Excess Wear & Tear FAQ

Is my leasing company entitled to charge me for excess wear and tear on my vehicle?

The short answer is yes, they can. Pursuant to New York law, and the Lease Agreement you executed upon the commencement of your lease, you can be charged for damage to the vehicle that exceeds ordinary wear and tear. We do find, however, that these charges are often unfair. Thankfully, there are many procedural rules that the leasing companies must comply with, and even assuming those procedural rules are indeed complied with (they often are not - resulting in an entire waiver of the charge), you are entitled to contest the actual amount of the damages. Starting that dispute process in a timely manner raises additional procedural requirements upon the leasing companies, which they often cannot, or choose not to comply with (resulting in an entire waiver of the charge).

What types of damage constitute 'excess wear and tear'.

We often see excess wear and tear charges for alleged body damage, scratches, scrapes, mismatched tires, insufficient tire tread, and stains. You can also be charged for mechanical defects that were not repaired prior to culmination of the lease.

How might your office be able to help me with my excess wear and tear charges?

The first thing we do is collect all of the pertinent information and documentation so that we can make sure that the leasing company complied with it's procedural requirements. It never ceases to amaze us how these large financial institutions can find ways to violate even the most basic requirements of New York law. Assuming that there were no procedural mistakes, we assess whether the charges might be disputed on substantial grounds. If so, we can have the vehicle appraised, and dispute the charges on those grounds. We send notice of the claim to the leasing company and attempt to resolve it voluntarily. If we cannot obtain an amicable resolution, we file for an arbitration through the New York State Attorney General's Office's Excess Wear & Tear Arbitration Program.

I was only charged a few hundred dollars for excess wear and tear. Will you take my case?

We accept cases involved excess wear and tear (inclusive of sales tax) of $500.00 or more.

What type of results do you typically achieve for your clients?

While prior results do not guarantee a similar outcome, we are certainly proud of our record. We can unequivocally state that in most cases the entire charge is waived voluntarily by the leasing company prior to an arbitration hearing.

What will I be charged for your services?

We charge 33.33% of any reduction in excess wear and tear charges (inclusive of sales tax) that we achieve for you. We also charge for reimbursement of our actual expenses, including arbitration filing fees and postal charges. In no event would our fee plus expenses exceed the total amount of money that we save you. Thus, there is absolutely no risk to you. We are not paid unless we get you results.

How much time do I have to commence an excess wear and tear dispute?

This is a very important question. The statute that we utilize contains very strict time limits in a number of different areas. In most instances we would need you to contact us within days after receiving your excess wear and tear bill in order to ensure that we can properly handle your case.

Should I pay the excess wear and tear charges before the dispute process is completed?

You should not. New York law specifically prohibits the reporting of an unsatisfied claim for excess wear and tear to a credit reporting agency until the expiration of the consumer's legal right to challenge the claim. If a leasing company were to make a derogatory report they could be liable for damages. We typically instruct our clients not to make any excess wear and tear payments. However, you should make any remaining lease payments, and any payments related to excessive mileage (so long as those charges are accurate).

How do I start the dispute process?

You can call us at 516-780-0679 for a free consultation, or use the Case Evaluation Form on our web site.

What documents will you ask me to provide?

First and foremost, we will want to see the bill for excess wear and tear from the leasing company. Additionally, we will want a copy of the front and back of the envelope that the bill came in, to see exactly when it was mailed (and if sent with a tracking number, when it was received by you). Finally, we will need a copy of your original Lease Agreement. If you don't have a copy you can request one from your Leasing Company.

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