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Forest River Inc.


Industry: Automotive
Underlying Misconduct: Consumer Fraud
Matter Type: DOJ Civil
Relevant Jurisdiction(s): National Highway Traffic Safety Administration ("NHTSA")
Penalties: Civil Penalties
Fine Amount: Up to $35,000,000
Reporting Agencies: Department of Transportation
Resolution Form: Consent Agreement
Agreement Date: July 8, 2015
Monitor Reference Term: Independent Monitor
Monitor Identity:
Monitorship Term: 3 Years
Monitor Selection Process:

Forest River shall provide to NHTSA the names of three (3) individuals qualified from which NHTSA will select the Monitor. In the event that none of the individuals nominated by Forest River are qualified to serve as the Monitor, NHTSA reserves the right unilaterally to appoint the Monitor.

Time to Propose Monitors: 60 days after the execution date of this Consent Order
Time to Engage Monitor: N/A
Time to First Report: Not sooner than 120 calendar days after Forest River's retention of the Monitor
Reporting Frequency: Semi-Annual
Monitor Required Qualifications:

Any person previously employed by Forest River or any person who been directly adverse to Forest River in any proceeding are not eligible to become the Monitor/or employee of the Monitor

Summary of Monitor's Scope:

Have the authority to audit:
(a) Forest River's performance with the terms of this Consent Order
(b) Forest River's adherence to the Written Procedures, including in particular Forest River's compliance with Safety Act requirements relating to TREAD and early warning reporting, reporting defects posing an unreasonable risk to motor vehicle safety, and recall implementation
(c) Forest River's efforts to disseminate Best Practices within the Recreational Vehicle industry and to implement its Industry Outreach obligation

Summary of Monitor's Activities:

1) Conduct five audits (semi-annually)
2) Upon conducting an Audit, the Monitor shall provide Forest River, the In-House Consultant, and Forest River's General Counsel with an Initial Set of Findings regarding any alleged violation of the Safety Act or terms of this Consent Order within 7 calendar days
3) Provide Forest River and NHTSA with a Final Report with regard to the Audit after "the 21-day cure period"
4) Submit a written recommendation to NHTSA 60 days prior to the three-year anniversary of this Consent Order assessing whether Forest River has complied with the terms of the Consent Order and shall make a recommendation whether Forest River should be released from the Consent Order

Monitor's Restrictions:

The Monitor shall sign a non-disclosure agreement with Forest River prohibiting disclosure of information received from Forest River to anyone other than NHTSA, anyone designated by NHTSA, or hired by the Monitor.

Within 30 days of the end of the Monitor's term, the Monitor shall either return anything obtained from Forest River or certify that such information has been destroyed.

The Monitor is not, and shall not be treated for any purpose, as an officer, employee, agent, or affiliate of Forest River

Documents Uploaded: Forest-River-Consent-Order-DOT-NHTSA-8July2015.pdf