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§ 30115. Certification of compliance
A manufacturer or distributor of a motor vehicle or motor vehicle equip-
ment shall certify to the distributor or dealer at delivery that the vehicle
or equipment complies with applicable motor vehicle safety standards pre-
scribed under this chapter. A person may not issue the certificate if, in exer-
cising reasonable care, the person has reason to know the certificate is false
or misleading in a material respect. Certification of a vehicle must be shown
by a label or tag permanently fixed to the vehicle. Certification of equipment
may be shown by a label or tag on the equipment or on the outside of the
container in which the equipment is delivered.
§ 30116. Defects and noncompliance found before sale to
purchaser
(a) ACTIONS REQUIRED OF MANUFACTURERS AND DISTRIBUTORS.—If,
after a manufacturer or distributor sells a motor vehicle or motor vehicle
equipment to a distributor or dealer and before the distributor or dealer
sells the vehicle or equipment, it is decided that the vehicle or equipment
contains a defect related to motor vehicle safety or does not comply with
applicable motor vehicle safety standards prescribed under this chapter—
(1) the manufacturer or distributor immediately shall repurchase the
vehicle or equipment at the price paid by the distributor or dealer, plus
transportation charges and reasonable reimbursement of at least one
percent a month of the price paid prorated from the date of notice of
noncompliance or defect to the date of repurchase; or
(2) if a vehicle, the manufacturer or distributor immediately shall
give to the distributor or dealer at the manufacturer’s or distributor’s
own expense, the part or equipment needed to make the vehicle comply
with the standards or correct the defect.
(b) DISTRIBUTOR OR DEALER INSTALLATION.—The distributor or dealer
shall install the part or equipment referred to in subsection (a)(2) of this
section. If the distributor or dealer installs the part or equipment with rea-
sonable diligence after it is received, the manufacturer shall reimburse the
distributor or dealer for the reasonable value of the installation and a rea-
sonable reimbursement of at least one percent a month of the manufactur-
er’s or distributor’s selling price prorated from the date of notice of non-
compliance or defect to the date the motor vehicle complies with applicable
motor vehicle safety standards prescribed under this chapter or the defect
is corrected.
(c) ESTABLISHING AMOUNT DUE AND CIVIL ACTIONS.—The parties shall
establish the value of installation and the amount of reimbursement under
this section. If the parties do not agree, or if a manufacturer or distributor
refuses to comply with subsection (a) or (b) of this section, the distributor
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(2) A lessor that receives a notification required by section 30118 of this
title about a leased motor vehicle shall provide a copy of the notification
to the lessee in the way the Secretary prescribes by regulation.
§ 30120. Remedies for defects and noncompliance
(a) WAYS TO REMEDY.—(1) Subject to subsections (f) and (g) of this
section, when notification of a defect or noncompliance is required under
section 30118(b) or (c) of this title, the manufacturer of the defective or
noncomplying motor vehicle or replacement equipment shall remedy the de-
fect or noncompliance without charge when the vehicle or equipment is pre-
sented for remedy. Subject to subsections (b) and (c) of this section, the
manufacturer shall remedy the defect or noncompliance in any of the follow-
ing ways the manufacturer chooses:
(A) if a vehicle—
(i) by repairing the vehicle;
(ii) by replacing the vehicle with an identical or reasonably
equivalent vehicle; or
(iii) by refunding the purchase price, less a reasonable allowance
for depreciation.
(B) if replacement equipment, by repairing the equipment or replac-
ing the equipment with identical or reasonably equivalent equipment.
(2) The Secretary of Transportation may prescribe regulations to allow
the manufacturer to impose conditions on the replacement of a motor vehi-
cle or refund of its price.
(b) TIRE REMEDIES.—(1) A manufacturer of a tire, including an original
equipment tire, shall remedy a defective or noncomplying tire if the owner
or purchaser presents the tire for remedy not later than 60 days after the
later of—
(A) the day the owner or purchaser receives notification under sec-
tion 30119 of this title; or
(B) if the manufacturer decides to replace the tire, the day the
owner or purchaser receives notification that a replacement is available.
(2) If the manufacturer decides to replace the tire and the replacement
is not available during the 60-day period, the owner or purchaser must
present the tire for remedy during a subsequent 60-day period that begins
only after the owner or purchaser receives notification that a replacement
will be available during the subsequent period. If tires are available during
the subsequent period, only a tire presented for remedy during that period
must be remedied.
(c) ADEQUACY OF REPAIRS.—(1) If a manufacturer decides to repair a
defective or noncomplying motor vehicle or replacement equipment and the
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this section showing compliance with the standards applicable to the ve-
hicle.
(3) Each registered importer shall include on each motor vehicle released
under this subsection a label prescribed by the Secretary of Transportation
identifying the importer and stating that the vehicle has been altered by the
importer to comply with the standards applicable to the vehicle.
(b) RELIANCE ON MANUFACTURER’S CERTIFICATION.—In making a cer-
tification under subsection (a)(1) of this section, the registered importer
may rely on the manufacturer’s certification for the model to which the
motor vehicle involved is substantially similar if the importer certifies that
any alteration made by the importer did not affect the compliance of the
safety features of the vehicle and the importer keeps records verifying the
certification for the period the Secretary of Transportation prescribes.
(c) EVIDENCE OF COMPLIANCE.—(1) The Secretary of Transportation
may require that the certification under subsection (a)(1) of this section be
accompanied by evidence of compliance the Secretary considers appropriate
or may inspect the certified motor vehicle, or both. If the Secretary gives
notice of an inspection, an importer may release the vehicle only after—
(A) an inspection showing the motor vehicle complies with applicable
motor vehicle safety standards prescribed under this chapter for which
the inspection was made; and
(B) release of the vehicle by the Secretary.
(2) The Secretary of Transportation shall inspect periodically a represent-
ative number of motor vehicles for which certifications have been filed under
subsection (a)(1) of this section. In carrying out a motor vehicle testing pro-
gram under this chapter, the Secretary shall include a representative num-
ber of motor vehicles for which certifications have been filed under sub-
section (a)(1).
(d) CHALLENGING THE CERTIFICATION.—A motor vehicle or bond may
not be released under subsection (a) of this section if the Secretary of
Transportation, not later than 30 days after receiving a certification under
subsection (a)(1) of this section, gives written notice that the Secretary be-
lieves or has reason to believe that the certification is false or contains a
mispresentation. The vehicle and bond may be released only after the Sec-
retary is satisfied with the certification and any modification of the certifi-
cation.
(e) BOND RELEASE.—A release of a bond required under section
30141(d) of this title is deemed an acceptance of a certification or comple-
tion of an inspection under this section but is not a decision by the Sec-
retary of Transportation under section 30118(a) or (b) of this title of com-
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yard shall file a monthly report with the operator of the System. The report
shall contain an inventory of all junk automobiles or salvage automobiles ob-
tained by the junk yard or salvage yard during the prior month. The inven-
tory shall contain—
(A) the vehicle identification number of each automobile obtained;
(B) the date on which the automobile was obtained;
(C) the name of the individual or entity from whom the automobile
was obtained; and
(D) a statement of whether the automobile was crushed or disposed
of for sale or other purposes.
(2) Paragraph (1) of this subsection does not apply to an individual or
entity—
(A) required by State law to report the acquisition of junk auto-
mobiles or salvage automobiles to State or local authorities if those au-
thorities make that information available to the operator; or
(B) issued a verification under section 33110 of this title stating
that the automobile or parts from the automobile are not reported as
stolen.
(b) INSURANCE CARRIERS.—Beginning at a time established by the Sec-
retary that is not sooner than the 3d month before the establishment or des-
ignation of the System, an individual or entity engaged in business as an
insurance carrier shall file a monthly report with the operator. The report
may be filed directly or through a designated agent. The report shall con-
tain an inventory of all automobiles of the current model year or any of the
4 prior model years that the carrier, during the prior month, has obtained
possession of and has decided are junk automobiles or salvage automobiles.
The inventory shall contain—
(1) the vehicle identification number of each automobile obtained;
(2) the date on which the automobile was obtained;
(3) the name of the individual or entity from whom the automobile
was obtained; and
(4) the name of the owner of the automobile at the time of the filing
of the report.
(c) PROCEDURES AND PRACTICES.—The Secretary shall establish by reg-
ulation procedures and practices to facilitate reporting in the least burden-
some and costly fashion.
§ 30505. Penalties and enforcement
(a) PENALTY.—An individual or entity violating this chapter is liable to
the United States Government for a civil penalty of not more than $1,000
for each violation.