples of justifiable defects or conditions include:

  • Engine failure, brake issues, or overheating at delivery
  • Major mechanical faults not disclosed in the listing
  • Non-functional lights, tires below legal tread depth, or expired documents
  • Delivery of a different vehicle than advertised

 

The Renter must notify both the Owner and the Platform within 2 hours of vehicle handover or upon discovery of the defect. Claims made after this period will be assessed based on available evidence and platform discretion.

 

The Platform may require:

  • Photo or video evidence of the defect
  • A report from a mechanic or third-party inspector
  • Confirmation that the vehicle was not driven or misused after the issue was discovered


If the Owner is found to have intentionally misrepresented the vehicle or delivered an unfit or unsafe car, penalties may include loss of payout, suspension of account, or permanent removal
from the platform.

7. Insurance and Risk Responsibility

  • The Owner must indicate whether the vehicle is:
    1. Fully insured (comprehensive)
    2. Third-party insured
    3. Uninsured (platform may restrict listings)
  • The Renter:
    1. Accepts liability for any uninsured damage or loss resulting from negligence or prohibited use
    2. Must report accidents or theft to both the Owner and Platform immediately including a police report if applicable
  • If the Owner fails to disclose the absence of insurance and a claim arises, the Platform
may suspend their account and hold payouts.

8. Vehicle Return, Condition, and Inspection

The Renter must:

  1. Return the vehicle at the agreed location and time
  2. Refuel the vehicle to the same level as at pickup (if a fuel policy applies)
  3. Remove all personal belongings and restore reasonable cleanliness
  4. Ensure no unauthorized modifications or damage has occurred

 

The Owner has 2 hours after return to conduct an inspection and:

  1. Confirm that the vehicle is in good condition
  2. Report any damage with dated photos, receipts, and a mechanic’s note (if applicable)

 

In the case of minor issues, the Owner and Renter are encouraged to resolve amicably. For serious damage or disputes, the Platform will:

  • Review records and inspection evidence
  • Withhold deposit or payout as necessary
  • Facilitate mediation or escalate if required

9. Cancellations and Refunds

a. By Renter
  • More than 24 hours before rental start: Full refund (minus platform fee if applicable)
  • Less than 24 hours: Partial refund or forfeiture, based on Owner’s stated cancellation
    policy

b. By Owner
  • Must cancel only for valid reasons (e.g., breakdown, double booking)
  • Multiple last-minute cancellations may lead to suspension


In both cases, refunds (if applicable) are processed within 7 business days. Refund eligibility is based on the cancellation terms clearly displayed on each listing and in this agreement.

10. Liability, Indemnity, and Force Majeure

  • Both parties agree to indemnify and hold harmless PickARide.ng from any loss, claim, or damage arising from misuse, misrepresentation, or breach of this Agreement.
  • The Platform is not liable for:
    1. Damage to personal property left in vehicles
    2. Roadside incidents or mechanical failure during rental
    3. Third-party claims or law enforcement actions due to the Renter’s conduct
    4. Items forgotten in the vehicle by either party (Renter or Owner) after the rental has ended. While the Platform may make reasonable efforts to connect both parties to recover such items, it assumes no responsibility for loss, theft, or damage to the items.
  • If a party is found to be withholding or misappropriating forgotten items and fails to cooperate with resolution efforts, PickARide.ng reserves the right to take action, including but not limited to:
    1. Account suspension or permanent banning
    2. Reporting to relevant authorities where theft or criminal intent is suspected

 

Neither party shall be held liable for delay or failure to perform due to force majeure events (e.g., natural disasters, strikes, civil unrest), provided notice is given immediately.

11. Dispute Resolution

  • In case of a dispute that cannot be resolved via chat or customer service:
    1. Either party may escalate to platform-assisted mediation
    2. All disputes not resolved internally shall be referred to arbitration in Lagos in accordance with the Arbitration and Mediation Act, 2023.
    3. The arbitration shall be conducted in Lagos, in English, by a single arbitrator mutually appointed by both parties, and the decision shall be final and binding.

12. Suspension and Enforcement

The Platform reserves the right to:

  1. Suspend a Renter or Owner’s account for breach of this Agreement
  2. Withhold payouts or deposits during active investigations
  3. Permanently remove users found to be engaged in fraud, vehicle misrepresentation, or endangerment

13. Contact and Support

All rental-related questions, disputes, or emergencies may be directed to:

  • rental@pickaride.ng
  • Rosehall Apartment, Herbert Orji Avenue, Osapa London Estate, Lekki, Lagos, Nigeria
  • +1 (555) 123-4567