IFMK Law Partner Chris Henson and Associate Attorney Madison Wynes successfully represented a national car rental company in a personal injury claim originating in Sangamon County, Illinois, which began in 2020. A woman was injured in a car accident caused by an individual who had rented a vehicle shortly before the crash. She filed a claim against the rental company on the basis that the renter/driver (Renter) who caused the accident should not have been given a rental car. The Renter had obtained the rental vehicle after her own vehicle was unavailable following a separate, prior collision, and the rental was arranged by the other driver’s insurance company, although the Renter had a suspended driver’s license and late-stage brain cancer at the time of the accident.
The case became complicated by several factors: the Renter’s personal liability insurance policy already covered $100,000 in damages, and questions arose about the rental company’s liability for renting a car to someone in Renter’s condition (having a suspended license and late-stage brain cancer). The Claimant alleged that the rental company was liable based on a theory of negligent entrustment, arguing that the Renter’s health issues and recent accident should have raised concerns about the renter’s ability to drive.
During mediation, the IFMK attorneys argued that the rental company’s procedure in renting the vehicle to the Renter was compliant with requirements under Illinois law and, further, that the rental vehicle was procured by a separate liability insurance carrier, not the company that carried the Renter’s personal liability insurance. Thus, the Renter was likely not at fault for the previous accident that had necessitated her rental of the vehicle, and this was not indicative of the Renter’s purported incompetency or unfitness to drive. This fact diminished the strength of the “negligent entrustment” claim against the rental company.
The Claimant sought $1,000,000 in damages, citing serious injuries, medical expenses and lost income. After mediation, the case was settled for $100,000, a favorable outcome for the rental company and its representatives.