I parked my car in a lot in Brooklyn, and I returned later to pick it up. My vehicle had a broken window in the back seat on driver’s side and missing personal items from the back seat. I asked the garage attendant about the damage and missing items. He said that the garage was not responsible for any damage to vehicles while parked. He said each parking ticket had an agreement on it stating that the garage is not responsible for lost items. Is this true?

No, this is not true. The so called “exculpatory clause” in an agreement for parking in a garage is not valid. General Obligations Law § 5-325 states in any agreement by a parking garage which exempts the garage from any liability for negligence is void as a matter of public policy. Therefore, no matter what that garage says (or the tiny fine print on their parking ticket), they are responsible for negligent acts. So if the garage permits your car to be broken into while under their care, the garage is responsible for their negligence.

The garage can limit its liability under General Obligations Law § 5-325(b). But that liability cannot be less than $25,000. So you would have to read the fine print on the back of your parking ticket to see if there are limits their liability.  Most parking garages have liability insurance and will simply turn the claim over to their insurance company.

Exculpatory clauses void as against public policy

This type of exculpatory clause is similar to an earlier post concerning places offering recreation or amusement to the public. In that post, there was an exculpatory clause in an agreement signed by each patron (and on behalf of their children). That exculpatory clause prohibited any negligence claims against the owner. However General Obligations Law § 5-326 voids those types of agreements as being against public policy.

By James Santner, Esq.

If you have questions about a similar situation, feel free to contact us. Consultations are free and there is no fee unless we win.