Interpretation ID: aiam3432
Supervisor of Claims
General Transportation Department
Firestone Tire Company
1200 Firestone Parkway
Akron
OH 44317;
Dear Mr. Biddle: This responds to your recent letter to Mr. Kratzke of my staff describing a situation in which a railroad car full of new tires caught on fire. As a result of the damage caused to the tires by the fire, Firestone's quality control staff determined that the tires could no longer be certified as safe for highway use. The railroad company has refused to pay your claim for damage to the tires unless Firestone releases the damaged tires to the railroad company. You stated that the railroad company will either sell the tires through its salvage outlets or use the tires on company vehicles. You ask whether you can rightfully withhold these tires from the railroad company.; If Firestone releases the tires and the railroad company sells th tires or uses them on the public roads, both Firestone and the railroad company would violate an express provision of the National Traffic and Motor Vehicle Safety Act of 1966, as amended (15 U.S.C. 1381 *et seq*.) ('the Safety Act'). Therefore, you can rightfully withhold the tires from the railroad company.; Your letter did not indicate whether the damaged tires were tires fo passenger cars or tires for motor vehicles other than passenger cars. In either case, the tire manufacturer is required to certify that each tire fully complies with certain marking requirements and with specified performance requirements (resistance to bead unseating, strength, endurance, and high speed performance) of Safety Standard No. 109 in the case of passenger car tires (49 CFR S571.109) or of Safety Standard No. 119 for tires other than passenger car tires (49 CFR S571.119). This certification is made by the manufacturer by molding the letters 'DOT' into the sidewall of the tire.; As a result of the damage to this particular shipment of tires, you company has determined that his certification is no longer valid. This determination obligates Firestone to remove the 'DOT' symbol from the sidewall of the tires.; Without the 'DOT' symbol, these tires would clearly not comply with th requirements of either Standard No. 109 or Standard No. 119. Section 108(a)(1)(A) of the Safety Act (15 U.S.C. 1397(a)(1)(A)) provides:; >>>No person shall manufacture for sale, sell, or offer for sale, o introduce or deliver for introduction in interstate commerce, or import into the United States, any ... item of motor vehicle equipment manufactured on or after the date any applicable Federal motor vehicle safety standard takes effect under this title unless it is in conformity with such standard ....<<<; Firestone would violate this prohibition if it were to deliver tires t the railroad company which were not certified as complying with the appropriate safety standard. The railroad company would violate this prohibition if it sold or offered to sell uncertified tires, or if uncertified tires were used by the company on the public roads (introduction in interstate commerce). Section 109 of the Safety Act (15 U.S.C. 1398) specifies penalties of up to $1000 for each violation of section 108, and each tire delivered by Firestone or sold or used by the railroad company would constitute a separate violation of section 108. Section 109 specifies that the maximum civil penalty which can be imposed for a series of related violations, which this would be, is $800,000 for each violator.; You indicated that Firestone would not release the damaged tires fo use in any case, because of the potential safety hazard. I hope that this response reinforces that position. Should you need any further information on this matter, please do not hesitate to contact me. Please show this letter to the interested railroad company so that it will realize the serious nature of its contemplated actions.; Sincerely, Frank Berndt, Chief Counsel