Manufacturers who fail to submit relevant data about vehicles suspected of sudden acceleration will see those vehicles presumed defective. (Image courtesy of Yonhap)
SEOUL, Jul. 24 (Korea Bizwire) – Starting August 14, automakers in South Korea will face a significant shift in how sudden acceleration incidents are handled.
Under a new amendment to the Motor Vehicle Management Act, manufacturers who fail to submit relevant data about vehicles suspected of sudden acceleration will see those vehicles presumed defective.
This presumption of defect could lead to government-mandated recalls and increase the likelihood of victims winning civil lawsuits against manufacturers.
The Ministry of Land, Infrastructure and Transport announced on July 23 that the cabinet had approved this amendment to the enforcement decree of the Motor Vehicle Management Act.
For years, victims of suspected sudden acceleration incidents have protested the imbalance of power between themselves and automakers. They argued that their limited access to information and technical expertise put them at a severe disadvantage when challenging manufacturers.
The revised law addresses these concerns by allowing for a presumption of defect in cases where vehicle systems repeatedly malfunction contrary to driver intent, such as in sudden acceleration incidents, if manufacturers fail to provide necessary data for defect investigations.
Previously, the law did not presume defects if data from manufacturers was not submitted unless accidents resulted in casualties. Now, the presumption can be made regardless of whether injuries occurred, as long as a system malfunction led to an accident.
The amendment also introduces penalties for violations related to the illegal sale of flood-damaged vehicles. Individuals who fail to disclose a vehicle’s flood damage history will be barred from employment in the industry for a specified period. Car dealers employing such individuals will face a fine of 1 million won.
Penalties for failing to request the scrapping of totaled flood-damaged vehicles have been increased from the previous range of 1-3 million won to 2-10 million won.
In an effort to encourage proactive safety measures, the new regulations allow for up to a 75% reduction in fines for manufacturers who voluntarily support consumer protection and vehicle safety.
This includes providing free installation of advanced safety features or conducting complimentary vehicle inspections.
Kevin Lee (kevinlee@koreabizwire.com)
