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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2023

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A N   A C T

RELATING TO INSURANCE -- PEER-TO-PEER CAR SHARING PROGRAM

     

     Introduced By: Senators Ruggerio, Goodwin, Gallo, DiPalma, LaMountain, Tikoian, and
McKenney

     Date Introduced: January 10, 2023

     Referred To: Senate Judiciary

     It is enacted by the General Assembly as follows:

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     SECTION 1. Section 27-8.3-2 of the General Laws in Chapter 27-8.3 entitled "Peer-To-

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Peer Car Sharing Program [Effective April 1, 2023.]" is hereby repealed.

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     27-8.3-2. Applicability. [Effective April 1, 2023.]

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     The provisions of this chapter apply notwithstanding any law, rule, or regulation to the

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contrary. Where any provision of this chapter conflicts with any other provision of law, the

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provisions of this chapter shall supersede any such conflicting or contradictory provision.

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     SECTION 2. Section 27-8.3-3 of the General Laws in Chapter 27-8.3 entitled "Peer-To-

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Peer Car Sharing Program [Effective April 1, 2023.]" is hereby amended to read as follows:

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     27-8.3-3. Definitions. [Effective April 1, 2023.]

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     (a) Except as otherwise provided, the following definitions apply throughout this chapter:

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     (1) “Car sharing delivery period” means the period of time during which a shared vehicle

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is being delivered to the location of the car sharing start time, if applicable, as documented by the

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governing car sharing program agreement.

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     (2) “Car sharing period” means the period of time that commences with the car sharing

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delivery period or, if there is no car sharing delivery period, that commences with the car sharing

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start time and in either case ends at the car sharing termination time.

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     (3) “Car sharing program agreement” means the terms and conditions applicable to a shared

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vehicle owner and a shared vehicle driver that govern the use of a shared vehicle through a peer-

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to-peer car sharing program. “Car sharing program agreement” does not mean a rental car

 

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agreement, issued by a motor vehicle rental company as defined in § 31-34.1-1.

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     (4) “Car sharing start time” means the time when the shared vehicle becomes subject to the

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control of the shared vehicle driver at or after the time the reservation of a shared vehicle is

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scheduled to begin as documented in the records of a peer-to-peer car sharing program.

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     (5) “Car sharing termination time” means the earliest of the following events:

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     (i) The expiration of the agreed upon period of time established for the use of a shared

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vehicle according to the terms of the car sharing program agreement if the shared vehicle is

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delivered to the location agreed upon in the car sharing program agreement;

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     (ii) When the shared vehicle is returned to a location as alternatively agreed upon by the

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shared vehicle owner and shared vehicle driver as communicated through a peer-to-peer car sharing

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program, which alternatively agreed upon location shall be incorporated into the car sharing

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program agreement; or

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     (iii) When the shared vehicle owner or the shared vehicle owner’s authorized designee,

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takes possession and control of the shared vehicle.

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     (6) “Peer-to-peer car sharing” means the authorized use of a vehicle by an individual other

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than the vehicle’s owner through a peer-to-peer car sharing program. “Peer-to-peer car sharing”

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does not mean rental car or rental activity as described in chapter 34.1 of title 31.

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     (7) “Peer-to-peer car sharing program” means a business platform that connects vehicle

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owners with drivers to enable the sharing of vehicles for financial consideration. “Peer-to-peer car

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sharing program” does not mean a rental car company as defined in § 31-34.1-1.

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     (8) “Shared vehicle” means a vehicle that is available for sharing through a peer-to-peer

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car sharing program. “Shared vehicle” does not mean a rental car or rental vehicle as described in

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§ 31-34.1-1(4).

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     (9) “Shared vehicle driver” means an individual who has been authorized to drive the

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shared vehicle by the shared vehicle owner under a car sharing program agreement.

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     (10) “Shared vehicle owner” means the registered owner, or a person or entity designated

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by the registered owner, of a vehicle made available for sharing to shared vehicle drivers through

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a peer-to-peer car sharing program. Shared vehicle owner does not mean “rental company” as

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defined in § 31-34.1-1(4).

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     (b) "Peer-to-peer car sharing", "peer-to-peer car sharing program" and "car sharing

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program agreement" as defined in this section are not considered rental vehicle activity under § 31-

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34.1 et seq.; provided that, a shared vehicle owner does not share more than five (5) vehicles

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through one or more peer-to-peer car sharing programs in one calendar year pursuant to § 31-5-33.

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     SECTION 3. Chapter 27-8.3 of the General Laws entitled "Peer-To-Peer Car Sharing

 

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Program [Effective April 1, 2023.]" is hereby amended by adding thereto the following section:

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     27-8.3-15. Shared vehicle owner certification requirements.

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     (a) A peer-to-peer vehicle sharing program shall require all shared vehicle owners to certify

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to the peer-to-peer sharing program whether the shared vehicle owner or any affiliate or subsidiary

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has registered more than five (5) different shared vehicles on any combination of platforms at any

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one time.

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     (b) A shared vehicle owner is under a continuing obligation to immediately notify all peer-

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to-peer car sharing programs upon which they have vehicles registered, if the registration of a

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shared vehicle on a platform will cause the shared vehicle owner to exceed five (5) or more different

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shared vehicles registered on any combination of peer-to-peer vehicle sharing programs at any one

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time. Such notification shall occur prior to sharing any additional shared vehicles on any platforms,

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not including those already subject to a vehicle sharing program agreement at the time the

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additional vehicle is registered with the program by the shared vehicle owner.

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     (c) Failure by the shared vehicle owner to immediately notify any program shall subject

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the shared vehicle owner to payment of the taxes due and applicable penalties.

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     (d) Any affirmation or notification by the shared vehicle owner of the required

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certifications shall require the peer-to-peer vehicle sharing program to collect any and all applicable

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taxes and surcharges. A peer-to-peer vehicle sharing program that collects rental vehicle surcharges

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pursuant to § 31-34.1-2 shall remit to the shared vehicle owner the portion of the surcharge allowed

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to be retained by the rental company pursuant to § 31-34.1-2(b).

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     SECTION 4. This act shall take effect on April 1, 2023.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO INSURANCE -- PEER-TO-PEER CAR SHARING PROGRAM

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     This act would provide that peer-to-peer car sharing, peer-to-peer car sharing programs,

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and peer-to-peer car sharing program agreements are not considered rental vehicles subject to a

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rental vehicle surcharge under chapter 31-34.1 provided the shared vehicle owner shares no more

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than five (5) vehicles in a calendar year.

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     This act would take effect on April 1, 2023.

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