March 29, 2010 - UPDATE ON IMPACT RACING PRODUCT DECERTIFICATION

On Friday, March 26, 2010, SFI filed suit in the United States District Court for the Southern District of Indiana against Impact Racing, LLC, based upon evidence SFI has received regarding Impact’s manufacture and use of counterfeit SFI conformance labels and patches. Such actions by a manufacturer directly violate its obligations to the SFI program. SFI took similar action when it joined in Hans Performance Products’ lawsuit against Impact due to Impact’s manufacture and use of counterfeit Hans helmet clips. In that case, Impact counterfeited the clips and inscribed an SFI rating on the clips without SFI knowledge or approval. As in the Hans clip case, SFI is asking for another Temporary Restraining Order and Preliminary Injunction against Impact. SFI is also seeking monetary damages. Please see SFI’s web posting of March 26, 2010 for more details on the basis for SFI’s position. At this time we do not know the exact extent of these counterfeiting activities, but through the litigation process we hope to learn all the details. During the years that Impact was using the counterfeit labeling, it was also obtaining authentic patches and labels from SFI. At this time SFI does not know how many products have counterfeit labels and patches and which ones have authentic labels and patches. Therefore, it was unfortunately necessary to decertify all the products manufactured by Impact pursuant to SFI specifications 3.2A, 3.3, 16.1 and 16.5. Please note that Impact helmets are not affected by this decertification. 

It is important to keep in mind that any such use of counterfeit labeling is in violation of the SFI specification programs. Whether it involves counterfeit helmet clips or counterfeit labeling, such activities can undermine the integrity of the product ratings system that exists in motorsports. This system depends upon trust. If this system is damaged, all of motorsports can suffer the consequences. Manufacturers that agree to the SFI specification programs must meet rigorous and strict requirements. Those stringent standards are in place first and foremost to promote safety and product reliability. Racers and sanctioning bodies must have confidence in a manufacturer’s representation that its products are in compliance with SFI requirements. The conformance label is a manufacturer’s solemn statement to the racing community that it followed the rules in bringing its product to the sport. When this trust is violated, the racing community suffers. The level playing field for other manufacturers becomes uneven. Sometimes the consequences of a breach of trust are severe and can hurt innocent victims. This is why it is so critical that manufacturers follow the ratings system at all times. SFI will continue to update the racing community as more information becomes available. For a downloadable .pdf of this update, please click on the following link: Impact Decertification Update 03-29-10.