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June 30, 2003 / 8:31 PM

Ford plans halt to Rhode Island leasing

DEARBORN, Mich., June 30 (UPI) -- The Ford Motor Co. announced Monday it plans to end automobile leasing in Rhode Island in October.

Ford Credit said it's taking the action because of a law holding finance companies responsible for accidents involving their leasing customers. Officials said Rhode Island's "vicarious" liability law has resulted in significant payouts by finance companies to resolve litigation.

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Ford previously announced a similar move will become effective July 10 in New York for a similar reason.

Credit Regional Manager June Awad said if the Rhode Island legislature passes a law remedying the liability problem, Ford will continue to lease vehicles in that state.

Ford Credit is a wholly owned subsidiary of the Ford Motor Co. and is the world's largest automotive finance company with more than 11 million customers.

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