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How to limit liability?

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Question on liability.

I'd like to arrange for my nanny to have
better transportation than she now has, but
I'd also like to limit my liability in case
something were to occur to her or others as
as direct result of her use of the vehicle.

I'm proposing to buy a car for my nanny.
I'd buy the car outright, and put
the title in her name. I'd be giving her
50% of the purchase price and giving her
a personal loan for the other 50%, but with
no lien on the car.

Since my name isn't on the title or a lien, and there's no contingency on her employment for use of the car, would I be avoiding any liability that might arise from her use of the car?

Thanks for your help!


Senior Member
My response:

As long as her name is the only name on the contracts, title and registration, then there's no liability on your part. If she is going to be carrying your children with her, at any time, I would also suggest that you obtain an insurance policy with ALL of the upper limits, and then purchase an "Umbrella Policy" (which kicks in where the primary insurance cuts off).

So, in effect, all you're doing in this scenario is donating or gifting money to her so that she can make the purchase herself. No liability in doing that.


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