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AUTOBODYNEWS.COM
Vol. 36 / Issue 5 / May 2018
CAA Executive Director David McClune Retires After 17 Years
Todd Tracy’s 10 Ways to Avoid a $42 Million Verdict
by Ed Attanasio
Attorney Todd Tracy’s recent lawsuit against a dealership body shop marks the start of a profound shift for collision repairers. Below is his list of 10 Ways to Avoid a $42 Million Verdict, co-authored by Gene Bilobram, who wrote “The Pre and Post Scan Revolution” featured in Autobody News last spring.
Since 2001, David McClune has been the Executive Director of the California Autobody Association (CAA). Last month, he stepped down to focus on his health and family. During his 17-year reign, McClune built a reputation for being honest and accountable, and worked diligently to improve CAA for its members and business partners. To become the organization’s Interim Executive Director, Don Feeley resigned from the Executive Committee and will form an Ad Hoc
David McClune (center), with CAA State President Kathy Mello and Northern California Representative Pete Bezek, is retiring after 17 years as the Executive Director/COO of CAA
Committee to search for a permanent full-time Executive Director. Ted See David McClune, Page 6
MSO Drops Use of PartsTrader, Remains on State Farm’s ‘Select Service’ Program by John Yoswick
State Farm is allowing Caliber Collision centers participating in the “Select Service” program to remain on the program without using PartsTrader for State Farm claims. Caliber’s corporate office declined to comment on the change, but sources have told CRASH Network that Caliber CEO Steve Grimshaw announced at a company gathering in February that Caliber was curtailing its use of PartsTrader. “We’re now using PartsTrader only for The Hartford,” a source at a
Caliber location in North Carolina confirmed. “I’m not sure if it’s a pilot for [State Farm] dropping PartsTrader, or what.” It is unclear whether the change was initiated by State Farm or Caliber. One source within Caliber said that he expects the company’s use of PartsTrader for The Hartford to end in the near future as well. An estimator at a Caliber location in Georgia said he was happy with the change. “You still have to do your due diligence in searching for alternative parts [for State Farm claims],” he See ‘Select Service’, Page 14
by Gene Bilobram and Todd Tracy
1) Always Follow OEM Repair Specifications Refer to vehicle-specific (year, make, model) and repair-specific OEM repair manual information on every repair. Follow up by seeking any OEM position statement, Technical Service Bulletin (TSB), recall or general procedure applicable to the OEM and its vehicles.
2) Always Follow I-CAR OEM repair procedures do not always exist in a particular vehicle repair situation. In those cases, published I-CAR best practices should be sought out and followed to assure an industry best practices repair. After OEM procedures, always follow I-CAR. 3) Remember Who Your Customer Is The vehicle owner and future owners will live with the consequences of the repairs you make. Keep the customer informed about the high standard of repairs the shop is striving to provide with any insurer resistance to same. It’s the shop’s duty to involve the customer rather than make unilateral decisions which can compromise repairs. The shop’s overriding duty is to provide the safest repair See 10 Ways to Avoid, Page 18
State Farm Responds to Claims of Influencing Non-OEM Auto Repair by Katherine Coig, glassBYTEs.com
A jury recently found Texas-based John Eagle Collision Center liable for injuries sustained by Matthew and Marcia Seebachan following a 2013 crash because a repair was not done according to OEM specifications, according to the verdict. Now, State Farm is in the spotlight for its alleged role in influencing that repair. The couple is suing for negligence and breach of warranty. The lawsuit stems from a non-OEM roof repair, which used an adhesive instead of being welded as Honda’s specifications outlined. According to John Eagle’s director Boyce Willis, State Farm wouldn’t pay the shop unless the repair was done according to its specifications as opposed to Honda’s. “No insurance company should
ever dictate to a collision repair center or body shop how to repair a vehicle. To do so is extremely negligent, and shows a wanton disregard for human life and the safety of others,” said Todd Tracy, attorney for the plaintiffs. “John Eagle did not repair the subject 2010 Honda Fit to Honda’s body repair specifications due to State Farm’s instructions, threats and/or coercion.” State Farm attorneys have responded to the allegations, denying the insurer had any influence over the repair. “To the extent alleged, Defendant denies that it coerced or enticed any body shop to not follow vehicle manufacturer’s procedures, cut corners, take safety shortcuts, or do anything that jeopardizes members of the motoring public,” the response reads. “Defendant denies that it forced John See State Farm Responds, Page 12
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