Senator touts legislation, future of automobile leasing

Senator George D. Maziarz (62nd district) praised a key aspect of the federal highway and mass transit legislation approved by Congress: the bill eliminates the ability of any state to hold car leasing or rental companies vicariously liable for accidents involving their leased or rental cars.

Repeatedly, the New York State Senate has advanced legislation to reform New York's vicarious liability statute, which was first enacted in the 1920s to safeguard pedestrians if they were hit by a penniless livery driver or chauffeur. Recent reform efforts include identifying the lessee as the "owner" of the vehicle, thereby removing the liability placed on the lessor (the leasing company), who has no control over individual drivers.

"The State Senate has been fighting to repeal vicarious liability for years," Maziarz said, "but the Assembly has refused to act on our reform efforts. I never thought it would take almost the entire United States Congress and the President of the United States to tell the Assembly leadership how dead wrong they are on these issues, but I'll certainly take it. One way or another, vicarious liability will be a thing of the past in New York state very soon, and an important sector of our economy can begin to grow."

"Most importantly, we can anticipate the revival of a major industry in New York state - the auto leasing industry. Leasing companies, auto manufacturers and consumers are all going to benefit when leasing is a real option again. New York has been at a disadvantage in this regard because every single one of the other 49 states has already repealed their vicarious liability laws."

The federal transportation bill was approved in the House of Representatives by a vote of 412-8 and in the Senate by a vote of 91-4. President Bush has said he will sign the bill into law as soon as it reaches his desk.