§ 105-449.42A. Leased motor vehicles.

§105‑449.42A.  Leased motor vehicles.

(a)        Lessor in LeasingBusiness. – A lessor who is regularly engaged in the business of leasing orrenting motor vehicles without drivers for compensation is the motor carrierfor a leased or rented motor vehicle unless the lessee of the leased or rentedmotor vehicle gives the Secretary written notice, by filing a report orotherwise, that the lessee is the motor carrier. In that circumstance, thelessee is the motor carrier for the leased or rented motor vehicle.

Before a lessee gives theSecretary written notice under this subsection that the lessee is the motorcarrier, the lessee and lessor must make a written agreement for the lessee tobe the motor carrier. Upon request of the Secretary, the lessee must give the Secretarya copy of the agreement.

(b)        IndependentContractor. – The lessee of a motor vehicle that is leased from an independentcontractor is the motor carrier for the leased motor vehicle unless either ofthe following applies:

(1)        The motor vehicle isleased for fewer than 30 days.

(2)        The motor vehicle isleased for at least 30 days and the lessor gives the Secretary written notice,by filing a report or otherwise, that the lessor is the motor carrier.

If either of these circumstancesapplies, the lessor is the motor carrier for the leased motor vehicle.

Before a lessor gives theSecretary written notice under subdivision (2) that the lessor is the motorcarrier, the lessor and lessee must make a written agreement for the lessor tobe the motor carrier. Upon request of the Secretary, the lessor must give theSecretary a copy of the agreement.

(c)        Liability. – Anindependent contractor who leases a motor vehicle to another for fewer than 30days is liable for compliance with this Article and the person to whom themotor vehicle is leased is not liable. Otherwise, both the lessor and lessee ofa motor vehicle are jointly and severally liable for compliance with thisArticle. (1983, c. 29, s. 3; 1985 (Reg. Sess., 1986), c. 826,s. 11; 1991, c. 487, s. 5; 1991 (Reg. Sess., 1992), c. 913, s. 9.)