Lease end Inspections:
A vehicle checkup at the end of a lease to assess wear and tear. This checkup is different than an independent mechanical inspection or Private Vehicle Inspection (PVI). The cost and location for this checkup should be in the terms of the lease or lease agreement.
Lease or Lease Agreement:
A written document setting out the conditions for the use of a vehicle. The owner of the vehicle is called the lessor. The user of the vehicle is called the lessee. The lessor may be a dealer, manufacturer, or lease company. The document outlines their legal rights and obligations including
the…
Lease Purchase Option:
A condition in a lease or lease agreement. This condition grants the lessee the right to purchase the vehicle during the term of a lease. The lessee can gain credit towards the purchase price with each lease payment.
Lemon:
A new vehicle that has major problems affecting its safety, use, or value. All 50 states in the US have lemon laws. These laws set out when a state marks a vehicle as a lemon. A vehicle history report often will tell if a car has been branded a lemon in the US. Some provinces require the branding…
Lessee:
A person who uses (rents) a vehicle owned by someone else (the lessor) under a lease or lease agreement. The lessee does not own the vehicle during the term but has the right to use the vehicle. Vehicle ownership is transferred only at time of a sale.
Lessor:
The owner of a vehicle who allows its use by another under a lease or lease agreement. The lessor may be a dealer, manufacturer, or lease company. The lessor owns the vehicle until the lessee buys it out. Before selling to the lessee, the lessor must have the vehicle inspected.
Lien Registration Fee:
A charge for documenting a lien with a record keeping company. In BC, this charge is for recording the lien with the Personal Property Security Act (PPSA). If the amount is large, it may be a loan or finance placement fee, not a lien registration fee.
Lien:
A legal claim to property that secures the payment of a debt.
Life Insurance:
Optional coverage of loan payments in the event of death.
Coverage varies from plan to plan.
Limited Warranty:
A warranty provided by a dealer. This warranty is usually a discounted rate for parts and labour. This warranty usually only applies if the vehicle is repaired at the dealership.
