Memorandum of Employee Automobile Expense Allowance
WHEREAS, The employee whose signature appears below agrees to furnish his own automobile to perform his duties hereunder and shall keep it maintained and repaired in good driving condition; and
WHEREAS, for the employee's benefit, the employee shall maintain insurance on the automobile in at least the following amounts: Bodily injury liability, _______ Dollars ($_______) for each person injured, _________ Dollars ($_______) for each occurrence; property damage liability __________ Dollars ($_______) for each accident; ___________ Dollars ($_______) deductible comprehensive coverage, __________ Dollars ($_______); _________ Dollars ($_______) deductible collision coverage at fair market value; and
WHEREAS, a certification of the employee's insurance showing those coverages will be filed by the employee with the company; and
WHEREAS, all of the requirements of this section shall be complied with at the employee's cost.
NOW THEREFORE, In consideration of the above, the company shall pay the employee _______ Dollars ($_______) per week for the use of his automobile during the period from __________, 20__, to __________, 20__. Those payments shall be charged to the employee's account as an automobile allowance. The payments shall be made weekly, but neither the payments nor this agreement shall make the company the owner, bailee or lessee of
said automobile, nor shall the company be responsible for any damage to the automobile.
___________________________
Employer
___________________________
Employee
