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SCRS Panel Tackles Major Topics at 2017 SEMA by Ed Attanasio
What happens when two lawyers, an OEM and a former body shop owner talk about the hottest topics in the collision repair industry?
Well, in this case, things got a little heated and the language became a little spicy, but in the end, the infor-
mation offered was invaluable for those in attendance. On Nov. 2, at this year’s SEMA Show, the Society of Collision Repair Specialists (SCRS) presented a fourperson panel forum titled “The Hidden Dangers of Vehicle Technology, Improper Repair Methodology and Your Liabilities.” The panel, which was moderated by John Ellis, the managing director at Ellis & Associates, featured two attorneys—Todd Tracy of the Tracy Law Firm and Erica Eversman of Vehicle Information Services, in addition to Mark Allen, collision programs director of Audi of America and Aaron Clark, a See SCRS Panel, Page 12
CIC: New Vehicle Technologies Bringing Fresh Challenges for Collision Repairers by John Yoswick
Attorney Who Sued Texas Body Shop Urges Shops to Stand Up to Insurance Companies by John Yoswick
Shortly after gaining notoriety within the industry in 2013 for suing State
Texas attorney Todd Tracy told shops at SEMA in Las Vegas in November what they can do to avoid a suit like the one he brought against a shop for failure to follow OEM repair procedures
Farm over its mandated use of PartsTrader, Mississippi attorney John Eaves was speaking to shops during SEMA week in Las Vegas, recruiting participants for lawsuits against insurers that he said would revolutionize the industry. Four years later almost to the day, Texas attorney Todd Tracy told shops in a packed Las Vegas ballroom
during this year’s SEMA that his recent $42 million lawsuit against a dealership body shop—and a subsequent related lawsuit against State Farm—also potentially marks the start of a profound shift for collision repairers. “This is a defining moment in your industry,” Tracy said. “You have a verdict that can change the industry.” Tracy was careful to point out that his goal isn’t to sue body shops for failure to follow OEM repair procedures, the basis of his legal victory against John Eagle Collision Center. Instead, like Eaves, Tracy has insurance companies in his legal crosshairs. “By dictating improper vehicle repairs for decades, insurance companies have seriously injured and killed thousands of customers who were driving around in time bombs they didn’t know about,” Tracy said. “If you don’t think I’m on your side, See Stand Up, Page 4
Where Do OE Certification Programs Go Now, in a Post-John Eagle World? by Gary Ledoux
Virginia shop owner Barry Dorn said automaker systems that time stamp diagnostic trouble codes make it easier to determine which are related to a claim or repair process See CIC: New Technology, Page 4
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New challenges posed for collision repairers by increasingly complex vehicle technology were discussed during several presentations at the Collision Industry Conference (CIC) held in Las Vegas during SEMA week in early November. “I would challenge you, whether you are a repair facility [relying on] the dash light, or if you are an insurer that is still saying, ‘I’m not going to perform a post-scan because the light isn’t on.” There are very valid reasons why that light might not be on,” com-
VOL. 8 ISSUE 9 DECEMBER 2017
The John Eagle verdict that occurred back in October, and the $42M judgement for the plaintiffs, Matthew and Marcia Seebachan, who were severely injured in an incorrectly repaired Honda Fit was, no doubt, the biggest collision industry story of the year—if not the decade. Subsequently, shops have become acutely aware of the severe liability they open themselves up to when a repair is not performed according to OE procedures. Shops have a huge stake in this game. After all, when you come right down to it, the choice to follow OE procedures and a correct repair, or not, is solely up to the shop – the technician and shop owner or manager.
But the OE’s have a big stake too. An OE’s brand is on the line at a certified shop. When a consumer sees an OE emblem attached to a shop’s office wall or on their website, they assume it is a quality shop and their car, the second largest investment they have, will be repaired correctly and safely. Consumers trust the OE brand – so the OE must be able to trust the shop. Unfortunately, there are so many other forces that drive the industry and may have an over-riding effect, even on those shops that are OE certified. On October 3, 2017, the day after the $42M verdict was rendered, the industry entered the post-John Eagle era. Times have changed. So where do we go from here? How does the inms See Post John Eagle, Page 24
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