Autobody News May 2011 Southeast Edition

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Southeast Edition Florida Georgia Alabama Mississippi

29

YEARS

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Georgia Collision Association’s Labor Rates Survey

The Georgia Collision Industry Association (GCIA) will again conduct a labor rates survey for body shops in the Atlanta area.

The purpose of this survey is to provide Georgia collision shop owners with prevailing rates for labor and material charges so all shops can be paid fairly for work performed. CSi Complete is conducting the survey as a third party. Go to http://www.csicomplete.com/gcia/survey.aspx to complete the survey.

Labor rates surveys are a valuable tool for body shops in any area. They help to determine the fair and prevailing rate for work done at a collision shop in a variety of areas including metalwork, refinishing, painting, etc. They are also an invaluable tool when it comes to Direct Repair Program payment negotiations. Associations in many areas attempt to conduct annual labor rates surveys to keep track of the industry average for posted door rates. Although many insurers conduct labor rates surveys of their own, the associations usually follow up with their own surveys to make sure the correct average rate is agreed upon.

Recyclers, Repairers Look for Ways to Improve Business Interactions By John Yoswick

Mel Hunke said he’d like to eliminate the “wedge” between collision repairers and auto recyclers. “We used to work together really well,” Hunke said of the two industries. “But once insurers stopped paying for clean-up or repair time on recycled parts, they basically said, ‘You two fight it out.’And we’ve been doing it ever since. That’s the wedge that was driven.” Hunke, a former shop owner who now represents the Quality Replacement Parts (QRP), a coalition of auto recyclers in nine states, was speaking

at the third “Recycled Parts Roundtable,” held in Las Vegas. The gatherings, originally organized by QRP but now open to anyone, bring together representatives from all segments of the industry to discuss and work to resolve issues related to recycled parts. “We need to blow out the wedge and put our relationship, our core business-to-business process, back together in a way that benefits everyone,” Hunke said as he opened the most recent roundtable. It was clear by the end of the half-day meeting that many of the two dozen participants – primarily owners See Recyclers, Page 14

VOL. 2 ISSUE 3 MAY 2011

Gunder’s Loses Appeal to State Farm—Court Rules ‘Even if False,’ Claims are Priviledged On April 7th, 2011 the United States Court of Appeals for the Eleventh Circuit upheld a lower court’s order granting summary judgment in favor of State Farm Insurance in Gunder’s Auto Center’s claim against the nation’s largest personal auto insurer for slander and tortious interference with a business relationship. (See Autobodynews.com for background.) To recover for slander in Florida, the claimant must show (1) publication of a false statement; (2) about the plaintiff; (3) to a third party; and (4) damage resulting to plaintiff from the publication. To state a claim for tortious interference in Florida, the claimant must show (1) the existence of a business relationship; (2) knowledge of

the relationship on the part of the defendant; (3) an intentional and unjustified interference by the defendant; and (4) damage from the breach of the relationship. The court found that, “although denied by State Farm, we assume the statements allegedly made by State Farm disparaging Gunter’s were made and are untrue. Nonetheless, we agree with the district court that State Farm’s statements were privileged: Under Florida law a privileged statement is one in which “A communication made in good faith on any subject matter by one having an interest therein, or in reference to which he has a duty, is privileged if made to a person having a corresponding interSee Gunder Appeal, Page 19

PAINT FOCUS ARTICLES in this issue...

Painting With Waterborne at John Force Racing . . . . . . . . . . . . .p. 24

Revisiting Paint by Numbers: Refinish Data . . . . . . . . . . . . . . . . .p. 26

Getting OSHA-Compliant on Plans, Protection, Painting . . . . . . .p. 28

REGIONAL ARTICLES in this issue...

GCIA Labor Rates Surveys . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .p. 1

Tornado Strikes KY Toyota Parts Plant . . . . . . . . . . . . . . . . . . . . .p. 4

GCIA Meeting Hosts OSHA Presentation . . . . . . . . . . . . . . . . . . . .p. 10

FACA First Responder Training . . . . . . . . . . . . . . . . . . . . . . . . . . .p. 12

Service King Acquires 8 Locations in San Antonio . . . . . . . . . . .p. 12

Skills USA Winner Congratulated at San Antonio College . . . . . .p. 20

COLUMNS in this issue...

Yoswick — Effort to Develop Collision Repair Standards Takes

Another Step Forward . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .p. 13

Gonzo — On the Other Side of the Bookstore Counter . . . . . . . .p. 17

Franklin — Summertime Means Event Time For Body Shops . . .p. 18 Chaney — Three of Largest Auto Recycling Networks Merge . . .p. 21

Danalevich — Is Your Parts Supplier Purchasing Policy a

Benefit or an Expense? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .p. 23

Insurance Insider — Insurers Will Continue to Serve “Flavor

of the Day” to Shops . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .p. 30

Change Service Requested

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