81_FR_65890 81 FR 65705 - NHTSA Enforcement Guidance Bulletin 2016-02: Safety-Related Defects and Automated Safety Technologies

81 FR 65705 - NHTSA Enforcement Guidance Bulletin 2016-02: Safety-Related Defects and Automated Safety Technologies

DEPARTMENT OF TRANSPORTATION
National Highway Traffic Safety Administration

Federal Register Volume 81, Issue 185 (September 23, 2016)

Page Range65705-65709
FR Document2016-23010

Automotive technology is at a moment of rapid change and may evolve farther in the next decade than in the previous 45-plus year history of the Agency. As the automobile industry moves toward fully automated (self-driving) vehicles and other innovative mobility solutions, NHTSA seeks to facilitate the advance of automated technologies that currently present safety improvements and that, in the future, are likely to improve safety and decrease the number of crashes, traffic fatalities, and serious injuries on U.S. roadways. NHTSA is commanded by Congress to protect the safety of the driving public against unreasonable risks of harm that may occur because of the design, construction, or performance of a motor vehicle or motor vehicle equipment, and to mitigate risks of harm, including risks that may be emerging or contingent. As NHTSA has always done when evaluating new vehicle technologies, the Agency will be guided by its statutory mission, the laws it is obligated to enforce, and the benefits of the emerging automated safety technologies appearing on U.S. roadways. NHTSA has broad enforcement authority under existing statutes and regulations to address existing and emerging automated safety technologies. This Enforcement Guidance Bulletin sets forth NHTSA's current views on its enforcement authority--including its view that when vulnerabilities in automated safety technology or equipment pose an unreasonable risk to safety, those vulnerabilities constitute a safety-related defect--and suggests guiding principles and best practices for motor vehicle and equipment manufacturers in this context.

Federal Register, Volume 81 Issue 185 (Friday, September 23, 2016)
[Federal Register Volume 81, Number 185 (Friday, September 23, 2016)]
[Notices]
[Pages 65705-65709]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-23010]


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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration

[Docket No. NHTSA-2016-0040]


NHTSA Enforcement Guidance Bulletin 2016-02: Safety-Related 
Defects and Automated Safety Technologies

AGENCY: National Highway Traffic Safety Administration (NHTSA), 
Department of Transportation.

ACTION: Final notice.

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SUMMARY: Automotive technology is at a moment of rapid change and may 
evolve farther in the next decade than in the previous 45-plus year 
history of the Agency. As the automobile industry moves toward fully 
automated (self-driving) vehicles and other innovative mobility 
solutions, NHTSA seeks to facilitate the advance of automated 
technologies that currently present safety improvements and that, in 
the future, are likely to improve safety and decrease the number of 
crashes, traffic fatalities, and serious injuries on U.S. roadways. 
NHTSA is commanded by Congress to protect the safety of the driving 
public against unreasonable risks of harm that may occur because of

[[Page 65706]]

the design, construction, or performance of a motor vehicle or motor 
vehicle equipment, and to mitigate risks of harm, including risks that 
may be emerging or contingent. As NHTSA has always done when evaluating 
new vehicle technologies, the Agency will be guided by its statutory 
mission, the laws it is obligated to enforce, and the benefits of the 
emerging automated safety technologies appearing on U.S. roadways.
    NHTSA has broad enforcement authority under existing statutes and 
regulations to address existing and emerging automated safety 
technologies. This Enforcement Guidance Bulletin sets forth NHTSA's 
current views on its enforcement authority--including its view that 
when vulnerabilities in automated safety technology or equipment pose 
an unreasonable risk to safety, those vulnerabilities constitute a 
safety-related defect--and suggests guiding principles and best 
practices for motor vehicle and equipment manufacturers in this 
context.

FOR FURTHER INFORMATION CONTACT: Justine Casselle or Elizabeth 
Mykytiuk, Office of the Chief Counsel, National Highway Traffic Safety 
Administration, at (202) 366-2992.

SUPPLEMENTARY INFORMATION:

I. Executive Summary
II. Legal and Policy Background
    A. NHTSA's Enforcement Authority Under the Safety Act
    B. Determining the Existence of a Defect
    C. Determining an Unreasonable Risk to Safety
III. Guidance and Recommended Best Practices: Safety-Related 
Defects, Unreasonable Risk, and Automated Safety Technologies

I. Executive Summary

    Recent and continuing advances in automotive technology have great 
potential to generate significant safety benefits. Today's motor 
vehicles are increasingly equipped with electronics, sensors, and 
computing power that enable automated safety technologies, including 
technologies such as forward-collision warning, automatic-emergency 
braking, and lane-keeping assist, which have the potential to 
dramatically enhance safety. New technologies may not only prevent 
drivers from crashing, but may even do some or all of the driving for 
them. The potential safety implications of such technologies are vast. 
Importantly, as these technologies become more widespread, 
manufacturers must ensure their safe development and implementation.
    On April 1, 2016, NHTSA published a proposed Enforcement Guidance 
Bulletin setting forth an overview of the Agency's enforcement 
authority under the Safety Act and its present views on certain 
enforcement subjects and issues. See Docket No. NHTSA-2016-0040. 
Recognizing the public interest in this topic and the safety concerns 
associated with automated safety technologies, the Agency solicited 
public comment before issuing a final Enforcement Guidance Bulletin. In 
response to the request for comment, the Agency received thirty-five 
(35) public submissions. Although some comments were submitted after 
the stated closing date of May 2, 2016, all comments submitted to the 
docket were considered in formulating this final Guidance.
    In response to various comments suggesting that NHTSA give 
additional review to issues associated with certain software and 
cybersecurity, the Agency has decided to focus this Guidance solely on 
how its enforcement authority relates to automated safety technologies, 
including fully automated (self-driving) vehicles. Thus, comments 
related to cybersecurity will be addressed in future interpretations 
and guidance. However, this does not mean that cybersecurity is outside 
of NHTSA's authority. Manufacturers of motor vehicles and motor vehicle 
equipment must continue to follow the requirements of the Safety Act, 
including those related to cybersecurity.
    The Agency received twenty-eight (28) comments that specifically 
addressed automated safety technologies from a wide variety of 
stakeholders and members of the public. Many commenters supported the 
proposed Enforcement Guidance Bulletin, noting that it adequately 
explained NHTSA's existing authority and how that authority extends to 
automated safety technologies. Some commenters opined that guidance 
should not be viewed as a substitute for traditional rulemaking or the 
establishment of performance standards. One commenter suggested that 
manufacturers be required to engage in constant monitoring and 
reporting, due to the possibility of certain systems showing no outward 
sign of a defect and the increased possibility of defects resulting 
from two systems failing to correctly interact. Another suggested 
replacement of NHTSA's existing enforcement model with a more flexible 
approach after implementing new standards. None of the alternative 
approaches described in this paragraph are foreclosed by this Guidance. 
NHTSA remains open to consideration of those and other options.
    Traditionally, only after new technology is developed and proven 
does the Agency establish new safety standards. This approach has 
yielded enormous safety benefits, but one limitation of this approach 
is that it takes time. Strong safety regulations and standards are a 
vital piece of NHTSA's safety mission and the Agency will engage in 
rulemaking related to automated safety technologies in the future. This 
Guidance serves in part as a reminder that even before such rulemaking 
occurs, NHTSA currently has enforcement authority to address safety 
risks as they arise.
    A number of commenters urged the Agency, when developing guidance 
and regulations, to not provide immunity to manufacturers for the 
consequences of failures of automated safety technologies simply 
because a manufacturer introduces them to the U.S. public. This 
Guidance is limited to setting forth an overview of NHTSA's enforcement 
authority over automated safety technologies and, therefore, is not 
intended to provide such legal immunity.
    Other commenters suggested that while automated safety technologies 
may facilitate increased safety, manufacturers should ensure that over 
the lifespan of the vehicle such technologies themselves do not create 
unreasonable risks to safety due to predictable abuse or impractical 
recalibration requirements. The Agency agrees. Unreasonable risks due 
to predictable abuse or impractical recalibration requirements may 
constitute safety-related defects. See United States v. Gen. Motors 
Corp., 518 F.2d 420, 427 (D.C. Cir. 1975) (``Wheels''). Manufacturers 
have a continuing obligation to proactively identify and mitigate such 
safety risks. This includes safety risks discovered after the vehicle 
and/or equipment has been in safe operation.
    Finally, some commenters suggested that the Agency had 
misinterpreted its authority over certain motor vehicle equipment. Some 
further questioned whether software and certain devices constitute 
motor vehicle equipment.
    NHTSA's authority over motor vehicle equipment, in its many forms, 
is expressed unequivocally in the Safety Act. Because some non-
traditional motor vehicle equipment manufacturers may not fully 
recognize their responsibilities under the Safety Act, this Guidance 
aims to increase awareness of NHTSA's enforcement authority over motor 
vehicle equipment in all of its various forms.\1\ This

[[Page 65707]]

Guidance is not an attempt to alter the relationship between motor 
vehicle and equipment manufacturers and their suppliers, or their 
respective responsibilities under the Safety Act. However, 
manufacturers and suppliers at all levels should be aware of their 
respective Safety Act obligations.
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    \1\ The Agency anticipates publishing additional guidance at a 
later date, further clarifying the criteria the Agency considers 
when determining whether certain devices constitute motor vehicle 
equipment.
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    NHTSA acknowledges the complexity of this evolving landscape. 
Nonetheless, NHTSA has been charged by Congress to protect the safety 
of the driving public against unreasonable risks of harm that may arise 
because of the design, construction, or performance of a motor vehicle 
or motor vehicle equipment. To fulfill that responsibility and 
accomplish its mission, the Agency must take steps to mitigate risks of 
harm, including risks that may result from automated safety 
technologies. This Guidance lays out a high-level overview of NHTSA's 
enforcement authority to evaluate and address safety risks of motor 
vehicle technologies. To the extent the Agency may need additional 
expertise to adequately evaluate such safety risks, NHTSA will take the 
necessary steps (as it has in the past) to meet those needs.
    Based on the Agency's consideration of all comments submitted in 
this proceeding; to aid in the successful development and deployment of 
automated safety technologies; to protect the public from potential 
defects associated with automated safety technologies that pose an 
unreasonable risk to safety; and as informed by the Agency's judgment 
and expertise, NHTSA now publishes this Enforcement Guidance Bulletin 
setting forth the Agency's current view of its enforcement authority 
and principles guiding its exercise of that authority. This includes 
guiding principles and best practices for use by motor vehicle and 
equipment manufacturers. NHTSA is not here establishing a binding set 
of rules, nor is the Agency suggesting that one particular set of 
practices applies in all situations. The Agency recognizes that best 
practices may vary depending on circumstances, and manufacturers remain 
free to choose the solution that best fits their needs while satisfying 
the demands of automotive safety.

II. Legal and Policy Background

A. NHTSA's Enforcement Authority Under the Safety Act

    The National Traffic and Motor Vehicle Safety Act, as amended 
(``Safety Act''), 49 U.S.C. 30101 et seq., provides the basis and 
framework for NHTSA's enforcement authority over motor vehicle and 
motor vehicle equipment defects and noncompliances with federal motor 
vehicle safety standards (FMVSS). This authority includes 
investigations, administrative proceedings, civil penalties, and other 
civil enforcement actions. While fully automated (self-driving) 
vehicles and other automated safety technologies may modify motor 
vehicle and equipment design, NHTSA's statutory enforcement authority 
is sufficiently general and flexible to keep pace with such innovation. 
The Agency has the authority to respond to a safety problem posed by 
new technologies in the same manner it is able to respond to safety 
problems posed by more established automotive technology and equipment, 
such as carburetors, the powertrain, vehicle control systems, and 
forward collision warning systems--by determining the existence of a 
defect that poses an unreasonable risk to motor vehicle safety and 
ordering the manufacturer to conduct a recall. See 49 U.S.C. 30118(b). 
This enforcement authority applies notwithstanding the presence or 
absence of an FMVSS for any particular type of advanced equipment or 
technology. See, e.g., United States v. Chrysler Corp., 158 F.3d 1350, 
1351 (D.C. Cir. 1998) (NHTSA ``may seek the recall of a motor vehicle 
either when a vehicle has `a defect related to motor vehicle safety' or 
when a vehicle `does not comply with an applicable motor vehicle safety 
standard.' '').\2\
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    \2\ A manufacturer's obligation to recall motor vehicles and 
motor vehicle equipment determined to have a safety-related defect 
is separate and distinct from its obligation to recall motor 
vehicles and motor vehicle equipment that fail to comply with an 
applicable FMVSS. See 49 U.S.C. 30120.
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    Under the Safety Act, NHTSA has authority over motor vehicles, 
equipment included in or on a motor vehicle at the time of delivery to 
the first purchaser (i.e., original equipment), and motor vehicle 
replacement equipment. See 49 U.S.C. 30102(a)-(b). Motor vehicle 
equipment is broadly defined to include ``any system, part, or 
component of a motor vehicle as originally manufactured'' and ``any 
similar part or component manufactured or sold for replacement or 
improvement of a system, part, or component.'' 49 U.S.C. 
30102(a)(7)(A)-(B). The Safety Act also gives NHTSA jurisdiction over 
after-market improvements, accessories, or additions to motor vehicles. 
See 49 U.S.C. 30102(a)(7)(B). All devices ``manufactured, sold, 
delivered, or offered to be sold for use on public streets, roads, and 
highways with the apparent purpose of safeguarding users of motor 
vehicles against risk of accident, injury, or death'' are similarly 
subject to NHTSA's enforcement authority. 49 U.S.C. 30102(a)(7)(C).
    With respect to current and emerging automated motor vehicle safety 
technologies, NHTSA considers such technologies (including systems and 
equipment) to be motor vehicle equipment, whether they are offered to 
the public as part of a new motor vehicle (as original equipment) or as 
an after-market replacement(s) of or improvement(s) to original 
equipment. NHTSA also considers software (including, but not 
necessarily limited to, the programs, instructions, code, and data used 
to operate computers and related devices), and after-market software 
updates, to be motor vehicle equipment within the meaning of the Safety 
Act. Software that enables devices not located in or on the motor 
vehicle to connect to the motor vehicle or its systems could, in some 
circumstances, also be considered motor vehicle equipment. Accordingly, 
a manufacturer of current and emerging automated safety technologies, 
whether it is the supplier of the equipment or the manufacturer of a 
motor vehicle on which the equipment is installed, has an obligation to 
notify NHTSA of any and all safety-related defects. See 49 CFR part 
573. Any manufacturer or supplier that fails to do so may be subject to 
civil penalties. See 49 U.S.C. 30165(a).
    NHTSA is charged with reducing deaths, injuries, and economic 
losses resulting from motor vehicle crashes. See 49 U.S.C. 30101. Part 
of that mandate includes ensuring that motor vehicles and motor vehicle 
equipment, including automated safety technologies, perform in ways 
that ``protect[] the public against unreasonable risk of accidents 
occurring because of the design, construction, or performance of a 
motor vehicle, and against unreasonable risk of death or injury in an 
accident.'' 49 U.S.C. 30102(a)(8). This responsibility also includes 
the nonoperational safety of a motor vehicle. Id. In pursuit of these 
safety objectives, and in the absence of adequate action by the 
manufacturer, NHTSA is authorized to determine that a motor vehicle or 
motor vehicle equipment is defective and that the defect poses an 
unreasonable risk to safety. See 49 U.S.C. 30118(b) and (c)(1).

B. Determining the Existence of a Defect

    Under the Safety Act, a ``defect'' includes ``any defect in 
performance, construction, a component, or material of a motor vehicle 
or motor vehicle equipment.'' 49 U.S.C. 30102(a)(2). This includes a 
defect in design. See Wheels, 518 F.2d at 436. A defect in an item of 
motor vehicle equipment (including

[[Page 65708]]

hardware, software, and other electronic systems) may be considered a 
defect of the motor vehicle itself. See 49 U.S.C. 30102(b)(1)(F).
    Congress intended the Safety Act to represent a ``commonsense'' 
approach to safety and courts have followed that approach in 
determining what constitutes a ``defect.'' See, e.g., Wheels, 518 F.2d 
at 436. For this reason, a defect determination does not require an 
engineering explanation or root cause, but instead ``may be based 
exclusively on the performance record of the component.'' Wheels, 518 
F.2d at 432 (``[A] determination of a `defect' does not require any 
predicate of a finding identifying engineering, metallurgical, or 
manufacturing failures.''). Thus, a motor vehicle or item of motor 
vehicle equipment contains a defect ``if it is subject to a significant 
number of failures in normal operation, including failures either 
occurring during specified use or resulting from owner abuse (including 
inadequate maintenance) that is reasonably foreseeable (ordinary 
abuse).'' \3\ Wheels, 518 F.2d at 427.
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    \3\ ``The protection afforded by the [Safety] Act was not 
limited to careful drivers who fastidiously observed speed limits 
and conscientiously complied with manufacturer's instructions on 
vehicle maintenance and operation. . . . [the statute provides] an 
added area of safety to an owner who is lackadaisical, who neglects 
regular maintenance . . .'' Wheels, 518 F.2d at 434.
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    A ``significant number of failures'' is merely a ``non-de minimus'' 
quantity; it need not be a ``substantial percentage of the total.'' 
Wheels, 518 F.2d at 438 n.84. Whether there have been a ``significant 
number of failures'' is a fact-specific inquiry that includes 
considerations such as: the failure rate of the component in question; 
the failure rates of comparable components; the importance of the 
component to the safe operation of the vehicle; and the severity of 
harm to the vehicle and/or occupant caused by the failure. Id. at 427. 
In addition, where appropriate, the determination of the existence of a 
defect may depend upon the failure rate in the affected class of 
vehicles compared to that of other peer vehicles. See United States v. 
Gen. Motors Corp., 841 F.2d 400, 412 (D.C. Cir. 1988) (``X-Cars'').
    The Agency relies on the performance record of a vehicle or 
component in making a defect determination where the engineering or 
root cause of a failure is unknown. See Wheels, 518 F.2d at 432. Where, 
however, the engineering or root cause is known, the Agency need not 
proceed with analyzing the performance record. See id.; see also United 
States v. Gen. Motors Corp., 565 F.2d 754, 758 (D.C. Cir. 1977) 
(``Carburetors'') (finding a defect to be safety-related if it 
``results in hazards as potentially dangerous as sudden engine fire, 
and where there is no dispute that at least some such hazards . . . can 
definitely be expected to occur in the future.''). For software or 
other electronic systems, for example, when the engineering or root 
cause of the hazard is known, a defect exists regardless of whether 
there have been any actual performance failures.

C. Determining an Unreasonable Risk to Safety

    In order to support a recall, a defect must be related to motor 
vehicle safety. United States v. General Motors Corp., 561 F.2d 923, 
928-29 (D.C. Cir. 1977) (``Pitman Arms''). In the context of the Safety 
Act, ``motor vehicle safety'' refers to an ``unreasonable risk of 
accidents'' and an ``unreasonable risk of death or injury in an 
accident.'' 49 U.S.C. 30102(a)(8). Thus, while the defect analysis has 
generally entailed a retrospective look at how many failures have 
occurred (see, e.g., Wheels and Pitman Arms), the safety-relatedness 
question is forward-looking, and concerns hazards that may arise in the 
future. See, e.g., Carburetors, 565 F.2d at 758.
    In general, for a defect to present an ``unreasonable risk,'' there 
must be a likelihood that it will cause or be associated with a ``non-
negligible'' number of crashes, injuries, or deaths in the future. See, 
e.g., Carburetors, 565 F.2d at 759. This prediction of future hazards 
is called a ``risk analysis.'' See, e.g., Pitman Arms, 561 F.2d at 924 
(Leventhal, J., dissenting) (``GM presented a `risk analysis' which 
predicts the likely number of future injuries or deaths to be expected 
in the remaining service life of the affected models''). A forward-
looking risk analysis is compelled by the purpose of the Safety Act, 
which ``is not to protect individuals from the risks associated with 
defective vehicles only after serious injuries have already occurred; 
it is to prevent serious injuries stemming from established defects 
before they occur.'' Carburetors, 565 F.2d at 759 (emphasis added).
    However, in some circumstances, a crash, injury, or death need not 
occur for a defect to be considered to pose an unreasonable risk. If 
the hazard is sufficiently serious, and at least some harm, however 
small, is expected to occur in the future, the risk may be deemed 
unreasonable. Carburetors, 565 F.2d at 759 (``In the context of this 
case . . . even an `exceedingly small' number of injuries from this 
admittedly defective and clearly dangerous carburetor appears to us 
`unreasonably large.'''). In other words, where a defect presents a 
``clearly'' or ``potentially dangerous'' hazard, and where ``at least 
some such hazards''--even an ``exceedingly small'' number--will occur 
in the future, that defect is necessarily safety-related. See id. at 
754. This is so regardless of whether any injuries have already 
occurred, or whether the projected number of failures/injuries in the 
future is trending down. See id. at 759. Moreover, a defect may be 
considered ``per se'' safety-related if it causes the failure of a 
critical component; causes a vehicle fire; causes a loss of vehicle 
control; or suddenly moves the driver away from steering, accelerator, 
and brake controls--regardless of how many injuries or accidents are 
likely to occur in the future. See Carburetors, 565 F.2d 754 (engine 
fires); Pitman Arms, 561 F.2d 923 (loss of control); United States v. 
Ford Motor Co., 453 F. Supp. 1240 (D.D.C. 1978) (``Wipers'') (loss of 
visibility); United States v. Ford Motor Co., 421 F. Supp. 1239, 1243-
1244 (D.D.C. 1976) (``Seatbacks'') (loss of control). Similarly, where 
a defect ``is systematic and is prevalent in a particular class [of 
motor vehicles or equipment], . . . this is prima facie an unreasonable 
risk.'' Pitman Arms, 561 F.2d at 929.

III. Guidance and Recommended Best Practices: Safety-Related Defects, 
Unreasonable Risk, and Automated Safety Technologies

    Consistent with the foregoing background, NHTSA's enforcement 
authority concerning safety-related defects in motor vehicles and motor 
vehicle equipment extends and applies equally to current and emerging 
automated safety technologies. This includes fully automated (self-
driving) vehicles. Where a fully automated (self-driving) vehicle or 
other automated safety technology causes crashes or injuries, or poses 
other safety risks, the Agency will evaluate such technology through 
its investigative authority to determine whether the technology 
presents an unreasonable risk to safety. Similarly, should the Agency 
determine that a fully automated (self-driving) vehicle or other 
automated safety technology has manifested a safety-related defect, and 
a manufacturer fails to act, NHTSA will exercise its enforcement 
authority to the fullest extent.
    To avoid violating Safety Act requirements and standards, 
manufacturers of current and emerging automated safety technologies are

[[Page 65709]]

strongly encouraged to take steps to proactively identify and resolve 
safety concerns before their products are available for use on U.S. 
roadways, and to discuss such actions with NHTSA. The Agency recognizes 
that most automated safety technologies heavily involve electronic 
systems (such as hardware, software, sensors, global positioning 
systems (GPS) and vehicle-to-vehicle (V2V) safety communications 
systems). The Agency acknowledges that the increased use of electronic 
systems in motor vehicles and motor vehicle equipment may raise new and 
different safety concerns. However, the complexities of these systems 
do not diminish manufacturers' duties under the Safety Act. Both motor 
vehicle manufacturers and motor vehicle equipment manufacturers remain 
responsible for ensuring that their vehicles and equipment are free of 
safety-related defects and noncompliances, and do not otherwise pose an 
unreasonable risk to safety. Manufacturers are also reminded that they 
remain responsible for promptly reporting to NHTSA any safety-related 
defects or noncompliances, as well as timely notifying owners and 
dealers of the same.
    In assessing whether a motor vehicle or item of motor vehicle 
equipment poses an unreasonable risk to safety, NHTSA considers the 
vehicle component or system involved, the likelihood of the occurrence 
of a hazard, the potential frequency of a hazard, the severity of 
hazard to the vehicle and occupant, known engineering or root cause, 
and other relevant factors. Where a threatened hazard is substantial 
(e.g., fire or stalling), low potential frequency may not carry as much 
weight in NHTSA's analysis. NHTSA may weigh the above factors, and 
other relevant factors, differently depending on the circumstances of 
the particular underlying matter at issue.
    Software installed in or on a motor vehicle--which is motor vehicle 
equipment--presents its own unique safety risks. Because software often 
interacts with a motor vehicle's critical systems (i.e., systems 
encompassing critical control functions such as braking, steering, or 
acceleration), the operation of those systems can be substantially 
altered by after-market software updates. Software located outside the 
motor vehicle could also be used to affect and control a motor 
vehicle's critical systems.\4\ Under either circumstance, if software 
(whether or not it purports to have a safety-related purpose) creates 
or introduces an unreasonable safety risk to motor vehicle systems, 
then that safety risk constitutes a defect compelling a recall.
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    \4\ NHTSA intends to publish an interpretation clarifying in 
further detail the Agency's criteria for determining whether a 
portable device or portable application is an ``accessory'' to a 
motor vehicle at a later date.
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    While the Agency acknowledges that manufacturers are not required 
to design motor vehicles or motor vehicle equipment that ``never 
fail,'' manufacturers should consider developing systems such that 
should an electrical, electronic, mechanical, or software failure 
occur, the vehicle or equipment can still be operated in a manner to 
mitigate the risks from such failures. Furthermore, with the increased 
introduction of current and emerging automated safety technologies, 
manufacturers should take steps necessary to ensure that any such 
technology introduced to U.S. roadways accounts for the driver's ease 
of use and any foreseeable misuse that may occur, particularly in 
circumstances that require driver interaction while a vehicle is in 
operation. A system design or configuration that fails to take into 
account and safeguard against the consequences of reasonably 
foreseeable driver distraction or error may present an unreasonable 
risk to safety.
    For example, an unconventional electronic gearshift assembly that 
lacks detents or other tactile cues that provide gear selection 
feedback makes it more likely that a driver may attempt to exit a 
vehicle with the mistaken belief that the vehicle is in park. If the 
vehicle's design does not guard against this foreseeable driver error 
by providing an effective warning or (for instance) immobilizing the 
vehicle when the driver's door is opened, the design may present an 
unreasonable risk to safety. Similarly, a semi-autonomous driving 
system that allows a driver to relinquish control of the vehicle while 
it is in operation but fails to adequately account for reasonably 
foreseeable situations where a distracted or inattentive driver-
occupant must retake control of the vehicle at any point may also be an 
unreasonable risk to safety. Additionally, where a software system is 
expected to last the life of the vehicle, manufacturers should take 
care to provide secure updates as needed to keep the system 
functioning. Conversely, if a manufacturer fails to provide secure 
updates to a software system and that failure results in a safety risk, 
NHTSA may consider such a safety risk to be a safety-related defect 
compelling a recall.
    Motor vehicle and motor vehicle equipment manufacturers have a 
continuing obligation to proactively identify safety concerns and 
mitigate the risks of harm. If a manufacturer discovers or is otherwise 
made aware of any safety-related defects, noncompliances, or other 
safety risks after the vehicle and/or equipment (including automated 
safety technology) has been in safe operation, then it should promptly 
contact the appropriate NHTSA personnel to determine the necessary next 
steps. Where a manufacturer fails to adequately address a safety 
concern, NHTSA, when appropriate, will address that failure through its 
enforcement authority.
    Applicability/Legal Statement: This Enforcement Guidance Bulletin 
sets forth NHTSA's current views on its enforcement authority and the 
topic of automated safety technology, and suggests guiding principles 
and best practices to be utilized by motor vehicle and equipment 
manufacturers in this context. This Bulletin is not a final agency 
action and is intended as guidance only. This Bulletin does not have 
the force or effect of law. This Bulletin is not intended, nor can it 
be relied upon, to create any rights enforceable by any party against 
NHTSA, the U.S. Department of Transportation, or the United States. 
These recommended practices do not establish any defense to any 
violations of the Safety Act, or regulations thereunder, or violation 
of any statutes or regulations that NHTSA administers. This Bulletin 
may be revised without notice to reflect changes in the Agency's views 
and analysis, or to clarify and update text.

    Authority: 49 U.S.C. 30101-30103, 30116-30121, 30166; delegation 
of authority at 49 CFR 1.95 and 49 CFR 501.8.

    Issued: September 20, 2016.
Paul A. Hemmersbaugh,
Chief Counsel.
[FR Doc. 2016-23010 Filed 9-22-16; 8:45 am]
BILLING CODE 4910-59-P



                                                                            Federal Register / Vol. 81, No. 185 / Friday, September 23, 2016 / Notices                                                65705

                                                complexity and novelty of these                         document regularly to reflect such                    comments received after that date.
                                                innovations, will challenge the Agency’s                experience, innovation, and public                    Given that we intend for the policy
                                                conventional regulatory processes and                   input.                                                document to be a living document and
                                                capabilities. This challenge requires                                                                         to be developed in an iterative fashion,
                                                                                                        Public Participation
                                                NHTSA to examine whether the ways in                                                                          subsequent opportunities to comment
                                                which NHTSA has addressed safety for                    How do I prepare and submit                           will also be provided periodically.
                                                the last several decades should be                      comments?                                             How can I read the comments submitted
                                                expanded to realize the safety potential
                                                                                                           Your comments must be written and                  by other people?
                                                of HAVs over the decades to come.
                                                   Therefore, Section IV of the HAV                     in English. To ensure that your                          You may read the comments received
                                                Policy identifies potential new tools,                  comments are filed correctly in the                   at the address given above under
                                                authorities, and regulatory approaches                  docket, please include the docket                     COMMENTS. The hours of the docket
                                                that could aid the safe deployment of                   number of this document in your                       are indicated above in the same
                                                new technologies by enabling the                        comments.                                             location. You may also see the
                                                Agency to be more nimble and flexible.                     Your comments must not be more                     comments on the Internet, identified by
                                                There will always be an important role                  than 15 pages long (49 CFR 553.21).                   the docket number at the heading of this
                                                for standards and testing protocols                     NHTSA established this limit to                       notice, at http://www.regulations.gov.
                                                based on careful scientific research and                encourage you to write your primary                      Please note that, even after the
                                                developed through the give-and-take of                  comments in a concise fashion.                        comment closing date, NHTSA will
                                                an open public process. However, it is                  However, you may attach necessary                     continue to file relevant information in
                                                likely that additional regulatory tools                 additional documents to your                          the docket as it becomes available.
                                                along with new expertise and research                   comments. There is no limit on the                    Further, some people may submit late
                                                also will be needed to allow the Agency                 length of the attachments.                            comments. Accordingly, the agency
                                                to more quickly address safety                             Please submit one copy (two copies if              recommends that you periodically
                                                challenges and speed the deployment of                  submitting by mail or hand delivery) of               check the docket for new material.
                                                lifesaving technology.                                  your comments, including the                            Authority: 49 U.S.C. 30101.
                                                                                                        attachments, to the docket following the
                                                Public Comment                                          instructions given above under                          Issued in Washington, DC, on September
                                                                                                                                                              20, 2016 under authority delegated in 49 CFR
                                                   Although most of this policy is                      ADDRESSES. Please note, if you are
                                                                                                                                                              part 1.95.
                                                effective immediately upon publication,                 submitting comments electronically as a
                                                                                                                                                              Nathaniel Beuse,
                                                NHTSA is seeking public comment on                      PDF (Adobe) file, we ask that the
                                                                                                        documents submitted be scanned using                  Associate Administrator for Vehicle Safety
                                                the entire document. While the Agency
                                                                                                                                                              Research.
                                                sought input from various stakeholders                  an Optical Character Recognition (OCR)
                                                                                                                                                              [FR Doc. 2016–22993 Filed 9–22–16; 8:45 am]
                                                during the development of the                           process, thus allowing the agency to
                                                document, it recognizes that not all                    search and copy certain portions of your              BILLING CODE 4910–59–P

                                                interested persons had a full                           submissions.
                                                opportunity to provide such input.
                                                                                                        How do I submit confidential business                 DEPARTMENT OF TRANSPORTATION
                                                Formal comments will allow for that
                                                                                                        information?
                                                opportunity.                                                                                                  National Highway Traffic Safety
                                                   Similarly, some of the items in the                    If you wish to submit any information               Administration
                                                vehicle performance guidance are                        under a claim of confidentiality, you
                                                subject to the requirements of the                      should submit three copies of your                    [Docket No. NHTSA–2016–0040]
                                                Paperwork Reduction Act, which                          complete submission, including the
                                                requires that the Agency provide                        information you claim to be confidential              NHTSA Enforcement Guidance Bulletin
                                                separate notice and comment. The                        business information, to the Office of                2016–02: Safety-Related Defects and
                                                notice for those items will be published                the Chief Counsel, NHTSA, at the                      Automated Safety Technologies
                                                shortly at http://www.regulations.gov                   address given above under FOR FURTHER                 AGENCY:  National Highway Traffic
                                                (search Docket No. NHTSA–2016–0091).                    INFORMATION CONTACT. In addition, you                 Safety Administration (NHTSA),
                                                Finally, NHTSA expects to hold public                   may submit a copy (two copies if                      Department of Transportation.
                                                meetings and workshops associated                       submitting by mail or hand delivery),                 ACTION: Final notice.
                                                with specific items in this Policy. Once                from which you have deleted the
                                                the timing of those meetings has been                   claimed confidential business                         SUMMARY:    Automotive technology is at a
                                                finalized, Federal Register notices for                 information, to the docket by one of the              moment of rapid change and may evolve
                                                those meetings will also be published.                  methods given above under ADDRESSES.                  farther in the next decade than in the
                                                   While the Policy is intended as a                    When you send a comment containing                    previous 45-plus year history of the
                                                starting point that provides needed                     information claimed to be confidential                Agency. As the automobile industry
                                                initial guidance to industry,                           business information, you should                      moves toward fully automated (self-
                                                government, and consumers, it will                      include a cover letter setting forth the              driving) vehicles and other innovative
                                                necessarily evolve over time to meet the                information specified in NHTSA’s                      mobility solutions, NHTSA seeks to
                                                changing needs and demands of                           confidential business information                     facilitate the advance of automated
                                                improved safety and technology.                         regulation (49 CFR part 512).                         technologies that currently present
                                                Accordingly, NHTSA expects and                                                                                safety improvements and that, in the
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                                                intends the policy document and its                     Will the agency consider late                         future, are likely to improve safety and
                                                guidance to be iterative, changing based                comments?                                             decrease the number of crashes, traffic
                                                on public comment; the experience of                      NHTSA will consider all comments                    fatalities, and serious injuries on U.S.
                                                the agency, manufacturers, suppliers,                   received before the close of business on              roadways. NHTSA is commanded by
                                                consumers, and others; and further                      the comment closing date indicated                    Congress to protect the safety of the
                                                technological innovation. NHTSA                         above under DATES. To the extent                      driving public against unreasonable
                                                intends to revise and refine the                        possible, the agency will also consider               risks of harm that may occur because of


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                                                65706                       Federal Register / Vol. 81, No. 185 / Friday, September 23, 2016 / Notices

                                                the design, construction, or performance                Agency’s enforcement authority under                  standards. This approach has yielded
                                                of a motor vehicle or motor vehicle                     the Safety Act and its present views on               enormous safety benefits, but one
                                                equipment, and to mitigate risks of                     certain enforcement subjects and issues.              limitation of this approach is that it
                                                harm, including risks that may be                       See Docket No. NHTSA–2016–0040.                       takes time. Strong safety regulations and
                                                emerging or contingent. As NHTSA has                    Recognizing the public interest in this               standards are a vital piece of NHTSA’s
                                                always done when evaluating new                         topic and the safety concerns associated              safety mission and the Agency will
                                                vehicle technologies, the Agency will be                with automated safety technologies, the               engage in rulemaking related to
                                                guided by its statutory mission, the laws               Agency solicited public comment before                automated safety technologies in the
                                                it is obligated to enforce, and the                     issuing a final Enforcement Guidance                  future. This Guidance serves in part as
                                                benefits of the emerging automated                      Bulletin. In response to the request for              a reminder that even before such
                                                safety technologies appearing on U.S.                   comment, the Agency received thirty-                  rulemaking occurs, NHTSA currently
                                                roadways.                                               five (35) public submissions. Although                has enforcement authority to address
                                                   NHTSA has broad enforcement                          some comments were submitted after                    safety risks as they arise.
                                                authority under existing statutes and                   the stated closing date of May 2, 2016,                  A number of commenters urged the
                                                regulations to address existing and                     all comments submitted to the docket                  Agency, when developing guidance and
                                                emerging automated safety technologies.                 were considered in formulating this                   regulations, to not provide immunity to
                                                This Enforcement Guidance Bulletin                      final Guidance.                                       manufacturers for the consequences of
                                                sets forth NHTSA’s current views on its                    In response to various comments                    failures of automated safety
                                                enforcement authority—including its                     suggesting that NHTSA give additional                 technologies simply because a
                                                view that when vulnerabilities in                       review to issues associated with certain              manufacturer introduces them to the
                                                automated safety technology or                          software and cybersecurity, the Agency                U.S. public. This Guidance is limited to
                                                equipment pose an unreasonable risk to                  has decided to focus this Guidance                    setting forth an overview of NHTSA’s
                                                safety, those vulnerabilities constitute a              solely on how its enforcement authority               enforcement authority over automated
                                                safety-related defect—and suggests                      relates to automated safety technologies,             safety technologies and, therefore, is not
                                                guiding principles and best practices for               including fully automated (self-driving)              intended to provide such legal
                                                motor vehicle and equipment                             vehicles. Thus, comments related to                   immunity.
                                                manufacturers in this context.                          cybersecurity will be addressed in                       Other commenters suggested that
                                                                                                        future interpretations and guidance.                  while automated safety technologies
                                                FOR FURTHER INFORMATION CONTACT:
                                                                                                        However, this does not mean that                      may facilitate increased safety,
                                                Justine Casselle or Elizabeth Mykytiuk,
                                                                                                        cybersecurity is outside of NHTSA’s                   manufacturers should ensure that over
                                                Office of the Chief Counsel, National
                                                                                                        authority. Manufacturers of motor                     the lifespan of the vehicle such
                                                Highway Traffic Safety Administration,
                                                                                                        vehicles and motor vehicle equipment                  technologies themselves do not create
                                                at (202) 366–2992.
                                                                                                        must continue to follow the                           unreasonable risks to safety due to
                                                SUPPLEMENTARY INFORMATION:                                                                                    predictable abuse or impractical
                                                                                                        requirements of the Safety Act,
                                                I. Executive Summary                                    including those related to cybersecurity.             recalibration requirements. The Agency
                                                II. Legal and Policy Background                            The Agency received twenty-eight                   agrees. Unreasonable risks due to
                                                   A. NHTSA’s Enforcement Authority Under               (28) comments that specifically                       predictable abuse or impractical
                                                      the Safety Act                                    addressed automated safety                            recalibration requirements may
                                                   B. Determining the Existence of a Defect
                                                                                                        technologies from a wide variety of                   constitute safety-related defects. See
                                                   C. Determining an Unreasonable Risk to
                                                      Safety                                            stakeholders and members of the public.               United States v. Gen. Motors Corp., 518
                                                III. Guidance and Recommended Best                      Many commenters supported the                         F.2d 420, 427 (D.C. Cir. 1975)
                                                      Practices: Safety-Related Defects,                proposed Enforcement Guidance                         (‘‘Wheels’’). Manufacturers have a
                                                      Unreasonable Risk, and Automated                  Bulletin, noting that it adequately                   continuing obligation to proactively
                                                      Safety Technologies                               explained NHTSA’s existing authority                  identify and mitigate such safety risks.
                                                                                                        and how that authority extends to                     This includes safety risks discovered
                                                I. Executive Summary                                    automated safety technologies. Some                   after the vehicle and/or equipment has
                                                   Recent and continuing advances in                    commenters opined that guidance                       been in safe operation.
                                                automotive technology have great                        should not be viewed as a substitute for                 Finally, some commenters suggested
                                                potential to generate significant safety                traditional rulemaking or the                         that the Agency had misinterpreted its
                                                benefits. Today’s motor vehicles are                    establishment of performance standards.               authority over certain motor vehicle
                                                increasingly equipped with electronics,                 One commenter suggested that                          equipment. Some further questioned
                                                sensors, and computing power that                       manufacturers be required to engage in                whether software and certain devices
                                                enable automated safety technologies,                   constant monitoring and reporting, due                constitute motor vehicle equipment.
                                                including technologies such as forward-                 to the possibility of certain systems                    NHTSA’s authority over motor
                                                collision warning, automatic-emergency                  showing no outward sign of a defect and               vehicle equipment, in its many forms, is
                                                braking, and lane-keeping assist, which                 the increased possibility of defects                  expressed unequivocally in the Safety
                                                have the potential to dramatically                      resulting from two systems failing to                 Act. Because some non-traditional
                                                enhance safety. New technologies may                    correctly interact. Another suggested                 motor vehicle equipment manufacturers
                                                not only prevent drivers from crashing,                 replacement of NHTSA’s existing                       may not fully recognize their
                                                but may even do some or all of the                      enforcement model with a more flexible                responsibilities under the Safety Act,
                                                driving for them. The potential safety                  approach after implementing new                       this Guidance aims to increase
                                                                                                                                                              awareness of NHTSA’s enforcement
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                                                implications of such technologies are                   standards. None of the alternative
                                                vast. Importantly, as these technologies                approaches described in this paragraph                authority over motor vehicle equipment
                                                become more widespread,                                 are foreclosed by this Guidance. NHTSA                in all of its various forms.1 This
                                                manufacturers must ensure their safe                    remains open to consideration of those
                                                                                                                                                                1 The Agency anticipates publishing additional
                                                development and implementation.                         and other options.
                                                                                                                                                              guidance at a later date, further clarifying the
                                                   On April 1, 2016, NHTSA published                       Traditionally, only after new                      criteria the Agency considers when determining
                                                a proposed Enforcement Guidance                         technology is developed and proven                    whether certain devices constitute motor vehicle
                                                Bulletin setting forth an overview of the               does the Agency establish new safety                  equipment.



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                                                                            Federal Register / Vol. 81, No. 185 / Friday, September 23, 2016 / Notices                                             65707

                                                Guidance is not an attempt to alter the                 federal motor vehicle safety standards                  subject to NHTSA’s enforcement
                                                relationship between motor vehicle and                  (FMVSS). This authority includes                        authority. 49 U.S.C. 30102(a)(7)(C).
                                                equipment manufacturers and their                       investigations, administrative                             With respect to current and emerging
                                                suppliers, or their respective                          proceedings, civil penalties, and other                 automated motor vehicle safety
                                                responsibilities under the Safety Act.                  civil enforcement actions. While fully                  technologies, NHTSA considers such
                                                However, manufacturers and suppliers                    automated (self-driving) vehicles and                   technologies (including systems and
                                                at all levels should be aware of their                  other automated safety technologies                     equipment) to be motor vehicle
                                                respective Safety Act obligations.                      may modify motor vehicle and                            equipment, whether they are offered to
                                                   NHTSA acknowledges the complexity                    equipment design, NHTSA’s statutory                     the public as part of a new motor
                                                of this evolving landscape. Nonetheless,                enforcement authority is sufficiently                   vehicle (as original equipment) or as an
                                                NHTSA has been charged by Congress                      general and flexible to keep pace with                  after-market replacement(s) of or
                                                to protect the safety of the driving                    such innovation. The Agency has the                     improvement(s) to original equipment.
                                                public against unreasonable risks of                    authority to respond to a safety problem                NHTSA also considers software
                                                harm that may arise because of the                      posed by new technologies in the same                   (including, but not necessarily limited
                                                design, construction, or performance of                 manner it is able to respond to safety                  to, the programs, instructions, code, and
                                                a motor vehicle or motor vehicle                        problems posed by more established                      data used to operate computers and
                                                equipment. To fulfill that responsibility               automotive technology and equipment,                    related devices), and after-market
                                                and accomplish its mission, the Agency                  such as carburetors, the powertrain,                    software updates, to be motor vehicle
                                                must take steps to mitigate risks of                    vehicle control systems, and forward                    equipment within the meaning of the
                                                harm, including risks that may result                   collision warning systems—by                            Safety Act. Software that enables
                                                from automated safety technologies.                     determining the existence of a defect                   devices not located in or on the motor
                                                This Guidance lays out a high-level                     that poses an unreasonable risk to motor                vehicle to connect to the motor vehicle
                                                overview of NHTSA’s enforcement                         vehicle safety and ordering the                         or its systems could, in some
                                                authority to evaluate and address safety                manufacturer to conduct a recall. See 49                circumstances, also be considered motor
                                                risks of motor vehicle technologies. To                 U.S.C. 30118(b). This enforcement                       vehicle equipment. Accordingly, a
                                                the extent the Agency may need                          authority applies notwithstanding the                   manufacturer of current and emerging
                                                additional expertise to adequately                      presence or absence of an FMVSS for                     automated safety technologies, whether
                                                evaluate such safety risks, NHTSA will                  any particular type of advanced                         it is the supplier of the equipment or the
                                                take the necessary steps (as it has in the              equipment or technology. See, e.g.,                     manufacturer of a motor vehicle on
                                                past) to meet those needs.                              United States v. Chrysler Corp., 158                    which the equipment is installed, has an
                                                   Based on the Agency’s consideration                  F.3d 1350, 1351 (D.C. Cir. 1998)                        obligation to notify NHTSA of any and
                                                of all comments submitted in this                       (NHTSA ‘‘may seek the recall of a motor                 all safety-related defects. See 49 CFR
                                                proceeding; to aid in the successful                    vehicle either when a vehicle has ‘a                    part 573. Any manufacturer or supplier
                                                development and deployment of                           defect related to motor vehicle safety’ or              that fails to do so may be subject to civil
                                                automated safety technologies; to                       when a vehicle ‘does not comply with                    penalties. See 49 U.S.C. 30165(a).
                                                protect the public from potential defects                                                                          NHTSA is charged with reducing
                                                                                                        an applicable motor vehicle safety
                                                associated with automated safety                                                                                deaths, injuries, and economic losses
                                                                                                        standard.’ ’’).2
                                                technologies that pose an unreasonable                                                                          resulting from motor vehicle crashes.
                                                                                                           Under the Safety Act, NHTSA has                      See 49 U.S.C. 30101. Part of that
                                                risk to safety; and as informed by the                  authority over motor vehicles,
                                                Agency’s judgment and expertise,                                                                                mandate includes ensuring that motor
                                                                                                        equipment included in or on a motor                     vehicles and motor vehicle equipment,
                                                NHTSA now publishes this                                vehicle at the time of delivery to the
                                                Enforcement Guidance Bulletin setting                                                                           including automated safety
                                                                                                        first purchaser (i.e., original equipment),             technologies, perform in ways that
                                                forth the Agency’s current view of its                  and motor vehicle replacement
                                                enforcement authority and principles                                                                            ‘‘protect[] the public against
                                                                                                        equipment. See 49 U.S.C. 30102(a)–(b).                  unreasonable risk of accidents occurring
                                                guiding its exercise of that authority.                 Motor vehicle equipment is broadly
                                                This includes guiding principles and                                                                            because of the design, construction, or
                                                                                                        defined to include ‘‘any system, part, or               performance of a motor vehicle, and
                                                best practices for use by motor vehicle                 component of a motor vehicle as                         against unreasonable risk of death or
                                                and equipment manufacturers. NHTSA                      originally manufactured’’ and ‘‘any                     injury in an accident.’’ 49 U.S.C.
                                                is not here establishing a binding set of               similar part or component manufactured                  30102(a)(8). This responsibility also
                                                rules, nor is the Agency suggesting that                or sold for replacement or improvement                  includes the nonoperational safety of a
                                                one particular set of practices applies in              of a system, part, or component.’’ 49                   motor vehicle. Id. In pursuit of these
                                                all situations. The Agency recognizes                   U.S.C. 30102(a)(7)(A)–(B). The Safety                   safety objectives, and in the absence of
                                                that best practices may vary depending                  Act also gives NHTSA jurisdiction over                  adequate action by the manufacturer,
                                                on circumstances, and manufacturers                     after-market improvements, accessories,                 NHTSA is authorized to determine that
                                                remain free to choose the solution that                 or additions to motor vehicles. See 49                  a motor vehicle or motor vehicle
                                                best fits their needs while satisfying the              U.S.C. 30102(a)(7)(B). All devices                      equipment is defective and that the
                                                demands of automotive safety.                           ‘‘manufactured, sold, delivered, or                     defect poses an unreasonable risk to
                                                II. Legal and Policy Background                         offered to be sold for use on public                    safety. See 49 U.S.C. 30118(b) and (c)(1).
                                                                                                        streets, roads, and highways with the
                                                A. NHTSA’s Enforcement Authority                        apparent purpose of safeguarding users                  B. Determining the Existence of a Defect
                                                Under the Safety Act                                    of motor vehicles against risk of                         Under the Safety Act, a ‘‘defect’’
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                                                  The National Traffic and Motor                        accident, injury, or death’’ are similarly              includes ‘‘any defect in performance,
                                                Vehicle Safety Act, as amended (‘‘Safety                                                                        construction, a component, or material
                                                Act’’), 49 U.S.C. 30101 et seq., provides                 2 A manufacturer’s obligation to recall motor         of a motor vehicle or motor vehicle
                                                the basis and framework for NHTSA’s                     vehicles and motor vehicle equipment determined         equipment.’’ 49 U.S.C. 30102(a)(2). This
                                                                                                        to have a safety-related defect is separate and
                                                enforcement authority over motor                        distinct from its obligation to recall motor vehicles
                                                                                                                                                                includes a defect in design. See Wheels,
                                                vehicle and motor vehicle equipment                     and motor vehicle equipment that fail to comply         518 F.2d at 436. A defect in an item of
                                                defects and noncompliances with                         with an applicable FMVSS. See 49 U.S.C. 30120.          motor vehicle equipment (including


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                                                65708                        Federal Register / Vol. 81, No. 185 / Friday, September 23, 2016 / Notices

                                                hardware, software, and other electronic                  F.2d 754, 758 (D.C. Cir. 1977)                       defective and clearly dangerous
                                                systems) may be considered a defect of                    (‘‘Carburetors’’) (finding a defect to be            carburetor appears to us ‘unreasonably
                                                the motor vehicle itself. See 49 U.S.C.                   safety-related if it ‘‘results in hazards as         large.’’’). In other words, where a defect
                                                30102(b)(1)(F).                                           potentially dangerous as sudden engine               presents a ‘‘clearly’’ or ‘‘potentially
                                                   Congress intended the Safety Act to                    fire, and where there is no dispute that             dangerous’’ hazard, and where ‘‘at least
                                                represent a ‘‘commonsense’’ approach to                   at least some such hazards . . . can                 some such hazards’’—even an
                                                safety and courts have followed that                      definitely be expected to occur in the               ‘‘exceedingly small’’ number—will
                                                approach in determining what                              future.’’). For software or other                    occur in the future, that defect is
                                                constitutes a ‘‘defect.’’ See, e.g., Wheels,              electronic systems, for example, when                necessarily safety-related. See id. at 754.
                                                518 F.2d at 436. For this reason, a defect                the engineering or root cause of the                 This is so regardless of whether any
                                                determination does not require an                         hazard is known, a defect exists                     injuries have already occurred, or
                                                engineering explanation or root cause,                    regardless of whether there have been                whether the projected number of
                                                but instead ‘‘may be based exclusively                    any actual performance failures.                     failures/injuries in the future is trending
                                                on the performance record of the                                                                               down. See id. at 759. Moreover, a defect
                                                                                                          C. Determining an Unreasonable Risk to
                                                component.’’ Wheels, 518 F.2d at 432                                                                           may be considered ‘‘per se’’ safety-
                                                                                                          Safety
                                                (‘‘[A] determination of a ‘defect’ does                                                                        related if it causes the failure of a
                                                not require any predicate of a finding                        In order to support a recall, a defect           critical component; causes a vehicle
                                                identifying engineering, metallurgical,                   must be related to motor vehicle safety.             fire; causes a loss of vehicle control; or
                                                or manufacturing failures.’’). Thus, a                    United States v. General Motors Corp.,               suddenly moves the driver away from
                                                motor vehicle or item of motor vehicle                    561 F.2d 923, 928–29 (D.C. Cir. 1977)                steering, accelerator, and brake
                                                equipment contains a defect ‘‘if it is                    (‘‘Pitman Arms’’). In the context of the             controls—regardless of how many
                                                subject to a significant number of                        Safety Act, ‘‘motor vehicle safety’’ refers          injuries or accidents are likely to occur
                                                failures in normal operation, including                   to an ‘‘unreasonable risk of accidents’’             in the future. See Carburetors, 565 F.2d
                                                failures either occurring during                          and an ‘‘unreasonable risk of death or               754 (engine fires); Pitman Arms, 561
                                                specified use or resulting from owner                     injury in an accident.’’ 49 U.S.C.                   F.2d 923 (loss of control); United States
                                                abuse (including inadequate                               30102(a)(8). Thus, while the defect                  v. Ford Motor Co., 453 F. Supp. 1240
                                                maintenance) that is reasonably                           analysis has generally entailed a                    (D.D.C. 1978) (‘‘Wipers’’) (loss of
                                                foreseeable (ordinary abuse).’’ 3 Wheels,                 retrospective look at how many failures              visibility); United States v. Ford Motor
                                                518 F.2d at 427.                                          have occurred (see, e.g., Wheels and                 Co., 421 F. Supp. 1239, 1243–1244
                                                   A ‘‘significant number of failures’’ is                Pitman Arms), the safety-relatedness                 (D.D.C. 1976) (‘‘Seatbacks’’) (loss of
                                                merely a ‘‘non-de minimus’’ quantity; it                  question is forward-looking, and                     control). Similarly, where a defect ‘‘is
                                                need not be a ‘‘substantial percentage of                 concerns hazards that may arise in the               systematic and is prevalent in a
                                                the total.’’ Wheels, 518 F.2d at 438 n.84.                future. See, e.g., Carburetors, 565 F.2d at          particular class [of motor vehicles or
                                                Whether there have been a ‘‘significant                   758.                                                 equipment], . . . this is prima facie an
                                                number of failures’’ is a fact-specific                       In general, for a defect to present an           unreasonable risk.’’ Pitman Arms, 561
                                                inquiry that includes considerations                      ‘‘unreasonable risk,’’ there must be a               F.2d at 929.
                                                such as: the failure rate of the                          likelihood that it will cause or be
                                                                                                          associated with a ‘‘non-negligible’’                 III. Guidance and Recommended Best
                                                component in question; the failure rates                                                                       Practices: Safety-Related Defects,
                                                of comparable components; the                             number of crashes, injuries, or deaths in
                                                                                                          the future. See, e.g., Carburetors, 565              Unreasonable Risk, and Automated
                                                importance of the component to the safe                                                                        Safety Technologies
                                                operation of the vehicle; and the                         F.2d at 759. This prediction of future
                                                severity of harm to the vehicle and/or                    hazards is called a ‘‘risk analysis.’’ See,             Consistent with the foregoing
                                                occupant caused by the failure. Id. at                    e.g., Pitman Arms, 561 F.2d at 924                   background, NHTSA’s enforcement
                                                427. In addition, where appropriate, the                  (Leventhal, J., dissenting) (‘‘GM                    authority concerning safety-related
                                                determination of the existence of a                       presented a ‘risk analysis’ which                    defects in motor vehicles and motor
                                                defect may depend upon the failure rate                   predicts the likely number of future                 vehicle equipment extends and applies
                                                in the affected class of vehicles                         injuries or deaths to be expected in the             equally to current and emerging
                                                compared to that of other peer vehicles.                  remaining service life of the affected               automated safety technologies. This
                                                                                                          models’’). A forward-looking risk                    includes fully automated (self-driving)
                                                See United States v. Gen. Motors Corp.,
                                                                                                          analysis is compelled by the purpose of              vehicles. Where a fully automated (self-
                                                841 F.2d 400, 412 (D.C. Cir. 1988)
                                                                                                          the Safety Act, which ‘‘is not to protect            driving) vehicle or other automated
                                                (‘‘X-Cars’’).
                                                   The Agency relies on the performance                   individuals from the risks associated                safety technology causes crashes or
                                                record of a vehicle or component in                       with defective vehicles only after                   injuries, or poses other safety risks, the
                                                making a defect determination where                       serious injuries have already occurred;              Agency will evaluate such technology
                                                the engineering or root cause of a failure                it is to prevent serious injuries                    through its investigative authority to
                                                is unknown. See Wheels, 518 F.2d at                       stemming from established defects                    determine whether the technology
                                                432. Where, however, the engineering or                   before they occur.’’ Carburetors, 565                presents an unreasonable risk to safety.
                                                root cause is known, the Agency need                      F.2d at 759 (emphasis added).                        Similarly, should the Agency determine
                                                                                                              However, in some circumstances, a                that a fully automated (self-driving)
                                                not proceed with analyzing the
                                                                                                          crash, injury, or death need not occur               vehicle or other automated safety
                                                performance record. See id.; see also
                                                                                                          for a defect to be considered to pose an             technology has manifested a safety-
                                                United States v. Gen. Motors Corp., 565
                                                                                                          unreasonable risk. If the hazard is
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                                                                                                                                                               related defect, and a manufacturer fails
                                                    3 ‘‘The protection afforded by the [Safety] Act was   sufficiently serious, and at least some              to act, NHTSA will exercise its
                                                not limited to careful drivers who fastidiously           harm, however small, is expected to                  enforcement authority to the fullest
                                                observed speed limits and conscientiously                 occur in the future, the risk may be                 extent.
                                                complied with manufacturer’s instructions on              deemed unreasonable. Carburetors, 565                   To avoid violating Safety Act
                                                vehicle maintenance and operation. . . . [the statute
                                                provides] an added area of safety to an owner who
                                                                                                          F.2d at 759 (‘‘In the context of this case           requirements and standards,
                                                is lackadaisical, who neglects regular maintenance        . . . even an ‘exceedingly small’ number             manufacturers of current and emerging
                                                . . .’’ Wheels, 518 F.2d at 434.                          of injuries from this admittedly                     automated safety technologies are


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                                                                              Federal Register / Vol. 81, No. 185 / Friday, September 23, 2016 / Notices                                               65709

                                                strongly encouraged to take steps to                     circumstance, if software (whether or                 risks of harm. If a manufacturer
                                                proactively identify and resolve safety                  not it purports to have a safety-related              discovers or is otherwise made aware of
                                                concerns before their products are                       purpose) creates or introduces an                     any safety-related defects,
                                                available for use on U.S. roadways, and                  unreasonable safety risk to motor                     noncompliances, or other safety risks
                                                to discuss such actions with NHTSA.                      vehicle systems, then that safety risk                after the vehicle and/or equipment
                                                The Agency recognizes that most                          constitutes a defect compelling a recall.             (including automated safety technology)
                                                automated safety technologies heavily                       While the Agency acknowledges that                 has been in safe operation, then it
                                                involve electronic systems (such as                      manufacturers are not required to design              should promptly contact the appropriate
                                                hardware, software, sensors, global                      motor vehicles or motor vehicle                       NHTSA personnel to determine the
                                                positioning systems (GPS) and vehicle-                   equipment that ‘‘never fail,’’                        necessary next steps. Where a
                                                to-vehicle (V2V) safety communications                   manufacturers should consider                         manufacturer fails to adequately address
                                                systems). The Agency acknowledges                        developing systems such that should an                a safety concern, NHTSA, when
                                                that the increased use of electronic                     electrical, electronic, mechanical, or                appropriate, will address that failure
                                                systems in motor vehicles and motor                      software failure occur, the vehicle or                through its enforcement authority.
                                                vehicle equipment may raise new and                      equipment can still be operated in a                     Applicability/Legal Statement: This
                                                different safety concerns. However, the                  manner to mitigate the risks from such                Enforcement Guidance Bulletin sets
                                                complexities of these systems do not                     failures. Furthermore, with the                       forth NHTSA’s current views on its
                                                diminish manufacturers’ duties under                     increased introduction of current and                 enforcement authority and the topic of
                                                the Safety Act. Both motor vehicle                       emerging automated safety technologies,               automated safety technology, and
                                                manufacturers and motor vehicle                          manufacturers should take steps                       suggests guiding principles and best
                                                equipment manufacturers remain                           necessary to ensure that any such                     practices to be utilized by motor vehicle
                                                responsible for ensuring that their                      technology introduced to U.S. roadways                and equipment manufacturers in this
                                                vehicles and equipment are free of                       accounts for the driver’s ease of use and             context. This Bulletin is not a final
                                                safety-related defects and                               any foreseeable misuse that may occur,                agency action and is intended as
                                                noncompliances, and do not otherwise                     particularly in circumstances that                    guidance only. This Bulletin does not
                                                pose an unreasonable risk to safety.                     require driver interaction while a                    have the force or effect of law. This
                                                Manufacturers are also reminded that                     vehicle is in operation. A system design              Bulletin is not intended, nor can it be
                                                they remain responsible for promptly                     or configuration that fails to take into              relied upon, to create any rights
                                                reporting to NHTSA any safety-related                    account and safeguard against the                     enforceable by any party against
                                                defects or noncompliances, as well as                    consequences of reasonably foreseeable                NHTSA, the U.S. Department of
                                                timely notifying owners and dealers of                   driver distraction or error may present               Transportation, or the United States.
                                                the same.                                                an unreasonable risk to safety.                       These recommended practices do not
                                                   In assessing whether a motor vehicle                     For example, an unconventional
                                                                                                                                                               establish any defense to any violations
                                                or item of motor vehicle equipment                       electronic gearshift assembly that lacks
                                                                                                                                                               of the Safety Act, or regulations
                                                poses an unreasonable risk to safety,                    detents or other tactile cues that provide
                                                                                                                                                               thereunder, or violation of any statutes
                                                NHTSA considers the vehicle                              gear selection feedback makes it more
                                                                                                                                                               or regulations that NHTSA administers.
                                                component or system involved, the                        likely that a driver may attempt to exit
                                                                                                                                                               This Bulletin may be revised without
                                                likelihood of the occurrence of a hazard,                a vehicle with the mistaken belief that
                                                                                                                                                               notice to reflect changes in the Agency’s
                                                the potential frequency of a hazard, the                 the vehicle is in park. If the vehicle’s
                                                                                                                                                               views and analysis, or to clarify and
                                                severity of hazard to the vehicle and                    design does not guard against this
                                                                                                                                                               update text.
                                                occupant, known engineering or root                      foreseeable driver error by providing an
                                                cause, and other relevant factors. Where                 effective warning or (for instance)                     Authority: 49 U.S.C. 30101–30103, 30116–
                                                a threatened hazard is substantial (e.g.,                immobilizing the vehicle when the                     30121, 30166; delegation of authority at 49
                                                fire or stalling), low potential frequency               driver’s door is opened, the design may               CFR 1.95 and 49 CFR 501.8.
                                                may not carry as much weight in                          present an unreasonable risk to safety.                 Issued: September 20, 2016.
                                                NHTSA’s analysis. NHTSA may weigh                        Similarly, a semi-autonomous driving                  Paul A. Hemmersbaugh,
                                                the above factors, and other relevant                    system that allows a driver to relinquish             Chief Counsel.
                                                factors, differently depending on the                    control of the vehicle while it is in                 [FR Doc. 2016–23010 Filed 9–22–16; 8:45 am]
                                                circumstances of the particular                          operation but fails to adequately                     BILLING CODE 4910–59–P
                                                underlying matter at issue.                              account for reasonably foreseeable
                                                   Software installed in or on a motor                   situations where a distracted or
                                                vehicle—which is motor vehicle                           inattentive driver-occupant must retake               DEPARTMENT OF TRANSPORTATION
                                                equipment—presents its own unique                        control of the vehicle at any point may
                                                safety risks. Because software often                     also be an unreasonable risk to safety.               National Highway Traffic Safety
                                                interacts with a motor vehicle’s critical                Additionally, where a software system                 Administration
                                                systems (i.e., systems encompassing                      is expected to last the life of the vehicle,
                                                                                                                                                               [Docket No. NHTSA–2016–0091]
                                                critical control functions such as                       manufacturers should take care to
                                                braking, steering, or acceleration), the                 provide secure updates as needed to                   Reports, Forms, and Record Keeping
                                                operation of those systems can be                        keep the system functioning.                          Requirements
                                                substantially altered by after-market                    Conversely, if a manufacturer fails to
                                                software updates. Software located                       provide secure updates to a software                  AGENCY:  National Highway Traffic
sradovich on DSK3GMQ082PROD with NOTICES




                                                outside the motor vehicle could also be                  system and that failure results in a                  Safety Administration (NHTSA),
                                                used to affect and control a motor                       safety risk, NHTSA may consider such                  Department of Transportation (DOT).
                                                vehicle’s critical systems.4 Under either                a safety risk to be a safety-related defect           ACTION: Request for public comment on
                                                                                                         compelling a recall.                                  proposed collection of information.
                                                   4 NHTSA intends to publish an interpretation
                                                                                                            Motor vehicle and motor vehicle
                                                clarifying in further detail the Agency’s criteria for   equipment manufacturers have a
                                                determining whether a portable device or portable
                                                                                                                                                               SUMMARY:   Before a Federal agency may
                                                application is an ‘‘accessory’’ to a motor vehicle at    continuing obligation to proactively                  collect certain information from the
                                                a later date.                                            identify safety concerns and mitigate the             public, it must receive approval from


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Document Created: 2016-09-23 01:43:40
Document Modified: 2016-09-23 01:43:40
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionFinal notice.
ContactJustine Casselle or Elizabeth Mykytiuk, Office of the Chief Counsel, National Highway Traffic Safety Administration, at (202) 366-2992.
FR Citation81 FR 65705 

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