Miss. court: rental firm not liable if driver lies

December 24, 2006

Rental car companies are not liable for accidents that result from their unknowingly leasing a car to a motorist who lies about having a valid driver’s license, the Mississippi Supreme Court has ruled.

The court, in a recent 5-4 decision, said if the driver presents a license that looks legal, the rental car company can use that to defend itself against damage lawsuits.

The ruling came in a lawsuit filed by Lealue and Richie Cousin against Enterprise Rent-A-Car and employee Jana Kellems. The Cousins sued Enterprise and Kellems alleging negligence for renting a car to a person who did not have a valid license.

The Cousins said state law requires persons renting a car to be “then duly licensed,” which they said meant the rental customer who hit their car had to have had a valid license at the time she rented the car.

Enterprise said it followed the law and was not negligent and by a 5-4 vote the court agreed.