Essentials to Remember When Using a Limo Service Contract Template

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Limo services don't just get passengers from point A to point B — they turn brief trips into memorable experiences. Unfortunately, limo businesses and drivers face a variety of everyday risks. These are typically addressed with help from limo service contracts.

In an effort to clarify all the components of a limo service contract, we've developed a guide that outlines everything you need to know about this important document. Below, you'll learn:

  • What Should a Limo Service Contract Include?
  • Additional Clauses to Consider Adding
  • Best Practices When Customizing a Limo Service Contract Template

What Should a Limo Service Contract Include?

Limo service contracts should be carefully tailored to meet the unique needs of each business. In most cases, however, these agreements will include the following essentials:

  • Scope of the services. To the uninitiated, it might seem easy or even unnecessary for a limo company to define its services. In reality, however, limo services are more complicated than many people realize. Some clients expect services above and beyond what drivers are able to provide. As such, services must be clearly defined within the contract, along with the expectation that additional services will cost extra.
  • Compensation details. Explain how clients will be charged for the services described in the contract. This will often involve an hourly rate, although some companies handle billing differently.
  • Health and safety assurances. Clients should feel confident that all drivers and other employers have been properly trained and are capable of safely operating the company's vehicles. The contract can help by describing precautions and the need for the limo service provider to abide by safety protocol.
  • Defaults and remedies. From no-show limos to missing payments, a variety of circumstances can cause the contract to be terminated based on material default. The agreement should describe situations that constitute default, as well as procedures for terminating the contract and seeking legal remedies. 

Additional Clauses to Consider Adding

The clauses outlined above are important, but they should not form the entirety of the contract. Beyond these, extra sections should be added as needed. The following aren't necessarily required, but they can provide extra protection for all parties involved in the contract.

  • Information about scheduling. The contract should acknowledge the need for the limo driver to arrive promptly at the requested location and at the agreed-upon time. In the event that the driver needs to show up late, this must be communicated. Additionally, the contract can include plans for compensating clients for any delays that occur.
  • Consequences for client damage. The client should take care to limit damage to the interior of the limo. If excess cleaning or repairs are required, the contract should explain that the client will cover these costs. 

Best Practices When Customizing a Limo Service Contract Template

Now that you know what a limo service contract might include, it's time to draft, review, and sign this crucial document. This process need not feel overwhelming. These best practices will ensure you make the most of your limo service contract template:

  • Review all details before signing. Double-check every aspect of the limo service contract, including clauses that seem straightforward at first glance. Small details can make a big difference if the need to enforce or terminate the contract should arise.
  • Get all details in writing. Never assume that any agreements made verbally will be honored. All handshake agreements should be captured in writing. If necessary, amend the written contract if its stipulations needed to be changed. If alterations to the contract at the time of pickup are anticipated, be sure to describe whether these changes will result in additional service charges.

The Final Step: Getting the Contract Signed

The thorough approach you've committed to when customizing your limo service contract template should continue as you get the document signed. This means utilizing a secure solution, particularly if you opt for an electronic approach. Nitro Sign is a great option, as you will discover if you sign up for our free trial.

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