The Consumer Leasing Act (15 USC 1667 et. seq.) was passed to assure that meaningful and accurate disclosure of lease terms is provided to consumers before entering into a personal property lease. It applies to certain consumer leases of personal property. This form does NOT include such disclosures.
For any consumer lease subject to this Act, the lessor must disclose such information as the following:
" Description of property;
" Amount due at lease signing or delivery;
" Payment schedule and total amount of periodic payments;
" Disclosure of other anticipated charges during normal execution of the lease agreement;
" Total of payments;
" Payment calculation;
" Lease term;
" Early termination conditions and penalties;
" Maintenance responsibilities;
" Purchase option;
" Statement referencing "nonsegregated" disclosures;
" The right of appraisal;
" Liability at the end of the lease term;
" Fees and taxes;
" Insurance and warranties.
The Virginia Personal Property Lease or Rental Agreement of Equipment and Furniture with Option to Purchase and Own, also known as the Lease or Rent to Own agreement, is a legally binding contract used in Virginia for the temporary use of equipment and furniture with the option to later purchase and own the leased property. This agreement serves as a valuable tool for individuals or businesses who are in need of equipment or furniture but may not have the immediate financial resources to make an outright purchase. A Virginia Personal Property Lease or Rental Agreement of Equipment and Furniture with Option to Purchase and Own typically includes the following key elements: 1. Parties involved: The agreement identifies the lessor (owner or seller of the property) and the lessee (individual or business seeking to rent or lease the property). 2. Rental terms: This section outlines the specific terms of the rental, including the duration of the lease, the commencing and terminating dates, and any renewal or extension options. 3. Rental payments: The agreement defines the amount of rent to be paid, the payment frequency, and the accepted methods of payment. It may also highlight any late fees or penalties for missed payments. 4. Condition of the property: This section describes the condition of the equipment or furniture being rented and outlines any existing damages or defects. It may also require the lessee to return the property in the same condition or specify a procedure for reporting new damages. 5. Option to purchase: The key feature of this agreement is the inclusion of an option for the lessee to purchase and own the leased property. It typically outlines the purchase price, any applicable down payment or deposit, and the terms for exercising the option. 6. Maintenance and repairs: This section elaborates on the responsibilities of both parties regarding the maintenance, repair, and insurance of the equipment or furniture during the lease period. 7. Termination and default: The agreement defines the grounds for termination and the procedures for both parties to terminate the lease before its expiration. It also includes explanations on the consequences of default, such as repossession of the property or legal action. Different types of Virginia Personal Property Lease or Rental Agreement of Equipment and Furniture with Option to Purchase and Own may include variations in terms and conditions depending on the specific needs and preferences of the parties involved. Examples of potential variations include lease-to-own agreements for construction equipment, office furniture rental with a buyout option, or specialized medical equipment leases with an option to purchase.
