The family of a Japanese mother and her two young children are in the process of relocating to Los Angeles after the Japanese consulate in Los Angeles, which is where their car rental company is based, refused to pay rent.
The family said they’ve had no trouble finding affordable rental car service since they moved to the United States.
But the company that manages the rental companies that employ the family said it is not legally allowed to pay rental cars, and has been looking for a way around that.
In a letter obtained by CNNMoney, a company representative said it has been in negotiations with the Japanese embassy about how to resolve the issue, which it says is related to a new law that requires rental companies to pay their employees a minimum wage of at least $7.25 an hour.
The company, a joint venture between Japanese car rental and rental car company Toyota Motor, said it also had been in discussions with other rental car companies about how they could work around the law.
The company did not say when the negotiations began.
The embassy in Tokyo, which handles diplomatic relations with Japan, said the company is violating the law and is “under investigation.”
It said it would review the company’s application and issue an “urgent response” to the embassy.
The Embassy of Japan in Washington, D.C., said in a statement that it has “serious concerns about this practice” and would “take appropriate action.”
The company said it hopes the embassy will “reconsider its actions and take immediate action.”
“The government has made it clear that it does not accept foreign workers to conduct the business of renting cars,” the company said.
“We want to continue working with the government and with the rental car industry to create a sustainable and fair environment for all of our drivers and renters.”