Congress last passed surface transportation funding in the Infrastructure Investment and Jobs Act, or IIJA, in 2021, and it is expiring on Sept. 30, 2026. The IIJA, which cost $305 billion over five years, provides resources to improve highway and car safety and fund public transportation. There is a provision in this renewal known as the Graves Amendment that absolves a rental car company of liability if a rental car driver causes an accident. These protections can be expanded in the forthcoming surface transportation reauthorization to apply to peer-to-peer transportation — P2P — and ride-share platforms as well.

Extending the Graves Amendment’s protection of car rental firms to the ride-share market would benefit both the platforms and car owners. This change would prevent lawsuits against the ride-share company itself if a car owner who happens to be using the platform causes an accident. This would help to decrease fare costs for consumers seeking a ride, as it would prevent expensive litigation.

What is the Graves Amendment?

The Graves Amendment was originally enacted by Congress in 2005 as part of the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users, or SAFETEA-LU. The amendment effectively eliminated car........

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