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ASA’s “How’s Your Business?” Survey Results Online The Automotive Service Association’s (ASA) “How’s Your Business?” survey for 2016 is now available online. Designed to provide a snapshot of the automotive service and collision repair industry, the survey data captures how repair facilities fared last year in terms of sales, profits and other key elements of their daily business operations. All ASA-member shop owners in good standing were given the opportunity to complete the survey about their business operations in the first six months of 2016, and the information participants provided offers some surprising new developments in the industry since the survey was last taken in 2014. In addition, ASA updated the survey with questions in new categories that offer data covering hybrid vehicle service, emission-inspection programs and hours and types of training shops offer, including the amount of live vs. online training for owners, managers, technicians and adminis-
trative staff. The survey also offers statements from participants indicating that, in general, business in the automotive service sector was up in 2016, but hiring and retaining qualified techs remains a challenging issue. “Keeping up with the changes in the automotive service and collision repair industries is a full-time job these days,” said Tony Molla, ASA’s vice president. “The latest survey results only confirm that we are in a dynamic, technology-driven cycle that is changing the way business models are evolving, while reinforcing the need for qualified talent to continue building on the success our member shops report.” The report is broken down by the Mechanical sector and Collision sector. For additional information about ASA, including past media releases, go to www.ASAshop.org or visit ASA’s legislative website at www.TakingThe Hill.com.
According to a new AAA survey, two out of three U.S. drivers do not trust auto repair shops in general—citing overcharges, recommendations for unnecessary services and poor past experiences for their lack of confidence. However, the survey also reveals that the majority (64 percent) of U.S. drivers have singled out an auto repair shop
that they do trust, suggesting that consumers have prioritized finding a reliable mechanic in an industry with imperfect reputation. AAA urges all drivers to identify a reputable repair facility well before one is needed. “To minimize the stress associated with vehicle repair and maintenance, it
Most U.S. Drivers Leery of Auto Repair Shops
See Leery of Auto Repair, Page 10
VOL. 35 ISSUE 2 FEBRUARY 2017
More Than A Half Million Defective Airbag Inflators Remain Unrepaired In South Florida Alone Hundreds of thousands of South Florida residents are driving recalled vehicles with dangerously defective airbag inflators that could blast shrapnel into the passenger compartment upon impact. In response, dozens of civic and community leaders have joined together to launch an urgent, region-wide effort to get more than a half million unrepaired defective airbag inflators off the roads in Dade and Broward counties. Certain Hondas and Acuras pose up to a 50 percent chance of producing a deadly explosion, prompting community leaders to call for action and commit to increasing awareness of dangerous recall. While the recall affects vehicles from 19 automakers, drivers of some older vehicles face an even greater risk. These models include 2001 and 2002 Honda Civics and Accords, the
2002 and 2003 Acura TL, the 2002 Honda Odyssey and CR-V, the 2003 Acura CL and the 2003 Honda Pilot. According to outgoing U.S. Transportation Secretary Anthony Foxx, “with as high as a 50 percent chance of a dangerous air bag inflator rupture in a crash, these vehicles are unsafe and need to be repaired immediately.” At least 11 Americans—including one Floridian—have been killed by defective airbag inflators, and approximately 180 Americans have suffered serious injuries, including cuts or lacerations to the face or neck, broken or fractured facial bones, loss of eyesight, and broken teeth. The individual from Florida that died was driving an older, higher-risk vehicle. In this and nearly all other cases in the U.S., the fatal airbag explosion was
by James Burns and Baker Donelson
tion proceedings brought by auto body shops in several states against many of the largest auto insurers in the nation. In each case, the auto body shops contended that the insurers had conspired to limit the reimbursement rates provided by the insurers for insured repairs. The cases were ultimately all consolidated before Judge Gregory Presnell (Middle District of Florida) as the In re Auto Body Shop Antitrust Litigation, and Judge Presnell subsequently dismissed the antitrust claims in most of the cases, many on a case-by-case basis, for failure to state a claim. The plaintiffs in several of the dismissed cases filed appeals with the Eleventh Circuit, with the Parker case being the earliest appealed action. Because the dismissal in the Parker case was on procedural grounds, it does
See Airbag Recall, Page 6
Eleventh Circuit Refuses to Reinstate Dismissed Auto Body Shop Antitrust Case on Procedural Grounds In early December, the Eleventh Circuit Court of Appeals issued a one sentence decision refusing to reinstate the plaintiff/appellants’ appeal in Parker Auto Body v. State Farm Automobile Insurance Company. The appeal had previously been dismissed by the Court based upon the appellants’ failure to file their case Appendix (the records from the district court that the appellate court reviews when considering an appeal) on a timely basis. As a result of the Court’s most recent ruling, barring a successful appeal to the Supreme Court—which would seem unlikely—the Eleventh Circuit’s refusal to reinstate the appeal brings an end to the case for the auto body shop plaintiffs in that case. Notably, however, the Parker case is only one of a series of class ac-
See 11th Circuit Refuses, Page 16
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