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49 U.S.C. § 30121Provisional notification and civil actions to enforce

submitted 32 years ago by Pub. L. 103-272 to r/title-49-TRANSPORTATION · 683 words · no verdicts yet

in plain englishAI-generated · not legal advice

If a manufacturer sues to challenge a recall order, the Secretary of Transportation can still require a provisional recall notice while the case is pending. A manufacturer that skips notifying owners can be fined, even if it later wins its lawsuit in some situations. These recall-related lawsuits must be filed in specific federal courts and, if there are several, combined into one case.

(a) Provisional notification during a lawsuit. (1) If a manufacturer sues to challenge a recall order issued under section 30118(b) (under section 30163), the Secretary can order the manufacturer to send out a "provisional" notice anyway. That notice must state that the Secretary found a safety defect or noncompliance and that the manufacturer is contesting that finding in federal court; give a clear description of the Secretary's reasoning; evaluate the safety risk; describe the steps the Secretary thinks are needed to avoid an unreasonable safety risk; say that the manufacturer will provide a free fix under section 30120, but that this promise depends on how the lawsuit turns out; and include anything else the Secretary requires. (2) Sending this provisional notice doesn't let the manufacturer off the hook if it still fails to send the actual notice the recall order requires. (b) Penalties for not notifying. (1) A manufacturer that doesn't notify owners and buyers as required is liable to the government for a civil penalty — unless it wins its lawsuit, or a court blocks enforcement of the order while the case is pending. A court can only block enforcement if it finds that not notifying was reasonable and that the manufacturer is likely to win the case. If enforcement is blocked, the manufacturer isn't liable for the penalty during that time. (2) But if the manufacturer skips the provisional notice required under subsection (a), it's liable for the penalty regardless of how the underlying lawsuit turns out. (c) What happens if the Secretary wins the lawsuit. If the Secretary wins, the Secretary must order the manufacturer to: notify every owner, buyer, and dealer of the outcome of the case (which can be combined with the original recall notice); set the earliest date the free fix will be available; and, if a provisional notice was required, reimburse owners and buyers for reasonable repair costs (up to the amount the Secretary sets) that they paid between when notice should have gone out and when they actually got it. (d) Where the lawsuit must be filed. A lawsuit challenging a section 30118(b) recall order must be filed in the federal district court for the state where the manufacturer is incorporated, or in the District of Columbia. The court can transfer the case elsewhere for good cause. If more than one lawsuit challenges the same order, they must all be combined into a single case in whichever court got the first one filed — and if that first case gets transferred, the new court issues the order combining the cases.
the actual law source: uscode.house.gov ↗public domain
(a)Provisional Notification.—
(1)

The Secretary of Transportation may order a manufacturer to issue a provisional notification if a civil action about an order issued under section 30118(b) of this title has been brought under section 30163 of this title. The provisional notification shall contain—

(A)

a statement that the Secretary has decided that a defect related to motor vehicle safety or noncompliance with a motor vehicle safety standard prescribed under this chapter exists and that the manufacturer is contesting the decision in a civil action in a United States district court;

(B)

a clear description of the Secretary’s stated basis for the decision;

(C)

the Secretary’s evaluation of the risk to motor vehicle safety reasonably related to the defect or noncompliance;

(D)

measures the Secretary considers necessary to avoid an unreasonable risk to motor vehicle safety resulting from the defect or noncompliance;

(E)

a statement that the manufacturer will remedy the defect or noncompliance without charge under section 30120 of this title, but that the requirement to remedy without charge is conditioned on the outcome of the civil action; and

(F)

other information the Secretary prescribes by regulation or includes in the order requiring the notice.

(2)

A notification under this subsection does not relieve a manufacturer of liability for not giving notification required by an order under section 30118(b) of this title.

(b)Civil Actions for Not Notifying.—
(1)

A manufacturer that does not notify owners and purchasers under section 30119(c) and (d) of this title is liable to the United States Government for a civil penalty, unless the manufacturer prevails in a civil action referred to in subsection (a) of this section or the court in that action enjoins enforcement of the order. Enforcement may be enjoined only if the court decides that the failure to notify is reasonable and that the manufacturer has demonstrated the likelihood of prevailing on the merits. If enforcement is enjoined, the manufacturer is not liable during the time the order is stayed.

(2)

A manufacturer that does not notify owners and purchasers as required under subsection (a) of this section is liable for a civil penalty regardless of whether the manufacturer prevails in an action on the validity of the order issued under section 30118(b) of this title.

(c)Orders to Manufacturers.—

If the Secretary prevails in a civil action referred to in subsection (a) of this section, the Secretary shall order the manufacturer—

(1)

to notify each owner, purchaser, and dealer described in section 30119(d) of this title of the outcome of the action and other information the Secretary requires, and notification under this clause may be combined with notification required under section 30118(b) of this title;

(2)

to specify the earliest date under section 30119(b) of this title on which the defect or noncompliance will be remedied without charge under section 30120 of this title; and

(3)

if notification was required under subsection (a) of this section, to reimburse an owner or purchaser for reasonable and necessary expenses (in an amount that is not more than the amount specified in the order of the Secretary under subsection (a)) incurred for repairing the defect or noncompliance during the period beginning on the date that notification was required to be issued and ending on the date the owner or purchaser receives the notification under this subsection.

(d)Venue.—

Notwithstanding section 30163(c) of this title, a civil action about an order issued under section 30118(b) of this title must be brought in the United States district court for a judicial district in the State in which the manufacturer is incorporated or the District of Columbia. On motion of a party, the court may transfer the action to another district court if good cause is shown. All actions related to the same order under section 30118(b) shall be consolidated in an action in one judicial district under an order of the court in which the first action was brought. If the first action is transferred to another court, that court shall issue the consolidation order.

Source credit: (Pub. L. 103–272, § 1(e), July 5, 1994, 108 Stat. 954.)

history & why it existsrecord from the source credit
  • 1994Enacted · Pub. L. 103-272 · 108 Stat. 954

A history note hasn’t been published yet. The record shows enactment by Pub. L. 103-272 on 1994-07-05.

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