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P.O. Box 734 Neptune, NJ 07753 EXECUTIVE DIRECTOR Charles Bryant 732-922-8909 / setlit4u@msn.com 2017 - 2019 OFFICERS PRESIDENT Jerry McNee, Ultimate Collision Repair, Inc. 732-494-1900 / ultimatecollision@att.net COLLISION CHAIRMAN Dennis Cataldo, Jr., D&M Auto Body 732-251-4313 / jr@dandmautobody.com MECHANICAL CHAIRMAN Keith Krehel, Krehel Automotive Repair, Inc. 973-546-2828 / krehelauto@aol.com TREASURER Tom Elder, Compact Kars, Inc. 609-259-6373 / compactkars@aol.com SECRETARY Thomas Greco, Thomas Greco Publishing, Inc. 973-667-6922 / thomas@grecopublishing.com BOARD John Cragga, Ultimate Collision Repair, Inc. 732-494-1900 / jcraggan@ultcollision.com Gary Gardella, Jr., County Line Auto Body 732-363-5904 / countylineautobody@gmail.com Dave Laganella, Peters Body and Fender 201-337-1200 / petersbandf@gmail.com Sam Mikhail, Prestige Auto Body 908-789-2020 / mikhail@goldcar.com Ted Rainer, Ocean Bay Auto Body 732-899-7900 / ted@oceanautobody.com Anthony Trama, Bloomfield Auto Body 973-748-2608 / anthony@bloomfieldautobody.com BOARD ALLIED Joe Amato, The Amato Agency 732-530-6740 / joesr@amatoagency.com Dave Gruskos, Reliable Automotive Equipment 732-495-7900 / dave@rae1.com Mike Kaufmann, Advantage Dealer Services 973-332-7014 / mkaufmann@advantageds.com PAST PRESIDENT ATTENDING Jeff McDowell, Leslie’s Auto Body 732-738-1948 / chacki@aol.com
PUBLISHER Thomas Greco / thomas@grecopublishing.com SALES DIRECTOR Alicia Figurelli / alicia@grecopublishing.com EDITORIAL DIRECTOR Joel Gausten / joel@grecopublishing.com CREATIVE DIRECTOR Lea Velocci / lea@grecopublishing.com EDITORIAL/CREATIVE COORDINATOR Kristen Dalli / kristen@grecopublishing.com
CONTENTS
VOLUME 48 NUMBER 3 | March 2018
OUT OF BODY (AND MECHANICAL) EXPERIENCES 14 PRESIDENT’S MESSAGE 18 EXECUTIVE DIRECTOR’S MESSAGE 10
20 I-CAR CALENDAR 21 AASP/NJ NEW MEMBERS 22 COLLISION CHAIRMAN’S MESSAGE 74 NJA ADVERTISERS’ INDEX
30 COVER STORYby Kristen Dalli & Joel Gausten National Training Here at Home: A NORTHEAST® Education Preview 31 COLLISION P.R.E.P. SCHEDULE-AT-A-GLANCE IN MEMORIAM by Kristen Dalli 26 Remembering Billy Aiello NATIONAL FEATURE by Joel Gausten 36 John Eagle, Aftermarket Parts and Beyond:
An Interview with Attorney Todd Tracy
NO BRAKES by Ron Ananian 58 In Business LEGAL PERSPECTIVE by Mitch Portnoi 64 Mediation vs. Arbitration – Which Should You Use and Why? AUTOMOTIVE RECYCLERS ASSOCIATION OF NEW JERSEY 74 Wharton Insurance Briefs by Mario DiFilippis
OFFICE MANAGER Donna Greco / donna@grecopublishing.com CONTRIBUTING EDITORS Charles Bryant • Mario DeFilippis • Jeff McDowell • Mitch Portnoi • Ron Ananian Keith Krehel • Jerry McNee • Bob Dirkes
Published by: Thomas Greco Publishing, Inc. 244 Chestnut Street, Suite 202, Nutley, NJ 07110 Corporate: (973) 667-6922 / FAX: (973) 235-1963
www.grecopublishing.com NEW JERSEY AUTOMOTIVE is published monthly and is sent to AASP/NJ and ARANJ members free of charge. Subscriptions are $24 per year. NEW JERSEY AUTOMOTIVE is published by Thomas Greco Publishing Inc., 244 Chestnut St., Nutley, NJ 07110. The editorial contents of NEW JERSEY AUTOMOTIVE are copyright © 2018 by Thomas Greco Publishing Inc. and may not be reproduced in any manner, either in whole or in part, without written permission from the publisher and/or editor. Articles in this publication do not necessarily reflect the opinions of Thomas Greco Publishing Inc. Stock Images courtesy of www.istockphoto.com.
Joe Amato, Sr. Ron Ananian Jim Bowers Charles Bryant Don Chard Guy Citro Pete Cook Ed Day Dave Demarest Phil Dolcemascolo Tom Elder Bob Everett
Thomas Greco Dan Hawtin Rich Johnson Wes Kearney Nick Kostakis Jim Kowalak Joe Lubrano Michael Lovullo Jeff McDowell Sam Mikhail Ron Mucklow
George Petrask Russ Robson Jerry Russomano George Threlfall Cynthia Tursi Lee Vetland Paul Vigilant Rich Weber Brian Vesley Glenn Villacari Stan Wilson
New Jersey Automotive | March 2018 | 7
8 | New Jersey Automotive | March 2018
Visit us at NORTHEAST® Booth # 101
OUT OF BODY (AND MECHANICAL) EXPERIENCES
Good as New A few years back, we decided to create a Family Day event at the NORTHEAST® show. We figured it would be a nice addition for attendees who wanted to come to the show with their children. So, we filled a ballroom with a clown, a couple of bounce houses, carnival games and most importantly, free popcorn and ice cream. It’s been a great success, and each year we seem to get more and more families turning out. This year, when I was looking at different types of entertainment for Family Day, I came across a life-size Operation game. You remember Operation. It was a cartoon body lying on an operating table, and it was your goal to try and remove the bones from the body with a metal tweezer. (Wow, I didn’t realize how gross it sounds when it’s described.) If you touched the sides of the space
by THOMAS GRECO, PUBLISHER
that the bone was in, the buzzer sounded, and you lost your turn. You must remember! Anyway, I was looking at the life-size game, and it
occurred to me that now, as I approach 60, that was ME on that table. I mean, as I get older, my body just seems to falter in a different place every few months (hey, get your mind out of the gutter!), and it feels like I spend more and more time in doctors’ offices than I do anywhere else. A little over a year ago, my shoulder started bothering
me. I don’t know what I did, I just knew I couldn’t lift it above my head anymore. I couldn’t sleep on it, and it wasn’t getting any better. So off to the general practitioner I went. “Not sure, maybe you pulled something. You should go get an MRI.”
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Now, I know for a fact no one likes getting MRIs. We can put a man on the moon, but we can’t invent a friggin’ MRI machine where you don’t feel like you’re in a coffin? “Looks like a torn rotator. Go see an orthopedic surgeon.” Off to the orthopedic surgeon… “Let’s take an X-Ray,” is the first thing he said. “Nah, it’s not torn. Let me give you a shot of cortisone and do some rehab.” Ah, cortisone. The shot hurt like a mother, but the relief? Oh man. Wonder drug! Rehab was another story. I hated it, but it worked. Good as new. Until my back gave out three months later… I told that story a few months back. But again, more doctors’ offices. Four procedures later, good as new. Come July, I started feeling an ache in my upper left breast area that wouldn’t go away. Off to the cardiologist’s office… “It’s not your heart,” the good doc said. “How do you know?” “Because if it was your heart, you’d be dead.” Thanks, Doc. This guy is a miracle worker, though.
Every time I have a pain in the chest area, I panic for a month before I go see him. And he cures me with words (it’s all my head, but he’s too nice to tell me I’m an idiot). Come October, I got an infection. Back to my GP’s office… “Take a few of these and it should clear up.” Two weeks go by. “Doc, it ain’t clearing up.” “Take a few of these and it will clear up.” Another two weeks go by. “Doc, it still ain’t clearing up.” “Hmmm. Okay, try these and let me know how it goes.” Let me just say that anytime a medicine turns something orange, it scares the hell out of you. But I was tired of doctors’ offices, so I lived with it. What do you know? The orange soon faded, and the infection was gone. Good as new. Oh, who am I kidding? I’ll never be good as new. But as long as a buzzer doesn’t go off when the docs touch me, I guess I’ll survive. NJA
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New Jersey Automotive | March 2018 | 11
Visit us at NORTHEAST® Booth # 247
Visit us at NORTHEAST® Booth # 247 12 | New Jersey Automotive | March 2018
Visit us at NORTHEAST® Booth # 247
Visit us at NORTHEAST® Booth # 247
New Jersey Automotive | March 2018 | 13
PRESIDENT’S MESSAGE
STOP PLAYING GAMES
There is not a collision repair facility or insurance company in this country who should ignore the things that have come to light in our industry in recent months. If you’ve been reading my messages and some of the other articles in New Jersey Automotive lately, you know that it has become increasingly important for all of us to follow OEM procedures. It should go without saying that following OEM methods also means using OEM parts. There are insurers out there that are actively bypassing what the OEM says in favor of having shops use aftermarket parts (even on cars under 1,000 miles) and using alternative repair methods that are not approved by the manufacturer. At the end of the day, it’s the repairers who are held responsible if a repair goes wrong and a vehicle doesn’t perform as designed in a future
14 | New Jersey Automotive | March 2018
collision. How many more cases do we have to see like the one that hit John Eagle Collision in Texas before we all wake up to how dangerous these things can be to our liability? Are you willing to lose your livelihood because somebody else told you how a repair should be done? Do you honestly think that Todd Tracy, the attorney who successfully went after John Eagle, is the only person from the legal world who is taking an interest in our industry right now? Right before I started writing this message, I received news that LKQ Corp. has filed a lawsuit in Delaware against the US Department of Homeland Security after several LKQ grilles began being seized by customs officials in Georgia, California and Minnesota last April under the guise of trademark infringement. According to a story on law360.com, LKQ is alleging that “the parts aren’t counterfeit
by JERRY MCNEE
because many final agency reports ‘concede’ that a number of them were not ‘virtually identical’ to the automakers’ trademarks.” Additionally, the suit argues that “LKQ’s repair grilles are not likely to cause confusion amongst purchasers or the relevant public.” If LKQ is arguing that these parts are not “virtually identical” to the OEM version and are different enough to avoid confusing the consumer, it makes one wonder how far these variations might go. This is one case that should be watched with great interest as it moves forward. Until then, please check out the extensive interview with Todd Tracy on page 36 of this month’s issue, and make sure you attend his presentation at this year’s NORTHEAST® Automotive Services Show. More information on the show is on page 30. NJA
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New Jersey Automotive | March 2018 | 17
EXECUTIVE DIRECTOR’S MESSAGE
It is Time to Take a Stand
When an issue becomes life threatening, those involved or affected must take a united, unwavering stand and resolve the problem immediately. Consumers and collision shop owners are faced with countless issues when insurers refuse to pay for the parts and procedures necessary to repair today’s modern vehicles, or refuse to pay a fair and reasonable price for the labor required to perform those repairs. Some shop owners have been speaking up and pointing out the problems they face when in these situations. They have written stories in trade magazines, went to the press or media, made complaints to the State Departments of Insurance and some have even sued to try to resolve these issues. However, rather than the problems diminishing, they are growing by leaps and bounds. The only thing that seems to have
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changed is the type and severity of these problems, which are now much greater and more life threatening than in the past. Insurance companies have attempted to pay as little as possible since time began. They are in business to make money, so it is only natural that they would make every effort to pay out as little as possible when one of their insured’s is in an accident. At the same time, that is what causes the problems between insurers and collision shops, because like the insurers, the collision shops are also in business to make money. As such, the collision industry and the insurance industry have been at odds on issues related to the cost of repairs and what constitutes a proper repair for as long as I can remember. However, because of the advancements in modern vehicles, failure to follow vehicle manufacturer
by CHARLES BRYANT
repair guidelines can result in the death of the vehicle’s occupants in a future accident. Please allow me to explain. Years ago, it may have been considered common practice for a collision shop to reinforce a frame on a vehicle that had suffered severe frame damage. Today, because of the modern vehicle construction, even what may appear to be slight damage may call for a frame rail – or the frame itself – to be replaced, and a collision shop dare not repair such a part, or attempt to reinforce or alter the unibody construction of a vehicle in any way. Another issue that has plagued the collision industry for years is the use of aftermarket parts as opposed to OEM parts. Although there are insurance regulations in almost every state governing the use of aftermarket parts, insurers have been able to manipulate certain provisions, like the one found in the New Jersey Regulations below: No insurer shall require the use of aftermarket parts in the repair of an automobile unless the aftermarket part is warranted by the manufacturer in a reasonable manner as to duration and coverage and at
Visit us at NORTHEAST® Booth # 321
New Jersey Automotive | March 2018 | 19
CALENDAR
MARCH 1, 2018 Aluminum Exterior Panel Repair & Replacement Ramada Inn, Newark MARCH 6, 2018 Advanced Steering & Suspension Systems Damage Analysis Innovative Solutions & Technology, Lincoln Park Vehicle Technology Trends & Diagnostics Overview Allstate Insurance, Bridgewater MARCH 7, 2018 Replacement of Steel Unitized Structures Allstate – New Jersey CSA – Auto Center MCO, Wall Township MARCH 8, 2018 Sectioning of Steel Unitized Structures Reliable Automotive Equipment, Belford MARCH 12, 2018 Hazardous Materials, Personal Safety & Refinish Safety Pennco Tech, Blackwood MARCH 14, 2018 Corrosion Protection Allstate – New Jersey CSA – Auto Center MCO, Wall Township MARCH 15, 2018 Corrosion Protection Ramada Inn, Newark Understanding the Cycle Time Process Reliable Automotive Equipment, Belford
20 | New Jersey Automotive | March 2018
MARCH 17, 2018 Squeeze-Type Resistance Spot Welding at Meadowlands Exposition 201 2 2017 0 Center, Secaucus MARCH 21, 2018 Advanced Steering & Suspension Systems Damage Analysis Allstate – New Jersey CSA – Auto Center MCO, Wall Township MARCH 22, 2018 Steering & Suspension Damage Analysis Ramada Inn, Newark Structural Straightening Steel Reliable Automotive Equipment, Belford MARCH 26, 2018 Color Theory, Mixing Toners & Tinting Pennco Tech, Blackwood MARCH 28, 2018 Hazardous Materials, Personal Safety & Refinish Safety Allstate – New Jersey CSA – Auto Center MCO, Wall Township MARCH 29, 2018 Advanced Steering & Suspension Systems Damage Analysis Ramada Inn, Newark
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EXECUTIVE DIRECTOR’S MESSAGE least equal in like kind and quality to replacement parts available from the original manufacturer of the part in terms of fit, quality and performance. Now, let’s take a closer look at the provisions laid out in this section of the regulations. First, I have yet to see a warranty from an aftermarket parts manufacturer. I have asked many insurers for it over and over, and have also advised members of AASP/NJ to request the warranty directly from the manufacturer. Not one insurer has ever been able or willing to produce the warranty required by the regulation. Instead, they often say things like, “Well, we will warranty the aftermarket parts,” or, “The distributor will warranty the aftermarket parts.” Well, that is simply not what the regulation says. It clearly and unambiguously says that the warranty must come from the manufacturer of the part. PERIOD! Next, the regulations governing the use of aftermarket parts in New Jersey say, “No insurer shall require the use of aftermarket parts in the repair of an automobile unless the aftermarket part is warranted by the manufacturer in a reasonable manner as to duration and coverage and at least equal in like kind and quality to replacement parts available from the original manufacturer of the part in terms of fit, quality and performance.” Pay close attention to the part about the aftermarket part being at least equal in like kind and quality to replacement parts available from the original manufacturer of the part in terms of fit, quality and performance. Notice that I have bolded the word performance. Like many other issues that have plagued the collision industry for years, the insurance industry came up with a way to skirt the true meaning of that regulation through the creation of CAPA, a company that supplies stickers for aftermarket parts claiming that they are equal to OEM parts. CAPA supposedly tests aftermarket parts
and only puts the stickers on parts that they believe to be equivalent to OEM parts. There is only one problem with the CAPA certification program: CAPA DOES NOT crash test aftermarket parts. Therefore, even the so-called CAPA Certified Aftermarket Parts are not in compliance with the regulations governing the use of aftermarket parts – at least in the state of New Jersey, because of the “performance” issue. CAPA does not certify how the aftermarket parts will perform in a future collision. In fact, until recently, no one that I am aware of has crash tested aftermarket parts to see how they would perform in a future collision, other than Volvo years ago, and the aftermarket parts failed the performance test then. However, after winning a lawsuit against John Eagle Collision in Texas for $42 million, Attorney Todd Tracy was interested in the relationship between collision shops and insurance companies and the use of aftermarket parts. The inspiration came after John Eagle claimed that the insurer involved limited the payment of the repairs to what would only cover the cost of gluing the roof, as opposed to welding it on, as per the vehicle manufacturer’s repair guidelines. As a result, Tracy then purchased three Honda Fits – the vehicle that was involved in the John Eagle case – and performed a crash test in California. One of the cars was undamaged and unrepaired and had never been in an accident; the second vehicle had an aftermarket roof glued on with adhesive (the same way John Eagle repaired it); and the third car was repaired with a number of aftermarket parts. To keep it short, the vehicles with the aftermarket parts proved to not only underperform in every single test, but also put the lives
of the vehicle’s occupants at serious risk. The results from Tracy’s crash test are circulating throughout the collision industry, and more information can be found throughout this issue of New Jersey Automotive. With that said, now is the time for this industry to come together and get this long overdue issue addressed. One thing is for sure – we will be watching!
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New Jersey Automotive | March 2018 | 21
COLLISION CHAIRMAN’S MESSAGE
Continuing Education: NORTHEAST® and Beyond The 2018 NORTHEAST Automotive Services Show is upon us, and as of this writing, AASP/NJ is working hard to put the finishing touches on what I expect to be an
excellent trade show. For over 40 years, AASP/NJ has been providing the metropolitan area with the latest and greatest tools and training for the automotive repair
Visit us at NORTHEAST® Booth # 100
22 | New Jersey Automotive | March 2018
by DENNIS CATALDO, JR.
industry. This year, we are excited to team up with the Washington Metropolitan Auto Body Association (WMABA) to present Collision P.R.E.P. (Professional Repairer Education
Program) – 17 must-attend seminars for anyone in the automotive repair industry. I urge everyone reading this to register for the show (aaspnjnorth east.com) and sign up for your Collision P.R.E.P. classes before it is too late! Continuing education is a large part of our focus as an association this year. As a way to give something back to our members, we have plans to provide additional training events at several locations around the state this year. By providing our members with additional tools to prosper in this challenging industry, success can be obtained as a group. If we all act together as an association, I believe we can make real change in our industry. Your support of AASP/NJ is paramount to our success as an industry. You can support the association by attending our events, supporting the exhibitors at the NORTHEAST show, by supporting the individuals who are willing to give us their insight at Collision P.R.E.P., supporting the advertisers in New Jersey Automotive and by donating to our Legal Fund. Your support is needed now more than ever! I look forward to meeting you at the show. I hope you enjoy it as much as I think you will. NJA
Visit us at NORTHEAST® Booth # 227
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24 | New Jersey Automotive | March 2018
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IN MEMORIAM by Joel Gausten
REMEMBERING BILLY AIELLO
On January 30, the Alliance of Automotive Service Providers of New Jersey (AASP/NJ) lost a dear friend, supporter and current Board member with the passing of William “Billy” Aiello at age 47. Billy was an active member of the automotive repair industry for over 20 years, joining the AASP/NJ Board of Directors in September 2017 and working for most of his career at Lee’s Auto Body in Avenel. Most recently, he was part of the team at Ultimate Collision in Edison. For the last three years of his life, Billy lived in South Plainfield in a house that he proudly built with his wife, Kara. Away from the shop, he enjoyed a wide range of music and movies, going to concerts and seeing his favorite sports teams – the New Jersey Devils and the New York Mets. He loved spending time with his family and friends and was known by everyone around him to have a great energy and an appreciation for life. “I’ve known Billy for over 40 years, dating back to the first time I met him in school in Edison,” shared AASP/NJ Board member John Craggan, “I have always known him as a guy who loved his music, his cars and his family. He was passionate about this industry; for many years, I had the honor to mentor him out of the paint shop and into the office, encouraging him to get training and education to stay on top of his game.” Over the years, Craggan continued to offer Billy guidance and advice, even when they didn’t work in the same shop. “I stayed in touch with Billy on a daily basis. He was like a sponge – he wanted to hear all about what I was learning so he could apply it to his own personal growth. He took my advice to take I-CAR classes and signed himself up for anything industry-related that would help him. We would challenge each other daily on how to be better estimators, how to negotiate better and how to get paid for things he never knew possible.
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“I think I texted him more than I texted my wife,” Craggan joked. “We would debate and discuss the many challenges we both faced day in and day out in this industry. It’s tough to come to work and not have him here anymore. Billy was, and always will be, one of the greats lost way too soon, and his true impact may never be known. But I will carry out his dream to be the best and always do my best, just like Billy would have done, and I will be sarcastic, witty and to the point, just like my dearest friend.”
Billy Aiello (pictured here with fellow longtime AASP/NJ member Randy Scoras - Holmdel Auto Body) was an active AASP/NJ member & event participant. Billy’s unwavering dedication and commitment to the automotive repair industry was clear, and his loss is felt by everyone who knew him both personally and professionally. “Billy had the passion for the industry,” said Ultimate Collision owner and AASP/NJ President Jerry McNee. “He wanted to be better and learn as much as he possibly could. Quite honestly, we all need to take a look at what he wanted to do. Everybody needs to have that drive and enthusiasm that Billy had. He always wanted as much education as he could get, and he wanted to learn as much as he could. He’d take the information in, and he was looking to put it to good use.” AASP/NJ Treasurer Tom Elder had developed a close relationship with Billy over the years and was impressed by his focus and enthusiasm for his work. “Billy was an unbelievable advocate of the auto body industry. He was quite a family man and just an unbelievable person. I really developed a nice friendship
with him over the last couple of years, and he represented, for me, everything I look for in a young and rising person in our industry.” “It’s always shocking to hear of someone passing at such a young age,” says Lee’s Auto Body owner Lee Vetland. “Billy spent well over a decade at our shop. We are saddened by this news and are thinking of his family and friends during this time.” “It breaks my heart to see someone like Billy, so full of life with so much to offer…” offered AASP/NJ Executive Director Charles Bryant. “Billy was witty, funny and quick
to make friends, and he was full of knowledge about the collision industry. Those in the industry who knew Billy will miss him dearly on many levels.” Billy is survived by his wife, Kara Aiello; his daughter, Brooke; his son, Billy Aiello, Jr.; his parents, Phil and Rae Aiello; his sister Dana Clayton and her husband, Robert; his sister Patty Aiello. AASP/NJ and New Jersey Automotive offer Billy’s family, friends and colleagues our deepest condolences. NJA
New Jersey Automotive | March 2018 | 27
New Jersey Automotive | March 2018 | 29
COVER STORY by Kristen Dalli and Joel Gausten
National Training Here at Home:
EDUCATION PREVIEW As thousands from around the globe eagerly anticipate NORTHEAST 2018 hitting the Meadowlands Exposition Center in Secaucus in just a few weeks, the Alliance of Automotive Service Providers of New Jersey (AASP/NJ) is diligently working to put the finishing touches on another history-making weekend for the automotive repair industry. This year’s show will feature a number of new additions, including the brand-new NORTHEAST Pavilion that is nearly doubling the show in size. Additionally, the WMABA (Washington Metropolitan Auto Body Association)produced Collision P.R.E.P. (Professional Repairer Education Program) series will provide 17 class offerings hosted by experienced industry leaders. In the days leading up to NORTHEAST (held March 1618), there’s no better time to get a jumpstart on your game plan for the weekend of the show to ensure that you don’t miss a minute of the action. “It’s a power-packed show,” comments AASP/NJ President Jerry McNee. “The 40 years of prior investment by AASP/NJ has led to a show that only improves. It’s getting bigger and stronger; you really can’t go anywhere else in this part of the country to receive this much information. We have people coming from Texas, Chicago, Massachusetts, Virginia, Maryland, Oklahoma – everywhere. People who attend NORTHEAST are going to get the latest tooling and equipment, the
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hottest industry news and some of the best classes and seminars they’ll ever experience – all under one roof.” This year’s NORTHEAST will receive a considerable boost of support from BASF, who has once again signed on as this year’s Platinum Sponsor. OFESSION PR EPAIRER AL R
ED
U C AT I O N PROGRA M
“Being the Platinum Sponsor at NORTHEAST allows BASF to continue to directly support the industry, focusing solely on collision repair and interacting one-on-one with our customers,” explains Dan Bihlmeyer, director of marketing for BASF Refinish North America. “NORTHEAST draws a large crowd, but provides interaction on a very personal level. Being a part of the show offers BASF the opportunity to strengthen our relationships with current and prospective customers in the Northeast market and gain insight into the daily challenges that collision centers face in our rapidly evolving industry.”
Collision P.R.E.P. will be headlined by Texas-based attorney Todd Tracy, who will present “Anatomy of a Lawsuit – Crash Testing for Evidence.” Tracy will share the evolution of his firm’s multimilliondollar win against John Eagle Collision and discuss the full results of the crash tests on aftermarket parts he recently had performed in California. (See page 36 of this month’s issue for an extensive interview with Tracy.) Collision P.R.E.P. will also feature speakers both old and new to NORTHEAST. Joining the lineup of presenters at NORTHEAST is new AASP/NJ Board member Dave Gruskos (Reliable Automotive Equipment), who will be presenting “Riveting and Bonding and Other Repair Operations & Procedures.” “My goal for this class is for everyone to understand what’s involved with the proper bonding and riveting procedures and how to follow OEM procedures to do the same – and what tooling is involved. I hope attendees leave this class with a very good understanding of what’s needed to make an educated decision of whether to do the job or pass on the job.” Over the course of the weekend, Collision P.R.E.P. will present two can’t-miss panel discussions. The first, “Becoming a Certified Repairer and Understanding the OEM Repair Procedures,” will feature Virginiabased shop owner Barry Dorn (Dorn’s
*Schedule / Room locationa subject to change
FRIDAY, MARCH 16 SHOW HOURS 5pm - 10pm 2pm | Upstairs Press Room (Main level)
The Estimate Toolbox: Using FREE Resources to Complete an Accurate Vehicle Damage Repair Plan Danny Gredinberg, Database Enhancement Gateway 5pm | NORTHEAST Room A (Main level)
Riveting and Bonding, and Other Repair Operations & Procedures Dave Gruskos, Reliable Automotive Equipment 7pm | PREP Room 1 (Pavilion level)
Write it Right, with Life Nuggets to Live By Mike Anderson, Collision Advice
SATURDAY, MARCH 17 SHOW HOURS 10am - 5pm 10am | PREP Room 2 (Pavilion level)
OEM Repair Panel: Becoming a Certified Repairer and Understanding the OEM Repair Procedures Panelists: Dave Gruskos, Reliable Automotive Equipment; Aaron Clark, Assured Performance Network; Larry Montanez, P&L Consultants; Barry Dorn, Dorn’s Body & Paint; Bill Hawkins, BMW of Annapolis; Mark Allen, Audi USA; Moderator: Gary Wano, Jr, GW & Son Auto Body 12:30pm | PREP Room 1 (Pavilion level)
Write it Right, with Life Nuggets to Live By Mike Anderson, Collision Advice 12:30pm | PREP Room 2 (Pavilion level)
Structural Repair Methods – Critical in Today’s Vehicles with Advanced Technologies K. Michael Bradshaw, K&M Collision Center 12:30pm | PREP Room 3 (Pavilion level)
Developing and Delivering Effective Written and Verbal Negotiation Practices Keith Manich, ATI 3pm | PREP Room 1 (Pavilion level)
Severity Doesn’t Matter and How to Manage Insurer Expectations Tim Ronak, AkzoNobel Coatings 3pm | PREP Room 2 (Pavilion level)
Diagnostics, Calibrations and Programming: Understanding Shop Liability in this New Era and How to CYA! Panelists: Chuck Olsen, AirPro Diagnostics; Aaron Clark, Assured Performance Network; Paul Sgro, Lee’s Garage; Larry Montanez, P&L Consultants, Greg Potter, Equipment and Tool Institute; Robert Gruszczynski, VW/Audi America; Moderated by Michael Quinn, AirPro Diagnostics 3pm | PREP Room 3 (Pavilion level)
Three Keys to Receiving Proper Compensation for a Proper Repair and What to Do When They Say NO: Education, Documentation and Collaboration John Niechwiadowicz, QLC, Inc. and Jerry McNee, Ultimate Collision Repair 5pm | NORTHEAST Room A (Main level)
Anatomy of a Lawsuit – Crash Testing for Evidence Todd Tracy, The Tracy Law Firm
SUNDAY, MARCH 18 SHOW HOURS 10am - 3pm 10am | PREP Room 1 (Pavilion level)
The Time is Now! An Update on Scanning and Calibration Jake Rodenroth, asTech 10am | PREP Room 2 (Pavilion level)
Developing an Effective Digital Marketing Strategy that Will Grow Your Business Lee Emmons & Brent Betts, AP Digital 10am | PREP Room 3 (Pavilion level)
The Estimate Toolbox: Using FREE Resources to Complete an Accurate Vehicle Damage Repair Plan Danny Gredinberg, Database Enhancement Gateway 12:30pm | PREP Room 1 (Pavilion level)
Basics of Blueprinting John Shoemaker, BASF 12:30pm | PREP Room 2 (Pavilion level)
Social Media Mania Jim Saeli, Management Success 12:30pm | PREP Room 3 (Pavilion level)
Safety Systems Alignment: A New Focus on Body Shop Profitability Michael D’Ercole, Hunter Engineering; Robert Barbieri, Hunter Engineering; Paul Stern, Liftnow Automotive Equipment New Jersey Automotive | March 2018 | 31
COVER STORY Body & Paint), Dave Gruskos, Aaron Clark (Assured Performance Network), Larry Montanez (P&L Consultants), Bill Hawkins (BMW of Annapolis) and Mark Allen (Audi USA). The discussion will be moderated by Oklahoma-based shop owner Gary Wano, Jr. (GW & Son Auto Body), whose facility is trained to repair BMWs and is certified for Mercedes-Benz, Tesla, Jaguar-Land Rover and Volvo. “I think [the show] is a wonderful opportunity for those in the Northeast part of the country who don’t necessarily make it out to Vegas for SEMA,” Wano says. “One of the most valuable things that you’re not going to grab from a webinar is, number one, having the opportunity to pose your own question – not to mention the amount of networking that can take place after the fact.” Appearing on the panel on behalf of Audi of America (who currently has nearly 200 certified shops across the country), Allen is hopeful that his upcoming time at NORTHEAST will help attendees better understand what is expected from them in an OEM-driven market. “For us, being at the show is about having the ability to showcase where we feel the collision industry as a whole should be going. Just last week, we received a question about sectioning an A-pillar because the technician felt it would be too intrusive into the vehicle; he wanted to come up with his own procedure. It’s time to give the customer a repeatable outcome when it comes to the next crash test.” Although each OEM has its own criteria for shop certifications, Allen believes that education is the greatest factor in making any shop/ manufacturer partnership truly successful. “If you’re going to go into training, you would be best served going to an
32 | New Jersey Automotive | March 2018
I-CAR Gold scenario for your shop and getting your technicians used to the culture of training.” The second panel discussion, “Diagnostics, Calibrations and Programming: Understanding Shop Liability in This New Era and How to CYA!” will feature Chuck Olsen (AirPro Diagnostics), Aaron Clark, Paul Sgro (Lee’s Garage), Bob Gruszczynski (VW/Audi US), Larry Montanez (P&L Consultants) and Greg Potter (Equipment and Tool Institute).
I think [the show] is a wonderful opportunity for those in the Northeast part of the country who don’t necessarily make it out to Vegas for SEMA. One of the most valuable things that you’re not going to grab from a webinar is having the opportunity to pose your own question – not to mention the amount of networking that can take place after the fact. - Gary Wano, Jr.
AirPro Diagnostics’ senior vice president of business development, Michael Quinn, will serve as moderator and views the panel as a crucial addition to the discussions being held throughout the weekend. “We are at a critical juncture in this industry where we can no longer turn a blind eye. The lawsuit in Texas was the first time in my 35-year career where forensic research discovered that a previous, improper repair caused bodily harm. When people say they aren’t going to scan a car or perform safety system calibrations because they don’t get compensated for it, it will not stand up in a court of law. The repair facility is the expert and is supposed to ensure a repair is done properly and to manufacturer
specifications. We all have an obligation to do the right thing and protect our customers!” Quinn encourages attendees to come with their questions and concerns about how to navigate this “technical tsunami” (as coined by ICAR) in which we find ourselves. “We look forward to providing attendees with relevant information from the OEM, repair and scan tool communities. Those who embrace technology will be the survivors.” On Sunday, Jake Rodenroth of asTech will present “The Time is Now! An Update on Scanning and Calibration.” This seminar will help attendees understand the nuances of calibration and how they affect a repair. This session is suitable for all collision repair staff and will cover such topics as identifying advanced driver assistance systems (ADAS), repair procedures, customer interaction, insurer relations and authorizations. Attendees who provide Rodenroth with an email address will receive access to his PowerPoint and all resources covered in the class. “What we’re trying to do is shift the conversation so that it’s not just about the scanning piece. The calibration piece is going to be required even at basic repair operations for collisions. That could be taking a grille off, a bumper off or a windshield out. Those basic steps that we’ve done for years are now 26-page documents. We’re trying to help shops understand how to get started and how to communicate what needs to be done.” Legendary industry speaker Mike Anderson (Collision Advice) will return to NORTHEAST to present “Write it Right, with Life Nuggets to Live By” on Friday and Saturday. With many past appearances at NORTHEAST behind him, he has some great advice for seminar attendees. “Always arrive a little bit early. I’ve
done some classes in the past at NORTHEAST that sold out. We couldn’t get anybody else in the room; unfortunately, we had to turn people away. Don’t be one of those people who gets there at the last minute. Get there early and get your seat! Also, come with an open mind and a willingness to listen. The biggest thing with my sessions is that I hope to make them interactive. Shops can hear other shops’ opinions and not just come to hear me talk.” The excitement for NORTHEAST is felt through every sector of the automotive repair industry, but nowhere is it stronger than close to home. AASP/NJ’s Board of Directors are looking forward to another successful – and even bigger! – NORTHEAST experience in 2018. “I’m really looking forward to the Collision P.R.E.P. seminars and the expansion to the Pavilion level,” shared AASP/NJ Collision Chairman Dennis Cataldo (D&M Auto Body). “I find the best part of the show to be the discussions that happen among members of the industry. There is always a wealth of knowledge to gain just by talking to your peers.” Fellow Board member Anthony Trama (Bloomfield Auto Body) shared similar sentiments. “I’ve been going to NORTHEAST for many years, and I’ve seen the progression of the show. It’s always nice to see the faces that I do business with all year long, but having two floors this year is the most exciting. The people I speak to about the show have all been commenting on how it has continued to grow, and doubling the floor space is a really exciting step. NORTHEAST 2018 is the show to attend on the East Coast.” Gruskos believes NORTHEAST is the perfect environment for automotive repair professionals to perfect their craft and learn from industry leaders, saying, “We are a
family and an industry that needs to learn with one another, and the venue and location are perfect to achieve that goal.” NORTHEAST 2018 is made possible thanks to the generous support of its sponsors: Platinum Sponsor – BASF, Gold Sponsor – Ford, Silver Sponsors – Honda, Flemington Car & Truck Country, Lanyard Sponsors – Pro Spot/Innovative Solutions, Prize Sponsor – Axalta Coating Systems and General Sponsors – Valspar, Sherwin-Williams and Lincoln Tech.
To ensure you get the most out of your NORTHEAST 2018 experience, pre-register today for free! Additionally, AASP/NJ has agreements with a number of area hotels, and rooms are going fast – reserve your room to guarantee you don’t miss these incredible deals or any valuable show time. For more information on how to register for the show and Collision P.R.E.P. seminars (or for hotel accommodations), visit aaspnjnorth east.com. NJA
NEW FOR 2018 Now Expanded to
TWO LEVELS!
AASP/NJ’s
2018 Automotive Services Show Meadowlands Exposition Center 355 Plaza Drive, Secaucus, NJ
The industry’s best Automotive Repair, Education, Technology, Equipment & Innovation now on TWO LEVELS! AASP/NJ's NORTHEAST Automotive Services Show at the Meadowlands is your one-stop event for education, information and the industry’s greatest exhibitors,
in the country’s most densely populated region!
MARCH 16 - 18 Visit AASPNJNORTHEAST.COM for more details.
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New Jersey Automotive | March 2018 | 33
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New Jersey Automotive | March 2018 | 35
John Eagle, Aftermarket Parts and Beyond: NATIONAL FEATURE by Joel Gausten
An Interview with Attorney Todd Tracy
Attorney Todd Tracy is putting non-OEM procedures - and aftermarket parts - to the test.
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Todd Tracy could very well change the collision repair industry forever. Last year, Tracy earned headlines when he led his clients, Texas-based couple Matthew and Marcia Seebachan, to a multimillion-dollar win in their lawsuit against John Eagle Collision in Dallas, TX. The couple sued John Eagle after they sustained serious injuries following an accident in their improperly repaired 2010 Honda Fit. In addition to traveling the country to present special seminars on the case to industry members at national and regional events, Tracy soon found himself in the spotlight once again when he partnered with the Auto Body Association of Texas (ABAT) to have three vehicles crash-tested by Karco Engineering, a National Highway Traffic Safety Administration (NHTSA)-approved testing facility in Adelanto, CA. The first vehicle involved in the crash test was an undamaged and unrepaired 2010 Honda Fit that had never been in an accident, while the second vehicle was a 2009 Honda Fit that had an aftermarket windshield installed and a roof that was bonded using 3M 8115 adhesive instead of welded on as
recommended by the OEM – the same procedures performed on the Seebachans’ vehicle. The third vehicle was a 2013 Honda Fit with the hood, left and right fenders, radiator support, bumper reinforcement bar, left/right hood hinges and windshield replaced with non-OEM-approved parts. (At the time of this writing, alternative parts manufacturer Diamond Standard announced plans to conduct its own crash tests. More on that later in this piece.) This month, New Jersey Automotive connects with Tracy to discuss his legal victory, his crash tests in California and his plans to address some of the other critical issues affecting collision repair professionals across the country.
New Jersey Automotive: When you first took on the case for the Seebachans, your initial thought was to go after Honda for what happened to their vehicle. What led to your decision to instead go after John Eagle Collision? Why was going after the OEM the wrong direction for this case to take?
Todd Tracy: First of all, when we looked at the vehicle and realized there were no welds holding this roof in place, we went and bought two exemplar model-year vehicles. We removed the paint so we could get access to the spot welds, and we realized there were 108 of them. We got access to Honda’s weld map, which specifically stated that there were supposed to be 108 welds and also showed where they were supposed to be located. It talked about the size, the shape, the location, the depth and the type. Clearly, we didn’t have a design defect, because there were supposed to be 108 welds. Was there a
manufacturing defect? Based on our experience, when you have a manufacturing defect, you don’t miss 108 welds. You might have a missing weld or an edge weld or a cold weld, but you’re not going to miss 108 welds. Once we realized there were those welds missing, that’s when we started looking at other avenues, such as, ‘Had the vehicle been repaired and been involved in an accident?’ That’s when we ultimately learned about John Eagle.
NJA: One of the most eye-opening elements of this case was the fact that this vehicle had a clean CARFAX report when the Seebachans purchased it.
TT: That is a source of great concern to us, because the vast majority of people who buy vehicles rely on CARFAX to give them accurate, reliable information about accidents and repair history. When there’s no requirement that CARFAX is actually receiving information, that’s a problem within the industry.
NJA: With that in mind, how can a conscientious customer truly determine if a used vehicle is indeed safe to own?
TT: Short of tearing the vehicle down, what you need to do is take it to a certified facility and let them put it up on a rack and start looking for some of the telltale signs that the vehicle may have been involved in a prior accident. This includes looking for overspray, looking for welds that do not look like OEM welds and looking for reinforcement panels that are used after a vehicle’s frame is straightened. Once a frame is straightened, that’s a weakened point. What they have to do is put a reinforcement bracket in
there. You need to take the vehicle to someone to basically do a differential diagnosis.
NJA: Clearly, John Eagle Collision chose bonding over performing the 100-plus welds that Honda recommended for this repair. Why was that critical in making your case? Bonding has been viewed by some in the industry as a reasonable alternative to welding. What were the key factors in determining that this was not the appropriate way to go in getting this car back on the road?
TT: After we figured out that it was a repair issue, we went to the Mitchell repair manual. The way the manual specifically stated it was that you were supposed to weld [the roof] back. We then bought a Honda body repair manual for the 2009-2013 Honda Fit; lo and behold, the identical language that was in the Mitchell repair manual was in the Honda repair manual. It specifically stated that you had to weld the roof panel back on when you replaced the roof. We started doing our due diligence; part of that was looking at the various certifications and organizations that are out there. We learned about I-CAR. What does ICAR tell these certified facilities? Always follow OEM repair specifications. That’s their number one rule that they talk about. We then started checking out some of the material out there, and we realized that this was an adhesive that 3M used called 8115. Doing more due diligence, we learned quickly that 3M had actually written material that said there are certain vehicle manufacturers that do not want their body panels to be bonded and that you had to follow the OEM repair specification – and if that includes
New Jersey Automotive | March 2018 | 37
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NATIONAL FEATURE welding, do not use this. That’s what the hook was.
NJA: Why would a large, reputable and certified professional facility like John Eagle Collision perform a repair in this manner as opposed to what the OEM stated was appropriate?
TT: I think that was summed up in one trial exhibit. 3M actually put out a video for the 8115 adhesive that specifically stated that using bonding increases profitability for the shop. It doesn’t take as much time; your hourly rate’s a lot cheaper for somebody bonding versus welding. At the end of the day, you can get the vehicle out quicker. It saves money and time.
NJA: Since this case, you’ve moved your attention towards the use of aftermarket crash parts, going as far as to partner with the Auto Body Association of Texas to have aftermarket parts crash tested in California. Why was this the next target for you to hit in this industry? TT: What we started seeing and hearing is not just a recent problem; this is an ongoing, decades-long problem. The insurance industry has been bullying these repair shops for years to use these non-OEMapproved repair methods – but more importantly, forcing them to use aftermarket parts, salvage parts and used parts rather than OEM parts. When I heard that, I said, ‘I need to see some testing on this to back you up.’ I heard, ‘Well, we don’t have any.’ We had learned about some testing that had been conducted back in the 1970s on some aftermarket parts and on some bonding and stuff like that, but I wanted to see current testing on a methodology that is repeatable and
acceptable. That’s why we went and conducted a crash test that the federal government recognizes, the vehicle manufacturers recognize and the insurance industry recognizes as being repeatable.
NJA: The energy absorption data compiled through these tests is quite interesting. How does energy absorption potentially affect the safety of the occupants in a vehicle in a collision? TT: Energy absorption, energy distribution and energy channeling is what’s called the ‘crash wave.’ You
The repair shops are forgetting that they have a valuable tool in their tool chests called the customer. The customer wants it done right; the customer doesn’t want corners cut. want to spread that out over as long a period of time as possible. The way that people get injured is due to the material not holding the line long enough so that there’s a big, sudden jolt of energy. That’s what we saw happening on the aftermarket parts, and even to a lesser degree on the OEM-unapproved bonding. If the material and/or the repair is not done properly, you never get what’s called ‘engineering stack-up.’ You want to have engineering stack-up so that the material can do its job. If it releases too quickly, then you’re going to spread this dangerous energy wave to the occupants. Once that happens and you don’t have the engineering stack-up, then not only does that
affect structural integrity, but it affects the occupant kinematics - which are the body’s movements inside the vehicle, both in the forward direction as well as on rebound. It also affects the injury numbers, from the tip of the head down to the tip of the toe, and all body points in between. It also affects the crushability of the survival space. What we saw in our crash testing was that with the aftermarket parts – because [the vehicle] was not achieving engineering stack-up as designed by Honda – you alter the restraint system so that you have 13 inches of forward excursion compared to eight inches on the OEM. The anthropomorphic test device rebounded in such a violent and altered manner that the dummy’s head actually missed the head restraint. On every single injury index that was measured, the aftermarket parts and the repaired part with the adhesive had considerably higher numbers than the OEM. If the aftermarket parts and the approved method are supposed to act in an identical manner, then the crush, the kinematics, the energy wave and the injury number should be the same. We clearly don’t have that.
NJA: As I’m sure you’re aware, Diamond Standard has announced plans to perform their own crash test.
TT: I absolutely applaud them, but here’s my question to Diamond Standard: Why aren’t you letting Karco run the test? We did a couple of things different from – and added on to – the Insurance Institute for Highway Safety [IIHS] test. We wanted to study this energy wave, the injuries to the ankles and the effect this crush has on the toeboardfootwell area. Why don’t they let Karco run the same test – and everybody who’s going to do this let
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44 | New Jersey Automotive | March 2018
NATIONAL FEATURE Karco do it? They know exactly where it was measured from. Is Diamond Standard going to open up their test to let everybody look at it? Are they going to reproduce the results just like we have – in an unaltered, unmodified and unadulterated fashion? Put your money where your mouth is. If you’re so confident, let us go out there. Are you going to keep the vehicles so that they can be studied like we’re doing? NJA: Let me ask you a Devil’s advocate question. I’ve heard people on the insurance industry side say on record that policies would skyrocket in price if OEMrecommended procedures were performed on a regular basis. I’ve also heard shop owners who are good, professional repairers say that they feel pressure to perform the repairs per the insurance company’s instructions because they’ll lose work if they don’t. Based on your experience in the field, how do you respond to both points?
TT: First of all, I would say that if the repair costs go up, guess what? It doesn’t cost the insurance companies any money, because they get to spread it out to the consumer. I think the consumer wouldn’t mind spending $1,500 extra for a repair versus buying a casket or paying for a lifetime of care for somebody who’s catastrophically brain-damaged, quadriplegic or paralyzed. I think that’s a real short answer to that. The repair shops are told by these insurance companies, ‘You will do this our way or we are taking our business elsewhere.’ These poor men and women who own these repair shops have mouths to feed – not only for their own families, but for their employees. They are put in a hell of a dilemma. Do you do what’s right for your customer, or do you do what’s right for yourself and your employees? The repair shops are forgetting that
they have a valuable tool in their tool chests called the customer. The customer wants it done right; the customer doesn’t want corners cut. At the end of the day, they need to realize that the repair shops and themselves are in this together so that their family can get home safely. They need to get the insurance company out of there, because the insurance companies don’t care about getting the family home – they care about
putting more money in their pockets.
NJA: If a shop performs an OEMrecommended procedure, that will lead to a short-pay in many cases. Obviously, short-pay is an area you will be exploring down the road. What are some of your intentions at this point in time in terms of addressing the elephant in the room that some shops are not keen to pursue a short-pay situation?
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New Jersey Automotive | March 2018 | 47
NATIONAL FEATURE
TT: For any shop to not be willing to pursue short-pays is a level of laziness and basically malpractice for their own company. Here’s the fix: You’ve got a lawyer who’s willing to come in there and say, ‘I want to get 5,000 companies to retain my firm to go after individual short-pays, and I’m going to do it for free.’ It will cost you nothing. How could any conscientious business owner not be willing to fight that? At the end of the day, the way
SAVE THE DATE
that change evolves is a three-legged stool. The first leg of the stool is the repair shops getting involved and standing up. Right now, we may have 50 shops around the country that routinely do it. My objective is to get 50,000 shops. The second leg of the stool is getting the customers involved. Now you’ve got the repair shop and the customer fighting together to save their family. Number three, you get the legal system
MARCH 16-18 MEADOWLANDS EXPOSITION CENTER MEET US AT
THE CENTER OF THE SHOW - BOOTH 423
involved. We start with the short-pays, we start with steering…and I’m convinced there’s RICO [Racketeer Influenced and Corrupt Organizations] involved here. That’s the long game on this thing. A perfectstorm result would be as follows: Insurance companies no longer get to dictate the methodology or the material that can be used to repair a vehicle, because they’re not the safety professionals. If we can do that, then the shop owners and their employees will be able to sleep better at night, the customers will be able to sleep better at night and the insurance companies are not out any more money because they’re going to pass it along anyway. That’s just the way business works, and it has in every industry. I don’t care what it is. If it’s a toaster, a car or a Slip ‘N Slide, if there’s litigation and it costs the company money, you pass it along to the consumer. At the end of the day, it’s pennies per year.
NJA: Conceptually, it’s very similar to health insurance in a sense.
TT: Sure it is. The insurance companies are pretty smart; they have actuaries sitting out there, and they know exactly what it’s going to cost them to do it the right way. They know what it’s going to cost over time to spread it out to make money. You can’t tell me that they haven’t already factored this out. NJA: On another topic, we’ve been hearing a lot about the concept of photo estimating in the collision repair industry.
516-361-9220
www.collisionequipment.net
48 | New Jersey Automotive | March 2018
TT: I’ve got a good analogy for you on photo estimating. Take two eggs. Take one of the eggs and shake it up really well, and leave the other one. Then, take a picture of both eggs and say, ‘Which one of these eggs has been scrambled?’ By using the photo
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50 | New Jersey Automotive | March 2018
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MEMBER New Jersey Automotive | March 2018 | 51
NATIONAL FEATURE estimator, you can’t tell. Now, let’s look at it a little bit deeper. We know that front bumpers have fascia plates on them. They have honeycomb bumper absorbing systems, and they have energy management capsules below there that are designed to crush. Looking at the photo estimate, you’re never going to see that. I’m sorry, but with the way that these vehicles are designed these days, you have to take off a couple of layers of the outside of the onion to get in there and see what’s been damaged. Anybody who thinks a photo estimate serves any useful benefit at all has no idea what they’re talking about. You need to sit inside a vehicle; you need to put a vehicle up on the racks. You need to do an examination of a vehicle just like a doctor does on a patient when they’re trying to do a diagnosis. I guarantee that you’re never going to get a doctor to put their medical license at stake by not examining the patient. NJA: You’ve been in touch with associations and other industry representatives all over the country in the last few months. Based on your experiences and the feedback you’ve received, what can the collision industry atlarge do more of to ensure that repairers embrace OEM procedures and ultimately protect themselves from the kind of litigation that hit John Eagle Collision?
TT: The repair industry needs to stop thinking of themselves as body shops and repair shops. They need to start calling themselves what they actually are: Safety professionals. The repair industry men and women are on the front line of safety day in and day out, more so than the vehicle industry ever will be,
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Visit us at NORTHEAST® Booth # 301
New Jersey Automotive | March 2018 | 53
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54 | New Jersey Automotive | March 2018
Visit us at NORTHEAST® Booth # 301
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www.YESMAXON.com 2329 RT 22 WEST, UNION, NJ 07083 MEMBER New Jersey Automotive | March 2018 | 55
IF OFFERING ONLY ORIGINAL MINI PARTS IS A CRIME, THEN YEAH, WE’RE GUILTY. At your local MINI dealer, we believe that using Original MINI collision replacement parts will speed your repairs and increase your profitability. Original MINI parts assure an absolute perfect fit and function.
For Original MINI parts, contact any of these authorized MINI dealers. MINI of Mt. Laurel 1311 Rt. 73 Mt. Laurel, NJ 08054 856-778-3000 Fax: 856-813-4622 MINIOFMTLAUREL.COM FACEBOOK.COM/MINIOFMTLAUREL
MINI of Manhattan 793 11th Avenue at 55th Street New York, NY 10019 212-246-7375 Fax: 212-315-9560 MININYC.COM FACEBOOK.COM/MINIOFMANHATTAN
© 2018 MINI USA, a division of BMW of North America, LLC. The MINI name, model names and logo are registered trademarks.
56 | New Jersey Automotive | March 2018
NATIONAL FEATURE because it is incumbent on the men and women who put our vehicles back to a safe condition that’s crashworthy to ensure that our families get home. That’s their sole job. I read a mission statement the other night from an organization, and I said, ‘Why wouldn’t your mission statement be, ‘Our job is to ensure that our customers and their families gets home safely each and every night. We’re going to do this by education, education and education. We’re going to educate our members, certify our members and train our members to be the safety professionals that we are’?’ I think that’s critically important to get across. With respect to what they can do, the guys are bands of brothers now. They need to stick together on this. For years, you’ve been waiting for something to get some momentum and some synergy, and you finally have the right time and environment. Why anybody would sit on the sidelines and not do anything about it is beyond me. For those who are bellyaching and not willing to jump in the arena and get the snot beat out of them a couple of times, that’s okay. Don’t bellyache about the scraps you’re getting. But if you’re tired of taking it, it’s time to get in the arena. Let’s go fight them together. It’s that simple. The complete results of Attorney Tracy’s crash tests are available via Google Drive at https://drive.google.com/ open?id=1Q7JOm7aldtz0auus91cHY9 iJTQZ6vnQm. NJA
TODD TRACY WILL BE PRESENTING AT ON SATURDAY MARCH 17! 5pm | NORTHEAST Room A (Main level)
Anatomy of a Lawsuit – Crash Testing for Evidence Todd Tracy, The Tracy Law Firm To register visit aaspnjnortheast.com/education
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1.800.292.RIMS (7467) New Jersey Automotive | March 2018 | 57
IN BUSINESS
NO BRAKES by Ron Ananian
I recently had a Friday I won’t soon forget. We’ve all had them. One thing goes wrong, and then another and so on. It reminds me of that scene from the movie The Replacements. Gene Hackman is asking the team about their fears and Keanu Reeves says quicksand. He goes on to point out how it relates to football, and how no matter what you do, you’re stuck and fighting your way out. Come on, admit it: You’ve had a few quicksand days, right?
Mine was the typical stuff that goes wrong in a repair shop. Well, almost typical. The first piece of the day was the Jeep Liberty water pump we replaced the day before. It came back in for a flashing check engine light. Trying to draw the connection in my head, I connected the scan tool, and decided to diagnose first and panic (if I chose to) second. After all, it’s Friday. Why can’t it be peaceful? The scan tool reported a misfire on cylinder three, but it wasn’t there now. I did the obvious, and within 15 minutes I found the problem occurred hot down the road (thank you, freeze frame), which I could duplicate at similar conditions under approximately the same mild load. What could the plugs look like on this 90K mile wonder with very little or no maintenance, I wondered? Or do we go right to scoping for stuff? Remember, it’s Friday and not scheduled. Time to roll the dice and cut some corners if I could. The plugs looked tired, but not terrible. One thing I noticed was the coil boot was clean. No dielectric grease – nothing. I wonder if somehow under load and maybe some moisture from the water pump repair got where it shouldn’t have. A dab will do you, as the ad used to say. (Brill Cream hair tonic, remember?) A shot of dielectric inside the boot and a road test proved positive results. Good, let’s get on to the work that was actually scheduled for today. But before I could get that far, the NJ-MVC stopped in to discuss something I may have missed on an audit vehicle that came through for inspection the month before. I remembered the vehicle clearly, and recited the process – what needed to be done, how I did it and added some things that were wrong with it that they hadn’t expected. I think it came to a draw on what and who was right and/or wrong, but we both walked away from it satisfied with the results. Regardless, it was time out of the day, and prevented that forward traction I was trying to achieve since I walked in the door that morning. The next piece of the day was diagnosing a nocharging system output problem on a towed-in 2012 Dodge Durango. I drew the ticket and proceeded to diagnose the
issue. It started and I drove it in the door of Bay Three. I popped the door and let it run. I scanned it for codes, and there were numerous low battery voltage faults in more than one module. Currently, the charging system voltage was dropping even though the scan tool PID for Alternator Field Duty Cycle was at 100 percent. Hmm… how does this circuit work? While doing my research, I left the Durango running so as to monitor the voltage and get a final number of where and what the system could charge at. Remember those Abbott and Costello movies? Costello would be doing something when he realized he was in danger, and would start yelling for Abbott. While reading and researching, I noticed that someone in the neighborhood was barbecuing; it smelled like they were cooking up a storm. No bother for me – it was almost lunch time, anyway. Hey look, there’s a few TSBs for Durangos and charging system issues. Oh, hey, look at this – I start smelling smoke – boy, that barbecue is getting closer – there’s a recall for this exact vehicle for alternator failure and catching fire due to a bad diode pack… Uh-oh. I spun around. Hey, Abbott… THE BOTTOM LINE IS... We caught it just in time. It was smoking pretty well, but no flames, which was good for me because I think at that point in the day, I would have called it a week. Burning down a car and/or the shop is probably somewhere at the top of the quicksand Don’t Do list. The real question is, how do you deal with it? It happens. Just being “in the business,” it’s part of our architecture. We put ourselves and our property at risk every day whether we know it or not. And the “fire,” or whatever calamity of the moment, comes when it wants, not when we plan for it. How do you deal? I have said for years the only chaos coming in the front door is what I allow. After that, it’s the odds of the universe letting it happen. The truth is, there is no way to prepare for it, but there are some ways to minimize it. Do the right thing
“This is just me thinking out loud. See you on the radio. And of course: Good mechanics aren’t expensive – they’re priceless.”
Ron Ananian, owner of R\A Automotive in Waldwick, NJ (est. 1978), is heard weekly in 140 markets on his nationally syndicated radio talk show. He is a working technician and former AASP/NJ Board member. Beyond his radio show, Ron writes and speaks for the automotive industry at trade shows and events. Visit The Car Doctor online at www.cardoctorshow.com.
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– always. You can’t make a wrong turn down the right street. We never fire the torches up after 4pm – just a safety thing. If any embers go the wrong way, we want to be there just in case. I blow the airlines every night just on the odd chance (and they say it can’t happen) the engine oil tank pumps itself out. Never say never. (Wasn’t that a Bond movie?) Next, and I guess this comes back to prep, what disasters are you ready for? How are your fire extinguishers? How current and accurate is your Garage Keepers Insurance policy? And last, how prepared and mentally present are you? What are the odds of the recalled alternator actually getting ready to go up in smoke in the bay during the diagnosis? Ever think of how they found out about the first one? Was that car in the bay, on the road or parked in someone’s home garage? Being in business is sort of like being a Boy Scout – you always have to be prepared (I couldn’t resist being cliché), and know that by doing so, you might just have to put out a fire for real someday, without rubbing two sticks of wood together. NJA
New Jersey Automotive | March 2018 | 59
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New Jersey Automotive | March 2018 | 61
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62 | New Jersey Automotive | March 2018
COLLISION CONOUEST
Flemington Volkswagen 213 ROUTE 202/31 FLEMINGTON, NJ 08822 TOLL FREE: 877-657-2787 FAX: 908-782-1795 rmuir@flemington.com www.NJPARTS.com
Paul Miller VW of Bernardsville 118 MORRISTOWN ROAD BERNARDSVILLE, NJ 07924 TOLL FREE: 877-318-6557 LOCAL: 908-766-1600 FAX: 908-766-6171 www.paulmillervw.com
Douglas Motors 491 MORRIS AVE. SUMMIT, NJ 07901 PHONE: 908-277-1100 FAX: 908-273-6196 TOLL FREE: 800-672-1172 www.douglasvw.com
DCH Volkswagen of Freehold 4360 ROUTE 9 FREEHOLD, NJ 07728 PHONE: 732-810-7903 FAX: 732-637-8297 www.dchvwoffreehold.com email: dfilipe@dchusa.com
email: douglasparts@douglasautonet.com
Linden Volkswagen 900 EAST ELIZABETH AVE. LINDEN, NJ 07036 TOLL FREE: 800-343-5116 FAX:908-486-4232 www.lindenvw.com GeorgeP@lindenvw.com
Trend Motors 221 Route 46 West Rockaway, NJ 07866 888-267-2821 FAX: 973-625-4985 www.trendmotors.com email:dreinacher@trendmotors.com
New Jersey Automotive | March 2018 | 63
LEGAL PERSPECTIVE by Mitchell Portnoi Certified by the Supreme Court of New Jersey as a Civil Trial Attorney
Mediation vs. Arbitration – Which Should You Use and Why? We have all heard the terms “mediation” and “arbitration,” and have probably used them interchangeably. However, they are actually two very different concepts and two very different ways to arrive at a similar result: The resolution of a dispute. A dispute can be a lawsuit, or may even be a neighborhood issue. Municipal Court Judges will sometimes refer a mediator to resolve a dispute between neighbors that could otherwise result in criminal charges against one or more participants. Very simply defined, “mediation” is when you have a neutral party (a mediator) assist in bringing two or more parties together to have a discussion that can potentially lead to the settlement of a dispute. The dispute could be about money, property, civil rights or just about anything. The mediator acts as a conduit between the parties, and assists in meaningful discussions that the parties may be otherwise unable to conduct. The results are usually dependent upon the
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agreement of the parties, and there is no binding authority by the mediator. An “arbitration” is usually binding (though it need not be), and is conducted as a mini-trial where the arbitrator hears a condensed version of the events and/or testimony of the parties, and renders an award based upon his/her arbitrary view. Arbitration can take a few minutes or a few hours, but can sometimes last days, weeks or months. Arbitration is often thought to save significant costs for all involved, and it often does. Care must be taken to clearly set limits when agreeing to arbitrate a case, and parameters must be set to not allow the time and costs to add up to make the process more expensive and time-consuming than it needs to be. The courts in New Jersey have set up ADR (Alternative Dispute Resolution) systems to assist litigants in resolving cases early to avoid the high costs associated with litigation. Mediations are encouraged early in the litigation process to push early settlements, and
there is a Statewide Arbitration process for litigation involving personal injury matters; this includes automobile accident cases, which make up a significant portion of the civil docket in New Jersey. Neither of these processes are binding on the participants, but going through the process is mandatory, with few exceptions. If confronted with a prospective client who has a small claim against another person or company, I would generally encourage an arbitration of the dispute. There are a number of companies that use retired judges or attorneys to do both arbitration and mediation. If I have a significantly larger case that warrants the expense, I encourage mediation so I have more control of the ultimate outcome, and in concert with my client, can just say no if the result is felt to be significantly skewed against my client’s interests. To discuss your alternatives, please call me at 973-228-9900. I would be happy to discuss the same with you. NJA
New Jersey Automotive | March 2018 | 65
Š 2018 Porsche Cars North America Inc. Porsche recommends seat belt usage and observance of traffic laws at all times.
Diagnostically speaking, there is no substitute. Porsche technology. Porsche Genuine Service & Parts.
Contact one of these authorized dealers. Town Porsche 105 Grand Avenue Englewood, NJ 201-227-6505 Fax 201-227-6553 www.townporsche.com
Paul Miller Porsche 3419 Route 46 East Parsippany, NJ 973-227-3000 Fax 973-575-8396 www.paulmiller.com
Flemington Porsche 213 Route 202/31 Flemington, NJ 800-216-5124 Fax 908-782-9397 www.flemington.porschedealer.com
Porsche Monmouth 280 Route 36 East West Long Branch, NJ 732-935-7600 Fax 732-935-7602 www.porschemonmouth.com
Princeton Porsche 3333 Route 1 Lawrenceville, NJ 609-945-1500 Fax 609-945-1501 www.princetonporsche.com
Manhattan Motorcars 711 11th Avenue New York, NY 877-661-1586 Fax 646-473-0798 www.manhattanmotorcars.com
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POSITION STATEMENT
SCANNING A VEHICLE BEFORE AND AFTER A COLLISION REPAIR
Irvine, California, January 3, 2018 – Every Mazda vehicle is built with new technology to keep the passengers inside safer. Sensors, cameras and radars are built into the car to accomplish the highest standard of safety. As OE manufacturers become more technologically advanced, Mazda North American Operations recommends that all vehicles being repaired for collision damage be scanned before and after the repair. Diagnostic Trouble Codes (DTCs) will be stored if any of the sensors, cameras or radars were damaged in the collision. Mazda North American Operations also recommends that only Mazda Genuine Parts be used when repairing the vehicle. Information on proper repair procedures, scanning and reprogramming are available via oem1stop.com to ensure that the vehicle is repaired correctly.
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NJA
T
WE KNOW WHAT YOU’RE THINKING. YOU WANT TO KNOW IF THE PART’S IN STOCK , HOW MUCH IT COSTS, AND WHEN IT’S GONNA GET THERE. We get it. You want the best part for a Toyota, but you’ve got to know when and how much. Well, now you can. In addition to tools that can help you find and order the right VIN-based parts, now you can see if it’s in stock, schedule the delivery, even see your shop’s net price from your participating Toyota Dealer.* Now you’re thinking: “Cool!”
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New Jersey Automotive | March 2018 | 67
USI NORTH AMERICA CUSTOMER TESTIMONIAL
With 19 locations spread out across New York State, Carubba Collision has been serving the collision repair needs of New York for over 60 years. Established in 1955, Mr. Carubba’s father started the business, and today it stands as the largest MSO in New York. Though westernNew York based, there are 19 locations all throughout New York – from the Buffalo area to Syracuse to Oneonta to Amsterdam to Elmira to Utica and beyond. Recently, Randy Pinkowski (Chief Safety Officer/VP of Equipment Procurement and Maintenance) got into contact with Stefano Morreto at USI to obtain two brand new spray booths – one in the West Syracuse location and one in the Utica location. “I met Stefano at the NORTHEAST® trade show while I was searching for a paint booth company,” Pinkowski noted. “He did a really great job explaining what the booth did, and he followed through on every single thing they said they were going to do, which is hard to find in a subcontractor. All of the expectations were met, for sure.”
Pinkowski said he was most impressed by Moretto’s sales/operations pitch, in addition to the cost of the two booths. “The cost was certainly in line with what we were looking for, and the booths either performed or outperformed other booths we had looked at – and for less money! He also offered up to us a great idea of using a basement-type booth, instead of digging a pit, and that worked out extremely well.” Pinkowski’s spray booths have been up and running for just about six months now, and he is confident that the booths will not only get their use as time goes on, but also make the businesses more profitable.
“Right now, we’re using the spray booths multiple times per day. Our hope is that both locations get to the point in the next year that they’re repairing 200 cars a month – maybe upwards of 300 cars a month, so those booths will definitely get their usage. “The expectation is that the USI booth outperforms, mainly because of the way the booth works. I think we should be able to get more productive hours out of it, which will improve cycle time and increase our profitability.” Carubba’s has also taken advantage of USI’s hands-on training that comes along with the purchase of the spray booth. “USI provided training and the individuals working at the store had no complaints about the operation, and made several comments about the overall ease of operation. We also did some cross-training with other folks who don’t have this booth, and there was definitely jealousy that they don’t have the USI booth. Painters are unique individuals – they know what they like and what they want, and they’re not afraid to express it, and I think that alone speaks volumes about the quality of the product.” Currently, Pinkowski says about four painters at each location are using the USI spray booth, and as new hires to the company, the ins and outs of the booth were new to them, but they’ve been quick to adapt. “I’m fairly certain none of them had used this type of booth before. It was all new to them – how it worked, what it does differently – but they’ve adapted very easily. We’ve done two training sessions with USI, and these are hands-on training sessions where the painters actually get to paint something. “The USI person comes in, just like traditional training should be, shows them what to do, and then they get to do it. The first time, they worked on a bumper that was never going to be on the car. Then, once they gained some confidence, they got to do real jobs.” Pinkowski has been impressed with the team at USI, and has undoubtedly benefitted from his relationship with USI personnel. “For ease of communication, we did everything right through Stefano, but there were other people – contractors that came in to do booth assembly – they all did a wonderful job. They were on time with everything, very detail-oriented. The communication was phenomenal. We knew what was going on before it was going to happen, which doesn’t always happen with other suppliers. He exceeded every expectation that we had.” Overall, Pinkowski has high expectations for his USI Italia spray booth, and is confident it will help his painters and his business. “Our painters should definitely be able to paint faster, which will benefit us and the painters. I think it’s going to reduce our cycle time, allow us to return vehicles to our guests faster and just make us more profitable.”
SEE US AT
201 2 2017 0BOOTH # 327
USI North America 556 Commerce Street, Franklin Lakes, NJ 07417 Phone: (201) 405-7761 Email: s.moretto@usius.com www.usius.com
New Jersey Automotive | March 2018 | 69
Unsurpassed Quality. Genuine Hyundai Parts. HYUNDAI IS PROUD OF ITS REPUTATION FOR QUALITY AND SERVICE. SO ARE THE DEALERS AND BODY SHOPS WHO RELY ON GENUINE HYUNDAI PARTS. TO MAKE CERTAIN THAT YOU GET THE RIGHT HYUNDAI PART, ASK FOR THE WHOLESALE PARTS SPECIALIST AT THESE FINE DEALERS. Buy Hyundai Parts. For Genuine Hyundai parts, contact these Authorized Hyundai Dealers. MAXON HYUNDAI 2329 ROUTE 22 WEST UNION, NJ 07083 TOLL FREE: 800-964-7281 FAX: 908-851-5631
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LIBERTY HYUNDAI 305 ROUTE 17 NORTH MAHWAH, NJ 07430 PH: 201-529-3600 FAX: 201-529-3051
WAYNE HYUNDAI 1244 ROUTE 23 NORTH WAYNE, NJ 07470 PH: 973-646-0333 FAX: 973-694-1700 waynehyundai.com
THE FOUNDATION OF OUR BUSINESS SUCCESS IS YOUR LOYALTY.
OUR SUCCESS IN BUSINESS COMES FROM OUR RELATIONSHIP WITH LOYAL CUSTOMERS. With years of service and commitment to the BMW brand, we reflect on our past and look to the future, thankful for your loyalty and dedication by allowing us to serve you. We also want to extend our services to new and existing businesses who are looking for something more than just a parts supplier. · · · · ·
We are part of the BMW NA delivery program that delivers to us three additional times per day We have a highly-trained and experienced team of BMW parts advisors Our team of advisors can be counted on to be knowledgeable when you need technical support We update our inventory daily to ensure we stock the most current items to meet your demands All original BMW parts carry a 2-year limited warranty
BMW of Springfield Wholesale Parts Hotline: 800-648-0053 Wholesale Direct: 973-671-9321 Wholesale Fax: 973-467-2185 391 Route 22 East, Springfield, NJ 07081 Orders accepted by phone, fax, and email to speed your delivery and your repairs. Ask about our next-day UPS delivery. Email: wholesaleparts@bmwofspringfieldnj.com or visit us on the web: bmwofspringfieldnj.com
Join our growing list of satisfied customers. Save time, improve profits and keep your customers loyal. * If your order is placed by 10:30am, we will confirm availability and provide you with and ETA for delivery. European model shown
New Jersey Automotive | March 2018 | 71
Superior service starts with superior parts. Rely on what Mazda drivers already know-Genuine Mazda parts extend a car's life. Designed specifically for Mazda vehicles Get the right part the first time We're an accurate, trusted resource as close as your phone Give us the opportunity to serve you Contact these Mazda dealers for all your parts needs: Maxon Mazda 2329 Route 22 West Union, NJ 07083 Phone: 800-964-7281 Fax: 908-851-5631
Nu Car Mazda 172 North Dupont Highway New Castle, DE 19720 Phone: 800-346-5283 Fax: 302-322-7135
72 | New Jersey Automotive | March 2018
Mazda of Lodi 130 Route 46 East Lodi, NJ 07644 Phone: 866-716-0511 Fax: 973-594-4933 www.mazdaoflodi.com
Wayne Mazda 1244 Route 23 North Wayne, NJ 07470 Phone: 973-646-0333 Fax: 973-694-1700 www.waynemazdafactoryparts.com
THE RIGHT FIT FOR THE PERFECT FINISH.
Westbury Jeep Chrysler Dodge Ram SRT 111 Bond Street Westbury, NY 11590
PROTECT YOUR CUSTOMER’S INVESTMENT WITH ORIGINAL MOPAR PARTS ®
Order Hot Line: (516) 333-2669 Fax: (516) 334-8951 www.westburyjeep.com
• Experience service that’s second to none! • Committed to excellence — committed to our customers! Open until midnight Mon.-Fri. and Sat. 8:00 a.m.–6:00 p.m. • First-class Jeep dealer!
Authentic Mopar Parts are built to fit perfectly and function properly every time. This ensures your customers are getting the highest quality parts manufactured to meet the original specifications and safety standards of their vehicle. Providing more peace of mind for each customer you serve. ®
®
©2018 FCA US LLC. All Rights Reserved. Chrysler, Dodge, Jeep, Ram, Mopar and SRT are registered trademarks of FCA US LLC. New Jersey Automotive | March 2018 | 73
ARANJ 2018 Officers
President Rodney Krawczyk Ace Auto Wreckers (732) 254-9816 aceautonj@comcast.net
1st Vice President Ian Szoboszlay Ocean County Auto (732) 349-0332 ian@cosmosautoparts.com 2nd Vice President Darryl Carmen Lentini Auto Salvage (908) 782-6838 darryl@las-parts.com 3rd Vice President Mike Ronayne Tilghmans Auto Parts (609) 723-7469 tilghmans@snip.net
Past President Bob Dirkes Dirkes Used Auto Parts (609) 625-1718 dirkesauto@gmail.com Executive Director Brian Snyder Auto Recyclers of NJ (609) 714-2339 brian@aranj.org
ARANJ 2018 Board of Directors David Yeager EL & M Auto (609) 561-2266 elandmauto@aol.com
Ed Silipena American II Autos (609) 965-6700 esilipena@yahoo.com
Norm Vachon Port Murray Auto (908) 689-3152 portmurrayauto@yahoo.com Dylan Rinkens East Brunswick Auto (732) 254-6501 ebautonj@comcast.net
ARANJ
The Automotive Recyclers Association of New Jersey
Wharton Insurance Briefs
In March 2017, I wrote an article that discussed Dealer Physical Damage coverage. Because I feel it is very important for you to understand, I’ve decided to write more on the subject. The coverage is sometimes referred to as Dealer “Plate” Physical Damage or Dealer “Open Lot” coverage; however, the name of the actual coverage is Dealer Physical Damage. This provides physical damage (collision and comprehensive) for your vehicles that you have for sale (on your lot or when using a dealer plate). The coverage can be on a “reporting” or “non-reporting” basis. We have been advised by one company that claims for this coverage will be addressed as outlined in the policy. Each company’s policy wording may differ, but the end results are similar. The most important thing to know is the coverage limit on your policy must match the total value of all your vehicles held for sale, including vehicles with a dealer plate. For example, if you have 10 cars for sale (valued at $30,000) and another three cars with dealer plates (valued at $30,000), you need to have $60,000 of coverage listed on your policy. At the time of a loss, the company will take the total value of all your vehicles for sale (scheduled inventory plus dealer-plated vehicles) to see if it matches the amount of coverage on the policy. If the limit on the policy is less, they will divide the limit of coverage on your policy by the total limit of your scheduled inventory (including dealer-plated vehicles) and pay that percentage of the claim. For example, if you have a Dealer Physical Damage claim of $10,000 and your policy limit is $25,000, but your total value of all the cars for sale (plus dealer-plated cars) is $50,000, the company will divide the $25,000 by $50,000, and pay 50 percent of the $10,000 claim. Please make sure that your inventory matches the limit of insurance on your policy and call your agent with any adjustments as soon as possible. If you have any questions, give us a call. Mario DeFilippis, AAI Vice President 800-221-0003 (ext. 1320) 908-513-8588 (cell) mdefilippis@whartoninsurance.com
ADVERTISERS’ INDEX 1-800-NEW-PARTS ................................................12-13
Evercoat..................................................................28
Performance Ford Lincoln........................................67
Accudraft ................................................................46
Fenix Parts ..............................................................21
Phillipsburg-Easton Honda ......................................IBC
Acme Nissan ..........................................................4
Flemington Audi ......................................................5
Polyvance................................................................54
AkzoNobel ..............................................................15
Flemington Group....................................................42
Porsche Group ........................................................66
Amato Agency ........................................................49
Fred Beans..............................................................24
PPG ........................................................................3
Audi Group..............................................................38-39
Future Cure/DriveBluebuzzard.com ..........................22
Princeton BMW ......................................................65
Auto Body Distributing Co. ......................................35
Glen Toyota..............................................................OBC
Safety Regulations ..................................................59
Axalta Coating Systems ..........................................6
GM Group ..............................................................47
Sherwin-Williams ....................................................19
BASF ......................................................................23
Hyundai Group ........................................................70
Spanesi ..................................................................54
Bill Flannery Automotive ..........................................27
Innovative Solutions & Technology / Pro Spot ............IFC
Steck Manufacturing................................................11
BMW Group ............................................................16-17
Kemperle ................................................................50
Subaru Group..........................................................45
BMW of Springfield..................................................71
Klean Frame............................................................52
Town Motors ..........................................................41
Bridgewater Acura ..................................................44
Lynnes Nissan East..................................................67
Toyota Group ..........................................................67
Cadillac of Mahwah ................................................25
Maxon Buick-GMC ..................................................53
Tri-State Luxury Collection ......................................8-9
Classic Audi ............................................................34
Maxon Hyundai........................................................51
Tsunami Compressed Air Solutions ..........................10
Collision Equipment Company..................................43
Maxon Mazda..........................................................55
USI Italia..................................................................68
Collision Equipment Consulting ................................48
Mazda Group ..........................................................72
Valtek......................................................................57
Clinton Acura ..........................................................IBC
Mike Kaufmann Dealer Group ..................................59
VIP Honda ..............................................................44
Dover Dodge Chrysler Jeep......................................62
MINI Group..............................................................56
VW Group................................................................63
Empire Auto Parts....................................................52
Mopar Group ..........................................................29
Westbury Jeep Chrysler Dodge Ram SRT ................73
Equalizer ................................................................11
NUCAR....................................................................60-61
Wheel Collision Center ............................................57
74 | New Jersey Automotive | March 2018