Interpretation ID: 77-3.50

TYPE: INTERPRETATION-NHTSA

DATE: 09/01/77

FROM: AUTHOR UNAVAILABLE; Joseph J. Levin Jr.; NHTSA

TO: Texas Automobile Dealers Association

TITLE: FMVSR INTERPRETATION

TEXT: This responds to your August 4, 1977, letter asking whether a dealer who assembles a "kit-car" on a chassis would be considered a manufacturer of a motor vehicle for purposes of compliance with Federal safety standards.

Manufacturer is defined in the National Traffic and Motor Vehicle Safety Act of 1966 (the Act) (15 U.S.C. 1381) as "any person engaged in the manufacturing or assembling of motor vehicles or motor vehicle equipment. . . ." Therefore, a dealer who assembles "kit-cars" would be considered a manufacturer for purposes of the Act since he is assembling motor vehicles. However, if the chassis on which the kit-car is assembled is from another used vehicle, the completed kit-car vehicle would be considered used and its assembler would not be considered a manufacturer under the Act.

The Act prohibits the manufacture for sale or introduction into interstate commerce of any new motor vehicle that does not comply with all applicable Federal motor vehicle safety standards. Therefore, if the vehicle the dealer assembles is going to be used as a means of transportation on the road, it must be certified as conforming with all applicable safety standards. The mere use of a vehicle on public highways constitutes an introduction into interstate commerce and is prohibited unless compliance with the safety standards has been achieved.

Part 567.4(g)(1)(ii) of the certification regulations provides the producer of the kit with an option as to whether or not he certifies that the vehicle will comply with all applicable safety standards if completed according to his instructions. If the producer of the kit takes the responsibility of certifying the completed vehicle, the assembler of the vehicle must exercise reasonable care in following the instructions he provides.

For your information I have enclosed a sheet entitled "Where to Obtain Motor Vehicle Safety Standards and Regulations" which will direct you to the proper source for obtaining a copy of the safety standards and regulations.

SINCERELY

texas automobile dealers association

August 4, 1977

U. S. Department of Transportation National Highway Traffic Safety Administration

This is an inquiry as to your construction of the term "manufacturer" as defined and used in the National Traffic and Motor Vehicle Safety Act of 1966, as amended.

One of our members has inquired as to the applicability of the Act to the assembly and sale of so-called "kit cars". As we understand it, kits are manufactured and sold by the manufacturer to the dealers. The kit is composed of body members made primarily of fiberglass and designed as replicas of classic cars from the past. The kit is designed to be mounted on a Volkswagen chassis, without modification to the chassis.

These kits may be sold to the customer who assembles the vehicle himself on his own chassis or the dealer might assemble the vehicle on his chassis and sell both kit and chassis, fully assembled, to the customer. Our question is, if the dealer assembles the kit on his own chassis and sells the assembled vehicle to the customer, is he a "manufacturer" within the meaning of the Act and therefore subject to compliance with its provisions and of Federal Motor Vehicle Safety Standards and Regulations?

We would appreciate your assistance in providing the answer to this question.

David R. Sapp Assistant General Counsel