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Florida Bill Moves Forward – Will Impact Glass Shops by Emmariah Holcomb, glassBYTEs.com
In January, Florida House members introduced a bill known as HB 323. One of its primary goals was to prevent auto glass shops in the state from “offering anything of value” to their customers in exchange for making claims for their auto glass work. In mid-February, the House Insurance and Banking subcommittee approved HB 323 by an 11 to 2 vote. If passed, auto glass shops will not be able to offer things such as cash and gift cards to attract and gain business. According to the bill, such acts would be deemed unlawful and constitute fraud.
“ … It shall be a violation if [vehicle shops or their employees] offer a customer a rebate, gift, gift card, cash, coupon, or any other thing of value in exchange for making an insurance claim for motor vehicle glass replacement or repair, including an offer made through a nonemployee who is compensated for the solicitation of insurance claims,” a section of the bill reads. Some on the committee think moving this bill forward will cut down fraudulent insurance claims. The more insurance claims a state has, the higher the premiums are for insured vehicle owners.
by Dan Churney, Cook County Record
In a split decision, an Illinois appeals panel stripped Allstate Insurance of its defenses against a class action that alleged the company unfairly billed long-term auto policyholders more than it charged new ones. The panel said Illinois insurers can’t protect their rates from lawsuits because their rates are not controlled by the Illinois Department of Insurance. The Jan. 29 ruling was delivered by Justice Judy Cates with concurrence from Justice Melissa
Chapman of Illinois Fifth District Appellate Court in Mt. Vernon. Justice James Moore dissented.
AUTOBODYNEWS.COM Vol. 37 / Issue 4 / April 2019
HABA, ABAT Visit TX State Capitol for 2019 Collision Day at the Capitol by Chasidy Rae Sisk
On Feb. 12, members of the Houston Auto Body Association (HABA) and the Auto Body Association of Texas (ABAT) gathered at the Texas Capi-
See Florida Bill, Page 48
Class Action Against Allstate Can Continue; “Company, Not State, Sets Rates“ Appeals Court Says
37 YEARS
HABA and ABAT members held a rally to emphasize the importance of safe repairs for the motoring public
tol in Austin, TX, for their Inaugural Collision Day at the Capitol. According to ABAT Executive Director Jill Tuggle, “We planned this event to make lawmakers aware of the safety crisis that is happening in the collision repair business and that HB 1348 was written to address these issues. The day went very well. We met at the Capitol and were introduced in the House and the Senate. We had meetings with legislators and had a rally outside. We exceeded our expectations. Almost 100 people showed up in support, and thanks to Texas Watch, we made some lasting impressions. “Attendees came from all over Texas to show their support. It was inspiring to see shop owners, managers, technicians and jobbers drive See 2019 Collision Day, Page 16
Court Junks Body Shops’ Antitrust Claims Against State Farm, Other Carriers by Greg Land, PropertyCasualty360.com
The ruling favored Illinois residents Jeffrey A. Corbin, Margaret A. Corbin and Anna Tryfonas in their class action complaint against Allstate. They brought the suit in 2016 to downstate Madison County Circuit Court, which is known as a See Class Action, Page 18
The Eleventh Circuit Court of Appeals in Atlanta has scrapped five combined lawsuits filed by auto body repair shops accusing State Farm Insurance and several other insurers of conspiring to punish shops that didn’t cooperate with its alleged scheme to fix prices and use sub-standard replacement parts. No Price-Fixing Eight of the nine judge en banc panel agreed that the repair shops’ complaints didn’t rise to the level of price-fixing and group-boycotting under the Sherman Antitrust Act, agreeing with a trial judge who dismissed the actions in 2016. The case has divided courts. In 2017, a three-judge panel for the U.S. Court of Appeals for the Eleventh
Circuit had split the other way, with Judge Charles Wilson and a visiting judge sitting by appointment saying complaints should move forward, while a third, Senior Judge R. Lanier Anderson, dissented. The majority opinion made March 4 was written by Anderson with the concurrence of Chief Judge Ed Carnes and Judges Gerald Tjoflat, Adalberto Jordan, Kevin Newson, William Pryor, Beverly Martin and Elizabeth Branch. The dissenting opinion was crafted by Judge Charles Wilson, who had written the earlier opinion favoring the body shops. The most recent ruling dismissed the federal causes of action and two of three state claims, leaving alive only a claim for tortious interference. See Antitrust Claims, Page 24
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