Interpretation ID: aiam3119
United States Senate
303 Post Office Building
Jackson
MS 39205;
Dear Mr. Stennis: This is in response to your letter of August 16, 1979, concerning th interests of your constituent, Mr. Ronald Ashley, in Department of Transportation regulations affecting the sale of 'kit' cars. Mr. Ashley requests copies of bumper standards promulgated under the Motor Vehicle Information and Cost Savings Act (Cost Savings Act) (15 U.S.C. 1901, *et seq*.), and the name and address of a government official able to answer questions concerning such regulations. He also asks whether 'kit' vehicles, sold unassembled without engines or transmissions, must comply with Federal bumper standards.; I am enclosing a copy of Part 581, *Bumper Standard* (49 CFR 581), th only bumper standard issued under the authority of the Cost Savings Act. This standard replaced Federal motor vehicle safety standard 215, *Exterior Protection*, as of September 1, 1978. Requests for interpretation of standards should be made in writing and directed to me at the Office of Chief Counsel, National Highway Traffic Safety Administration, 400 Seventh Street, S.W., Washington, D.C. 20590.; With regard to Mr. Ashley's plan to sell 'kit' cars, certain items o motor vehicle equipment (e.g., brake hoses) which may be included in a kit are directly covered by Federal motor vehicle safety standards issued under the authority of the National Traffic and Motor Safety Act (Safety Act) (15 U.S.C. 1381, *et seq*.) and responsibility for their compliance would be shared by the kit manufacturer. However, Federal bumper regulations and most Federal motor vehicle safety standards apply to vehicles after they are finally assembled for sale or use. Thus, the sale of unassembled 'kit' cars would, for the most part, be affected by Federal standards indirectly, through the standards' impact on purchasers.; For example, the Part 581 bumper standard applies to passenger moto vehicles other than multipurpose passenger vehicles (49 CFR 581.3). An unassembled set of body, chassis, and suspension components is not considered a passenger motor vehicle for purposes of the Part 581 standard and, therefore, that regulation does not restrict the manufacture, importation, or sale of such kits.; However, section 106(a)(1) of the Cost Savings Act (15 U.S.C 1916(a)(1)) prohibits the introduction in commerce of any passenger motor vehicle not in conformity with Federal bumper standards. Therefore, a purchaser who completes a kit by the addition of all new equipment would be regarded as the manufacturer of a new passenger motor vehicle and would have to assure that the vehicle complied with Federal standards. Since bumper standards established under the Cost Savings Act do not apply in the case of vehicles after their first purchase in good faith for purposes other than resale, the Part 581 standard would not apply to the addition of a new 'kit' body to the chassis of a used vehicle. Other hybrid vehicles consisting of a mixture of both new and used parts would have to be evaluated on a case by case basis. 'Kit' cars are treated in a like manner with regard to Federal motor vehicle safety standards issued under the authority of the Safety Act.; In view of this discussion, Mr. Ashley may wish to structure his kit in such a manner that they may be assembled on used vehicle chassis. Further, apart form considerations of Federal law, Mr. Ashley's commercial relationships may give rise to a responsibility to caution his customers that their vehicles when finally assembled may not comply with Federal safety standards.; Please contact me again if I can be of further assistance. Sincerely, Frank Berndt, Chief Counsel