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Fleet Service AgreementWritten by Rizwan Butt
-----------------, referred to as GARAGE, and -----------------,
referred to as FLEET OWNER, agree:
GARAGE shall provide regular maintenance and repair services for FLEET OWNER for a period beginning on and terminating on .
FLEET OWNER operates the following types of vehicles:
GARAGE shall perform all regularly scheduled mechanical maintenance as is provided for severe-commercial service for the vehicles in their manufacturers manuals. FLEET OWNER shall deliver all vehicles to GARAGE within ___ miles of the scheduled intervals for service. GARAGE shall perform regularly scheduled minor mechanical service within 1/2 working day from delivery, and any scheduled major service within 1 working day from delivery including provision
of oil, filters and other parts specified for scheduled service. GARAGE shall maintain complete records of all service performed and shall retain these records for a period of two years after performance and shall permit inspection of the same by FLEET OWNER at all reasonable times.
Unless otherwise provided, tires and batteries shall be separately billed as required.
For the performance of the regularly scheduled service, FLEET OWNER shall pay $ ( dollars) for each minor service, and $ ( dollars) for each major service.
GARAGE will provide major and unscheduled maintenance as required by vehicle needs. GARAGE shall bill for service as required using the Chilton manual for labor, and obtaining all parts from at their most advantageous rate. FLEET OWNER shall pay directly for parts. GARAGE shall charge a rate of $ ( dollars) per hour for such service.
As to all services provided herein, GARAGE shall give first priority to the work of FLEET OWNER.
Unless delayed by the unavailability of parts, or by force majeure, in the event that GARAGE fails to perform major or minor service in the time specified herein, GARAGE owner agrees to pay as liquidated damages, and not as a penalty, 50% of the average rental rate of the type of vehicle out of service per half day delay and 90% of the average rental rate per full day of delay to FLEET OWNER. The average rental rate shall be determined by obtaining the maximum allowance permitted by the United States of America for its employees for such vehicles in the same city. Such liquidated damages shall be deducted from the next monthly billing by GARAGE.
GARAGE shall at all times maintain garage keepers liability insurance in a minimum amount of $ ( dollars ) with a carrier reasonably acceptable to FLEET OWNER.
All services shall be billed monthly. FLEET OWNER pay any applicable sales or use taxes.
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