2023 New York Laws › GBS - General Business › Article 40 - Peer-to-Peer Car Sharing Programs › 913 - Optional Vehicle Protection; Requirements.

§  913.  Optional  vehicle  protection;  requirements.  1.  (a)  (i) A
peer-to-peer car  sharing  program  administrator  shall  not  charge  a
separately  itemized  fee solely for optional vehicle protection, except
as follows:
(A)  the  fee  charged  by  a   peer-to-peer   car   sharing   program
administrator shall represent the administrator's good-faith estimate of
a  daily  charge,  as  calculated  by  the administrator, to recover the
actual, total annual expenses, incurred by the  administrator,  together
with  a  commercially  reasonable  allowance  for  the contractual risks
assumed by the administrator, for  the  administrator's  agreement  with
shared vehicle drivers to contractually assume liability for all or part
of  any  damage  or  loss  to  the shared vehicle during the car sharing
period;
(B) if the total amount of optional vehicle protection fees  collected
by  a  peer-to-peer car sharing program administrator under this section
in any calendar year  exceeds  the  administrator's  actual  costs,  the
administrator shall:
(1) retain the excess amount; and
(2)  adjust the estimated, average per day optional vehicle protection
fee for the following calendar year by a corresponding amount.
(ii) Nothing in this section shall prevent a peer-to-peer car  sharing
program  administrator  from  making  adjustment to the optional vehicle
protection fee during the calendar year.
(b) A peer-to-peer car sharing program administrator  shall  not  sell
optional  vehicle  protection unless the shared vehicle driver or shared
vehicle owner agrees to the purchase of such protection in writing at or
prior to the time the peer-to-peer car sharing agreement is executed.
(c) A peer-to-peer car sharing program administrator  shall  not  void
optional  vehicle  protection  contractually  assumed  from  the  shared
vehicle owner except for one or more of the following reasons:
(i) the damage or loss is caused  intentionally  or  as  a  result  of
willful, wanton, or reckless conduct of the shared vehicle driver;
(ii)  the damage or loss arises out of the shared vehicle driver's use
or operation of the  shared  vehicle  while  intoxicated  or  unlawfully
impaired by the use of alcohol or drugs;
(iii)  the peer-to-peer car sharing program administrator entered into
the peer-to-peer car sharing agreement based on fraudulent or materially
false information supplied by the shared vehicle driver;
(iv) the damage or loss arises out of the  use  or  operation  of  the
shared  vehicle  while engaged in the commission of a crime other than a
traffic infraction;
(v) the damage or loss arises out of  the  use  or  operation  of  the
shared   vehicle   to   carry   persons  or  property  for  hire,  as  a
transportation network company or TNC  vehicle  as  defined  in  article
forty-four-B  of  the  vehicle and traffic law, to push or tow anything,
while engaged in a speed contest, operating off-road,  or  for  driver's
training;
(vi)  the  damage  or  loss  arises out of the use or operation of the
shared vehicle by a person other than: (1) the  shared  vehicle  driver;
(2)  the  shared vehicle driver's spouse, child over the age of eighteen
or a parent or parent-in-law of the shared vehicle driver, provided such
spouse, child, parent or parent-in-law is properly licensed to operate a
motor vehicle and resides in the same household as  the  shared  vehicle
driver; (3) a parking valet or parking garage attendant for compensation
and  in  the  normal  course  of  employment; (4) any person who uses or
operates the  motor  vehicle  through  a  program  during  an  emergency
situation to a medical facility; or (5) any person licensed to drive who

expressly  is authorized to use or operate the motor vehicle by both the
shared vehicle owner and the peer-to-peer car sharing agreement;
(vii)  the  damage  or  loss arises out of the use or operation of the
shared vehicle outside of the United States when that use  or  operation
is   not   specifically  authorized  by  the  peer-to-peer  car  sharing
agreement; or
(viii) the shared vehicle driver or his or her spouse, child over  the
age  of  eighteen  or  a  parent  or parent-in-law of the shared vehicle
driver have failed to comply with the requirements for reporting  damage
or loss as set forth in subdivision four of this section;
(ix)   the  shared  vehicle  owner  knowingly  provided  erroneous  or
inaccurate  information  to  the  peer-to-peer   car   sharing   program
administrator  in  connection  with any reservation for which the shared
vehicle owner has agreed that the peer-to-peer car sharing program  will
contractually  assume the risk of loss for physical damage to the shared
vehicle;
(x) the shared vehicle owner fails to  submit  a  claim  for  physical
damage  in  accordance with the terms and conditions of the peer-to-peer
car sharing program agreement; or
(xi) where the shared vehicle owner fails to make the  shared  vehicle
available  for  inspection  when  a  shared vehicle driver or the shared
vehicle driver's insurer requests  to  inspect  the  shared  vehicle  in
accordance with this article.
(d) A shared vehicle driver may void optional vehicle protection prior
to  the  beginning of the car sharing period within twenty-four hours of
purchase provided that the shared vehicle driver: (i) has entered into a
peer-to-peer car sharing agreement with a term of two or more days; (ii)
appears in person before the shared  vehicle  owner  together  with  the
shared  vehicle  that  shall be subject to inspection; and (iii) signs a
cancellation form provided  by  the  peer-to-peer  car  sharing  program
administrator.
(e)  After  twenty-four hours of purchase, a shared vehicle driver may
prospectively  terminate  optional  vehicle  protection  prior  to   the
beginning of the car sharing period, provided the shared vehicle driver:
(i)  appears in person before the shared vehicle owner together with the
shared vehicle that shall be  subject  to  inspection;  (ii)  voids  the
optional  vehicle  protection  in  writing;  and (iii) pays the optional
vehicle protection charge for any full or partial day or  portion  of  a
day during which the optional vehicle protection was in effect.
2.  Subject to the provisions of subdivisions six, seven, and eight of
this section, a peer-to-peer car sharing program administrator may  hold
a  shared  vehicle  driver  liable  for  actual damage to, or loss of, a
shared vehicle, provided that:
(a) any claim for such damage shall be based on a physical  inspection
and shall be made upon the return of such shared vehicle; and
(b)  any  charge  for repair of such damage shall be limited to actual
and reasonable costs and shall be assessed  and  billed  separately  and
apart from the peer-to-peer car sharing agreement.
3.  (a) Any peer-to-peer car sharing program administrator that states
or  permits  to  be  stated  the  costs  of  a  shared  vehicle  in  any
advertisement  shall  state  conspicuously,  in  plain  language  and in
conjunction with the advertised cost of the shared vehicle and the daily
rate of the  applicable  optional  vehicle  protection,  that  the  rate
constitutes  an  additional  daily  charge to the shared vehicle driver,
that the purchase of such protection is optional, if such  rate  can  be
ascertained  at the time of purchase and that prospective shared vehicle
drivers should examine their credit card protections and  motor  vehicle
insurance policies for coverage.
(b) Where a written advertisement, including all print media, contains
the statement of the cost of the shared vehicle, the disclosure required
by  this section shall be printed in type no less than size twelve-point
font.
(c)   When   the   website  of  a  peer-to-peer  car  sharing  program
administrator or the video presentation  of  a  television  or  internet
advertisement  by  such  peer-to-peer  car sharing program administrator
contains the written statement of the cost  of  a  shared  vehicle,  the
depiction of such cost of the optional vehicle protection shall be clear
and conspicuous.
(d)  When  a  radio  advertisement  or  the  audio  presentation  of a
television advertisement contains the statement of the cost of a  shared
vehicle,   the   oral  statement  of  such  cost  shall  immediately  be
accompanied by an oral statement of the cost  of  the  optional  vehicle
protection if offered as a separately itemized product.
(e)  When  a  telephone,  internet  or other inquiry for the cost of a
shared  vehicle  is  made  to  a  peer-to-peer   car   sharing   program
administrator  that  involves  an interaction with a representative of a
peer-to-peer car sharing program administrator,  the  representative  of
such  peer-to-peer  car sharing program administrator shall, in response
to the inquiry, advise that additional optional  products  that  may  be
offered by such peer-to-peer car sharing program administrator shall not
be  included in the daily rate. If an inquiry is made regarding optional
vehicle protection, the representative shall provide  the  cost  of  the
optional  vehicle  protection  and  state  that  the  purchase  of  such
protection is optional and that the  shared  vehicle  driver's  personal
motor vehicle insurance or credit card may provide coverage.
(f)  Any  peer-to-peer  car  sharing program administrator that offers
optional vehicle protection to a shared vehicle driver shall disclose to
such driver the following information on its website:
"NOTICE: THE FOLLOWING IS A GENERAL SUMMARY OF SHARED DRIVERS'  RIGHTS
AND  OBLIGATIONS.  FOR  COMPLETE  DETAILS, REFER TO THE PEER-TO-PEER CAR
SHARING AGREEMENT. OPTIONAL  VEHICLE  PROTECTION  (OVP):  This  contract
offers,   for   an  additional  charge,  OVP  to  cover  your  financial
responsibility for damage or loss to the shared  vehicle.  OVP  is  also
commonly referred to as a "collision damage waiver". The purchase of OVP
is  optional  and  may  be declined. Before deciding whether to purchase
OVP, you may wish to determine whether your credit card,  or  the  motor
vehicle  insurance  maintained by yourself or someone in your household,
affords you any coverage for damage  to  the  shared  vehicle,  and  the
amount  of  deductible  under any such coverage. OVP - WHEN VOID: OVP is
void and shall not apply to the following situations:
1. If the damage or loss is caused as a result of the  shared  vehicle
driver's  intentional  acts; willful, wanton, or reckless conduct of the
driver; or the use or operation of the shared vehicle while  intoxicated
or unlawfully impaired by the use of alcohol or drugs;
2. The peer-to-peer car sharing program administrator entered into the
peer-to-peer  sharing  agreement based on fraudulent or materially false
information supplied by the shared vehicle driver;
3. The damage or loss arises out of the use or operation of the shared
vehicle:
(a) while engaged in the commission of a crime, other than  a  traffic
infraction;
(b) to carry persons or property for hire, as a transportation network
company or TNC vehicle as defined in article forty-four-B of the vehicle
and  traffic  law,  to  push  or  tow anything, while engaged in a speed
contest, operating off road, or for driver's training;
(c) by a person other than: (1) the shared  vehicle  driver;  (2)  the
shared  vehicle  driver's  spouse,  child  over the age of eighteen or a
parent or parent-in-law of the  shared  vehicle  driver,  provided  such
spouse, child, parent or parent-in-law is properly licensed to operate a
motor  vehicle  and  resides in the same household as the shared vehicle
driver; (3) a parking valet or parking garage attendant for compensation
and in the normal course of employment;  (4)  any  person  who  uses  or
operates  the  motor  vehicle  through  a  program  during  an emergency
situation to a medical facility; or (5) any person licensed to drive who
expressly is authorized to use or operate the motor vehicle by both  the
shared vehicle owner and the peer-to-peer car sharing agreement;
(d)  outside  of the United States when not specifically authorized by
the peer-to-peer car sharing agreement;
(e) where the shared vehicle driver, or his or her spouse, child  over
the  age of eighteen or a parent or parent-in-law of such shared vehicle
driver failed to comply with the requirements for  reporting  damage  or
loss  as  set  forth in law. OVP - DAMAGE REPORTING REQUIREMENTS: If the
shared vehicle sustains damage or loss, the  shared  vehicle  driver  is
required  to  complete  and  return  an  incident  report  notice to the
peer-to-peer car sharing program administrator. OVP - RIGHT  TO  INSPECT
VEHICLE  DAMAGES:  The shared vehicle driver and his or her insurer have
the right to request an inspection of the shared vehicle damages  within
seventy-two  hours  of  the return of the vehicle. Failure of the shared
vehicle driver or his or her insurer to request such  inspection  within
seventy-two  hours  of return shall be deemed a waiver of such person or
entity's right to inspect the  damaged  vehicle.  THEFT  OF  THE  SHARED
VEHICLE:  If  the  shared  vehicle  is  stolen  during  the  term  of  a
peer-to-peer car sharing agreement, a shared vehicle driver must  report
the  theft of the shared vehicle to the peer-to-peer car sharing program
administrator and a  law  enforcement  agency  within  twelve  hours  of
learning of such theft."
(f)  The  following disclosure notice shall be made on the face of the
peer-to-peer car sharing agreement either by stamp, label or as part  of
the  written  contract  or on any other written document provided to the
shared vehicle driver upon execution of such contract, and shall be  set
apart  in  boldface type and in no smaller print than twelve-point font:
"NOTICE: This agreement  offers,  for  an  additional  charge,  optional
vehicle  protection to cover your financial responsibility for damage or
loss to the shared vehicle. The purchase of optional vehicle  protection
is  optional  and may be declined. You are advised to carefully consider
whether to purchase this protection if you  have  coverage  provided  by
your  credit  card or motor vehicle insurance policy that will cover the
shared vehicle. Before deciding whether  to  purchase  optional  vehicle
protection,  you  may wish to determine whether your credit card or your
motor vehicle insurance affords you coverage for damage  to  the  shared
vehicle and the amount of deductible under such coverage."
(g)  The  peer-to-peer  car  sharing  agreement  shall also include in
boldface type and in no smaller print than  twelve-point  font  and,  in
plain language, the conditions and exclusions set forth in paragraph (c)
of  subdivision  one  of this section. Upon identification by the shared
vehicle owner or the peer-to-peer car sharing program  administrator  of
damage  to  the  shared  vehicle,  such peer-to-peer car sharing program
administrator shall inform such shared vehicle  driver  of  his  or  her
right  to  inspect  the  vehicle, and the procedures and time-frames for
doing so, pursuant to paragraphs (b) and (c) of subdivision five of this
section.
4. (a) Upon identification of damage by the shared  vehicle  owner  or
peer-to-peer  car sharing program administrator at the time of return of

the  shared  vehicle,  termination  of  the  peer-to-peer  car   sharing
agreement,  or  within ten days if an inspection for damage is precluded
because  the  shared  vehicle  is  returned  by   automation,   returned
after-hours,  or  recovered  by the shared vehicle owner or peer-to-peer
car sharing program administrator, the peer-to-peer car sharing  program
administrator  shall  furnish  an  incident  report  form  and a notice,
pursuant to this subdivision, of the obligation of  the  shared  vehicle
driver  to  execute  and  return to the peer-to-peer car sharing program
administrator a complete and accurate  incident  report  describing  any
physical  and/or mechanical damage. If the shared vehicle is returned by
automation, returned after-hours, or recovered  by  the  shared  vehicle
owner  or  peer-to-peer car sharing program administrator, such incident
report form and notice shall be mailed by overnight delivery service  or
certified  mail,  return  receipt  requested,  and  another copy of such
notification shall be sent by regular mail. The peer-to-peer car sharing
program administrator shall  retain  a  copy  of  such  notice  and  the
certified mail return receipt for a period of six years.
(b)  Within  seventy-two  hours of receipt of the incident report form
and notice, either the shared vehicle driver or his or her insurer shall
notify  or  send  notice  to  the  peer-to-peer  car   sharing   program
administrator  that either he, she, or the insurer wishes to inspect the
damaged vehicle. If the shared vehicle driver or his or her insurer does
not  notify  or  send  a  request  for  this   inspection   within   the
seventy-two-hour period, he, she, or the insurer shall be deemed to have
waived such right.
(c) If the shared vehicle driver shall decline or fail to complete and
return  the  incident  report required pursuant to paragraph (a) of this
subdivision, the peer-to-peer car sharing program  administrator  shall,
no  sooner  than  ten days after the mailing of notification pursuant to
such paragraph (a), mail another copy of the  incident  report  together
with  a  letter  stating  that the shared vehicle driver has declined or
otherwise failed to  complete  and  return  the  incident  report.  Such
mailing shall be by overnight delivery service or certified mail, return
receipt  requested,  and  another  copy  of such notification by regular
mail, with proof of mailing by production of a  certificate  of  mailing
from  the  post office. When a request to inspect the vehicle shall have
been timely made by the shared vehicle driver or his or her insurer, the
inspection shall be completed within seven days of such request. If  the
peer-to-peer  car  sharing  program administrator determines the damaged
vehicle to be a total loss and subject to salvage, such seventy-two hour
period for notification or waiver of the wish  to  inspect  the  damaged
vehicle  shall  not  apply,  and the shared vehicle driver or his or her
insurer shall have ten business days from the  shared  vehicle  driver's
receipt  of  notification  from  the  peer-to-peer  car  sharing program
administrator pursuant to paragraph (a) of this subdivision  to  inspect
the damaged vehicle, which shall be made available by the shared vehicle
owner.  Within  the  limits provided in this paragraph, the peer-to-peer
car sharing program administrator shall identify the  repairer  of,  and
provide  access  to,  the damaged vehicle, in order to verify the nature
and  extent  of  damages,  repairs  and  repair  costs,  and/or   repair
estimates.
(d)  All  notices shall be mailed to the address of the shared vehicle
driver as stated on his or her license, or other address  as  designated
by him or her in the peer-to-peer car sharing agreement.
(e)  The  shared vehicle driver shall complete and return the incident
report required by paragraph (a) of this subdivision within ten days  of
the receipt of the notice required by such paragraph.
(f)  The  notice  required  by  this  subdivision shall be in at least
twelve-point bold face type and shall contain the statement: "Failure to
completely and accurately fill out and return an incident report  within
ten  days  of  receipt of this notice may make the shared vehicle driver
liable  for  damages  sustained  to the shared vehicle. Except where the
damaged vehicle is determined to be a total loss and subject to salvage,
the shared vehicle driver or his or her insurer  has  seventy-two  hours
from  the  return  or recovery of the vehicle to notify the peer-to-peer
car sharing program administrator that he or she wishes to  inspect  the
damaged vehicle. The inspection shall be completed within seven business
days  of  the request to inspect the shared vehicle. If the peer-to-peer
car sharing program administrator does not receive notification from the
shared vehicle driver or his or her insurer requesting  such  inspection
within the seventy-two-hour period, the shared vehicle driver and his or
her   insurer  will  be  deemed  to  have  waived  this  right.  If  the
peer-to-peer car sharing program administrator  determines  the  damaged
vehicle to be a total loss and subject to salvage, such seventy-two-hour
period  for  notification  or  waiver of the wish to inspect the damaged
vehicle shall not apply, and such right to inspect the  damaged  vehicle
shall  expire ten business days from the shared vehicle driver's receipt
of this  notice  from  the  peer-to-peer  car  sharing  company  program
administrator.  Upon  request of the shared vehicle driver or his or her
insurer, we will provide a copy of  the  professional  estimate  of  the
costs  of  repairing  the  damaged  motor  vehicle." Information that is
provided in response to a request by a peer-to-peer car sharing  program
administrator,  but  that  is  not  provided on an incident report form,
shall satisfy any reporting obligation of a  shared  vehicle  driver  if
such response substantially complies with the applicable requirements of
this  section.  If  additional information is reasonably required by the
peer-to-peer car sharing program administrator in order  to  adjust  any
claim  of  loss, same shall be requested of the shared vehicle driver as
soon as reasonably practicable, who shall respond to  same  as  soon  as
reasonably practicable.
(g)  (i) For purposes of this subdivision, each of the following shall
constitute an "incident report form":
(A) a motor vehicle accident report pursuant to  section  six  hundred
five of the vehicle and traffic law; or
(B)  any  similar  appropriate  form furnished by the peer-to-peer car
sharing program administrator.
(ii) An incident report form described in clause (B)  of  subparagraph
(i) of this paragraph:
(A)  shall  be sent or given to a shared vehicle driver with a request
that he or she provide information pursuant to this  section  concerning
damage to a vehicle possessed by a shared vehicle driver; and
(B)  such  form  may  also  be made available as a fill-in form on the
peer-to-peer car sharing program administrator's website, and the shared
vehicle driver shall be advised of the availability  of  such  web-based
fill-in form when a request for incident information is made pursuant to
this subdivision.
(h) If the shared vehicle driver is physically incapable of completing
the report, the requirements of this subdivision shall lapse until after
he  or she is able to complete the report and is notified that he or she
shall complete and return the report as required  by  paragraph  (b)  of
this subdivision.
(i) The peer-to-peer car sharing program administrator shall, at least
twenty  days  prior  to  commencing an action against the shared vehicle
driver, provide him or her an additional  opportunity  to  complete  and
submit  the  incident  report  by  providing a second notice, along with

another  incident  report  form,  by  certified  mail,  return   receipt
requested,  and  another  copy of such notice and report form by regular
mail, with proof of mailing by production of a certificate  of  mailing.
If such shared vehicle driver sends the peer-to-peer car sharing program
administrator  a  completed  incident  report within fifteen days of the
receipt of the notice, the  provisions  of  this  subdivision  shall  be
deemed satisfied.
5.  (a)  A  peer-to-peer  car sharing program administrator may hold a
shared vehicle driver liable to the extent permitted under this  section
for  physical  or  mechanical  damage  to the shared vehicle that occurs
during the time the  shared  vehicle  is  used  or  operated  under  the
peer-to-peer  car  sharing  agreement;  provided, however, that a shared
vehicle driver shall not be liable for  any  normal  wear  and  tear  or
mechanical  damage  that could reasonably be expected from normal use or
operation of the vehicle. For the purposes of this subdivision, the term
"normal wear and tear" shall mean the deterioration of the condition  of
the  vehicle  or  its component parts due to repetitive use and does not
include damage that materially diminishes the value of the  vehicle  and
arises from a specific occurrence or accident during the time the shared
vehicle  is  subject  to the peer-to-peer car sharing agreement; and the
term "actual and reasonable costs" shall mean the  cost  to  repair  the
shared  vehicle  including all discounts and price adjustments available
to the peer-to-peer car sharing program administrator and shall  include
costs for towing, storage, and impound fees where applicable.
(b) The total liability of a shared vehicle driver under paragraph (a)
of  this subdivision for damage to a shared vehicle shall not exceed the
lesser of:
(i) the actual and reasonable costs that the peer-to-peer car  sharing
program  administrator  incurred to repair the motor vehicle or that the
peer-to-peer car sharing program administrator would  have  incurred  if
the  motor vehicle had been repaired, which shall reflect any discounts,
price reductions, or  adjustments  available  to  the  peer-to-peer  car
sharing program administrator; or
(ii)  the  fair  market value of the shared vehicle immediately before
the damage occurred, as determined in  the  applicable  market  for  the
retail sale of the shared vehicle, less any net disposal proceeds.
(c) The total liability of a shared vehicle driver under paragraph (a)
of  this  subdivision  for  loss  of  a  shared vehicle shall not exceed
reasonable costs  incurred  by  the  peer-to-peer  car  sharing  program
administrator  for  such  loss due to theft of such shared vehicle up to
its fair market value, as determined by the applicable  market  for  the
retail  sale  of  such  vehicle  if  it  is established that such shared
vehicle driver committed, or aided or abetted in the commission of,  the
theft of such shared vehicle.
(d)  Damages  incurred  for  the  loss of use or operation of a shared
vehicle and related administrative fees shall not be recovered from  any
shared vehicle driver or his or her insurer.
(e)  A peer-to-peer car sharing program administrator shall not hold a
shared vehicle driver liable for any amounts that the  peer-to-peer  car
sharing program administrator recovers from any other party.
(f) A peer-to-peer car sharing program administrator shall not collect
or  attempt  to  collect  the  amount described in paragraph (b) of this
subdivision unless the peer-to-peer car sharing program administrator:
(i) obtains an estimate from a repair company or an appraiser  in  the
business  of  providing  such appraisals regarding the cost of repairing
such shared vehicle;
(ii) provides a copy of such estimate and photographic  evidence  upon
request to such shared vehicle driver, as applicable who shall be liable

under  paragraph (a) of this subdivision, and the insurer of such shared
vehicle driver; and
(iii)  submits  a  copy of such estimate with any claim to collect the
amount described in paragraph (b) of this subdivision.
(g) A claim against a shared vehicle driver resulting from  damage  or
loss  to  a  shared vehicle shall be reasonable and reflect the value of
the actual damage or loss incurred. A peer-to-peer car  sharing  program
administrator shall mitigate damages where possible and shall not assert
or  collect  any  claim  for  physical  damage  which exceeds the amount
authorized under paragraph (b) of this subdivision.
(h) If insurance coverage exists under an applicable insurance  policy
of  the  shared  vehicle  driver,  such  driver  may  require  that  the
peer-to-peer car sharing program administrator submit any claims to such
driver's insurance carrier. Upon the request of a shared vehicle driver,
the peer-to-peer car sharing  program  administrator  shall  submit  any
claims to such driver's insurance carrier and shall not make any written
or  oral  representations to the contrary, nor shall it make any written
or oral representations that it shall not negotiate with  such  driver's
insurance carrier.
6. (a) No peer-to-peer car sharing program administrator shall collect
or  charge any security deposit by credit card, debit card or otherwise,
for damages to a shared vehicle or  report  the  debt  to  any  consumer
reporting agency, as defined in subdivision (e) of section three hundred
eighty-a  of  this  chapter,  during  the  term  of the peer-to-peer car
sharing program agreement, pending resolution of any dispute,  or  prior
to obtaining judgment in a court of competent jurisdiction.
(b)  No peer-to-peer car sharing program administrator shall require a
deposit or an advance charge against the credit card or debit card of  a
shared  vehicle  driver,  in  any  form, for damages to a shared vehicle
which is in the shared vehicle driver's possession or control.
(c) No peer-to-peer car sharing program administrator shall collect or
charge any payment from a shared vehicle driver for damage to  a  shared
vehicle  upon return or recovery of such vehicle in a damaged condition,
until after the cost  of  the  damage  to  such  vehicle  and  liability
therefor  is  agreed  to  between  such peer-to-peer car sharing program
administrator and a shared vehicle driver or his or her insurer,  or  is
determined pursuant to law or peer-to-peer car sharing program agreement
provisions  consistent with law and the rights and obligations set forth
in this section, unless there is proof corroborating that the damage did
not exist prior to the reservation and the damage  is  appraised  by  an
independent   third-party   appraiser;   provided,   however,   that   a
peer-to-peer car sharing program administrator  is  not  precluded  from
presenting  a  claim  to  a shared vehicle driver and his or her insurer
pursuant to other provisions of this section.
(d) Causes of action concerning the existence of, liability  for,  and
extent  and  cost of damage to such vehicle shall, where appropriate, be
commenced by a peer-to-peer car sharing program administrator in a court
of competent  jurisdiction,  in  accordance  with  the  limitations  and
jurisdiction  of  the  appropriate  court act, provided the claimant has
first mailed a demand letter. A demand letter sent by  the  peer-to-peer
car  sharing  program  administrator  pursuant  to  this paragraph shall
contain: (i) the name and post office address of such  peer-to-peer  car
sharing  program  administrator,  and  of its attorney, if any; (ii) the
nature of such claim; (iii) the time  when,  the  place  where  and  the
manner  in  which  such claim arose, if known, or if not known, the time
when and place where the damage was discovered  by  the  shared  vehicle
owner  or  peer-to-peer  car sharing program administrator; and (iv) the
items of damage or injuries claimed to have been sustained,  accompanied

by   supporting  documentation,  such  as  repair  bills,  invoices  and
estimates in the possession of or available  to  such  peer-to-peer  car
sharing  program  administrator. Such demand letter shall be served upon
such shared vehicle driver and his or her insurer in a manner reasonably
designed  to  give actual notice, via regular and certified mail, return
receipt  requested.  Nothing   contained   herein   shall   prohibit   a
peer-to-peer  car  sharing  program  administrator  and a shared vehicle
driver or his or her insurer from entering into  an  agreement  after  a
claim of loss to submit the matter to arbitration or mediation.
7.  No  peer-to-peer  car sharing program administrator shall hold any
shared vehicle driver liable for any damage to, or  loss  of,  a  shared
vehicle,  as  provided  by  this  section,  unless such peer-to-peer car
sharing program prominently discloses, in the peer-to-peer  car  sharing
agreement,  in  at  least twelve point bold face display, the nature and
extent of such liability and such driver's rights  and  responsibilities
pursuant  to  paragraph  (c)  of  subdivision  one  of  this section and
paragraph (f) of subdivision three of this section.
8. A shared vehicle driver shall provide notice  to  the  peer-to-peer
car sharing program administrator and appropriate law enforcement agency
immediately upon learning of the theft of a shared vehicle.