Opinion ID: 427313
Heading Depth: 3
Heading Rank: 1

Heading: Types of Leases

Text: 6 Suburban offers a wide variety of leases to applicant drivers. Drivers may contract for different periods ranging from eight hours, 24 hours, a weekend, or an entire week. Drivers may also extend their leases for extra hours. One newsletter to drivers described the range of available leases as follows: 7 We now have lease rates available to suit everyone's needs: 8 Day Lease from 6:00 a.m.-6:00 p.m. Short a.m. I Lease 6:00 a.m.-12:00 noon 9 Short a.m. [p.m.] II Lease 12:00 noon-6:00 p.m. Dog Lease 12:00 mid-12:00 noon Dog Lease 12:00 noon-12:00 mid 10 Extra Hours 3.00 hr. 11 And our new Single Shift Lease 6:00 a.m. to 6:00 p.m. 24 hrs. 12 Did you know that you can lease a fully equipped new Yellow Taxi with radio for $202.00 for the entire week? Why bother owning that second car, paying the insurance and maintenance on it, when you could be driving a fully insured, fully maintained Yellow for $202.00 a week? 13 Newsletter from J. Feldman, Suburban (undated) (JA 215). 14 Rates vary according to season and time of day. One announcement to drivers stated: The rates for fall are as follows: 15 Single shift $35.00 per day, $202 per week Days 25.00 per day Nights 20.00 per night Weekend Special 50.00 Saturday & Sunday 16 Remember, the more days you lease the smaller your rate is. 17 Letter from Minneapolis-Yellow to Lessees at 2 (Oct. 3, 1977) (JA 210). 18 A wider selection of leases can scarcely be imagined. The available rental periods vary greatly. Extra hours may be added. Suburban is not obligated to renew or extend the term of the lease. Lessees are not required to account for the amount of fares collected, Tr. 132 (J.A. 227), or to accept any calls other than those the lessee may agree to accept. Tr. 34 (JA 95). Drivers are not restricted to any particular area, required to stand at any specified place, or assigned any particular lease periods. 19 In return for the leasing fee, which is paid when the lease agreement is signed, the lessee receives a fully equipped, licensed cab furnished with a meter and radio dispatch equipment (and the right to use the radio dispatch service), liability insurance, tires, anti-freeze, free towing service within 50 miles of Suburban's garage, and repair service for all damages determined not to be the driver's fault and for all damages in excess of the driver's posted bond. 7 The cabs bear the logo Suburban Yellow Taxi, and the driver obtains the right to use Suburban's name and good will. He may not change the trade name. Article 7 of the lease agreement provides: 20 The relationship of employer-employee or principal-agent does not exist and is not intended to exist by either party to this lease. Instead, only a lease exists. Specifically: 21 a. Lessee's compensation is not guaranteed. All income derived from the use of the Taxicab by Lessee is the sole property of Lessee. 22 b. Lessee is at all times free from right of control and direction of Lessor in the operation of the Taxicab, or while the same is in Lessee's possession, and Lessor shall not exercise or attempt to exercise any supervision over the service performed by Lessee. Any rates of fare suggested by Lessor which are not regulated by law, ordinance or governmental rules or regulations are merely for the information of Lessee and Lessee is not obligated to charge such rates. [The municipalities regulate taxi cab rates]. 23 c. Subject to compliance with [the law and existing regulations], Lessee shall not be required by Lessor to operate the Taxicab in any prescribed manner or accept any calls other than those which Lessee may of Lessee's volition agree to accept. 24 d. Lessee shall not be required to report the location or whereabouts of the Taxicab at any time during the lease period. 25 e. Lessee shall not be required to account to Lessor in writing or otherwise for any amounts collected from passengers. Lessee shall not be required to furnish Lessor any trip sheet or other record of Lessee's activities unless required by applicable law, ordinance or governmental rules or regulation, except for information relating to accidents or relating to the defense of any claims or suits against Lessor. 26 f. Subject to compliance with the provisions of [applicable law], Lessee shall not be restricted in any manner as to the area in which Lessee may operate the Taxicab. 27 g. Lessee shall not be required to have the Taxicab remain in any specified place or operated for any minimum number of hours during the lease term. 28 This agreement constitutes the entire agreement of the parties with respect to the subject matter hereof and may not be modified except in writing signed by Lessee and an Officer of Lessor. 29 Sample Lease, supra note 5, at 1 (JA 197). In addition, lessees may use the cab for pleasure and for personal business. See Tr. 186, 285 (JA 124, 147); Sample Lease, supra note 5, p 7b (JA 197).