A federal statute which immunizes rental car companies from liability for harm caused by their vehicles violates the Commerce Clause, a U.S. District Court in Florida has ruled. The plaintiffs leased a car to a customer who was involved in an accident with the defendant. The defendant filed a state court action for personal injury, suing the plaintiffs pursuant to Florida's "dangerous instrumentality" doctrine.
READY for Round 2 of car rental companies vs. cities? You might recall the opening salvo two years ago, when Virginia's then-Rep. Rick Boucher introduced the End Discriminatory State Taxes for Automobile Renters Act of 2009. The law, backed by car rental companies, would have limited the excise taxes a municipality could levy on the agencies' vehicles. Cities fought the measure, saying it would limit their ability to raise money and represented an unwanted federal intrusion.
Hotel-loyalty programs are getting easier to use and more generous, often with no blackout dates, and consumers are flocking to them to earn free hotel rooms, room upgrades and many other perks. To get the most from the rewards programs, experts suggest you focus on the hotel chain you use and like, get a co-branded credit card and use the services of that chain's business partners such as airlines or car-rental companies to rack up points faster and possibly, jump to a higher rewards status.
Like him or not, one thing is clear about Attorney General Douglas F. Gansler: he has been very active during his three-plus years on the job. He has used his office in novel ways: fighting alcoholic energy drinks that appeal to kids, shutting down a gossip Web site, promoting the building of a chicken manure-burning power plant, getting car rental companies to decrease what they charge customers for filling up the gas tank and, most recently, instructing state agencies to recognize out-of-state same-sex marriages.
DETROIT -- As the nation's Big Three automakers remake themselves into smaller, leaner companies, the rental car business is suffering collateral damage. All three have cut production this year to bring supply in line with lower demand for their products, and further cuts are inevitable next year. They're also trying to wean themselves of rebates and other incentives to bring sales prices closer to the sticker.
Dollar Thrifty has asked Hertz and Avis for the final time to give the leisure car rental company a best and final offer by early October. Tulsa-based Dollar Thrifty Automotive Group Inc., which is expecting a record year with adjusted earnings between $270 and $290 million, wants closure one way or another, wrote Scott Thompson, Dollar Thrifty president and CEO, in a letter to the rival car rental companies. Thompson addressed the letter to Ron Nelson, Avis Budget chairman and CEO, and Mark Frissora, Hertz chairman and CEO.
The rental-car industry is going through a major change that in recent weeks has started contributing to some aggressive price increases. Historically, rental companies have maintained close ties with automakers -- buying vehicles at a discount and always having a supply readily available. Now, however, car makers are starting to pull back from these relationships, in an effort to shed the "fleet- car" stigma that has tarnished some models and hurt showroom sales.
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