NHTSA Issues Strong Caution On ``Used'' Air Bags, NetCompliance, Inc., and Gasstationcompliance.com Web Sites Reveal.

Business Editors

WASHINGTON--(BUSINESS WIRE)--Feb. 6, 2001

The Federal National Highway Traffic Safety Administration (NHTSA) has issued a legal interpretation which cautions that using a salvaged or "used" air bag "raises additional safety issues" for motorists.

The NHTSA interpretation was discovered and posted on the Web sites of both NetCompliance, Inc. (www.netcompliance.com) and its subsidiary Web site, Gasstationcompliance.com (www.gasstationcompliance.com). NetCompliance, Inc. is a Washington-based Internet provider of "paperless" compliance solutions, safety equipment and online worker training programs, delivered via the Internet to companies regulated by the Federal government. Gasstationcompliance.com, its subsidiary, offers software modules that enable station managers to track thousands of chemical products through electronic Material Safety Data Sheet (MSDS) folders and also provides the first commercial system to tailor Web-based training by station location, employee and chemical.

NHTSA has no jurisdiction over the installation of a salvaged air bag in a vehicle whose air bag has already been deployed, although some states may have laws restricting the practice. NHTSA said its Motor Vehicle Safety Act "does not require a manufacturer, distributor, dealer, or repair business to return a vehicle to compliance with a standard if a device or element of design has been 'rendered inoperative' by another agent, such as a crash." The agency went on to say "Thus, Federal law does not require that deployed air bags be replaced or regulate the manner in which such air bags are replaced."

However, NHTSA issued a strong caution about using a salvaged air bag because of various safety issues. It said a salvaged air bag "may be rendered inoperable, for example, by damage in a low-speed crash, even if it has not been deployed." It added that even if the salvaged air bag was not involved in an accident "the way in which the salvaged air bag was removed from the vehicle could affect how the air bag will perform in a crash." NHTSA's legal interpretation listed conditions that are essential for a replacement air bag to be properly installed and even went so far as to suggest that an owner "consult a private attorney concerning the state law implications of using salvaged air bags to repair automobiles, including possible tort liability."

NHTSA's interpretation came in response to a letter from a Little Rock, Ark. woman to then Department of Transportation (DOT) Secretary Rodney Slater, concerning the legality of installing a used air bag in her car after both her air bags deployed in an auto accident. Because the manufacturer of her vehicle could not provide a new air bag in time, the woman's repair shop installed both a new and a used air bag in her car, but would not guarantee that the used air bag would work. She said this made her feel unsafe while driving and questioned whether a used air bag was legal. "If an air bag does not inflate when it is in a wreck the first time, why would you expect it to in the next accident?" she said.

"NetCompliance and its subsidiary, Gasstationcompliance.com, have posted this NHTSA ruling to keep the driving public, the country's 180,000 service station owners and those companies regulated by the DOT current with the latest regulatory issues," said NetCompliance CEO Krish Krishnan. "Our Web sites are providing our customers and visitors with up-to-the-minute compliance information on NHTSA not found anywhere else," he added.

According to trade industry statistics, more than 95 million of the 203 million cars and light trucks on US roads have driver air bags and more than 68 million of these vehicles have passenger air bags. However, the issue of whether to install used or new or salvaged air bags is contentious. For instance, the Automotive Recyclers Association has said that if properly handled and transported "undeployed and recycled OEM (original equipment manufacturer) air bags are entirely appropriate and safe for use for replacement in repair vehicles." However, the Automotive Occupant Restraint Council has said that since no performance test exists to verify if a salvaged or remanufactured air bag may have been exposed to excessive heat, flood waters, etc., and would perform properly, it could not support replacing air bags "with anything other than correct, original equipment replacement parts." Ford Motor Company, General Motors, and some insurance companies all suggest that consumers only use new replacement air bag systems and components.

In the past year, NetCompliance has broken news of major federal government actions affecting the nation and its businesses, in the areas of auto certification, retail advertising on tires, e-signature compliance on employee training certificates, and government ethics. NetCompliance uses its eComply(TM) technology to allow businesses to meet federal and state regulations using an integrated information commerce suite of compliance and training modules, delivered by subscription via the Internet. NetCompliance provides companies with a better, cheaper, and faster way for businesses to determine their compliance needs, meet training requirements, obtain specialized products and services, and manage compliance-related information to regulatory agencies. NetCompliance is a member of the US Congressional Internet Caucus.

Editor's Note: NHTSA legal interpretation letter available at: www.netcompliance.com.