Motor vehicle sellers would disclose missing or faulty airbag systems

Sellers would need a working airbag system or a clear disclosure that it is missing or disabled. This applies to vehicles made on or after September 1, 1997, sold through an auction, dealership, individual, or other resale channel. The seller must also disclose if the vehicle lacks an inflatable restraint system or has one that does not work. A written disclosure must use bold type at least 10 points in size and appear on the front of a sale document. Any physical disclosure must be a noticeable sign attached to the windshield.

The Federal Trade Commission (FTC) would enforce violations, and state officials could sue on behalf of residents. A state suit could seek to stop a violation, require compliance, or obtain money or other relief for residents. State officials must notify the FTC and send it a copy of the complaint before filing, unless that is not feasible; if not, they must notify the FTC when they file. A state generally cannot bring a case against a defendant while a federal case over the same alleged violation is pending. A court could award up to $25,000 extra in a case involving death or paralysis.

A person who knowingly sells a vehicle with a covered airbag deficiency without disclosing it could face criminal penalties. This applies to vehicles made on or after September 1, 1997, that lack a working airbag system and either lack an inflatable restraint system or have one that does not work. The seller must knowingly sell the vehicle without a written or physical disclosure. An attempt carries up to 10 years in prison. If the sale results in death, the penalty may include life in prison; if it results in serious bodily injury, including paralysis, the prison term may be up to 20 years. Other cases carry up to 10 years.