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Interpretation ID: 7145

Mr. Tm Kozy
Marketing Director
InfiniMed
2105 S. Hardy Dr., Ste. 5
Tempe, AZ 85282-1990

Dear Mr. Kozy:

This responds to your March 24, 1992 letter concerning "adaptive aids (hand controls) in cars equipped with air bags." I am pleased to have this opportunity to explain our regulations to you. Your two questions and the response to each follows.

1. Is it illegal to install a hand control unit that is drilled into the steering column that, according to the bulletin issued by Chrysler Corporation referring to the Federal Motor Vehicle Safety Standard 208, voids the warranty on the air bag as it may render the system inoperative.

To the extent you are seeking information about warranty claims, NHTSA has no authority to regulate those issues. Therefore, I cannot comment on the effect installation of hand controls might have on a warranty. The only Federal agency that has authority to regulate questions relating to warranties in general is the Federal Trade Commission. If you wish to contact that agency for further information regarding warranty questions, you may write to: Mr. Barry J. Cutler, Director, Bureau of Consumer Protection, Federal Trade Commission, Pennsylvania Avenue at Sixth Street, N.W., Washington, D.C. 20580.

I will, however, discuss the implications of the laws and regulations administered by this agency on the installation of hand controls in motor vehicles. Section 103 of the National Traffic and Motor Vehicle Safety Act (the Safety Act; 15 U.S.C. 1392) authorizes NHTSA to issue Federal Motor Vehicle Safety Standards that set performance requirements for new motor vehicles and new items of motor vehicle equipment. Manufacturers are required to certify that their products meet all applicable safety standards. NHTSA periodically tests certified products to ensure that they do, in fact, comply with applicable standards, and investigates allegations that products contain defects related to motor vehicle safety.

If a new vehicle were altered by installation of adaptive controls prior to the vehicle's first sale to a consumer, the person making the installation would be considered an "alterer" and would be required by 49 CFR Part 567, Certification, to certify that the vehicle continues to comply with all applicable safety standards affected by the alteration. With respect to the installation of adaptive controls at a driver's position equipped with an air bag, the party making such an installation would be obliged to certify that the air bag is capable of functioning at least as well with the adaptive control installed as it functioned before the installation.

After the first sale to a consumer, a vehicle is no longer required by Federal law to conform to all safety standards, and persons modifying the vehicle are no longer required to attach certification labels. However, 108(a)(2)(A) of the Safety Act provides as follows:

No manufacturer, distributor, dealer, or motor vehicle repair business shall knowingly render inoperative, in whole or part, any device or element of design installed on or in a motor vehicle or item of motor vehicle equipment in compliance with an applicable Federal motor vehicle safety standard...

This provision obliges any manufacturer, dealer, distributor, or repair business that installs adaptive controls in vehicles equipped with air bags at the driver's position to ensure that such installation does not "render inoperative," or interfere with, the protection afforded the driver by the air bag. Violations of this "render inoperative" prohibition in the Safety Act are punishable by civil fines of up to $1,000 per violation. I note that 108(a)(2)(A) does not affect modifications made by vehicle owners to their own vehicles.

Finally, under the Safety Act, adaptive controls would be considered items of motor vehicle equipment. There are currently no Federal motor vehicle safety standards that apply to adaptive controls as a separate item of motor vehicle equipment. However, although no safety standards apply directly to adaptive controls as a separate item of motor vehicle equipment, manufacturers of adaptive controls are subject to the requirements in 151-159 of the Safety Act concerning the recall and remedy of products with safety defects. In the event that NHTSA or a manufacturer determines that a manufacturer's product contains a safety- related defect, the manufacturer is responsible for notifying purchasers of the defective equipment and remedying the problem free of charge.

2. I need to know if such a unit were installed on an air bag equipped vehicle, and that same vehicle is resold in, say a year or two, is the seller required by law to notify the next buyer that the warranty on the air bag system has been voided, even though the controls may now have been removed.

At the outset, I must again note that this agency has no authority over warranty issues or alleged unfair trade practices. Any such questions should be addressed to the Federal Trade Commission at the address given above. My answer is limited to obligations imposed by the Safety Act and the standards and regulations issued by this agency pursuant to that Act.

The "render inoperative" provision of the Safety Act does not impose an affirmative duty on dealers to replace equipment that was previously removed by someone else, or to repair equipment that was damaged in a crash. Thus, the "render inoperative" provision does not require a dealer to replace an air bag that does not function because of something that happened before the dealer took possession of the vehicle, including the installation of hand controls. Moreover, nothing in the Safety Act imposes a duty on dealers of used vehicles to disclose information to purchasers. Notwithstanding the absence of any such requirements in the Safety Act, a dealer may be required by State law to repair or replace the air bag in these circumstances. For further information on the provisions in various State laws, you may contact: the American Association of Motor Vehicle Administrators, 4600 Wilson Boulevard, Arlington, Virginia 22203.

I hope you find this information helpful. If you have further questions or need some additional information in this area, please contact Mary Versailles of my staff at this address or by telephone at (202) 366-2992.

Sincerely,

Paul Jackson Rice Chief Counsel

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