Interpretation ID: 19948.ztv

Mr. Ron Dawson
4224 Quince Road
Portsmouth, VA 23703

Dear Mr. Dawson:

This is in reply to your e-mail of May 5, 1999, to Taylor Vinson of this Office, on kit cars. We had previously written you on this subject on March 29, 1999, and you have two further questions. I apologize for the delay in our response.

In our earlier letter we informed you that we would regard the person installing the engine and transmission of a kit car, whether the kit purchaser or a commercial entity, as the manufacturer of the vehicle and responsible for its compliance with the Federal motor vehicle safety standards. You cite a letter from this Office to Kent Morris, dated April 22, 1991, in which we stated that a manufacturer is any person assembling more than one motor vehicle. Your asked whether we will "consider the kit purchaser who installs an engine and transmission into a single car a manufacturer."

The answer is that the assembler of a single kit car is a "manufacturer." We have reviewed the statement you cited in our April 22, 1991 letter and concluded that it was incorrect. In other letters, we have stated that a purchaser who completes a kit is a manufacturer (see 1979 letter to the Honorable John C. Stennis) and that even if someone produces only a single motor vehicle, that vehicle must be certified to conform to all applicable Federal motor vehicle safety standards if its producer intends it to operate on the public roads (see 1997 letter to Mr. Dion A. DeVan).

You note that 49 U.S.C. 30112 states that, with certain exceptions, "a person may not manufacture for sale, sell, offer for sale, introduce or deliver for introduction in interstate commerce, or import into the United States, any motor vehicle or motor vehicle equipment manufactured on or after the date an applicable motor vehicle safety standard . . . takes effect unless the vehicle or equipment complies with the standard . . . ." I would point out that driving a vehicle on the public roads would be considered an introduction into interstate commerce. Therefore, a person who assembled a kit car which did not comply with Federal motor vehicle safety standards and then drove the vehicle on the public roads would be in violation of this section.

You also asked whether we would "enforce compliance upon a person who installs an engine and transmission in a kit car and then uses the completed motor vehicle for his/her personal highway use." If we should become aware of an apparent violation in such a situation, we would decide what action to take at that time. I would also note that, in addition to facing a potential Federal enforcement action, such a person might also be in violation of State laws. Moreover, in the event of a crash, there could be potential liability issues both for the assembler of the kit car and for the kit manufacturer. A local attorney could advise you about the laws of your state and potential liability issues.

Sincerely,
Frank Seales, Jr.
Chief Counsel
ref:571
d.6/20/00