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When considering a new vehicle, many potential buyers find that a test drive is an essential step in the decision-making process. A Test Drive form serves as a formal agreement between the dealership and the customer, outlining the terms and conditions under which the test drive will occur. This document captures important details such as the dealership name, salesperson, and customer information, ensuring clarity and accountability. It also requires the customer to provide their driver’s license information and insurance details, confirming that they are legally permitted to operate the vehicle. Key stipulations include mileage limits, the timeframe for returning the vehicle, and the obligation to report any incidents that may occur during the test drive. Furthermore, the form emphasizes the importance of inspecting the vehicle for visible damage before taking it out. Customers must understand their responsibilities, including the potential financial liabilities for any damage incurred while the vehicle is in their possession. By signing the Test Drive form, customers acknowledge that the vehicle remains the property of the dealership and agree to adhere to all outlined terms, ensuring a smooth and secure experience for both parties involved.

Test Drive Preview

TEST DRIVE AGREEMENT

Dealership Name:

 

 

 

 

 

 

 

 

 

 

Salesperson:

 

Customer Name(s):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Street Address:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Home Telephone:

 

 

 

 

 

 

 

 

Work Telephone:

 

Driver’s License#:

 

 

 

 

 

Issuing State:

 

 

 

 

Expiration Date:

 

Insurance Company:

 

 

 

 

Agent:

 

 

 

 

 

 

 

Telephone:

 

Vehicle Year:

 

 

Make:

 

Model:

 

 

VIN:

 

I have requested that the Dealership permit me to test drive the above-described vehicle. I understand that the Dealership is permitting me to test drive the vehicle subject to the following terms and conditions:

1.I have a valid driver’s license to operate a motor vehicle in this state and I presently have in effect collision and liability insurance that meets or exceeds the minimum state requirements and applies to the vehicle during the time that it is in my possession or under my control.

2.I cannot drive the vehicle more than ________ miles and must return the vehicle to the Dealership by ________ a.m./p.m., or earlier if demanded by the Dealership, in the same condition as I received it. I cannot remove the vehicle from this state or use the vehicle negligently or contrary to law. I will not permit any other person to operate the vehicle, other than those listed in the Comments below.

3.I must immediately report any damage, accident, theft or vandalism involving the vehicle to the police, the Dealership and my insurance company and deliver to the Dealership all notices, pleadings and documents regarding any claim, suit or proceeding related to my use, possession or control of the vehicle. I must also report to the Dealership and pay any parking or other traffic violation fines and penalties arising out of my use, possession or control of the vehicle.

4.I have personally inspected the vehicle and found it free from any visible damage and/or defects, except as otherwise noted in the comments below. I must pay for any loss or damage to the vehicle that occurs while the vehicle is in my possession or control, plus the Dealership’s related expenses. In addition, I agree to defend, indemnify and hold harmless the Dealership from and against any and all losses, liabilities, damages, injuries, claims, demands, costs and expenses arising out of my use, possession or control of the vehicle and any breach of my responsibilities as set forth in this Agreement.

5.If I am in breach of this Agreement or fail to return the vehicle to the Dealership as required by this Agreement, I will be required to pay all expenses incurred by the Dealership to have the vehicle returned and the Dealership, or any of its agents or employees, may peacefully retake possession of the vehicle. The Dealership shall not be liable for loss of or damage to any property that I may have left in the vehicle, either before or after its return to the Dealership.

COMMENTS:

DATE OUT:

 

TIME OUT:

 

a.m./p.m. ODOMETER READING OUT:

By signing below, I acknowledge that the vehicle is the property of the Dealership and this Agreement is solely for the purpose of allowing me to use the vehicle as permitted by the terms and conditions stated herein.

Customer

Date

Authorized Dealership Representative

Date

 

 

 

 

 

 

 

For Office Use Only:

 

 

 

 

 

Checked In By:

 

 

On:

 

At: ______________ a.m./p.m.

Odometer Reading:

 

Comments:

Common mistakes

  1. Failing to provide a valid driver's license number. This is essential for verifying the applicant's ability to legally operate a vehicle.

  2. Omitting the expiration date of the driver's license. This information is critical to ensure the license is current and valid.

  3. Not including insurance information. The form requires details about the insurance company and agent, which are necessary for liability coverage during the test drive.

  4. Leaving the mileage limit blank. This detail is important to set boundaries on how far the vehicle can be driven during the test.

  5. Failing to specify the return time. The dealership needs to know when to expect the vehicle back to manage their inventory effectively.

  6. Not noting any visible damage on the vehicle in the comments section. This protects both the customer and the dealership from disputes regarding pre-existing conditions.

  7. Neglecting to provide the odometer reading at the time of departure. This is essential for tracking the distance driven during the test.

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Dos and Don'ts

When filling out the Test Drive form, there are important guidelines to follow. Here is a list of things you should and shouldn't do:

  • Do provide accurate information for all fields, including your name, address, and contact numbers.
  • Do ensure that your driver's license number and issuing state are correct.
  • Do confirm that you have valid insurance that meets state requirements before signing the form.
  • Do read all terms and conditions carefully to understand your responsibilities during the test drive.
  • Don't allow anyone else to drive the vehicle unless they are listed in the comments section.
  • Don't forget to note any visible damage on the vehicle before taking it for a test drive.
  • Don't exceed the mileage limit specified on the form or keep the vehicle longer than agreed.

Misconceptions

Misconceptions about the Test Drive form can lead to misunderstandings and potential liabilities. Here are six common misconceptions:

  • Anyone can drive the vehicle. Many believe that any person can take the test drive. However, only those listed in the Comments section are permitted to operate the vehicle.
  • Insurance coverage is not necessary. Some think that insurance is optional. In reality, you must have valid collision and liability insurance that meets state requirements during the test drive.
  • There are no mileage limits. It’s a common belief that you can drive the vehicle as far as you want. The form specifies a maximum mileage that must be adhered to.
  • Returning the vehicle is flexible. Many assume they can return the vehicle at their convenience. The form states that the vehicle must be returned by a specified time, or earlier if requested by the dealership.
  • Damage during the test drive is not your responsibility. Some people think that any damage incurred will be covered by the dealership. This is incorrect; you are responsible for any loss or damage while the vehicle is in your possession.
  • Reporting incidents is optional. There’s a misconception that reporting accidents or damage is not required. In fact, you must immediately report any incidents to the dealership, police, and your insurance company.

Detailed Guide for Using Test Drive

Filling out the Test Drive form is a straightforward process. Follow these steps to ensure you provide all necessary information accurately. This will help facilitate your test drive experience smoothly.

  1. Begin by entering the Dealership Name at the top of the form.
  2. Next, write down the name of the Salesperson assisting you.
  3. Fill in your Customer Name(s) as it appears on your identification.
  4. Provide your Street Address for contact purposes.
  5. List your Home Telephone and Work Telephone numbers.
  6. Input your Driver’s License# along with the Issuing State and Expiration Date.
  7. Enter the name of your Insurance Company, your Agent, and their Telephone number.
  8. Fill in details about the vehicle: Vehicle Year, Make, Model, and VIN.
  9. Review the terms and conditions carefully, ensuring you understand your responsibilities.
  10. In the COMMENTS section, note any visible damage or defects you observed during your inspection of the vehicle.
  11. Specify the DATE OUT and TIME OUT for the test drive, along with the ODOMETER READING OUT.
  12. Finally, sign and date the form at the bottom to acknowledge your agreement to the terms.