Bill Text: NY A00443 | 2017-2018 | General Assembly | Introduced
Bill Title: Imposes a comprehensive statutory scheme to combat airbag system fraud and protect unsuspecting consumers in NY.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Introduced - Dead) 2018-01-03 - referred to transportation [A00443 Detail]
Download: New_York-2017-A00443-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 443 2017-2018 Regular Sessions IN ASSEMBLY January 9, 2017 ___________ Introduced by M. of A. STIRPE, BRINDISI -- Multi-Sponsored by -- M. of A. HOOPER -- read once and referred to the Committee on Transportation AN ACT to amend the vehicle and traffic law, in relation to airbag safe- ty; and to repeal paragraph (e) of subdivision 6 of section 398-d of such law relating to the replacement of inflatable restraint systems The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Legislative intent. The legislature finds that airbag 2 system fraud is a public safety concern for both consumers and the auto 3 insurance industry and that efforts to address this serious risk to 4 consumers have been piecemeal, rather than coordinate, and that compre- 5 hensive coordinated legislation is necessary to protect consumers and 6 insure the integrity of vehicle restraint systems. 7 § 2. Paragraph (e) of subdivision 6 of section 398-d of the vehicle 8 and traffic law is REPEALED. 9 § 3. Section 415-c of the vehicle and traffic law, as added by chapter 10 161 of the laws of 1996, subdivision 2 as amended by chapter 78 of the 11 laws of 1998, and subdivisions 1 and 2 as further amended by section 104 12 of part A of chapter 62 of the laws of 2011, is amended to read as 13 follows: 14 § 415-c. [Sale] Tracking of salvaged inflatable restraint systems[;15restrictions. 1]. On and after January first, nineteen hundred ninety- 16 seven, prior to offering any salvaged inflatable restraint system for 17 sale, such salvaged inflatable restraint system part [indentification] 18 identification number and the vehicle identification number of the vehi- 19 cle from which the salvaged inflatable restraint system was taken, shall 20 be referred to a nationally recognized theft index bureau approved by 21 the commissioner, in consultation with the superintendent of financial 22 services, for the purposes of determining prior to sale that neither the 23 salvaged inflatable restraint system nor the motor vehicle [were] was EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD04738-01-7A. 443 2 1 stolen, as determined at the time of inquiry. The sales invoice shall 2 state the date and the result of the inquiry to such theft index bureau. 3 [2. On and after March first, nineteen hundred ninety-nine, prior to4offering any salvaged inflatable restraint system for sale such salvaged5inflatable restraint system shall be certified according to standards6established by a nationally recognized testing, engineering and research7body approved by the commissioner in consultation with the superinten-8dent of financial services.] 9 § 4. The vehicle and traffic law is amended by adding a new section 10 415-d to read as follows: 11 § 415-d. Sale and installation of recycled inflatable restraint 12 systems; restrictions. 1. For purposes of this section the following 13 terms shall have the following meanings: 14 (a) The term "airbag" shall mean any component of an inflatable 15 restraint system that is designed in accordance with federal safety 16 regulations for the make, model and year of the vehicle to be installed, 17 operate and activate in a motor vehicle as specified by the vehicle 18 manufacturer, in the event of a crash. Airbag components include, but 19 are not limited to sensors, controllers, wiring and the airbag itself. 20 (b) The term "light manipulating system" means anything that would 21 mask or cause the inaccurate indication of the airbag system status, 22 condition, or operability. 23 (c) "Person" shall mean any natural person, corporation, partnership, 24 limited liability company, unincorporated association or other entity. 25 (d) "Recycled airbag" shall mean an original equipment manufacturer's 26 non-deployed airbag that has been removed from a vehicle for use in 27 another vehicle. 28 2. (a) No person shall: (i) install or reinstall, as part of a vehicle 29 inflatable occupant restraint system, any object other than an airbag; 30 (ii) sell or offer for sale any device with the intent that such device 31 will replace an airbag in any motor vehicle if such person knows or 32 reasonably should know that such device does not meet federal safety 33 requirements; (iii) sell or offer for sale any device that when 34 installed in any motor vehicle gives the impression that a viable airbag 35 is installed in the vehicle, including any light manipulating system; or 36 (iv) intentionally misrepresent the presence of an airbag when one does 37 not exist. 38 (b) Any person found to have violated the provisions of this subdivi- 39 sion shall be guilty of a misdemeanor, and, upon conviction thereof, 40 shall be punished by a fine of up to two thousand five hundred dollars 41 per violation and/or by imprisonment for up to one hundred eighty days. 42 (c) Any person who violates the provisions of this subdivision whose 43 violation results in serious bodily injury or death shall be guilty of a 44 class D felony. 45 3. (a) Any person engaged in the business of purchasing, selling, or 46 installing recycled airbags shall maintain a manual or electronic record 47 of the purchase, sale or installation, which must include the identifi- 48 cation number of the airbag; the vehicle identification number of the 49 vehicle from which the recycled airbag was removed; and, in the event 50 that the recycled airbag is installed, the vehicle identification number 51 of the vehicle into which the airbag is installed. 52 (b) No new or recycled airbag shall be sold or installed which is or 53 has been subject to a specific manufacturer's or appropriate authority's 54 notice of recall. 55 (c) (i) In the case of a new replacement airbag, any person engaged in 56 installing any airbag shall maintain the name and tax identificationA. 443 3 1 number of the supplier of the airbag and record the vehicle identifica- 2 tion number of the vehicle into which the airbag is installed, as well 3 as the identification number of the airbag being installed. 4 (ii) The airbag identification number of the previously deployed 5 airbag being replaced shall be recorded. 6 (iii) Upon any request of a law enforcement officer of this state or 7 other authorized representative of the agency charged with adminis- 8 tration of this section, the installer shall produce such records and 9 permit said agent or police officer to examine them. 10 (d) Any person who sells a recycled airbag shall be a registered vehi- 11 cle dismantler, pursuant to section four hundred fifteen-a of this arti- 12 cle, and must disclose to the purchaser or vehicle owner that the airbag 13 is recycled and has been inspected in accordance with recognized automo- 14 tive recycling standards. 15 (e) The person who installs a new or recycled airbag must be a motor 16 vehicle repair shop registered pursuant to article twelve-A of this 17 chapter and shall submit an affidavit to the vehicle owner or their 18 representative stating that the replacement airbag has been properly 19 installed. Recycled airbags shall be installed in accordance with 20 recognized automotive recycling standards. 21 (f) All records required under this section must be maintained for a 22 minimum of five years following the transaction and may be inspected 23 during normal business hours by any police officer, peace officer or 24 representative of the commissioner. 25 (g) Upon request, information within a portion of such record pertain- 26 ing to a specific transaction must be provided to the insurer and the 27 vehicle owner. 28 (h) Persons engaged in the business of selling recycled airbags shall 29 comply with all applicable terms of a protocol established by a national 30 certifying entity. Such protocol shall be approved by the commissioner 31 which shall include: (i) identification of the supplier of the unit; 32 (ii) identification of the recipient vehicle, including vehicle iden- 33 tification number, year, make and model; (iii) identification of the 34 airbag module cover color and color code if available; (iv) identifica- 35 tion of the donor vehicle, including vehicle identification number, 36 year, make and model; (v) supplier's internal stock number or locator 37 number; (vi) indication of source of interchange information, inter- 38 change manual/part number or original equipment manufacturer informa- 39 tion; (vii) a supplier certificate indicating that all the requirements 40 of the inspection protocol have been successfully achieved and identify- 41 ing the person who completed the inspection; (viii) a document contain- 42 ing the vehicle description including the year, make and model for which 43 the airbag system component is required when being sold to the end-user; 44 and (ix) all other applicable requirements set forth in such protocol. 45 (i) Recycled airbags conforming to such standards shall be accompanied 46 by a certificate of conformance which shall be retained by the instal- 47 ler. 48 (j) Any person who fails to maintain complete and accurate records, to 49 prepare complete and accurate documents, to provide information from 50 such record upon request of the department or any other regulatory body, 51 or to properly disclose that an airbag is recycled, as required by this 52 subdivision shall be guilty of a misdemeanor. 53 4. (a) No person shall knowingly possess, sell, or install a stolen 54 airbag; an airbag from which the manufacturer's part number labeling 55 and/or vehicle identification number has been removed, altered or 56 defaced; or an airbag taken from a stolen motor vehicle.A. 443 4 1 (b) Any person who violates this subdivision shall be guilty of a 2 class D felony. 3 5. Any vehicle accident report that is filed by the appropriate law 4 enforcement agency shall clearly contain a notation as to whether the 5 automobile's airbag or inflatable restraint system had been deployed in 6 the accident. 7 6. (a) Any person selling or trading a motor vehicle who has actual 8 knowledge that the motor vehicle's airbag is inoperable shall notify the 9 buyer or the person acquiring the trade, in writing, that the airbag is 10 inoperable. 11 (b) A person who knowingly violates the provisions of this subdivision 12 shall be guilty of a class A misdemeanor. 13 7. The provisions of this section shall not apply to the sale or trade 14 of a motor vehicle: (a) visibly containing a deployed airbag; (b) sold 15 by an insurance company that acquired the vehicle in connection with a 16 claim settlement; or (c) the sale of which is handled by a company, the 17 primary business of which is the sale of vehicles from insurance compa- 18 nies and which makes no sales to end users. 19 8. In addition to any requirement set forth in this section, any 20 person who removes, stores, transports or installs a recycled airbag, 21 shall do so in accordance with the applicable terms of a protocol estab- 22 lished by a national certifying entity. Such protocol shall be approved 23 by the commissioner in consultation with the superintendent of financial 24 services. 25 § 5. If any clause, sentence, paragraph, section or part of this act 26 shall be adjudged by any court of competent jurisdiction to be invalid 27 and after all further judicial review, the judgment shall not affect, 28 impair or invalidate the remainder thereof, but shall be confined in its 29 operation to the clause, sentence, paragraph, section or part of this 30 act directly involved in the controversy in which the judgment shall 31 have been rendered. 32 § 6. This act shall take effect on the one hundred eightieth day after 33 it shall have become a law; provided, however, that any rule or regu- 34 lation necessary for its implementation may be immediately promulgated 35 by the commissioner of motor vehicles.
