Try and avoid getting it repossessed if you can. If that were on his record, they'd charge higher interest rates next time, and it would be harder for him to get ahead. Better to stick it out with only 9 months left on the lease.

You should check your lease agreement, but generally yes. The contract is for a certain amount over a period of time. He will be responsible for the rest of the payments that his contract was for and for the miles and the repairs as stated in the lease agreement. This is one reason I am an advocate for purchasing cars. If he had a car for 2 years, then had a reduction in income, he could try to refinance the car for a longer period to reduce the monthly payments.

To save his credit and teach him a little about financial responsibility, you may want to see if he can get an unsecured loan for the amount that they will charge him for the remainder of the lease agreement. He can pay that amount over the period of say 3 years instead of 9 months, but he will learn to be responsible for the debt and when he goes to get another car, he will have a better idea of what a reasonable payment for his income would be.

Good luck and you still have time to teach him before he gets himself in way too deep! Good luck!