Last week, a federal appeals court was asked to throw out the National Highway Traffic and Safety Administration’s policy of allowing car makers to issue regional recalls over defective automobiles. The consumer watchdog groups Public Citizen and the Center for Auto Safety filed the original lawsuit over regional auto recalls. In September 2004, the US District Court dismissed the groups’ lawsuit which led to the current appeal.
The lawsuit focuses on a letter written by the NHTSA to auto manufacturers in 1998. In this letter, the government agency made statements about regional recalls. The plaintiffs claim this information is treated as policy by auto makers. They also say these rules are in violation of a federal law which requires all owners to be notified of vehicle recalls regardless of where they live. On the other hand, the assistant US attorney claims the letter does not provide legally binding criteria forcing auto makers to issue regional auto recalls.
The problem with regional recalls is that vehicles move. While this seems logical, it creates problems when recalls are only issued in certain places. For example, an auto defect which is only problematic in icy weather may result in a regional recall issued only in cold states with icy road conditions. However, people with the same car who live in warmer climates may find themselves in big trouble if they travel to an area with icy conditions.
Many consumer advocates argue that regional recalls are too arbitrary. For example, a regional recall was issued involving corrosion damage in vehicles registered in Washington DC and Maryland. Auto owners in Virginia, many of whom travel to DC and Maryland everyday, were not informed of these auto defects.
In the original case, heard by the US District Court of Washington D.C, the lower court ruled that the letter provided guidelines but did not constitute a policy change. The court also said that regional recalls do not violate the Motor Vehicle Safety Act because this federal law does not specifically state that recalls must be nationwide. The three-judge panel of the US Court of Appeals is now being asked to rule on the meaning of the 1998 NHTSA letter and the role of its author, the agency’s associate administrator.
According to Wisconsin’s Attorney General, “these regional recalls exclude many defective vehicles that should otherwise be eligible for recall repairs.” Regardless of the exact intent of the NHTSA letter from 1998, regional recalls hurt American consumers. They fail to inform consumers about potential risks associated with their vehicles. Regional recalls also prevent certain vehicle owners from receiving free auto defect repairs just because of where they live or where their vehicle is registered.
