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VOL. 4 ISSUE 6 AUGUST 2013
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State Lawmakers Around U.S. Consider Or Approve Legislation Affecting Body Shops by John Yoswick
Dozens of proposed laws that will have an impact on collision repairers get introduced in state capitols around the country every year. Paying attention to them—even if they aren’t up for consideration in your state now—can pay off because you may be interested in getting similar laws enacted in your state. Conversely, a bill you don’t like in another state could make its way to your Capitol, so it’s helpful to know what to watch for. Here’s a look at some of the bills that have recently been introduced, are
under consideration or have been passed by lawmakers around the country.
Parts-related legislation A New York bill (A 7234) (similar to one introduced in Maryland) takes aim at PartsTrader by prohibiting an insurer from requiring a shop to use a specific vendor or process for the procurement of parts or materials necessary for repair of a vehicle. Another New York bill (A 3872) introduced would require consumer notification and consent regarding the type of parts to be used in repairing See Legislation Affecting Shops, Page 8
ASA to Hold ASRW 2014 in Detroit Alongside I-CAR and CIC July 28–Aug 2 this week’s CIC meetings at the Westin Boston Waterfront. Speaking in front of the assembly, Risley said the move backs the ASA’s promise he relayed at CIC in April that NACE will see substantial changes in the coming years. Industry week will take place July 28–Aug. 2, 2014 at Detroit’s Cobo Center, and has the following preliminary schedule of events: Tuesday, July 29 – CIC Meeting & Reception Wednesday, July 30 – I–CAR Conference & Reception Thursday, July 31 – Collision ReSee ASRW 2014, Page 13
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The Automotive Service Association (ASA) announced at the Collision Industry Conference (CIC) in Boston that the NACE expo will be moving away from its traditional fall event schedule to stage a summer show beginning in Detroit in 2014. NACE (the International Autobody Congress & Exposition), I– CAR (Inter–Industry Conference on Auto Collision Repair) and CIC (Collision Industry Conference) have announced the formation of Industry Week 2014, uniting several of the industry’s key events. The announcement was made by ASA Executive Director Dan Risley at the opening of
Bookkeeper Sentenced to Seven Years For Theft from Florida Body Shop Jennifer Vasseur could have gotten six months in jail, but when she couldn’t make restitution, she was given a seven-year prison sentence. As part of a plea deal, the 38-year-old Winter Haven woman had to repay more than $20,000 that she stole from A&E Auto Body in Eagle Lake, where she worked as a bookkeeper and secretary. The deadline was July 9. She was short about $15,000. Her punishment was up to Circuit Judge Catherine Combee to decide. She ordered Vasseur to serve seven years in prison followed by 10 years of probation. Vasseur was arrested in May 2011 after an investigation by the State Attorney’s Office in Bartow. She wrote unauthorized checks in her name, her husband’s name and to cash, according
to a complaint affidavit. Vasseur told investigators that she took the money to help pay bills, the affidavit states. In May, she pleaded guilty to grand theft and making false entries on the books of a corporation. During the hearing, Vasseur vowed to “pay back every single penny.” She asked for house arrest or probation. “I will pay the money back,” she said. “I’m not the person that I was.” Victoria Arrington, owner of A&E Auto Body, said she and her employees were supportive of Vasseur while she worked there for four years. She described many examples of assistance provided to Vasseur over the years: getting her a car, paying to turn her power on, giving her a computer, See Seven Year Sentence, Page 9
NC Body Shop Wins Short-Pay Arbitration Case Against Nationwide Insurance by Barrett Smith
Michael Bradshaw, vice president of operations for K&M Collision in Hickory, NC, was awarded claimed shortpays in a court-ordered arbitration. The binding arbitration was the result of Bradshaw filing a lawsuit on behalf of K&M Collision’s customer against Nationwide for the insurer’s underpayments of what were determined to be reasonable and necessary repair costs. In North Carolina, every lawsuit filed goes to binding arbitration, and only after same can either party then seek a trial if so inclined. The insurer’s short-pays included: labor rates ($48 body and refinish, $80 mechanical and $65 frame); procedures (i.e. sand and buff, final detail, road test, color tint and collision access time); invoiced paint and materials; sublet markup; fixture usage; and a $250 damage analysis fee which included a comprehensive part-by-part inspection of all components including
exterior panels, inner structure, mechanical components, and SRS and seat belt systems. The award also included storage charges at a rate of $50 per day for a total amount of $2,506.98 plus accrued interest until the insurer’s full payment is made. “I’m glad the courts recognized who the repair experts were,” says Bradshaw. “From the beginning, I was very confident we would succeed through our legal system in proving all our charges to be both reasonable and necessary. For any insurer to expect all shops to operate by the same rates, procedures and charges regardless of training, manufacturer certifications, equipment and facilities is ludicrous. The fact is we have made a commitment to repairing vehicles properly, adhering strictly to all manufacturer repair methods and guidelines, and what we’re consistently finding with some insurers is they care very little about manufacturer certifications and proper See Short-Pay Arbitration, Page 9
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