Cycle News - Archive Issues - 1970's

This Man Has POWER. Chet Hollifield ~ w responsible for consumer protection. CN: What is the role of the Federal Trade Commission as far as consumer pro·tection in the area of vehicle sales, parts, and service goes? What notable actions (if any) have they tak.en in this area? Holifield: The FTC does not ordinarily have jurisdiction over the sale of vehicles, parts, and service. Exceptions are: fraudulen t packaging and labeling; fraudulent or unfair credit reporting; anti-trust matters; truth in lending; and unfair business practices. The regulation of motor vehicle services is a matter for state legislatures. CN: Some leaders of California Z W ...J U > U motorcycling organizations have attempted to get Ralph Nader involved . in consumer problems in the area of motorcycling. Nothing resulted. Do you. feel these men would have a better chance of success if they haP- atlempted to use the channels of government? How might they have done so? Holifield: I have no idea as to why California motorcycling organizations failed to in(erest Ralph Nader in their problems. ft is possible that the publicity value and speaking fees were not high enough. Consumer protection offices have been established in most large cities and counties, and in most states as integral parts of those various governments. In by John D. Ulrich Congressman Cht' Holifield is acknowledged by both friend and foe as being a very influential man. Senator John Tunney has said that he considers Mr. Holifield to be the man most likely chosen as the next Speaker of the House, a position third in order of succession to the presidency. Mr. Holifield is dean of the California Congressional Delegation, as well as 'i"rving as Ranking House Member, Join t Commi ttee on A tomic Energy; Chairman,. Committee on Governmen tal Operations; Chairman, Subcommittee on Legislation and Military Operation; Member, Committee on Standards of Official Conduct. The congressman is know fo~ his controversial Consumer Protection Actwhich he will re-introduce in the next session of congress, and his many battles with Ralph Nader, the consumer advocate turned self-proclaimed judge of elected officials. Other notable .highlights of his 30-year congressional career include his support of over 95 consumer protection bills, and his legislation which established the Department of Transportation. Congressman Holifield is known for his responsiveness to bis people in the 19th Congressional District. He served as Hubert Humphrey's campaign manager during the California presidential primary and his words that Humphrey was "the only man who can beat Richard Nixon in 1972" still haunt California Democrats. Mr. Holifield consented to an interview by Cycle News contributor John D. Ulrich. This is the first in a Cycle News series of interviews designed to serve as a two way channel of communication between motorcyclists and notable political figures. CN: Mr. Holifield, what brought about the federally funded random safety helmet test by Dayton F. Brown test labs? . Holifield: The National Highway Safety Administartion administers a program for research and testing programs dealing with motor vehicle equipment and operator safety. The random helmet test was part of that program. CN: That test revealed that many helmets did not meet the minimum 790.1 safety standards as advertised by the manufacturers. Do you foresee any congressional action to protect people from buying inferior helmets? Holifield: I do not foresee any further Congressional action dealing with the sale of helmets. Standards can now be imposed on the manufacture of helmets under the highway Safety Act of 1970 and the Product Safety Act of 1972 (Without Congressional aGtion necessary). • CN: Under current IITUl, what might a consumer do if a safety helmet advertised as meeting ceTtain standards shattered during an actual crash, causing additional injury to the wearer? Holifield: Under current law, the purchaser of a safety helmet advertised as meeting certain standards which fails and causes injury to the wearer could bring suit against the manufacturer for damages, or to enjoin further sales or advertising. Also, a complaint could be filed with the National Hip;hway Traffic Hollifield's views on helmets, manutacturing standards and required use will either scare or delight you. Read on, young stranger, to find out how he thinks. Safety Administration. It should be noted that a safety device such as a helmet or safety belt may well meet established or advertised standards and still fail under ex treme conclitions imposed by a crash at 120 mph (referring to the Dick Kilgroe crash). The assessment of the exact stress imposed under such conditions would, in my view, be difficult to make. CN: Do you foresee any federal legislation requiring the wearing of safety helmets by all operators of mo torcycles? Holifield: I do not foresee any Congressional action requiring their use. The use of safety equipment by motor vehicle operators is a matter of state law. CN: How do you feel about the constitutionality aspect of mandatory helme t laws? Holifield: [ believe that a law requiring the use of helmets by motorcyclists or safety belts by automobile operators would be a valid exercise of a state's police power. CN: You have supported over 95 consumer protection bills in your congressional career, and it would seem that you would be greatly infomed in the area of consumer protection. Do you foresee any legislation designed to protect the consumer of vehicle sales, service, and parts during the coming congressional session? What kind of legislation do you think is needed in this area? Holifield: During the 192nd Congress, [ introduced, handled in Committe, and obtained House Passage of the Consumer Protection Act which would have protected the consumer of automobile parts, vehicles, and service. Unfortunately, this bill was filibustered to death in the Senate. r will try again in the 93rd Congress. The Consumer Protection Act and the Product Safety Act of 1972 will benefit motorcyclists as well as millions of other consumers. CN: Under your Consumer Protection Act, specifically how would consumers be protected in the area of vehicle parts, sales, and service? What additional recourses (if any) would become available to consumers if the act becomes law? Holifield: Under H.R. 10835, the Consumer Protection Act, all motor vehicle sales, parts, and services would be subject to scrutiny by the statutory Office of Consumer Affairs and the independen t Consumer Protection Agency. Consumer complaints about shoddy, dangerous, defective, or fraudulent consumer products could be correlated and exposed to the public. The head of the agency could seek legal or administrative relief. CN: Which is primarily responsible for consumer protection - state or federal government? Holifield: [ believe that Federal and state governments' are equally most instances, if well documented complaints are made to those units of government directly, or through elected or appoin ted officials I believe that they can and will be dealt with effectively under existing laws. I emphasize that these complaints by individuals or by associations should be specific and well documented. Our system also provided for enforcement action through our legal system also provided for enforcement action through our legal system on the initiative or individual citizens, groups of citizens, and by public officials. Where. the law does not provide a remedy for a problem, the system provides ample means for groups of citizens to make their position and needs known to their law makers at all levels of government. In my view, energy spen t researching and formulating positions to be presented to city councils, county boards, state legislators, Congressmen and Senators is much more effective than appeals to self-serving seekers. CN: Do you foresee any federal action on the adoption of a nationwide system of No Fault Insurance? A national "no fault" insurance bill would have been passed by the 92nd Congress if it had not been opposed by Ralph Nader and the Trial Lawyer's Association. The bill would have covered all motor vehicle operators. I expect the House and Senate versions of the bill to be reintroduced next year. I am in favor of a national "no fault" plan, rather than 50 or more plans which can only lead to confusion. C N : California Assemblyman Jack. Fenton has said that "Motorcycles present an entirely different risk factor than that which exists for automobiles. Because of this, I believe that no-fault coverage would probably result in an increase in insurance rates for those individuals and it would tlJerefore be a disservice to include them under such a plan." As you know, Mr. Fenton was the main sponsor of the California Assembly NFl bill. How will this aspect of NFl be handled on the federal level? Holifield: [ have no reason to doubt the figures which you cited (Information concerning prObable exorbitant rate increases for motorcycles if they were included under a NFl plan was supplied to Congressman Holifield previous to this interview) concerning the effect of no-faul t insurance on motorcycle insurance rates in California. The NFI bill considered by the Commerce Committee would have established Federal standards for state plans in order to keep confusion·to a minimum. 1 have no further comment on this issue un til a bill has been reported by a Congressional Committee after full hearings. If your group should desire to testify on any bill pending before a Committee of the House in the next Congress, [ will be pleased to try to arrange for such an appearance. You wer'e correct in con tacting your state legislators in Sacramen to as to the details of the California plan. r agree that all segments of the motoring public should be given due consideration before a plan is adopted. CN: There has been a great deal of controversy recently concerning the use Hoi ifield:

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