NHTSA's Objections
The NHTSA's objections to Fisker's proposed settlement plan are based on several grounds:
- National Traffic and Motor Vehicle Safety Act: The agency argues that the Safety Act requires manufacturers to cover aLL costs associated with remedying defective and noncompliant vehicles, including labor costs.
- Section 30120(a) of the Safety Act: The NHTSA notes that this section of the law states that a manufacturer's filing of a petition in bankruptcy does not negate the manufacturer's duty to comply with the law.