IC 24-5-16
Chapter 16. Unlawful Motor Vehicle Subleasing
IC 24-5-16-1 "Buyer" defined
Sec. 1. As used in this chapter, "buyer" means a person who buys
goods from a seller. As added by P.L.80-1990, SEC.16.
IC 24-5-16-2 "Direct loan agreement" defined
Sec. 2. As used in this chapter, "direct loan agreement" means an
agreement between a lender and a purchaser by which the lender has
advanced funds under a loan secured by the vehicle that the
purchaser has purchased. As added by P.L.80-1990, SEC.16.
IC 24-5-16-3 "Installment sale agreement" defined
Sec. 3. As used in this chapter, "installment sale agreement"
means a credit sale of goods by a seller to a buyer for a deferred
payment price payable in one (1) or more installments. As added by P.L.80-1990, SEC.16.
IC 24-5-16-4 "Lease contract" defined
Sec. 4. As used in this chapter, "lease contract" means a lease
contract for or in contemplation of a lease for the use of a vehicle,
and the purchase of services incidental to the lease, by an individual
for a term exceeding four (4) months primarily for personal, family,
household, business, commercial, or agricultural use. As added by P.L.80-1990, SEC.16.
IC 24-5-16-5 "Person" defined
Sec. 5. As used in this chapter, "person" means an individual, a
company, a firm, an association, a partnership, a trust, a corporation,
or other legal entity. As added by P.L.80-1990, SEC.16.
IC 24-5-16-6 "Purchaser" defined
Sec. 6. As used in this chapter, "purchaser" has the meaning set
forth in IC 26-1-1-201(33). As added by P.L.80-1990, SEC.16.
IC 24-5-16-7 "Secured party" defined
Sec. 7. As used in this chapter, "secured party" has the meaning
set forth in IC 26-1-9.1-102(a)(72).
As added by P.L.80-1990, SEC.16. Amended by P.L.57-2000, SEC.8.
IC 24-5-16-8 "Security agreement" defined
Sec. 8. As used in this chapter, "security agreement" has the
meaning set forth in IC 26-1-9.1-102(a)(73). As added by P.L.80-1990, SEC.16. Amended by P.L.57-2000, SEC.9.
IC 24-5-16-9 "Security interest" defined
Sec. 9. As used in this chapter, "security interest" has the meaning
set forth in IC 26-1-1-201(37). As added by P.L.80-1990, SEC.16.
IC 24-5-16-10 "Seller" defined
Sec. 10. As used in this chapter, "seller" has the meaning set forth
in IC 26-1-2-103(1)(d). The term includes the present holder of an
installment sales agreement. As added by P.L.80-1990, SEC.16.
IC 24-5-16-11 "Vehicle" defined
Sec. 11. As used in this chapter, "vehicle" has the meaning set
forth in IC 24-4-9-8. As added by P.L.80-1990, SEC.16.
IC 24-5-16-12 Unlawful subleasing; conditions
Sec. 12. (a) A person engages in an act of unlawful subleasing of
a vehicle if all of the following conditions are met:
(1) The vehicle is subject to a lease contract, an installment
sales agreement, or a security agreement, the terms of which
prohibit the transfer or assignment of any right or interest in the
vehicle or under the lease contract, installment sales agreement,
or security agreement without consent of the lessor, seller, or
secured party.
(2) The person is not a party to the lease contract, installment
sales agreement, or security agreement.
(3) The person transfers or assigns, or purports to transfer or
assign, a right or an interest in the vehicle under the lease
contract, installment sales agreement, or security agreement to
a person who is not a party to the lease contract, installment
sales agreement, or security agreement.
(4) The person does not obtain, before the transfer or
assignment described in subdivision (3), written consent to the
transfer or assignment from the vehicle's lessor, seller, or
secured party.
(5) The person receives compensation or some other
consideration for the transfer or assignment described in
subdivision (3).
(b) A person engages in an act of unlawful subleasing of a vehicle
when the person is not a party to the lease contract, installment sales
agreement, or security agreement and assists, causes, or arranges an
actual or purported transfer or assignment described in subsection
(a)(3). As added by P.L.80-1990, SEC.16.
IC 24-5-16-13 Transfer or assignment of right or interest in vehicle under lease
contract
Sec. 13. (a) The actual or purported transfer or assignment, or the
assisting, causing, or arranging of an actual or purported transfer or
assignment, of a right or an interest in a vehicle under a lease
contract, installment sales agreement, or security agreement by a
person who is a party to the lease contract, installment sales
agreement, or security agreement is not an act of unlawful subleasing
of a motor vehicle and is not subject to prosecution.
(b) This section does not affect the enforceability of any provision
of a lease contract, an installment sales agreement, a security
agreement, or a direct loan agreement by a party to the agreement. As added by P.L.80-1990, SEC.16.
IC 24-5-16-14 Civil action
Sec. 14. Any one (1) or more of the following who suffer any
damage proximately resulting from one (1) or more acts of unlawful
vehicle subleasing described in section 12 of this chapter may bring
an action against the person who has engaged in those acts:
(1) A seller or other secured party under an installment sales
agreement or a security agreement.
(2) A lender under a direct loan agreement.
(3) A lessor under a lease contract.
(4) A buyer under an installment sales agreement.
(5) A purchaser under a direct loan agreement, an agreement
that provides for a security interest, or an agreement that is
equivalent to these types of agreements.
(6) A lessee under a lease contract.
(7) An actual or a purported transferee or an assignee of a right
or an interest of a buyer, a purchaser, or a lessee. As added by P.L.80-1990, SEC.16.
IC 24-5-16-15 Remedies
Sec. 15. The court in an action under section 14 of this chapter
may award the following:
(1) Actual damages.
(2) Equitable relief, including an injunction and restitution of
money and property.
(3) Punitive damages.
(4) Reasonable attorney's fees and costs.
(5) Any other relief the court considers proper. As added by P.L.80-1990, SEC.16.
IC 24-5-16-16 Class A misdemeanor
Sec. 16. A person who knowingly or intentionally engages in an
act of unlawful subleasing of a vehicle as described in section 12 of
this chapter commits a Class A misdemeanor. As added by P.L.80-1990, SEC.16.
IC 24-5-16-17 Additional remedies or penalties
Sec. 17. The remedies and penalties under this chapter are in
addition to any other remedies or penalties provided by law for the
conduct proscribed by this chapter. As added by P.L.80-1990, SEC.16.
IC 24-5-16-18 Violation; deceptive act; remedies and penalties
Sec. 18. A person who violates this chapter commits a deceptive
act that is actionable by the attorney general and is subject to the
remedies and penalties under IC 24-5-0.5. As added by P.L.80-1990, SEC.16.
IC 24-5-16-19 Severability
Sec. 19. This chapter is severable in the manner provided by
IC 1-1-1-8. As added by P.L.80-1990, SEC.16.
IC 24-5-16
Chapter 16. Unlawful Motor Vehicle Subleasing
IC 24-5-16-1 "Buyer" defined
Sec. 1. As used in this chapter, "buyer" means a person who buys
goods from a seller. As added by P.L.80-1990, SEC.16.
IC 24-5-16-2 "Direct loan agreement" defined
Sec. 2. As used in this chapter, "direct loan agreement" means an
agreement between a lender and a purchaser by which the lender has
advanced funds under a loan secured by the vehicle that the
purchaser has purchased. As added by P.L.80-1990, SEC.16.
IC 24-5-16-3 "Installment sale agreement" defined
Sec. 3. As used in this chapter, "installment sale agreement"
means a credit sale of goods by a seller to a buyer for a deferred
payment price payable in one (1) or more installments. As added by P.L.80-1990, SEC.16.
IC 24-5-16-4 "Lease contract" defined
Sec. 4. As used in this chapter, "lease contract" means a lease
contract for or in contemplation of a lease for the use of a vehicle,
and the purchase of services incidental to the lease, by an individual
for a term exceeding four (4) months primarily for personal, family,
household, business, commercial, or agricultural use. As added by P.L.80-1990, SEC.16.
IC 24-5-16-5 "Person" defined
Sec. 5. As used in this chapter, "person" means an individual, a
company, a firm, an association, a partnership, a trust, a corporation,
or other legal entity. As added by P.L.80-1990, SEC.16.
IC 24-5-16-6 "Purchaser" defined
Sec. 6. As used in this chapter, "purchaser" has the meaning set
forth in IC 26-1-1-201(33). As added by P.L.80-1990, SEC.16.
IC 24-5-16-7 "Secured party" defined
Sec. 7. As used in this chapter, "secured party" has the meaning
set forth in IC 26-1-9.1-102(a)(72).
As added by P.L.80-1990, SEC.16. Amended by P.L.57-2000, SEC.8.
IC 24-5-16-8 "Security agreement" defined
Sec. 8. As used in this chapter, "security agreement" has the
meaning set forth in IC 26-1-9.1-102(a)(73). As added by P.L.80-1990, SEC.16. Amended by P.L.57-2000, SEC.9.
IC 24-5-16-9 "Security interest" defined
Sec. 9. As used in this chapter, "security interest" has the meaning
set forth in IC 26-1-1-201(37). As added by P.L.80-1990, SEC.16.
IC 24-5-16-10 "Seller" defined
Sec. 10. As used in this chapter, "seller" has the meaning set forth
in IC 26-1-2-103(1)(d). The term includes the present holder of an
installment sales agreement. As added by P.L.80-1990, SEC.16.
IC 24-5-16-11 "Vehicle" defined
Sec. 11. As used in this chapter, "vehicle" has the meaning set
forth in IC 24-4-9-8. As added by P.L.80-1990, SEC.16.
IC 24-5-16-12 Unlawful subleasing; conditions
Sec. 12. (a) A person engages in an act of unlawful subleasing of
a vehicle if all of the following conditions are met:
(1) The vehicle is subject to a lease contract, an installment
sales agreement, or a security agreement, the terms of which
prohibit the transfer or assignment of any right or interest in the
vehicle or under the lease contract, installment sales agreement,
or security agreement without consent of the lessor, seller, or
secured party.
(2) The person is not a party to the lease contract, installment
sales agreement, or security agreement.
(3) The person transfers or assigns, or purports to transfer or
assign, a right or an interest in the vehicle under the lease
contract, installment sales agreement, or security agreement to
a person who is not a party to the lease contract, installment
sales agreement, or security agreement.
(4) The person does not obtain, before the transfer or
assignment described in subdivision (3), written consent to the
transfer or assignment from the vehicle's lessor, seller, or
secured party.
(5) The person receives compensation or some other
consideration for the transfer or assignment described in
subdivision (3).
(b) A person engages in an act of unlawful subleasing of a vehicle
when the person is not a party to the lease contract, installment sales
agreement, or security agreement and assists, causes, or arranges an
actual or purported transfer or assignment described in subsection
(a)(3). As added by P.L.80-1990, SEC.16.
IC 24-5-16-13 Transfer or assignment of right or interest in vehicle under lease
contract
Sec. 13. (a) The actual or purported transfer or assignment, or the
assisting, causing, or arranging of an actual or purported transfer or
assignment, of a right or an interest in a vehicle under a lease
contract, installment sales agreement, or security agreement by a
person who is a party to the lease contract, installment sales
agreement, or security agreement is not an act of unlawful subleasing
of a motor vehicle and is not subject to prosecution.
(b) This section does not affect the enforceability of any provision
of a lease contract, an installment sales agreement, a security
agreement, or a direct loan agreement by a party to the agreement. As added by P.L.80-1990, SEC.16.
IC 24-5-16-14 Civil action
Sec. 14. Any one (1) or more of the following who suffer any
damage proximately resulting from one (1) or more acts of unlawful
vehicle subleasing described in section 12 of this chapter may bring
an action against the person who has engaged in those acts:
(1) A seller or other secured party under an installment sales
agreement or a security agreement.
(2) A lender under a direct loan agreement.
(3) A lessor under a lease contract.
(4) A buyer under an installment sales agreement.
(5) A purchaser under a direct loan agreement, an agreement
that provides for a security interest, or an agreement that is
equivalent to these types of agreements.
(6) A lessee under a lease contract.
(7) An actual or a purported transferee or an assignee of a right
or an interest of a buyer, a purchaser, or a lessee. As added by P.L.80-1990, SEC.16.
IC 24-5-16-15 Remedies
Sec. 15. The court in an action under section 14 of this chapter
may award the following:
(1) Actual damages.
(2) Equitable relief, including an injunction and restitution of
money and property.
(3) Punitive damages.
(4) Reasonable attorney's fees and costs.
(5) Any other relief the court considers proper. As added by P.L.80-1990, SEC.16.
IC 24-5-16-16 Class A misdemeanor
Sec. 16. A person who knowingly or intentionally engages in an
act of unlawful subleasing of a vehicle as described in section 12 of
this chapter commits a Class A misdemeanor. As added by P.L.80-1990, SEC.16.
IC 24-5-16-17 Additional remedies or penalties
Sec. 17. The remedies and penalties under this chapter are in
addition to any other remedies or penalties provided by law for the
conduct proscribed by this chapter. As added by P.L.80-1990, SEC.16.
IC 24-5-16-18 Violation; deceptive act; remedies and penalties
Sec. 18. A person who violates this chapter commits a deceptive
act that is actionable by the attorney general and is subject to the
remedies and penalties under IC 24-5-0.5. As added by P.L.80-1990, SEC.16.
IC 24-5-16-19 Severability
Sec. 19. This chapter is severable in the manner provided by
IC 1-1-1-8. As added by P.L.80-1990, SEC.16.
IC 24-5-16
Chapter 16. Unlawful Motor Vehicle Subleasing
IC 24-5-16-1 "Buyer" defined
Sec. 1. As used in this chapter, "buyer" means a person who buys
goods from a seller. As added by P.L.80-1990, SEC.16.
IC 24-5-16-2 "Direct loan agreement" defined
Sec. 2. As used in this chapter, "direct loan agreement" means an
agreement between a lender and a purchaser by which the lender has
advanced funds under a loan secured by the vehicle that the
purchaser has purchased. As added by P.L.80-1990, SEC.16.
IC 24-5-16-3 "Installment sale agreement" defined
Sec. 3. As used in this chapter, "installment sale agreement"
means a credit sale of goods by a seller to a buyer for a deferred
payment price payable in one (1) or more installments. As added by P.L.80-1990, SEC.16.
IC 24-5-16-4 "Lease contract" defined
Sec. 4. As used in this chapter, "lease contract" means a lease
contract for or in contemplation of a lease for the use of a vehicle,
and the purchase of services incidental to the lease, by an individual
for a term exceeding four (4) months primarily for personal, family,
household, business, commercial, or agricultural use. As added by P.L.80-1990, SEC.16.
IC 24-5-16-5 "Person" defined
Sec. 5. As used in this chapter, "person" means an individual, a
company, a firm, an association, a partnership, a trust, a corporation,
or other legal entity. As added by P.L.80-1990, SEC.16.
IC 24-5-16-6 "Purchaser" defined
Sec. 6. As used in this chapter, "purchaser" has the meaning set
forth in IC 26-1-1-201(33). As added by P.L.80-1990, SEC.16.
IC 24-5-16-7 "Secured party" defined
Sec. 7. As used in this chapter, "secured party" has the meaning
set forth in IC 26-1-9.1-102(a)(72).
As added by P.L.80-1990, SEC.16. Amended by P.L.57-2000, SEC.8.
IC 24-5-16-8 "Security agreement" defined
Sec. 8. As used in this chapter, "security agreement" has the
meaning set forth in IC 26-1-9.1-102(a)(73). As added by P.L.80-1990, SEC.16. Amended by P.L.57-2000, SEC.9.
IC 24-5-16-9 "Security interest" defined
Sec. 9. As used in this chapter, "security interest" has the meaning
set forth in IC 26-1-1-201(37). As added by P.L.80-1990, SEC.16.
IC 24-5-16-10 "Seller" defined
Sec. 10. As used in this chapter, "seller" has the meaning set forth
in IC 26-1-2-103(1)(d). The term includes the present holder of an
installment sales agreement. As added by P.L.80-1990, SEC.16.
IC 24-5-16-11 "Vehicle" defined
Sec. 11. As used in this chapter, "vehicle" has the meaning set
forth in IC 24-4-9-8. As added by P.L.80-1990, SEC.16.
IC 24-5-16-12 Unlawful subleasing; conditions
Sec. 12. (a) A person engages in an act of unlawful subleasing of
a vehicle if all of the following conditions are met:
(1) The vehicle is subject to a lease contract, an installment
sales agreement, or a security agreement, the terms of which
prohibit the transfer or assignment of any right or interest in the
vehicle or under the lease contract, installment sales agreement,
or security agreement without consent of the lessor, seller, or
secured party.
(2) The person is not a party to the lease contract, installment
sales agreement, or security agreement.
(3) The person transfers or assigns, or purports to transfer or
assign, a right or an interest in the vehicle under the lease
contract, installment sales agreement, or security agreement to
a person who is not a party to the lease contract, installment
sales agreement, or security agreement.
(4) The person does not obtain, before the transfer or
assignment described in subdivision (3), written consent to the
transfer or assignment from the vehicle's lessor, seller, or
secured party.
(5) The person receives compensation or some other
consideration for the transfer or assignment described in
subdivision (3).
(b) A person engages in an act of unlawful subleasing of a vehicle
when the person is not a party to the lease contract, installment sales
agreement, or security agreement and assists, causes, or arranges an
actual or purported transfer or assignment described in subsection
(a)(3). As added by P.L.80-1990, SEC.16.
IC 24-5-16-13 Transfer or assignment of right or interest in vehicle under lease
contract
Sec. 13. (a) The actual or purported transfer or assignment, or the
assisting, causing, or arranging of an actual or purported transfer or
assignment, of a right or an interest in a vehicle under a lease
contract, installment sales agreement, or security agreement by a
person who is a party to the lease contract, installment sales
agreement, or security agreement is not an act of unlawful subleasing
of a motor vehicle and is not subject to prosecution.
(b) This section does not affect the enforceability of any provision
of a lease contract, an installment sales agreement, a security
agreement, or a direct loan agreement by a party to the agreement. As added by P.L.80-1990, SEC.16.
IC 24-5-16-14 Civil action
Sec. 14. Any one (1) or more of the following who suffer any
damage proximately resulting from one (1) or more acts of unlawful
vehicle subleasing described in section 12 of this chapter may bring
an action against the person who has engaged in those acts:
(1) A seller or other secured party under an installment sales
agreement or a security agreement.
(2) A lender under a direct loan agreement.
(3) A lessor under a lease contract.
(4) A buyer under an installment sales agreement.
(5) A purchaser under a direct loan agreement, an agreement
that provides for a security interest, or an agreement that is
equivalent to these types of agreements.
(6) A lessee under a lease contract.
(7) An actual or a purported transferee or an assignee of a right
or an interest of a buyer, a purchaser, or a lessee. As added by P.L.80-1990, SEC.16.
IC 24-5-16-15 Remedies
Sec. 15. The court in an action under section 14 of this chapter
may award the following:
(1) Actual damages.
(2) Equitable relief, including an injunction and restitution of
money and property.
(3) Punitive damages.
(4) Reasonable attorney's fees and costs.
(5) Any other relief the court considers proper. As added by P.L.80-1990, SEC.16.
IC 24-5-16-16 Class A misdemeanor
Sec. 16. A person who knowingly or intentionally engages in an
act of unlawful subleasing of a vehicle as described in section 12 of
this chapter commits a Class A misdemeanor. As added by P.L.80-1990, SEC.16.
IC 24-5-16-17 Additional remedies or penalties
Sec. 17. The remedies and penalties under this chapter are in
addition to any other remedies or penalties provided by law for the
conduct proscribed by this chapter. As added by P.L.80-1990, SEC.16.
IC 24-5-16-18 Violation; deceptive act; remedies and penalties
Sec. 18. A person who violates this chapter commits a deceptive
act that is actionable by the attorney general and is subject to the
remedies and penalties under IC 24-5-0.5. As added by P.L.80-1990, SEC.16.
IC 24-5-16-19 Severability
Sec. 19. This chapter is severable in the manner provided by
IC 1-1-1-8. As added by P.L.80-1990, SEC.16.
