UPDATED: Sep 30, 2022
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I had 3 incidents with my company vehicle. The deductible is $500. The company charged me $3,000 instead of just one deductible. Also, each employee has a tracking device on the vehicle for gps and driving habits. If you violate any of their rules, brake too fast, go over speed limit etc. you pay $50 each month you do this. Are these practices legal?
Asked on October 25, 2016 under Employment Labor Law, Arizona
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 6 years ago | Contributor
1) If you damaged their vehicle, they can recover all the costs to repair the car from you. They don't have to submit it to insurance if they don't want to: if they paid out of pocket, they can recover those costs.
If you refuse to pay voluntarily, to get the money, they'd have to sue you and prove in court that a) you were negligent (e.g. careless) and caused the accidents/damage through your negligence, and b) how much out-of-pocket (not paid by insurance) costs they incurred, since they can only recover their actual costs.
2) Yes, as long as you have notice of the rules regarding driving practices, they can charge you for violating those rules. By continuing to work there with knowledge of those rules, a court would hold that you agreed or consented to them.
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