49 U.S.C. § 30121 — Provisional notification and civil actions

Page 778 TITLE 49—TRANSPORTATION § 30120A A manufacturer’’, without specifying the location of such insertion, and indenting appropriately, was exe- cuted by striking ‘‘A manufacturer’’ and inserting ‘‘(1) IN GENERAL.—A manufacturer’’ after the subsec. head- ing, to reflect the probable intent of Congress. Subsec. (f)(1). Pub. L. 114–94, § 24107(2), substituted ‘‘section if—’’ for ‘‘section.’’ and added subpars. (A) and (B). Subsec. (f)(2). Pub. L. 114–94, § 24107(3), added par. (2). Subsec. (g)(1). Pub. L. 114–94, § 24402, substituted ‘‘15 calendar years’’ for ‘‘10 calendar years’’. Subsec. (i). Pub. L. 114–94, § 24109(c)(1), inserted ‘‘, or Rental’’ after ‘‘Equipment’’ in heading. Subsec. (i)(1). Pub. L. 114–94, § 24109(c)(2)(D), which di- rected substitution of ‘‘the dealer or rental company may sell, lease, or rent’’ for ‘‘the dealer may sell or lease,’’, was executed by making the substitution for ‘‘the dealer may sell or lease’’ to reflect the probable intent of Congress. Pub. L. 114–94, § 24109(c)(2)(A)–(C), inserted heading, inserted ‘‘or the manufacturer has provided to a rental company notification about a covered rental vehicle in the company’s possession at the time of notification’’ after ‘‘time of notification’’ in introductory provisions, and realigned margins of subpars. (A) and (B). Subsec. (i)(1)(A). Pub. L. 114–94, § 24109(c)(2)(E), sub- stituted ‘‘sale, lease, or rental agreement’’ for ‘‘sale or lease’’. Subsec. (i)(2). Pub. L. 114–94, § 24109(c)(3), amended par. (2) generally. Prior to amendment, par. (2) read as follows: ‘‘This subsection does not prohibit a dealer from offering for sale or lease the vehicle or equip- ment.’’ Subsec. (i)(3). Pub. L. 114–94, § 24109(c)(4), added par. (3). 2012—Subsec. (a)(1)(B). Pub. L. 112–141, § 31311(1), amended subpar. (B) generally. Prior to amendment, subpar. (B) read as follows: ‘‘if replacement equipment, by repairing the equipment or replacing the equipment with identical or reasonably equivalent equipment.’’ Subsec. (i). Pub. L. 112–141, § 31311(2), inserted ‘‘of New Vehicles or Equipment’’ after ‘‘Lease’’ in heading. Subsec. (j). Pub. L. 112–141, § 31311(3), which directed substitution of ‘‘REPLACEMENT’’ for ‘‘REPLACED’’ in heading, was executed by substituting ‘‘REPLACEMENT’’ for ‘‘REPLACED’’, to reflect the probable intent of Con- gress. 2000—Subsec. (c)(3). Pub. L. 106–414, § 6(a), added par. (3). Subsec. (d). Pub. L. 106–414, § 7, inserted at end ‘‘In the case of a remedy program involving the replacement of tires, the manufacturer shall include a plan addressing how to prevent, to the extent reasonably within the control of the manufacturer, replaced tires from being resold for installation on a motor vehicle, and how to limit, to the extent reasonably within the control of the manufacturer, the disposal of replaced tires in landfills, particularly through shredding, crumbling, recycling, recovery, and other alternative beneficial non-vehicular uses. The manufacturer shall include in- formation about the implementation of such plan with each quarterly report to the Secretary regarding the progress of any notification or remedy campaigns.’’ Pub. L. 106–414, § 6(b), inserted at end ‘‘A manufactur- er’s remedy program shall include a plan for reimburs- ing an owner or purchaser who incurred the cost of the remedy within a reasonable time in advance of the manufacturer’s notification under subsection (b) or (c) of section 30118. The Secretary may prescribe regula- tions establishing what constitutes a reasonable time for purposes of the preceding sentence and other rea- sonable conditions for the reimbursement plan.’’ Subsec. (g)(1). Pub. L. 106–414, § 4, substituted ‘‘10 cal- endar years’’ for ‘‘8 calendar years’’ and ‘‘5 calendar years’’ for ‘‘3 calendar years’’. Subsec. (j). Pub. L. 106–414, § 8, added subsec. (j). 1998—Subsec. (i)(1). Pub. L. 105–178 inserted ‘‘(includ- ing retailers of motor vehicle equipment)’’ after ‘‘pro- vided to a dealer’’ in introductory provisions. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2015 AMENDMENT Amendment by section 24109(c) of Pub. L. 114–94 effec- tive on the date that is 180 days after Dec. 4, 2015, see section 24109(k) of Pub. L. 114–94, set out as a note under section 30102 of this title. EFFECTIVE DATE OF 2012 AMENDMENT Amendment by Pub. L. 112–141 effective Oct. 1, 2012, see section 3(a) of Pub. L. 112–141, set out as an Effec- tive and Termination Dates of 2012 Amendment note under section 101 of Title 23, Highways. § 30120A. Recall obligations and bankruptcy of a manufacturer A manufacturer’s filing of a petition in bank- ruptcy under chapter 7 or chapter 11 of title 11 does not negate the manufacturer’s duty to com- ply with section 30112 or sections 30115 through 30120 of this title. In any bankruptcy proceeding, the manufacturer’s obligations under such sec- tions shall be treated as a claim of the United States Government against such manufacturer, subject to subchapter II of chapter 37 of title 31, United States Code, and given priority pursuant to section 3713(a)(1)(A) of such chapter, notwith- standing section 3713(a)(2), to ensure that con- sumers are adequately protected from any safe- ty defect or noncompliance determined to exist in the manufacturer’s products. This section shall apply equally to actions of a manufacturer taken before or after the filing of a petition in bankruptcy. (Added Pub. L. 112–141, div. C, title I, § 31312(a), July 6, 2012, 126 Stat. 772; amended Pub. L. 114–94, div. B, title XXIV, § 24106, Dec. 4, 2015, 129 Stat. 1705.) Editorial Notes AMENDMENTS 2015—Pub. L. 114–94 substituted ‘‘chapter 7 or chapter 11 of title 11’’ for ‘‘chapter 11 of title 11,’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective Oct. 1, 2012, see section 3(a) of Pub. L. 112–141, set out as an Effective and Termination Dates of 2012 Amendment note under section 101 of Title 23, Highways. § 30121. Provisional notification and civil actions to enforce (a) PROVISIONAL NOTIFICATION.—(1) The Sec- retary of Transportation may order a manufac- turer to issue a provisional notification if a civil action about an order issued under section 30118(b) of this title has been brought under sec- tion 30163 of this title. The provisional notifica- tion shall contain— (A) a statement that the Secretary has de- cided that a defect related to motor vehicle safety or noncompliance with a motor vehicle safety standard prescribed under this chapter exists and that the manufacturer is contesting the decision in a civil action in a United States district court; (B) a clear description of the Secretary’s stated basis for the decision; (C) the Secretary’s evaluation of the risk to motor vehicle safety reasonably related to the defect or noncompliance; Page 779 TITLE 49—TRANSPORTATION § 30121 (D) measures the Secretary considers nec- essary to avoid an unreasonable risk to motor vehicle safety resulting from the defect or noncompliance; (E) a statement that the manufacturer will remedy the defect or noncompliance without charge under section 30120 of this title, but that the requirement to remedy without charge is conditioned on the outcome of the civil action; and (F) other information the Secretary pre- scribes by regulation or includes in the order requiring the notice. (2) A notification under this subsection does not relieve a manufacturer of liability for not giving notification required by an order under section 30118(b) of this title. (b) CIVIL ACTIONS FOR NOT NOTIFYING.—(1) A manufacturer that does not notify owners and purchasers under section 30119(c) and (d) of this title is liable to the United States Government for a civil penalty, unless the manufacturer pre- vails in a civil action referred to in subsection (a) of this section or the court in that action en- joins enforcement of the order. Enforcement may be enjoined only if the court decides that the failure to notify is reasonable and that the manufacturer has demonstrated the likelihood of prevailing on the merits. If enforcement is en- joined, the manufacturer is not liable during the time the order is stayed. (2) A manufacturer that does not notify own- ers and purchasers as required under subsection (a) of this section is liable for a civil penalty re- gardless of whether the manufacturer prevails in an action on the validity of the order issued under section 30118(b) of this title. (c) ORDERS TO MANUFACTURERS.—If the Sec- retary prevails in a civil action referred to in subsection (a) of this section, the Secretary shall order the manufacturer— (1) to notify each owner, purchaser, and deal- er described in section 30119(d) of this title of the outcome of the action and other informa- tion the Secretary requires, and notification under this clause may be combined with noti- fication required under section 30118(b) of this title; (2) to specify the earliest date under section 30119(b) of this title on which the defect or noncompliance will be remedied without charge under section 30120 of this title; and (3) if notification was required under sub- section (a) of this section, to reimburse an owner or purchaser for reasonable and nec- essary expenses (in an amount that is not more than the amount specified in the order of the Secretary under subsection (a)) incurred for repairing the defect or noncompliance dur- ing the period beginning on the date that noti- fication was required to be issued and ending on the date the owner or purchaser receives the notification under this subsection. (d) VENUE.—Notwithstanding section 30163(c) of this title, a civil action about an order issued under section 30118(b) of this title must be brought in the United States district court for a judicial district in the State in which the manu- facturer is incorporated or the District of Co- lumbia. On motion of a party, the court may transfer the action to another district court if good cause is shown. All actions related to the same order under section 30118(b) shall be con- solidated in an action in one judicial district under an order of the court in which the first ac- tion was brought. If the first action is trans- ferred to another court, that court shall issue the consolidation order. (Pub. L. 103–272, § 1(e), July 5, 1994, 108 Stat. 954.) HISTORICAL AND REVISION NOTES Revised Section Source (U.S. Code) Source (Statutes at Large) 30121(a) ...... 15:1397(a)(1)(D) (re- lated to 15:1415(b)). Sept. 9, 1966, Pub. L. 89–563, § 108(a)(1)(D) (related to § 155), 80 Stat. 722; restated Oct. 27, 1974, Pub. L. 93–492, § 103(a)(1)(A), (3), 88 Stat. 1477, 1478. 15:1415(b). Sept. 9, 1966, Pub. L. 89–563, 80 Stat. 718, § 155(b)–(d); added Oct. 27, 1974, Pub. L. 93–492, § 102(a), 88 Stat. 1474. 30121(b) ...... 15:1397(a)(1)(D) (re- lated to 15:1415(c)). 15:1415(c). 30121(c) ...... 15:1397(a)(1)(D) (re- lated to 15:1415(d)). 15:1415(d). 30121(d) ...... 15:1397(a)(1)(D) (re- lated to 15:1415(a)). 15:1415(a). Sept. 9, 1966, Pub. L. 89–563, 80 Stat. 718, § 155(a); added Oct. 27, 1974, Pub. L. 93–492, § 102(a), 88 Stat. 1474; Nov. 8, 1984, Pub. L. 98–620, § 402(17), 98 Stat. 3358. In this section, the text of 15:1397(a)(1)(D) (related to 15:1415) is omitted as surplus. In subsection (a)(1), before clause (A), the words ‘‘and to which subsection (a) of this section applies’’ are omitted because of the restatement. In clause (A), the words ‘‘prescribed under this chapter’’ are substituted for ‘‘Federal’’, and the words ‘‘civil action’’ are sub- stituted for ‘‘proceeding’’, for consistency. In clause (B), the words ‘‘that there is such a defect or failure’’ are omitted as surplus. In clause (D), the word ‘‘con- siders’’ is substituted for ‘‘which in the judgment of . . . are’’ to eliminate unnecessary words. In clause (E), the word ‘‘remedy’’ is substituted for ‘‘cause . . . to be remedied’’ to eliminate unnecessary words. The words ‘‘civil action’’ are substituted for ‘‘court proceeding’’ for consistency. In subsection (b)(1), the words ‘‘with respect to such failure to notify’’ are omitted as surplus. The word ‘‘en- joins’’ is substituted for ‘‘restrains’’ for consistency. The words ‘‘of such an order’’ and ‘‘for which the effec- tiveness of’’ are omitted as surplus. In subsection (b)(2), the words ‘‘by an order’’, ‘‘or not’’, and ‘‘(to which subsection (a) of the section ap- plies)’’ are omitted as surplus. In subsection (c), before clause (1), the words ‘‘a civil action referred to in subsection (a) of this section’’ are substituted for ‘‘(i) a manufacturer fails within the pe- riod specified in section 1413(b) of this title to comply with an order under section 1412(b) of this title to af- ford notification to owners and purchasers, (ii) a civil action to which subsection (a) of this section applies is commenced with respect to such order, and (iii) . . . in such action’’ to eliminate unnecessary words. In clause (1), the word ‘‘action’’ is substituted for ‘‘proceeding’’ for consistency. The words ‘‘containing’’ and ‘‘by an order’’ are omitted as surplus. In clause (2), the words ‘‘under section 30119(b) of this title’’ are substituted for ‘‘(in accordance with the second and third sentences of section 1414(b) of this title)’’ for clarity. The words ‘‘under section 30120 of this title’’ are added for clarity. In clause (3), the words ‘‘which are . . . by such owner Page 780 TITLE 49—TRANSPORTATION § 30122 or purchaser’’, ‘‘the purpose of’’, and ‘‘to which the order relates’’ are omitted as surplus. In subsection (d), the words ‘‘Notwithstanding sec- tion 30163(c) of this title’’ are added for clarity. The words ‘‘An action under section 1399(a) of this title to restrain a violation of an order . . . or under section 1398 of this title to collect a civil penalty with respect to a violation of such an order’’ and ‘‘to which the order applies’’ are omitted as surplus. The words ‘‘may transfer the action’’ are substituted for ‘‘orders a change of venue’’ for consistency with 28:1404. The words ‘‘(including enforcement actions)’’ are omitted as surplus. The words ‘‘that court shall issue the con- solidation order’’ are substituted for ‘‘by order of such other court’’ for clarity. § 30122. Making safety devices and elements in- operative (a) DEFINITION.—In this section, ‘‘motor vehi- cle repair business’’ means a person holding itself out to the public to repair for compensa- tion a motor vehicle or motor vehicle equip- ment. (b) PROHIBITION.—A manufacturer, distributor, dealer, rental company, or motor vehicle repair business may not knowingly make inoperative any part of a device or element of design in- stalled on or in a motor vehicle or motor vehicle equipment in compliance with an applicable motor vehicle safety standard prescribed under this chapter unless the manufacturer, dis- tributor, dealer, rental company, or repair busi- ness reasonably believes the vehicle or equip- ment will not be used (except for testing or a similar purpose during maintenance or repair) when the device or element is inoperative. (c) REGULATIONS.—The Secretary of Transpor- tation may prescribe regulations— (1) to exempt a person from this section if the Secretary decides the exemption is con- sistent with motor vehicle safety and section 30101 of this title; and (2) to define ‘‘make inoperative’’. (Pub. L. 103–272, § 1(e), July 5, 1994, 108 Stat. 956; Pub. L. 112–141, div. C, title I, § 31202(a)(1), July 6, 2012, 126 Stat. 757; Pub. L. 114–94, div. B, title XXIV, § 24109(d), Dec. 4, 2015, 129 Stat. 1707.) HISTORICAL AND REVISION NOTES Revised Section Source (U.S. Code) Source (Statutes at Large) 30122(a) ...... 15:1397(a)(2)(A) (last sentence). Sept. 9, 1966, Pub. L. 89–563, 80 Stat. 718, § 108(a)(2)(A)– (C); added Oct. 27, 1974, Pub. L. 93–492, § 103(a)(1)(A), 88 Stat. 1477. 30122(b) ...... 15:1397(a)(2)(A) (1st sentence). 30122(c) ...... 15:1397(a)(2)(B). 30122(d) ...... 15:1397(a)(2)(C). In subsections (a) and (c), the words ‘‘the term’’ are omitted as surplus. In subsection (a), the words ‘‘in the business of’’ are omitted as surplus. In subsection (b), the words ‘‘an applicable motor ve- hicle safety standard prescribed under this chapter’’ are substituted for ‘‘an applicable Federal motor vehi- cle safety standard’’ for consistency. The words ‘‘of de- sign’’ the 2d time they appear and ‘‘rendered’’ are omit- ted as surplus. In subsection (c)(1), the words ‘‘section 30101 of this title’’ are substituted for ‘‘the purposes of this chap- ter’’ as being more precise. In subsection (d), the words ‘‘with respect . . . the rendering inoperative of’’ are omitted as surplus. Editorial Notes AMENDMENTS 2015—Subsec. (b). Pub. L. 114–94 inserted ‘‘rental com- pany,’’ after ‘‘dealer,’’ in two places. 2012—Subsec. (d). Pub. L. 112–141 struck out subsec. (d). Text read as follows: ‘‘This section does not apply to a safety belt interlock or buzzer designed to indicate a safety belt is not in use as described in section 30124 of this title.’’ Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2015 AMENDMENT Amendment by Pub. L. 114–94 effective on the date that is 180 days after Dec. 4, 2015, see section 24109(k) of Pub. L. 114–94, set out as a note under section 30102 of this title. EFFECTIVE DATE OF 2012 AMENDMENT Amendment by Pub. L. 112–141 effective Oct. 1, 2012, see section 3(a) of Pub. L. 112–141, set out as an Effec- tive and Termination Dates of 2012 Amendment note under section 101 of Title 23, Highways. § 30123. Tires (a) REGROOVED TIRE LIMITATIONS.—(1) In this subsection, ‘‘regrooved tire’’ means a tire with a new tread produced by cutting into the tread of a worn tire. (2) The Secretary may authorize the sale, offer for sale, introduction for sale, or delivery for in- troduction in interstate commerce, of a re- grooved tire or a motor vehicle equipped with regrooved tires if the Secretary decides the tires are designed and made in a way consistent with section 30101 of this title. A person may not sell, offer for sale, introduce for sale, or deliver for introduction in interstate commerce, a re- grooved tire or a vehicle equipped with re- grooved tires unless authorized by the Sec- retary. (b) UNIFORM QUALITY GRADING SYSTEM, NOMEN- CLATURE, AND MARKETING PRACTICES.—The Sec- retary shall prescribe through standards a uni- form quality grading system for motor vehicle tires to help consumers make an informed choice when purchasing tires. The Secretary also shall cooperate with industry and the Fed- eral Trade Commission to the greatest extent practicable to eliminate deceptive and confusing tire nomenclature and marketing practices. A tire standard or regulation prescribed under this chapter supersedes an order or administrative interpretation of the Commission. (c) MAXIMUM LOAD STANDARDS.—The Secretary shall require a motor vehicle to be equipped with tires that meet maximum load standards when the vehicle is loaded with a reasonable amount of luggage and the total number of pas- sengers the vehicle is designed to carry. The ve- hicle shall be equipped with those tires by the manufacturer or by the first purchaser when the vehicle is first bought in good faith other than for resale. (Pub. L. 103–272, § 1(e), July 5, 1994, 108 Stat. 956; Pub. L. 105–178, title VII, § 7106(b), June 9, 1998, 112 Stat. 467.)