Company: ZCARW
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110391
Chunk: 334

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 334
---
 to use of services rendered by Zoomcar through
its Platform. These T&Cs inter alia cover the eligibility criteria for listing/leasing of vehicles, facilitation of booking, cancellation
and incident reporting via the platform, processing of payments/refunds etc. and they further lay out the risks, rights and obligations
of the Hosts and the Guests with respect to handling of the vehicles, responsibility for damage, accident, traffic violations and/or for
any incidents in violation of applicable law.

In addition to the T&Cs,
due to regulatory requirements in India, an additional lease agreement is executed between the Host and the Guest which encompasses the
allocation of risks and responsibilities of the Hosts and Guests with respect to listing and use of the relevant vehicle. The execution
of such lease agreement is facilitated through the Zoomcar Platform in the form of a clickwrap agreement.

Given that Zoomcar operates
as a peer-to-peer carsharing marketplace which facilitates sharing of vehicles between the Hosts and Guests through its platform, the
responsibility and liability of Zoomcar under the T&Cs is limited to being a facilitator of such transaction and the obligations for
liabilities arising out of listing and/or use of the vehicle booked through the platform is on the Guests and the Hosts. The use of the
Zoomcar platform and sharing of vehicle through the platform is undertaken by the Host and Guests entirely at their own risk. Zoomcar’s
liability is further capped under the T&Cs at approximately $120 (across all jurisdictions) for any claims arising out of the use
of Zoomcar platform. However, Zoomcar, as part of the facilitation services to Hosts and Guests, also provides for trip-based vehicle
protection whereby Zoomcar collects and pools the “value-add” damage coverage fee to be applied to the costs of repairs or
other damage or loss of vehicle in the event a Host vehicle is involved in an incident, such as an accident, during a trip and this value-add
trip protection fee pool may not always help set off the damage claims. Therefore, Zoomcar often remains at a risk of residual claims
that it may have to absorb in absence of a third-party insurance. See the section titled “Risk Factors - Insurance Risks Related
to Our Business,” as our business is subject to certain risks in absence of third-party insurance cover that could have a material
impact on our business.

77

Item 1A. Risk Factors 

An investment in our securities
involves a high