Terms and conditions for a garage and parking space rental business

Renting out a garage or a parking space appears simple until the customer treats it as a home for a car they no longer want, or claims the space came with security you never offered. The terms have to keep the arrangement a licence, say what the space may be used for, put the vehicle at the owner's risk and deal with the one that is abandoned. I draft those terms for a fixed fee of £995, delivered in five working days.

Who this is for

Businesses in England and Wales renting out lock-up garages, parking spaces, car storage and commercial vehicle parking to consumers and businesses, monthly or for longer periods.

What matters in garage and parking terms

A licence to park, not a lease

The terms should grant a licence to park or store a named vehicle in a space of a stated type, keep your right to relocate the vehicle to another space, and make clear that no exclusive possession is granted. If a business customer had a lock-up to itself under a lease, it could claim the protection the Landlord and Tenant Act 1954 gives business tenants, which a parking operator does not intend; so the document is a licence, your right of access is kept, and the way the site is run should match it.

Permitted use and prohibited activities

The terms should limit use to parking or storing the named vehicle, prohibit repairs, trading, storage of goods, fuel and hazardous materials, and living in the vehicle or the garage, and should prohibit subletting the space. The customer confirms the vehicle is taxed under the Vehicle Excise and Registration Act 1994 and insured as section 144A of the Road Traffic Act 1988 requires of a registered keeper, or declared off the road, and roadworthy, and the terms should let you refuse or remove a vehicle that is not.

Risk, security and your liability

The terms should say that vehicles and their contents are parked at the owner's risk, that no security or surveillance is promised beyond what is described, and that the customer must insure the vehicle. You can exclude liability for loss and damage that is not your fault; you cannot exclude it where your own negligence caused it, because the Consumer Rights Act 2015 forbids that against a consumer and the Unfair Contract Terms Act 1977 subjects any such exclusion against a business to a reasonableness test.

Fees, access and termination

The terms should state the fee, when it is payable, the access arrangements and the customer's responsibility for keys, fobs and locks, and should let either side end the licence on stated notice, with the space cleared by the end date. Price changes need notice and a right to leave. A business that rents spaces for its fleet pays on invoice, with statutory interest on overdue sums under the Late Payment of Commercial Debts (Interest) Act 1998, and the terms should say that access is suspended and the licence ended, after notice, if fees stop.

Abandoned vehicles and removal

The terms should set out a process for a vehicle left after the licence ends or after fees go unpaid: written notices to the customer, a stated period, and the right to remove the vehicle and recover the cost, and, after further notice, to dispose of it and apply any proceeds to what is owed. A consumer can challenge any step that was skipped or rushed, so the process is written into the terms and the terms are then obeyed.

What it costs

Customer or supplier terms and conditions, £995. One set of terms, customer-facing or supplier-facing, drafted for your business. Five working days.

Review of your existing terms, £495. You already have terms and want them checked and brought up to date. Returned marked up with my amendments and an explanation of the changes. Three working days.

Email me at geoffrey@caesar.co.uk with what you need and any documents, and I will confirm the scope and the fee in writing, usually the same working day.

What you get

• A full set of bespoke terms drafted for your business, reflecting the legal requirements that apply to your business and sector
• A note in plain English explaining the terms I have drafted for you
• Liability, payment, termination and IP provisions that protect your position and are drafted to withstand scrutiny from the other side
• Guidance on how to incorporate the terms properly
• Your questions and comments answered by email or phone
• One round of amendments to finalise the terms ready for use

What is not included

• Negotiating your terms with individual customers (I am happy to quote for this as an additional service if required)
• Sector-specific regulatory compliance beyond the contract terms themselves
• Website privacy notice and cookie compliance, which I quote separately
• Terms governed by the law of another country
• Tax advice

Questions I am often asked

A customer stopped paying and the car has not moved for a year. Can I have it removed?

Through the process in the terms: notices, a stated period, then removal and, after further notice, disposal with the costs recovered. Follow and record each step, and take advice before disposal, because a vehicle may have a finance company's interest in it.

A customer's car was broken into. Am I liable?

If the terms say vehicles are parked at the owner's risk and no security is promised beyond what is described, and you took reasonable care of the premises, the loss is the customer's or their insurer's. Do not describe the site as secure unless it is.

Can the customer use the garage to store furniture?

The terms should limit use to the named vehicle and prohibit storage of goods, so that the arrangement remains a parking licence and does not become a storage contract with different risks.

Related guidance and services

• Terms and conditions drafting, £995, the service this page describes
• Contract review, £495
• Terms and conditions for a self storage business
• Terms and conditions for a car hire business

This page is general guidance for businesses in England and Wales, not advice on your own circumstances. Last reviewed: September 2026. Email geoffrey@caesar.co.uk.