Only applies to Audi Financial lease transfers beginning 6/1/2019 until further notice.
SWAPALEASE,
INC.
LEASE
TRANSFER WALLET PROTECTION PLAN sm
This
plan is designed to help protect against
potential losses or liabilities resulting from a new lessee defaulting on
their lease agreements. As with any protection plan, you must read the entire
plan carefully to determine rights, duties and defined coverage.
Various provisions in this plan restrict responsibility of
coverage. Please read the entire plan
carefully to determine rights, duties and what is and is not covered.
Throughout this plan words and phrases that appear in bold have special
meaning. Please refer to Section V –
Definitions Section.
By accepting this plan, you agree that the statements on the
Plan and those made in your application are true. We have issued this Plan
based on the truth of these statements. We will provide the loss protection
described in this Plan in return for the fee and compliance with all applicable
provisions of this Plan.
SECTION
I - WHAT THE SWAPALEASE PLAN COVERS
We will, at Our option, reimburse you or pay the Lessor,
when the Assuming Lessee Defaults on any of the following Financial
Obligations:
1. The remaining
lease monthly payments owed to the Lessor. Our maximum limit of liability
is the Original Monthly Payment multiplied by the Remaining Months of the Lease
Agreement as shown on the Declarations Page.
2. The amount assessed for Excess Wear and/or Physical Damage as defined in the Assigned
Lease Agreement (up to $2,000 in
total claims)
3. The Disposition
Fee as shown on the Declarations Page
(up to $500)
4. The amount assessed for Excess Mileage as defined in the Assigned Lease Agreement. (up to $2,000 in total claims)
Section II – what our program does NOT COVER
The following conditions are not covered under this plan.
Please bear in mind that these fees would be assessed after all other conditions above are met. Each of these fees are
assessed differently based on the lending institution they are held by.
1. Any
loss, cost or expense arising out of any:
a. Fines, late fees;
b. Returned
check charges;
c. Administrative
charges;
d. Early
termination fees;
e. Non-payment
surcharges;
f. Acquisition,
attorney or collection fees;
g. Court
costs;
h. Damages;
i. Vehicle
maintenance charges;
j. Official
fees and taxes; or
k. Repossession,
storage or transporting fees.
2. Subsequent assignment of the lease by the
Assuming Lessee.
Additionally, this Plan does not provide coverage when the
Assuming Lessee’s Default is caused by or resulting from any of the following.
Such loss is excluded regardless of any other cause or event that contributes
concurrently or in any sequence to the Assuming Lessee’s Default.
1. Nuclear Hazard – the explosion of any
weapon employing atomic fission or fusion, nuclear reaction, radiation, or
radioactive contamination, however caused.
2. War, including the following and any
consequence of any of the following:
a. Undeclared
war, civil war, insurrection, rebellion or revolution;
b. Warlike
act by a military force or military personnel; or
c. Destruction,
seizure or use for a military purpose.
Discharge
of a nuclear weapon will be deemed a warlike act even if accidental.
3. Commercial
Use of the Vehicle at any time prior to the Scheduled Termination date of
the Lease Agreement (this includes the “Remaining Months of the Lease
Agreement” time period, as shown on the Declarations Page, after assignment to
Assuming Lessee).
Section III – Lease transfer default protection plan
conditions
when the plan
applies:
Coverage
applies when:
1. You have complied with the “YOUR DUTIES
WHEN YOU RECEIVE A BILL FROM LESSOR” section of this Plan;
2. You have received a bill from Lessor; and
3. Not otherwise excluded.
Coverage under the plan is available only if Swapalease, inc. is notified within 60 days after assignment of Lease
Agreement to Assuming Lessee.
your duties
when you receive a bill from lessor:
You must notify Us
within ninety (90) days of receipt of bill for eligible charges from Lessor.
cancellation:
We may cancel this Plan by mailing notice to You at Your
last known address. We will state the reason for cancellation in the notice.
Proof of mailing will be sufficient proof of notice.
We won’t cancel the Plan unless:
1. You fail
to notify us of the lease transfer and/or provide a copy of the lease transfer contract in a timely manner;
or
2. You obtained the Plan through a material misrepresentation or
concealment of material fact; or
3. You made an intentional material misrepresentation, concealed a material fact,
collaborated with the Assuming Lessee in encouraging or submitting a claim; or
4. The odometer
has been tampered with, altered or disconnected or in any way misrepresents
the actual miles prior to assignment of Vehicle to Assuming Lessee.
If We cancel because You didn’t notify us of the lease
transfer and/or provide a copy of the lease transfer contract in a timely
manner, the date of cancellation will be at least 10 days after the date of
mailing. If We cancel for any other reason, the date of cancellation will be at
least 30 days after the date of mailing.
Section iv – general conditions
Bankruptcy or Insolvency: The bankruptcy or
insolvency of You or Your estate or the Assuming Lessee will not relieve Us of
any obligation under this Plan.
Assistance and Cooperation: When We ask, You
must help Us in investigations and settlements and in enforcing any rights We
may have against any manufacturer, repairer, or Assuming Lessee that may be
responsible for any Excess Wear and/or Excess Mileage charges, Disposition
Fee(s), remaining lease payments, or charges for damage to the vehicle.
Changes: This Plan may not be
changed unless We approve the change in writing. None of Our representatives
have the authority to change or waive any provision of this Plan.
Conformity to State Statutes: If any Plan
provision conflicts with the law of the state for which this Plan was issued,
the law of that state applies. In that event, this Plan will provide coverage
only up to the minimum requirement of that state.
If You Have Any Other Insurance: This Plan provides
coverage only in excess of other applicable and valid policies of insurance and
warranties and service contracts that You have or under which You can recover
from third parties.
Appraisal: If We disagree
about the amount of the claim for Excess Wear, Excess Mileage, or damage to the
Vehicle, We may demand an appraisal of the Vehicle before agreeing to pay the
assessed charges.
Arbitration: Any other dispute
about this Plan’s interpretation may be resolved by arbitration upon the
written request of either party. Arbitration will take place under the rules of
the American Arbitration Association unless either party objects. Within 60
days after You receive written notice from Us that a claim has been denied or
that a dispute cannot be otherwise resolved, You must notify Us in writing that
You intend to seek arbitration. If either party objects to the rules of the
American Arbitration Association, the following method of arbitration will be
used instead:
You will select one
arbitrator. We will select another. The two arbitrators will select a third. If
they can’t agree on a third arbitrator within 30 days, a judge of a court of
record in the county of the jurisdiction where the arbitration is pending will
appoint the third arbitrator. The written decision of any two arbitrators will
determine the issues. You will pay the arbitrator You select. We will pay the
one We select. The expense of the third arbitrator and all other expenses of
arbitration will be shared equally between You and Us.
Actions Against Us: You may not sue Us
under this Plan unless You have fully complied with all Plan Terms.
No Benefit to Bailee: We will not
recognize any organization holding, storing or transporting property for a fee
regardless of any other provisions of this Plan.
Our Right to Recover from Others: When We pay under
this Plan, Your right to recovery from anyone else becomes Ours up to the
amount We have paid. You must protect these rights and help Us to enforce them.
We shall recover only the excess after You are fully compensated for Your loss
above the amount of the Plan’s deductible, if applicable.
Fraud or Misrepresentation: This Plan will be
considered void from its inception if any of the below conditions are met. In
the event these conditions are met, the Plan premium will not be refunded.
1. Intentionally conceal, omit or
misrepresent a material fact;
2. Have made fraudulent statements or
engaged in fraudulent conduct:
3. In any way collaborate with the
Assuming Lessee to encourage a claim relating to this Plan.
whom to
contact:
For Plan coverage questions, or for questions concerning
arbitration, claims or cancellations contact us at:
Swapalease, Inc.
11224 Cornell Park Drive
Cincinnati,
Ohio 45242
1-866-792-7669
section V – definitions used throughout the Plan
The
following definitions apply throughout the Plan. Defined words are printed in italicized
type.
1. Assigned
Lease Agreement: The Lease Agreement originated by You and assigned to the
Assuming Lessee with approval of your bank.
2. Assuming
Lessee: The person or persons to whom You assign Your original Lease
Agreement. The Assuming Lessee agrees to comply with all of the terms and
conditions of the lease including but not limited to lease payments, Vehicle
maintenance and use, insurance, and Vehicle disposition. Subsequent assignment
of the lease by Assuming Lessee is not permitted and renders this indemnity
void unless the Lessee also buys indemnity.
3. Commercial
Use: Use of the Vehicle for any commercial purpose. This includes, but is
not limited to, deliveries, service or repair calls, route work, job site
activities, construction, hauling, taxi, livery, rental, carrying passengers
for hire, towing or road repair operations, police or emergency service, plowing
snow, competitive driving, racing or on off road or principally off road use,
whether or not the Vehicle is licensed for any commercial purpose or registered
to a corporation.
4. Default(s):
An Assuming Lessee has defaulted when all attempts by the Lessor to collect on
monies owed from the Assuming Lessee are not successful, and Lessor has taken
possession of the vehicle.
5. Disposition
Fee(s): The fee specified in the Lease Agreement to cover the selling cost
of the Lessor at the end of the lease.
6. Excess
Mileage: The actual mileage in excess of the total mileage allowance
provided in Your original Lease Agreement, subject to the limitations and
exclusions of this Plan.
7. Excess
Wear: Damage to the Vehicle exceeding the criteria specified in the
“Standards for Wear and Use” or similarly titled section of Your original Lease
Agreement.
8. Excess
Wear Physical Damage: Damage to the Vehicle that would otherwise have been
covered by the Assuming Lessee’s Standard Automobile Plan.
9. Financial
Obligations: Means the remaining lease payments, Excess Wear and Mileage
surcharges, and/or Disposition Fee(s) as specified in Your original Lease
Agreement which is then assigned to the Assuming Lessee.
10. Lessor:
The leasing company, who owns the Vehicle, named on the Lease Agreement, and
its subsequent assigns.
12. Original
Lessee: The person or persons named as the Lessee or co-Lessee on the
original Lease Agreement and named on the Plan Declarations page as the Plan holder.
13. Original
Monthly Payment: The amount the Original Lessee paid the Lessor to cover
depreciation plus other costs, such as profit and fees.
14. We,
Us, or Our: Swapalease.com, Inc.
15. Vehicle:
The vehicle described on the application.
16. You
or Your: The person or persons named on the application as the Plan holder.
The Plan holder must be the Original Lessee of the Vehicle.