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Bill C-367

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1st Session, 36th Parliament,
46-47 Elizabeth II, 1997-98

The House of Commons of Canada

BILL C-367

An Act to amend the Motor Vehicle Safety Act

1993, c. 16

      Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:

1. (1) The portion of subsection 10(1) of the Motor Vehicle Safety Act before paragraph (a) is replaced by the following:

Obligation to give notice

10. (1) A company that manufactures, sells or imports any vehicle or equipment of a class for which standards are prescribed shall, on becoming aware of any form of defect in the design, construction or functioning of the vehicle or equipment that affects or is likely to affect the safety of any person, cause a notice of the defect to be sent within thirty days in the prescribed manner to

(2) Subsection 10(1) of the English version of the Act is amended by striking out the word ``and'' at the end of paragraph (b), by adding the word ``and'' at the end of paragraph (c) and by adding the following after paragraph (c):

    (d) the general public by giving notice of the defect by publication for five consecutive days in two major daily newspapers in each of the following six regions, namely, the Atlantic provinces, Quebec, Ontario, the Prairie provinces, British Columbia and the Territories, or by dissemination in an alternative medium that is likely to reach an equivalent number of people in each of the six regions.

(3) Subsections 10(2) to (7) of the Act are replaced by the following:

Notice of death or injury

(2) Subject to subsection (3), a company that becomes aware of a defect in the design, construction or functioning of any vehicle or equipment that has killed or injured any person or is likely to cause death or injury shall immediately cause a notice of the defect to be sent in the prescribed manner to

    (a) the Minister; and

    (b) the general public under paragraph (1)(d).

Exemption from notice

(3) A company is not required to cause notice to be given of a defect in respect of which notice has already been given in the prescribed manner under paragraph (1)(d) by the company that manufactured, sold or imported the vehicle or equipment.

Notice given to the public

(4) Where the Minister receives notice under subsection (1) or (2),the Minister may also immediately cause notice of the defect to be given in the prescribed manner to the general public in accordance with paragraph (1)(d).

Contents of notice

(5) The notice referred to in subsections (1), (2) and (4) shall contain, in the form and to the extent prescribed, a description of the defect, an evaluation of the safety risk arising from it and the directions for correcting it.

Recall order

(6) Where the Minister receives a notice under subsection (1) or (2), the Minister may issue an immediate recall order to a company that manufactures, sells or imports any vehicle or equipment of a class for which standards are prescribed, if such a vehicle or equipment possesses a defect that has caused injury or death or that is likely to cause injury or death, and may also cause notice of the recall order to be given in the prescribed manner to the general public in accordance with paragraph (1)(d).

Content of recall order

(7) The recall order referred to in subsection (6) prohibits the sale of any vehicle or equipment listed in the order until such action as is indicated in the order is undertaken to correct the defect.

Content of recall order

(8) The recall order shall also state the reasons why the order has been issued, the date on which the order becomes effective and the corrective action required for the order to be rescinded.

Particulars to provincial authorities

(9) Forthwith on receiving any notice under subsection (1) or (2), the Minister shall forward full particulars of the notice to the minister or other officer responsible for motor vehicle administration in each province.

Follow-up reports

(10) Every company that causes notice to be given under subsection (1) or (2) shall submit a report containing prescribed information respecting the defect and its correction to the Minister in the prescribed form within the prescribed period and quarterly thereafter.

Follow-up reports

(11) Unless the Minister otherwise directs, the quarterly reports referred to in subsection (10) shall be submitted for a period of two years after the day on which notice was given under subsection (1) or (2) .