Interpretation ID: nht89-2.1

TYPE: INTERPRETATION-NHTSA

DATE: 06/09/89

FROM: STEPHEN P. WOOD -- NHTSA ACTING CHIEF COUNSEL

TO: DAVID BLUMBERG -- STRUCTOFAB, INC.

TITLE: NONE

ATTACHMT: LETTER DATED 01/18/89 FROM DAVID BLUMBERG TO DEPARTMENT OF TRANSPORTATION

TEXT: Dear Mr. Blumberg:

This responds to your letter asking whether your company qualifies as a "remanufacturer." You explained that your company acquires the chassis (without the body) of right hand drive jeep-type vehicles that have been used by the United States Postal Servi ce. You further explained that your company undertakes extensive operations to repair, restore, and replace parts of the used chassis and to add to the chassis a new body, hood, seats, and interior. There is no "remanufacturer" category in any of this a gency's laws or regulations. However, based on the facts presented in your letter, your company would appear to be a "manufacturer."

Section 102(5) of the National Traffic and Motor Vehicle Safety Act (15 U.S.C. 1391(5)) defines a "manufacturer" as "any person engaged in the manufacturing or assembling of motor vehicles or motor vehicle equipment, including any person importing motor vehicles or motor vehicle equipment for resale." (emphasis supplied) Since your company plans to assemble vehicles, it would appear to be a "manufacturer" under this definition and subject to the responsibilities imposed on a manufacturer by the Safety A ct and our regulations issued thereunder.

Among these responsibilities are:

1. Registration. 49 CFR Part 566, Manufacturer Identification, requires a "manufacturer" of motor vehicles to submit identifying information and a description of items produced.

2. Federal Motor Vehicle Safety Standards and Certification: Section 114 of the Safety Act (15 U.S.C. 1403) requires each "manufacturer" to certify that every one of its new vehicles complies with all applicable safety standards. The agency's longstand ing position with respect to vehicles assembled by adding new bodies to the chassis of vehicles previously registered for use on the public roads is that such vehicles are themselves considered used motor vehicles. This agency position means that manufa cturers such as your company would not be required to

certify that such vehicles company with all applicable safety standards as of the date the vehicle is assembled.

The only exception to this general rule arises under section 108(a) (2) (A) of the Safety Act, which prohibits any manufacturer, distributor, dealer, or motor vehicle repair business from "rendering inoperative" any device or element of design installed in a vehicle in compliance with an applicable safety standard. We have interpreted this provision of the law as requiring any person (other than the vehicle owner) that has removed an old body in order to install a new one to ensure that the newly assemb led vehicle meets the standard that the vehicle originally did (e.g., a vehicle comprised of a body manufactured in 1989 mounted on a used 1976 chassis must meet all standards that applied to vehicles manufactured in 1976). Your company would be respons ible for any violations of this requirement for all of its vehicles from which your company itself has removed the old body from the used chassis and for all vehicles from which the old body was removed from the used chassis at the behest of your company .

3. Notification and Remedy. The Safety Act requires manufacturers to notify owners and remedy without charge to the owners any safety-related defect discovered in the assembled vehicle.

For your information, I have enclosed a general information sheet for new manufacturers that summarizes the provisions of our law and regulations and tells how to get copies of our regulations. If you have any further questions or need additional inform ation on this subject, please feel free to contact Marvin Shaw of my staff at this address or by telephone at (202) 366-2992.

Sincerely,

ENCLOSURE