President Clinton signs TREAD Act

WASHINGTON (Nov. 2)—President Clinton has signed the Transportation Recall Enhancement, Accountability and Documentation Act into law. Passed by wide majorities in both houses of Congress, the bill among other things orders the federal government to revise the 32-year-old tire safety standard and establish rollover testing procedures for vehicles; mandates dashboard indicators to warn motorists of low tire pressure; requires tire and auto executives to notify the government within five days of foreign safety recall and "customer satisfaction" programs; and sets maximum penalties of 15 years in prison for executives who try to cover up deadly or injurious defects. Tire and auto industry spokesmen say the provisions of the new law, though not ideal from their standpoint, are livable. But consumer advocates excoriate the TREAD Act because it gives executives a chance to escape criminal penalties and rejects a provision for auto makers to evaluate the data on their vehicles to determine whether they are defective.