California Civil Code

§ 1939.03

CIV § 1939.03 Effective Jan 1, 2026Div. 3 · Title 5 · Part 4 · Ch. 1.5

Statute text

Except as limited by Section 1939.05, a rental company and a renter may agree that the renter will be responsible for no more than all of the following:

(a)Physical or mechanical damage to the rented vehicle up to its fair market value, as determined in the customary market for the sale of that vehicle, resulting from collision regardless of the cause of the damage.

(b)(1) Loss due to theft of the rented vehicle up to its fair market value, as determined in the customary market for the sale of that vehicle, provided that the rental company establishes by clear and convincing evidence that the renter or the authorized driver failed to exercise ordinary care while in possession of the vehicle. In addition, the renter shall be presumed to have no liability for any loss due to theft if both of the following conditions are met:

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Legislative history

Amended by Stats. 2025, Ch. 449, Sec. 1. (AB 1197) Effective January 1, 2026.