
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document affected by Public Law 106-414 Section 4]
[Document affected by Public Law 106-414 Section 6-8]
[Document affected by Public Law 106-414 Section 6-8]
[CITE: 49USC30120]

 
                        TITLE 49--TRANSPORTATION
 
             SUBTITLE VI--MOTOR VEHICLE AND DRIVER PROGRAMS
 
                             PART A--GENERAL
 
                    CHAPTER 301--MOTOR VEHICLE SAFETY
 
                 SUBCHAPTER II--STANDARDS AND COMPLIANCE
 
Sec. 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 defect or noncompliance without charge when the vehicle or 
equipment is presented for remedy. Subject to subsections (b) and (c) of 
this section, the manufacturer shall remedy the defect or noncompliance 
in any of the following 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 
    replacing 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 vehicle 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 
    section 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 
repair is not done adequately within a reasonable time, the manufacturer 
shall--
        (A) replace the vehicle or equipment without charge with an 
    identical or reasonably equivalent vehicle or equipment; or
        (B) for a vehicle, refund the purchase price, less a reasonable 
    allowance for depreciation.

    (2) Failure to repair a motor vehicle or replacement equipment 
adequately not later than 60 days after its presentation is prima facie 
evidence of failure to repair within a reasonable time. However, the 
Secretary may extend, by order, the 60-day period if good cause for an 
extension is shown and the reason is published in the Federal Register 
before the period ends. Presentation of a vehicle or equipment for 
repair before the date specified by a manufacturer in a notice under 
section 30119(a)(5) or 30121(c)(2) of this title is not a presentation 
under this subsection.
    (d) Filing Manufacturer's Remedy Program.--A manufacturer shall file 
with the Secretary a copy of the manufacturer's program under this 
section for remedying a defect or noncompliance. The Secretary shall 
make the program available to the public and publish a notice of 
availability in the Federal Register.
    (e) Hearings About Meeting Remedy Requirements.--On the motion of 
the Secretary or on application by any interested person, the Secretary 
may conduct a hearing to decide whether the manufacturer has reasonably 
met the remedy requirements under this section. Any interested person 
may make written and oral presentations of information, views, and 
arguments on whether the manufacturer has reasonably met the remedy 
requirements. If the Secretary decides a manufacturer has not reasonably 
met the remedy requirements, the Secretary shall order the manufacturer 
to take specified action to meet those requirements and may take any 
other action authorized under this chapter.
    (f) Fair Reimbursement to Dealers.--A manufacturer shall pay fair 
reimbursement to a dealer providing a remedy without charge under this 
section.
    (g) Nonapplication.--(1) The requirement that a remedy be provided 
without charge does not apply if the motor vehicle or replacement 
equipment was bought by the first purchaser more than 8 calendar years, 
or the tire, including an original equipment tire, was bought by the 
first purchaser more than 3 calendar years, before notice is given under 
section 30118(c) of this title or an order is issued under section 
30118(b) of this title, whichever is earlier.
    (2) This section does not apply during any period in which 
enforcement of an order under section 30118(b) of this title is 
restrained or the order is set aside in a civil action to which section 
30121(d) of this title applies.
    (h) Exemptions.--On application of a manufacturer, the Secretary 
shall exempt the manufacturer from this section if the Secretary decides 
a defect or noncompliance is inconsequential to motor vehicle safety. 
The Secretary may take action under this subsection only after notice in 
the Federal Register and an opportunity for any interested person to 
present information, views, and arguments.
    (i) Limitation on Sale or Lease.--(1) If notification is required by 
an order under section 30118(b) of this title or is required under 
section 30118(c) of this title and the manufacturer has provided to a 
dealer (including retailers of motor vehicle equipment) notification 
about a new motor vehicle or new item of replacement equipment in the 
dealer's possession at the time of notification that contains a defect 
related to motor vehicle safety or does not comply with an applicable 
motor vehicle safety standard prescribed under this chapter, the dealer 
may sell or lease the motor vehicle or item of replacement equipment 
only if--
        (A) the defect or noncompliance is remedied as required by this 
    section before delivery under the sale or lease; or
        (B) when the notification is required by an order under section 
    30118(b) of this title, enforcement of the order is restrained or 
    the order is set aside in a civil action to which section 30121(d) 
    of this title applies.

    (2) This subsection does not prohibit a dealer from offering for 
sale or lease the vehicle or equipment.

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 952; Pub. L. 105-
178, title VII, Sec. 7106(a), June 9, 1998, 112 Stat. 467.)

                                          Historical and Revision Notes
-------------------------------------------------------------------------------
---------------------------------
           Revised  Section                    Source (U.S. Code)              
 Source (Statutes at Large)
-------------------------------------------------------------------------------
---------------------------------
30120(a)..............................  15:1397(a)(1)(D) (related to     Sept. 
9, 1966, Pub. L. 89-563, Sec.
                                         15:1414(a)(1) (1st sentence),    108(a
)(1)(D) (related to Secs.
                                         (2)).                            154(a
), (b)(1), (2) (1st sentence),
                                                                          (c), 
156, 157), 80 Stat. 722; restated
                                                                          Oct. 
27, 1974, Pub. L. 93-492, Sec.
                                                                          103(a
)(1)(A), (3), 88 Stat. 1477,
                                                                          1478.
                                        15:1414(a)(1) (1st sentence),    Sept. 
9, 1966, Pub. L. 89-563, 80 Stat.
                                         (2).                             718, 
Secs.  154(a), (b)(1), (2) (1st
                                                                          sente
nce), (c), 156 (related to
                                                                          remed
y), 157 (related to remedy);
                                                                          added
 Oct. 27, 1974, Pub. L. 93-492,
                                                                          Sec. 
 102(a), 88 Stat. 1472, 1474,
                                                                          1475.
30120(b)..............................  15:1397(a)(1)(D) (related to
                                         15:1414(a)(5)).
                                        15:1414(a)(5).
30120(c)..............................  15:1397(a)(1)(D) (related to
                                         15:1414(b)(1), (2) (1st
                                         sentence)).
                                        15:1414(b)(1), (2) (1st
                                         sentence).
30120(d)..............................  15:1397(a)(1)(D) (related to
                                         15:1414(c)).
                                        15:1414(c).
30120(e)..............................  15:1397(a)(1)(D) (related to
                                         15:1416).
                                        15:1416 (related to remedy).
30120(f)..............................  15:1397(a)(1)(D) (related to
                                         15:1414(a)(3)).
                                        15:1414(a)(3).
30120(g)(1)...........................  15:1397(a)(1)(D) (related to
                                         15:1414(a)(4)).
                                        15:1414(a)(4).
30120(g)(2)...........................  15:1397(a)(1)(D) (related to
                                         15:1414(a)(1) (last
                                         sentence)).
                                        15:1414(a)(1) (last sentence).
30120(h)..............................  15:1397(a)(1)(D) (related to
                                         15:1417).
                                        15:1417 (related to remedy).
30120(i)..............................  15:1414(d).                      Sept. 
9, 1966, Pub. L. 89-563, 80 Stat.
                                                                          718, 
Sec.  154(d); added Dec. 18,
                                                                          1991,
 Pub. L. 102-240, Sec.  2504(b),
                                                                          105 S
tat. 2083.
-------------------------------------------------------------------------------
---------------------------------

    In this section, the text of 15:1397(a)(1)(D) (related to 
15:1414(a), (b)(1), (2) (1st sentence), and (c), and 1416) is omitted as 
surplus.
    In subsection (a)(1), before clause (A), the words ``Subject to 
subsections (f) and (g) of this section'' are added for clarity. The 
words ``with an applicable Federal motor vehicle safety standard . . . 
which relates to motor vehicle safety'' and ``pursuant to such 
notification'' are omitted as surplus. The words ``shall remedy'' are 
substituted for ``shall cause such defect or failure to comply in such 
motor vehicle or such item of replacement equipment to be remedied'' to 
eliminate unnecessary words. The words ``the defect or noncompliance'' 
are added for clarity. In clauses (A) and (B), the words ``without 
charge'' are omitted as unnecessary because of the words ``without 
charge'' in this subsection before this clause (A). In clause (A), the 
words ``presented for remedy pursuant to such notification'' and ``of 
such motor vehicle in full'' are omitted as surplus.
    Subsection (a)(2) is substituted for 15:1414(a)(2)(A) (last 
sentence) for clarity.
    In subsection (b)(1), before clause (A), the words ``shall remedy a 
defective or noncomplying tire if'' are substituted for ``shall not be 
obligated to remedy such tire if such tire is not'' to eliminate 
unnecessary words and for consistency. The words ``pursuant to 
notification'' are omitted as surplus. In clause (B), the words 
``decides to replace the tire'' are substituted for ``elects 
replacement'' for clarity.
    Subsection (b)(2) is substituted for 15:1414(a)(5)(B) to eliminate 
unnecessary words.
    In subsection (c)(1), the words before clause (A) are substituted 
for ``Whenever a manufacturer has elected under subsection (a) of this 
section to cause the repair of a defect in a motor vehicle or item of 
replacement equipment or of a failure of such vehicle or item of 
replacement equipment to comply with a motor vehicle safety standard, 
and he has failed to cause such defect or failure to comply to be 
adequately repaired within a reasonable time, then (A) he shall'' to 
eliminate unnecessary words. In clause (A), the word ``replace'' is 
substituted for ``cause . . . to be replaced'' for consistency. In 
clause (B), the word ``refund'' is substituted for ``shall cause . . . 
to be refunded'' for consistency. The words ``in full'' and ``and if the 
manufacturer so elects)'' are omitted as surplus.
    In subsection (c)(2), the word ``presentation'' is substituted for 
``tender'' for clarity. The words ``for repair'' are omitted as surplus. 
The last sentence is substituted for 15:1414(b)(2) (1st sentence) 
because of the restatement.
    In subsection (e), the words ``(including a manufacturer)'' are 
omitted as surplus. The word ``information'' is substituted for ``data'' 
for consistency in the revised title.
    In subsection (f), the word ``fair'' is substituted for ``fair and 
equitable'' to eliminate unnecessary words. The words ``for such 
remedy'' are omitted as surplus. The words ``providing a'' are 
substituted for ``who effects'' for consistency.
    In subsection (g)(2), the words ``In the case of notification 
required by an order'' are omitted as unnecessary. The word ``civil'' is 
added because of rule 2 of the Federal Rules of Civil Procedure (28 App. 
U.S.C.).
    In subsection (h), the words ``any requirement under'', ``or to 
remedy'', and ``as it relates'' are omitted as surplus. The words ``The 
Secretary may take action under this subsection only'' are added because 
of the restatement.


                               Amendments

    1998--Subsec. (i)(1). Pub. L. 105-178 inserted ``(including 
retailers of motor vehicle equipment)'' after ``provided to a dealer'' 
in introductory provisions.

                  Section Referred to in Other Sections

    This section is referred to in sections 30102, 30103, 30117, 30118, 
30119, 30121, 30141, 30147, 30165, 30167 of this title.
