One of my employees was recently involved in an accident in an Avis rental car. He was backing out of a parking space when he was hit by another vehicle. It was deemed to be his fault since the other car had the right-of-way.

The invoice we received from Avis for the repairs is fairly straightforward except for an $800.00 charge for "Diminished Value."

The rental agreement doesn't appear to make any accommodation for diminished value charges and I couldn't find any mention of the phrase in this forum.

Has anyone seen this before? Is the company really on the hook for this fee?