December 2016 Midwestern Edition

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www.autobodynews.com ww ww.autobodynews.com

Toyota to Settle U.S. Truck Rust Lawsuit for up to $3.4 Billion, Approximately $15,000 Per Vehicle According to Reuters, Toyota Motor Corp has agreed to a settlement of up to $3.4 billion for a federal class action brought by U.S. owners of pickup trucks and SUVs whose frames could rust through, plaintiffs lawyers have said in court papers.

2008 Toyota Tacoma

The proposed settlement covers about 1.5 million Tacoma compact pickups, Tundra full-size pickups and Sequoia SUVs alleged to have received inadequate rust protection that could lead to corrosion serious enough to jeopardize their structural integrity, according to court papers. Attorneys for the plaintiffs, in court papers supporting the settlement, estimated the value of frame replacements at about $3.375 billion based on a cost of about $15,000 per vehicle and the inspections at about $90 million at $60 per vehicle. See Class Action, Page 61

CIC, I-CAR Continue to Work on Issues Related to Vehicle Scanning, Calibrations

issue came up: What happens when you do a pre-repair scan and you unScanning of vehicles for diagnostic cover something that’s not related to trouble codes as part of the collision the loss,” committee chairman Jack repair process continued to Rozint said. “It could be be a key topic at meetings something serious, related to held in conjunction with a safety system or some critSEMA in Las Vegas in Noical functions of the vehicle. vember. A Collision Industry You talk to the vehicle Conference (CIC) committee owner about it, saying that examining some of the issues it’s not related to the accithe industry needs to address dent but it needs to be fixed. Jason Bartanen, related to scanning, for ex- director of Industry But the consumer says, ‘I ample, reported in Las Vegas Technical Relations barely have the money for for I-CAR that it continues to identify as my deductible. I just need many questions as answers. you to fix the collision damage.’ What “On the last [conference] call, the See Vehicle Scanning, Page 30 by John Yoswick

VOL. 6 ISSUE 3 DECEMBER 2016

ASA-Midwest Thanks for Attending Leadership Summit, Welcomes New Director of Membership

THANK YOU to your volunteer ASA- As Director of Membership, David will be focused on growing membership, Midwest affiliate and chapter officers who joined us October 7–9 at Lake of the kicking off new chapters, meeting with Ozarks for the 2016 Leadership Summit. members and helping to implement new benefit programs. David Leaders gathered together for may have a familiar face, as the weekend to talk about the he has worked with ALLfuture of ASA-Midwest and DATA and DrivenBrands in how we can better serve our the past. He has already hit membership and industry. The the ground running with group worked hard and enASA-Midwest. If you know joyed a pirate sunset cruise on David Green of a shop in your area that the lake. Look forward to great would be a great addition to ASA, things ahead for ASA-Midwest! ASA-MW is excited to introduce please contact David at (816) 550-5736 or david@asa-midwest.org. our newest team member, David Green.

You Charge How Much for Labor? Figure Out Your Costs First!

finishes, it will be critical for collision repairers to invest in their facilities, With vehicle construction and tech- equipment, and training to stay curnology evolving at the most rapid rent and capable to properly repair vepace in history within the automotive hicles. industry, what steps will auto body Since this will most likely be a significant additional cost of doing business, he encouraged shops to take the time to build a pricing model that allows companies to accurately identify these additional costs. The purpose would be to quantify the actual amounts the company will need to seek to get reimbursed for this significant new and ongoing investment Tim Ronak, Senior Services Consultant with AkzoNobel – of capital. Vehicle Refinishes “Once you know the amount shops across the country need to take costs have increased, you can use this to remain successful? According to information to calculate a suitable adTim Ronak, Senior Services Con- justment or increase in prices and will sultant with AkzoNobel–Vehicle ReSee Charge How Much?, Page 18 by Stacey Phillips

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