In a potentially far-reaching decision, the California Court of Appeals has decided that there is a Private Right of Action Against California Insurers who Violate California Insurance Code Section 758.5. This ruling appears to allow for insurance companies to be sued for violations of the state's anti-steering law, Insurance Code section 758.5.  In this specific case, the insured was awarded at least his legal costs in bringing the case against Progressive.

However one of the Justices (Woods), while agreeing with the decision, says he sees "storm warnings on the horizon," saying it may enable superficial lawsuits.

The California Court of Appeal, Second Appellate District, published its decision on June 15 which reversed a dismissal in favor of an insurer of a claim filed under California’s Unfair Competition Law (UCL).  The UCL claim was based solely on the insurer’s alleged violation of Insurance Code, section 758.5, which prohibits an insurer from steering (requiring or even suggesting its insured use certain automobile repair shops).

In Hughes v. Progressive Direct Insurance Company (2011), the Second Appellate Court reversed the trial court’s order and instead held that the appellant may maintain an unfair competition law (UCL) cause of action because Insurance Code section 758.5 does not expressly bar UCL claims.

The appeal hinged on whether or not a 1988 California Supreme Court decision, Moradi-Shalal v Fireman's Fund Insurance Companies, which reversed a Court of Appeal decision in the same case, prohibited a private cause of action against an insurer in this case, Hughes v. Progressive Direct Insurance. The Court of Appeals has determined that it does not, i.e., a private party can sue for cumulative remedies (more than one form of compensation at a time) under a UCL claim referencing Insurance Code section 758.5.

Section 758.5 was enacted to prevent insurance companies from using coercive tactics to steer consumers to particular automobile repair shops or dissuade consumers from using a repair shop of their own choosing. California’s UCL comprehensively prohibits any practices forbidden by law, be it civil or criminal, federal, state, or municipal, statutory, regulatory, or court-made. It is not necessary that the predicate law provide for private civil enforcement. The Court of Appeal concluded that: “Given the breadth of the UCL, absent some competing principle of law, a violation of section 758.5 should be a proper basis for Hughes’s UCL claim."

The Obama administration is considering requiring cars and light trucks to average 56.2 miles per gallon by 2025—a move that could end up boosting the cost of vehicles by $2,100 or more.

That represents an improvement of about a 5 percent per year in each company’s fleetwide average fuel economy from 2016--when they are required to have a 35.5 mpg average for vehicles sold in the US, according to Bloomberg.

Federal regulators and White House executives met with the Detroit Big Three automakers and foreign-based automakers earlier this month to debrief them on the initial proposal, according to the Wall Street Journal. The White House also has met with the UAW on the issue.

The 56.2 mpg figure and EPA's proposed greenhouse gas emissions limits equivalent likely is an opening bargaining point. The final proposal could change as automakers and the White House hold more meetings to try to reach agreement.

“There’s a way to go in this process,” said Greg Martin, a spokesman for Detroit-based GM, according to Bloomberg. “Any number out there right now has the rigidity of Jello.”

The administration hopes to formally propose new standards in September and finalize them by July 2012.

This week, a prior Collision Industry Legal Fund contributor sent yet another check for another $2,500 aimed at assisting body shop owner Ray Gunder in his ongoing battle with State Farm Insurance Company. The donation came with a simple note:
“Ray, Thank you for everything you do! You’re the BEST!”

The Collision Industry Fund was established last year to provide financial assistance to Gunder’s Auto Center in Lakeland, Fla., which has been involved in a lawsuit against State Farm for slander and tortious interference, as well as the failure to pay for certain repair procedures. “This mirrors this same contributor’s record donation they provided last year! We remain extremely grateful and thankful for the donation and support” stated Ray Gunder. I’m thankful for all the financial support we’ve received from people we don’t even know from across the country. I’m humbled at the support we’ve received and encouraged to continue on with our efforts to level the playing field.

According to Barrett Smith with Auto Damage Experts; “This fight isn’t just about Gunder’s and our customers, or just about State Farm; it’s about repairers and their customers across the country that face the same issues of abuse daily from many insurers. State Farm has and continues to stall and delay and outspend us but so far, and by the grace of God, we have reached a point I believe will come to a positive outcome sooner than later."

To mail a donation to the fund, make the check out to "The Collision Industry Legal Fund" and send to: Brent Geohagan, Attorney at Law, 3001 Bartow Rd., Lakeland, FL 33803.

Texas Commissioner of Insurance Mike Geeslin has warned auto insurers in a bulletin that some claims settlement practices may be in violation of Texas law. Geeslin's bulletin says that reports of steering, limiting labor/reimbursement rates, and other potential unfair claim settlement practices continue to be received by his department.

The current bulletin can be viewed HERE and last year's bulletin can be viewed HERE

In a department bulletin, addressed to insurers writing property casualty insurance for autos, the commissioner repeated his charge that some insurers' practices may be in violation of the Texas Insurance Code and or the Texas Administrative Code. In a direct address to the issue of steering, Geeslin says that insurers must not "directly or indirectly" require a claimant to use a specific repair facility or to select a specific facility from a list provided by the insurer.

The Repair Standards Advisory Committee, formed by the Collision Industry Conference (CIC) to address the desire for standards in the collision repair industry, announced that work has formally begun on the business case for an independent repair standards organization. The study is scheduled to be completed by early November in preparation for the meetings taking place in Las Vegas during the SEMA show.

The work on the business case will include interviews designed to establish the level of industry support for repair standards, as well as an evaluation of the different business models that may sustain the standards effort going forward.

"Our interview schedule is very aggressive," said Russell Thrall III, co-chair of the Repair Standards Advisory committee. "The key to the success of this research is the involvement of all segments of the broader industry, repairers, insurers, suppliers, vehicle manufacturers and others, in the research."

Allstate Insurance will soon roll-out technology that will enable shops that are not part of the insurer’s direct repair program to communicate electronically with the insurer, much as its DRP shops do.

Dan Risley, a project manager for Allstate at the company’s Illinois home office, said this new “Transactional Non-DRP” system will enable any shop to upload estimates and digital images to Allstate, receive insurer-written estimates from Allstate, etc.

“We realize not all customers use a network shop, and we want to make it easier to do business for those shops and for our customers,” Risley said.
Risley’s discussion of the forthcoming change was just one of recent news items related to insurance companies that will likely be of interest to shops. Here’s a wrap-up of some of this news.

Insureds are shopping. Consumers shopped and switched auto insurers more aggressively in 2010 than they have for 14 years, according to preliminary survey findings from McKinsey & Co.

The survey analysis authors told Auto Insurance Report that the percentage of consumers who got a quote from another insurer was up 23 percent last year, and the percentage of those who actually changed to another insurer was up 56 percent. Only 48 percent of consumers have been with the same insurer for six or more years, down from 53 percent in 2008.

When William Penn gave Philadelphia its motto as the City of Brotherly Love, he wasn’t thinking about auto body shops. It was 1682 after all. But I don’t know of any other business in Philly that has embraced that motto to the degree that Nigro’s Auto Body has. Located at 939 Washington Ave, Nigro’s Auto Body has always felt the importance of giving back and fostering the community that surrounds them.

To view the text of this article with photos please click HERE.

This shop continuously proves its dedication to community by donating time, money and energy to improve the daily lives of their customers, neighbors and the city in general.

Aniello Nigro founded Nigro’s Auto Body in 1983 after working at several local shops and deciding to provide customers with the quality workmanship he had learned while an apprentice at his uncle’s shop in Florence, Italy. He adopted his own motto: “Old World Craftsmanship, New World Technology.” Aniello had an auto body shop at a smaller location for about six months before moving to his current location on Washington Avenue. His son and co-owner of the shop, Domenico Nigro, tries to follow the same code of standards and ethics as his father. His goal is not only to make his customers happy but also to provide them with knowledge about their automotive repairs, including a lifetime guarantee on the work done at his shop.

The other day I overheard a woman talking on her cell phone. I couldn’t help it. She was upset and yelling.

To view the text of this article with photos please click HERE.

“Try me, buddy,” she screamed into the phone. “I will Yelp you right out of business!”

Wow, I thought. ‘Yelp’ is now a verb (like ‘Google’), and obviously a part of some people’s daily language.

If you don’t know about Yelp, it’s a nationwide review site where people post comments about their experiences with particular businesses. It promotes itself with the tagline: Real People. Real Reviews. It’s easy to find at Yelp.com.

For many companies, including body shops, Yelp can boost a business with great reviews or damage their bottom lines with snarky comments and low ratings from unhappy customers. The problem is that those ‘unhappy customers’ might really be jealous competitors, terminated former employees, or a disgruntled ex-spouse or two.

Yelp is currently getting unfavorable reviews from a lot of body shops throughout the country due to their policies on editing the reviews that are posted. Some shops are suing the San Francisco startup or considering doing so. They allege that the website manipulates customer reviews while the company claims that their system is done by computers, not people with an agenda, such as Yelp advertising salespeople, for example.

Cross Island Collision, established in 1976 in Floral Park, New York, is a family-run business centrally located at the border between Queens and Nassau, making it convenient for customers to come and go with public transportation.

To view the text of this article with photos please click HERE.

George Haggerty, the father of current owner Brian Haggerty, founded Cross Island Collision which has now been in the same location for thirty-five years. George Haggerty owned several gas stations before he decided to go into the auto body business, and he opened his shop with only three employees.

What is most striking about Cross Island Collision is the longevity of the employees, which they credit to being treated like family. The  employee tenure ranges between ten and twenty years.

In addition to a respectful attitude to his workers, Haggerty believes strongly in the rententive power of training. Some shop owners seem to feel that there’s a danger in training people too well, thinking that’s leverage for the employee to seek another job. What if they leave? But Haggerty knows that’s the wrong attitude. What if you don’t train them, and they stay?

At the Laser World of Photonics 2011 trade fair held in Munich, Germany, May 23–26, Fraunhofer-Gesellschaft scientists presented some amazing new applications for lasers and related automotive technologies.

To view the text of this article with photos please click HERE.

As any self-respecting tech geek knows, LASER stands for “light amplification by stimulated emission of radiation,” but only the geekiest know that self-lighting lasers are really optical oscillators, rather than amplifiers, and therefore the acronym should have been LOSER, for “light oscillation by stimulated emission of radiation.” It’s too late to change now.

Regardless, lasers have long since eclipsed the Buck Rogers image that brought them into the general consciousness in the late fifties. In a former life, I edited a well-known laser science textbook, so I have some familiarity with the concepts, but I was taken with the following discussion from Fraunhofer-Gesellschaft in Germany on how indispensible laser technology has become in automotive manufacturing. It’s about to get more so.

What’s not so clear is how this now proven but still pending technology, which has just caught the eye of the OEMs, will affect car designs and repairability for shops in the future.

Earlier this year (Autobody News, February, 2011) I wrote a shop savings article (Credit Card Processing Fees—Dings, Dents, and Crashes at Your Bottom Line) for ABN readers warning about credit card host processing fees which could significantly ding their bottom lines. My February article pointed out that these fees can be very substantial for body shops.

To view the text of this article with photos please click HERE.

If you missed the article, you can read it along with my other columns in my column section www.autobodynews.com/columnists/danalevich-walter.html.

Now I would like to re-emphasize the importance of taking extreme caution with authorizing Credit Card hosting agreements and specifically their cancellation fees. A body shop owner contacted me to share his story involving a nightmarish experience pertaining to a cancellation fee he got sucked into compliments of his prior Merchant Credit Card processing Host.

This body shop owner read my ABN article and phoned me to express his frustration during the past five months as a result of his shop cancelling a merchant credit card host service. His shop had recently signed a service agreement, based on the credit card host’s friendly telemarketing sales pitch: “we will give you the lowest credit card processing fee rates on Earth.” Here’s what happened.

The shop’s bookkeeper was continuously aggravated by the credit card host’s customer service department. When she called with questions they were consistently tossed back and forth between service reps. None could provide adequate explanations of the reason for transaction fee deductions from their business checking account.

Pan American is a family-owned and operated independent collision repair facility with four locations throughout the Southern San Francisco Bay Area. President and owner Luis Alonso recently accepted Farmers Insurance Shop of the Year honors. They have been in operation since 1981, specializing in all types of collision repair and insurance work. They are also a Certified Mercedes Benz and Audi Repair Facility.

To view the text of this article with photos please click HERE.

Pan American believes in giving back to the community, and as an extension of that model the repair facility enlisted my help to provide extrication training for the local Fire Department.

Today’s vehicles are more complex than ever, and the fire departments are faced with difficult challenges when they respond to emergency calls involving trapped occupants resulting from a vehicle collision. Our goal is to help them be better prepared to deal with these challenges by providing hands on training. We teach safety and stabilization, hybrid vehicle precautions, how to deal with late model ultra-high strength steel, as well as six different extrication techniques. I’m proud to be part of this effort and I applaud Pan American for putting this event together.

In the Middle Ages, civilians didn’t have computers, television, radio, Pong, or even ping-pong. So what did they do for entertainment? One tradition was story-telling. The great thing about telling such tales was that you were forced to use your imagination. Although it’s important to note that you weren’t expected to believe everything that was being said.

To view the text of this article with photos please click HERE.

Fairy tales often have a happy ending and tell us about a world where anything is possible. The tale I’m about to tell you is about the “neutral information provider.”

This tale begins in the 1980s, around the time of the first electronic estimating system. For decades prior to the advent of electronic estimating, shop and insurers slaved away preparing handwritten estimates. Along came a brilliant man named Maximillion. He believed that there was a faster and more accurate way to prepare an estimate. He thought he could equally help body shops and insurance companies through the use of technology. Because this new idea would benefit both parties, he thought he would be able to sell this new product to two different customers. In fact, he could charge the same amount to each. It was the beginning of the now over-used term “win-win.” All he had to do was find a way to take the data from printed estimating books and put it in an electronic format.

APATHY – absence of passion, emotion, or excitement.

To view the text of this article with photos please click HERE.

I hate to say this, but this word seems best to describe the attitude of many parts managers I have spoken to. It’s not their fault, just their response to their daily input of negative information. Every day they get another dose of pressure, criticism, and doom. They worry about the dealership’s future, loss of customers, rising costs and falling profits. All this on top of the daily stress of filling orders, creates the natural response, “please just let me survive.” They exist on a short term basis, hour by hour, day by day, and month by month. This is how it has been for over three years, since the start of the last economic crash.

We have lost 15% of our dealerships. The weak have perished, and the strong have survived. Here is the good news… things seem to be getting better. According to the L.A. Times, we’ve had a 20% increase in auto sales so far this year! This is the start of a new growth cycle. Smart survivors are taking this opportunity to shed their fears and expand their operations. I say smart because this is the best time to get aggressive and go after new business. The survivors have less competition, and should see steadily increasing sales.

Sometimes I wonder if the things I find wrong with some cars are there for me to find out how ridiculous some people can be. I’ve got to question the thought process and not-so- brilliant ideas that some people have, just before total stupidity takes over. I gotta ask … “What were you thinking?”

To view the text of this article with photos please click HERE.

The other day I had a late 90’s GM in the shop. The owner had recently bought it from a small car lot, and had no idea of the history of the vehicle. It was one of those “great deals” that he couldn’t pass up. Why is it these great deals always have some sort of catch to them? Maybe it would be a good idea to have it checked out before you buy it. After looking at it, I might tell you to “pass it up.” Honestly, I’ll never understand why someone will buy a used car when they know nothing about it, or decide after they buy it to finally have it checked out … but they do.

This particular creation had some strange problems. It had a strange battery drain. At first glance all the instrument cluster warning lights, interior lights, and all the electrical functions seemed to be working correctly, but there was a drain strong enough to drain the battery in a day or so. Finding the solution was going to lead to an even bigger problem.

In my neighborhood, several shops are saying they’re having a “summer slump.” Maybe it’s the economy. Maybe people have gone on vacation ignoring needed repairs. With gas prices sky high people are driving less and having less accidents. Whatever the case, it can come down to less business for the moment. What can a shop owner do to survive this down time?

To view the text of this article with photos please click HERE.

Perhaps one bright spot is all of this is the fact that with less jobs to do, you may have more time to improve marketing and sales and maybe squeeze more profits out of the jobs you do get. This could be an ideal time to take a closer look at previous estimates (and estimators) to see if revenue and profits were slipping through the cracks. Today we have computer software to go through an estimate to find missed opportunities for revenue, but not every shop uses it, or takes the time to use it even if it’s available. Periodically a wise manager will review a few estimates to see how his or her estimators are doing. A summer slump can be a perfect time to get this done.

Learn each day to deal with the issues you are faced with at the moment. We all make huge mistakes when we look too far ahead and begin to worry about what might or could happen eventually.

To view the full text of this article with photos please click HERE.

I ride mountain bikes, and have been for years, but recent circumstances have kept me off of my bike for quite some time. Last week I chose to break out my bike, fill up the tires, and go for a ride. I chose a route that I knew very well. It’s a short 12-mile loop with a big demanding hill at the end.

As I started my ride everything went as planned except I realized quickly that I was not in the shape I had been in the past. I was very familiar with this route because I had done the ride a hundred times or so. I knew the “Big Hill” that was waiting for me at the end, when I would be the most tired. As I continued on I really wasn’t sure I was feeling strong enough to do the “Big Hill.” I continued to think about the “Big Hill” constantly as I rode on. I realized that I was worrying about the “Big Hill” so much that I was adjusting the way I was riding and this was making me more tired. I was conserving energy by going slower then faster, (wrong technique) and was not feeling good at al. My entire focus was on the “Big Hill,” so much so that at this rate I may not even make it to the “Big Hill.”

URG, the United Recyclers Group, hosted a Body Shop Panel Discussion at their 2011 annual conference in Englewood, CO, April 15.  A lot of common ground was discovered in this URG panel discussion, which was acknowledged by everyone in the room. The hour-long panel discussion was effective in its goal of honest dialogue discussing needs and opportunities between these two industries. All stakeholders want to do better business and the repairers and recyclers would like to do business better, together. Over 800 recyclers attended the two-day event.

To view the text of this article with photos please click HERE.

“We have grown (our industries) together  from mom and pop organizations to the large conglomerates we are today,” said Clark Plucinski, Executive Vice-President of Sales and Marketing at True 2 Form—which recently became a part of the Boyd Group/Gerber collision repair chain. Plucinski reminded everyone in the room that “We are now all inter-connected in business-to-business relationships.” In resolving difficulties, Plucinski asked for patience. “These processes are working, but it is like pushing a rock up a hill [which keeps rolling back]. We just have to be patient and keep doing the same thing.”

Gary Boesel, owner and operator of two CARSTAR collision repair centers in the Denver area, concurred. “[Things have evolved] over the years and are different than they used to be,” saying that somewhere, somehow, collision repairers and recyclers quit effectively communicating.

What happens when two brainiacs spend time together? At Autocraft Bodywerks in Austin, Texas it happens to be a Light Inspection Tunnel, used to find defects in the painting process and perfect the standard of their work in this high end collision repair facility. Owner John Borek and his IT guy, Dan McLaughlin, of  Next Technologies, designed and built this Light Inspection Tunnel.

The Light Inspection Tunnel came about through John Borek’s continual quest for improvement in his business. He believes that if OEM’s are manufacturing automobiles, and collision repairers are in the business of remanufacturing automobiles then certain technology should apply. Borek realized it was becoming more difficult to find imperfections in refinish. He also recognized the challenges for paint buffers to reach the lower half of refinished panels to properly cut and polish cars. He thought through the process; how do the manufacturers build, refinish and examine the cars?

A Light Inspection Tunnel, similar to the OEM’s would work well in this high end collision repair center, helping deliver customer perfection.

A bill to reduce the required auto insurance coverage for low-income families in Clark County has quietly died in the Nevada Senate as of May 31, according to the Las Vegas Sun.

“The Republicans didn’t have an appetite for it,” said Assemblyman Kelvin Atkinson, D-Las Vegas, the sponsor of Assembly Bill 299, according to the Las Vegas Sun. “We’ll fight another day.”

The Senate Commerce, Labor and Energy Committee approved the bill on a 4-3 vote, but it never came up for a vote in the full Senate before the May 31 deadline.

The bill would have allowed a household to qualify with a gross annual income at or below 250 percent of the federally designated poverty level.

The current law requires minimum coverage of $15,000, or $30,000 for two or more individuals for death and injury. It requires $10,000 in coverage for property damage.

Mitchell International hosted an Open House for CAA members at their new Mitchell Technology Campus in the University City area of San Diego on May 24th.

The CAA San Diego Chapter partnered with Mitchell International to host the Open House so that CAA members could get a unique insider’s view of Mitchell’s collision information software and their new development facility for their approximately 850 San Diego employees.

The event was well attended with over 100 participants. Marc Brungger, Executive Vice President of Auto Physical Damage Solutions for Mitchell, opened the meeting with a warm welcome to CAA members and their guests. Mitchell provided small group tours of their editorial and software development areas and explained how volumes of information, from a multitude of sources, is turned into state-of-the art tools for collision repair professionals. Mitchell also hosted a casual dinner at the end of the tour.

The 1st stop on the tour was presented by Tim Schuh, Director of IT Support. Tim provided an overview of Mitchell’s IT operations and explained that Mitchell’s “Command Center” is comprised of approximately 1,500 servers in multiple locations to ensure best performance and redundancy.

The Radisson Plaza-Warwick Hotel in Philadelphia served as the site of the Waste Conversion Technology Congress 2011, on June 8 and 9.

The event was organized and hosted by London-based FC Business Intelligence and its EyeforEnergy division. According to EyeforEnergy, the event’s focus was on:
• Waste conversion technology, including case studies from global providers of waste conversion technologies;
• Financing, including private sector views on waste conversion technology investment and an update on the United States Department of Energy’s Loan Guarantees;
• International Project Planning, including strategies to mitigate risk, drive down costs and increase a company’s bottom line; and
• Project approval and development, from getting a project approved in a timely, cost-effective way to workable solutions to common project challenges.

In a notice to collision repairers in the state, the Auto Body Association of Connecticut (ABAC) is warning shop owners that some Allstate managers are forcing their damage appraisers to institute new policies that are in direct conflict with Connecticut law.

According to the notice, certain Allstate damage appraisers have informed the association that their managers are instructing damage appraisers to disallow labor on any supplement involving “Labor Only Procedures.”

In addition, those same insurance managers are also mandating visual inspections on all vehicles before any appraiser can authorize repairs to start and are no longer permitting appraisers to accept body shop photos.

According to the notice, Allstate has further instructed these appraisers to disregard all documented procedures performed by a shop that did not wait for the required supplement inspection.

Two associations are serving the collision-repair industry in Pennsylvania. They are The Alliance of Automotive Service Providers of Pennsylvania, (AASP-PA) based in Harrisburg, and, in Philadelphia, the Pennsylvania Collision Trade Guild (PCTG).

The PCTG, led by Executive Director Ross DiBono, says it represents approximately 700 automotive-industry businesses, including collision shops, in its mission to achieve proper compliance and enforcement of legislation such as The Pennsylvania Motor Vehicle Physical Damage Appraiser Act and The Pennsylvania Unfair Insurance Practices Act, as well as other consumer-protection laws.

As part of its educating mission, the Guild publicizes consumers’ rights to choose collision repair facilities.

“The decision of where the vehicle is to be repaired is the vehicle owner’s, not an insurance company’s,” the organization stresses on its web site. In addition, “It is the Guild’s purpose to bring accountability to the process of consumer claim handling and settlements in Pennsylvania.”

An affiliate of the national association, Minneapolis, Minn., based AASP, the 1,300-member AASP-PA comprises three divisions: Mechanical, Collision, and Towing.

An auto repair facility in Texas was recognized by the Coordinating Committee For Automotive Repair (CCAR) as one of the group's GreenLink Shops for the month of May on June 1.

The GreenLink Shop status is an extension of CCAR’s CCAR-GreenLink Environmental Compliance Assistance Center and S/P2 Safety and Pollution Prevention E-learning Program—designed to promote consumer confidence in local automotive repair facilities’ environmental/safety awareness and stewardship.

The new GreenLink Shop is; Sterling McCall Nissan Collision Center in Stafford, Texas.

“CCAR is proud to recognize these newest members of the GreenLink Shop program and their commitment to best practices in environmental and safety processes,” said Daren Fristoe, CCAR president and chief operating officer.

CCAR requires that repair facilities seeking the GreenLink Shop recognition must maintain high standards of excellence in 10 areas.

For more information please visit www.ccar-greenlink.org.

General Motors Co. said May 27 it will add 110 jobs at its SUV factory in Arlington, Texas and invest $331 million to upgrade the plant.

The Detroit-based automaker will upgrade the plant with new equipment and tooling machinery.

The investment is part of a broader plan announced by GM earlier this month to spend $2 billion to upgrade 17 US sites in eight states.

GM builds four full-size SUV models at the Texas plant: the Chevrolet Tahoe and Suburban, the GMC Yukon and the Cadillac Escalade.

The 57-year-old factory employs about 2,400 workers and was last expanded in 2001.

“This investment will allow us to continue building award-winning full-size SUVs that offer better fuel efficiency than ever before without sacrificing the features and functionality they’ve come to expect,” GM manufacturing manager Larry Zahner said according to the Detroit News.

Texas automotive dealership owner Ramsay Gillman, who built his family business into one of the state’s largest dealer groups, died June 3 at his home in Houston at 67 years old.

Gillman was a second-generation owner of the Gillman Cos. Ramsay Gillman has served as Owner/President and Chief Executive Officer of The Gillman Companies and was the Chairman of the Board of The Gillman Companies.

In early 2010, he sold 99 percent of the company to his three children—daughter Stacey Gillman-Wimbish and sons Jason and Christopher.

“My father was an industry leader,” said Stacey Gillman-Wimbish, 44, to the Houston Chronicle. “He loved to get involved and was not afraid to take the time necessary to affect change.”

Ramsay’s father, Frank, started the business when he opened a Pontiac dealership in 1938. Ramsay started his automotive career working in the parts department of his father’s Pontiac dealership.

Chatham Parkway Collision Center has been serving Savannah, GA, for the last seven years. The body shop is owned by the nearby Chatham Parkway Subaru/Lexus/Toyota/Scion dealership but is run independently so they are able to service all makes and models.

To view the text of this article with photos please click HERE.

The body shop partners with the dealership, taking in customers that have been referred to them for service.

“We get a lot of business that way, but we do all makes and models,” said Joanie Iaco, Body Shop Manager. Chatham is able to see an average of 180 cars per month.

Chatham employs 16 people in their 11,000 square-foot space including; 5 body men, 5 painters, 3 estimators, one office manager, one body shop manager and one porter who assist technicians on the shop floor.

Chatham is also a Toyota Certified Collision Center, meaning they have to meet certain Toyota benchmarks and standards in 10 different areas, including training and shop materials. Body shops must qualify annually for this certification.

Crossroads Chevrolet-Cadillac in Joplin, MO, served as as a collection point for community donations of clothing, food, water and other supplies for those hit hard by the May 22 tornado.

A cluster of General Motors franchise dealers in and near Joplin recently weathered quite a storm and are continuing to pick up the pieces and do the best they can to support their local community in healng. The dealers also recently broke out their checkbooks and more to help the community recover from the single deadliest tornado in national history.

Crossroads Chevrolet-Cadillac was spared by the killer twister, but the automaker said the storm’s wicked winds touched the lives of “nearly everyone working there.”

Dealership owner Dan Auffenberg explained on the Faces of GM blog that on the day after the tornado struck May 22, nine or 10 employees showed up for work. Aufffenberg immediately recognized the severity of the situation and sent them home, saying, “You don’t need to be here. You need to be home helping your families,” according to Auto Remarketing News.

As of that point, five employees of Crossroads had lost their homes to the storm, and the service manager’s wife had lost her mother.

Jackie Cooper Imports, an Oklahoma dealership specializing in luxury import cars, hosted their grand reopening celebration on June 16 at the dealership's location in Tulsa, OK. The dealership has been serving the Tulsa market since August of 1991 and hosted this reopening to celebrate the dealership’s remodel and new building addition.

The event ran from 6 to 8, and included food and live music from Cynthia Jesseen and the Jambalaya Jass Band. The expanded, remodeled Mercedes-Benz Autohaus now encompasses 8869 square feet.

The addition allowed the dealership to expand and add an expanded Mercedes loaner fleet, a larger showroom and customer lounge (with more services including media enhancements & refreshments), inside delivery area, expanded service area and scheduling capacity, enlarged service drive, and a full-time concierge.

The building’s architecture was designed by Michael Dwyer and came to life through Contractor Stava Construction of Tulsa.

The dealership is located on 93rd and Memorial Drive in southeast Tulsa.

The Santa Clara Chapter of the California Autobody Association (CAA) will host their 18th annual golf tournament on July 13 at the Cinnabar Hills Golf Club in San Jose.

Registration will start at 11am followed by Best Ball Scramble and Shotgun Start at 1pm.

Event Fees are $145.00 per player and include Green Fees, GPS Cart, Range Balls, Box lunch, and Banquet Dinner.

Tournament Hole Events will include Hole in one for a car, Longest Drive, and Closest to the Pin.

The event is also looking for sponsors, contact Tabias Padilla (408) 406-7903 or Don Dutra (408) 406-3780 for more information.

To reserve a spot, registration and payment must be received by July 1st, 2011.

Sherwin-Williams Automotive Finishes announces third-quarter training courses for collision professionals beginning July 2011. This curriculum will provide collision repair industry professionals with three months of intensive business-building and production-excellence courses available through classroom, web and hands-on settings. Sessions will be held at numerous Sherwin-Williams Automotive Finishes training centers located in metropolitan areas across the United States.

Classes consist of multiple courses designed to increase shop productivity and include sessions focusing on painter certification, AWX® waterborne systems, color adjustment and blending, fleet refinishing, accurate estimating, workshop efficiency and much more.

“All of our courses this year reflect the Sherwin-Williams philosophy of lean operations,” said Rod Habel, Sherwin-Williams Automotive Finishes Manager of Training Operations. “We’re seeking to introduce concepts that support sustainable practices, increase productivity and minimize or even eliminate waste - all factors that are necessary to the success of a collision center.”

SCRS Outlines New DRP Agreement Guidelines

The Georgia Collision Industry Association (GCIA) will host their 15th annual Invitational Golf Tournament on October 12.

The group promises a fun day of golf and fellowship at the Trophy Club of Atlanta in Alpharetta, GA.

The registration deadline is October 7. A playing fee of $75 per person includes lunch & dinner, unlimited supply of drinks and snacks, trophies, Hole in One Car and chances at over $1000 worth of door prizes.

The group is also looking for sponsors, please contact Howard Batchelor at (770) 367-9816 for more information.

Download the information flier which includes the registration form, directions to the club, and Sponsorship form by clicking HERE.

Sherwin-Williams Automotive Finishes announced it will hold its next 2011 A-Plus™ Network University EcoLean™ workshop  at the Double Tree Arctic Club Hotel in Seattle, Aug. 9 – 10, 2011.

The EcoLean program is for collision shop owners and managers who are interested in leveraging the power of lean production as well as business solutions that reduce environmental waste.  The program has been a huge success for the company and its customers since its introduction. The majority of its quarterly, regionally-held workshops have been sold-out.

The program is an industry first, combining two of the most powerful forces in today’s collision repair market: lean production and green business solutions.  EcoLean workshops teach collision repair shops to take advantage of these two important disciplines through a sustainable program to drive profitability through the reduction of waste.

Audatex, A Solera company, is looking to help enhance the future of the automotive collision repair industry by offering a $25,000 matching grant to provide one California school’s collision program with an Ultimate Collision Education Makeover through the Collision Repair Education Foundation this fall which will fulfill the program’s $50,000 wish-list. Audatex will match individual and business tax-deductible donations to the Education Foundation (up to $25,000) and a California secondary or post-secondary school’s collision program will be selected from the applicants of the Foundation’s 2011 Makeover school grant. Funding of Audatex’s California matching grant is part of the $100,000 donation to the Collision Repair Education Foundation in 2010 by Solera and their CEO Tony Aquila, the largest cash donation ever received by the not-for-profit organization.

Since 2009 the Collision Repair Education Foundation has offered their annual Ultimate Collision Education Makeover school grant where one secondary or post-secondary school’s collision program is selected nationwide. Over the past two years, over 80 schools have applied for this grant and through this support opportunity, collision students’ education has been enhanced in order to be productive, efficient, and capable future professionals of the inter-industry. Both the Collision Repair Education Foundation’s annual Makeover grant winner and Audatex’s California winning school will be announced during SEMA 2011 this fall in Las Vegas.

Spies Hecker® is pleased to announce the introduction of Permasolid® Low VOC Clear Coat 8096, a high gloss, low VOC finish from the Spies Hecker® “2K-Acryl-System.” Developed using the most advanced technology; this easy-to-apply clear coat is designed to deliver excellent results over solventborne and waterborne base coats.

Permasolid® Low VOC Clear Coat 8096 gives body shops complete control. It provides exceptional coverage in only 1½ coats, enabling refinish technicians to apply the clear coat continuously without having to flash between coats, yet it is versatile enough to allow a 2-coat process to be used if desired.

This fast, reliable clear coat also helps ensure customer satisfaction.  Its excellent vertical stability improves results in the spray booth; its high gloss gives vehicles an outstanding finish and long-lasting durability.

“With Permasolid® Low VOC Clear Coat 8096, shops now have a 2.1 clear that is fast, quick to harden, reliable and delivers superior results,” said Debbie Curry, product manager – North America.  “Whether sprayed in a 1½ -coat process or in a 2-coat process, over a solventborne or waterborne base coat, refinish technicians can achieve excellent results.”

For more information about Permasolid® Low VOC Clear Coat 8096, visit SpiesHeckerUSA.com or call 1-888-371-3313.

California based Rare Parts Inc. is happy to announce the expansion of it’s U.S. manufacturing facility with the purchase of a new OMAX 5555 water jet cutting machine.

This precision machine is perfect for complex designs, which expands cutting capabilities, lower costs, and means better quality products for you.

Rare Parts President Danny Burgess said, “What better way to celebrate 30 years than to buy a new toy. Plus, it’s made in America.”

In addition to the water jet cutting machine, Rare Parts is constantly expanding our in-house manufacturing facility. Rare Parts manufactures steering and suspension parts for any make, model or year vehicle. Do it right the first time with Rare Parts.

For more information please call 800-621-2005  or visit www.rareparts.com.

Standox® is pleased to announce the introduction of Standocryl® Clear PFC 20, a 2.1 clear to meet the most stringent VOC regulations. Specifically designed to deliver a superior appearance over Standox® solventborne and waterborne basecoats, Standocryl® Clear PFC 20 is ideal for all types of jobs—from spot repairs to multi-panel repairs.

Using a continuous 1.5 application process, Standocryl® Clear PFC 20 delivers excellent gloss and finish, enabling refinishers to apply the clear without the need to flash between coats. If desired, it is also versatile enough to allow refinishers to use a 2-coat application process. 

Standocryl® Clear PFC 20 is fast drying and hardening, which not only saves energy, it enables refinishers to sand and polish after a 20-minute bake and cool down, further increasing productivity.

“Collision Centers looking for a clear that meets the most stringent VOC regulations will discover that the new Standocryl® Clear PFC 20 not only helps them meet environmental regulations, it also increases productivity and helps ensure customer satisfaction,” said Keith Sena, brand manager. “That’s because this easy-to-apply, fast drying clear delivers excellent gloss and finish on all types of jobs.”

For more information about Standocryl® Clear PFC 20, visit standoxna.com or call 1-800-551-9296.

Two fraud investigators with the state Department of Insurance were shot and killed June 7 while trying to get information from an agent. Rhett Jeansonne, an investigator since 2006, and Kim Sledge, an 11-year employee of the insurance department, were shot and killed by insurance agent John Melvin Lavergne, who in the past had been cited for fraud and ordered to stop operations, Louisiana Insurance Commissioner Jim Donelon confirmed in an emotional news conference. The insurance agent had previously faced criminal charges and civil sanctions, according to police and the insurance office.

"My deepest sympathies go out to the loved ones of our two departed colleagues, in particular, the surviving spouses and children of these brave individuals," Donelon said in a statement.

Police in Ville Platte, about 50 miles north of Lafayette, got a call of shots fired at Lavergne Insurance about 1 p.m., said Trooper Stephen Hammons, spokesman for Louisiana State Police.

The San Diego chapter of the California Autobody Association (CAA) held their 17th annual golf tournament on June 4 at the Twin Oaks Golf Course in San Marcos.

The event had a large turnout with 94 players, the best the chapter has seen in years, according to chapter President Hop Sanchez.

“This was our best CAA San Diego Chapter turnout with 94 players. We also want to extend a special thanks to Dee and Joe at check-in and Dee selling raffle tickets from Enterprise,” said Sanchez.

A joint committee hearing was held by the Consumer Affairs and Transportation committees of the Pennsylvania House of Representatives on "Right to Repair" on June 6. Testifying at the Philadelphia, PA, hearing were three panels of witnesses, including automobile maintenance and repair shop owners who expressed concern with so-called "Right to Repair" legislation that has been introduced previously in the U.S. Congress and several states. Neither the Congress nor any state has ever passed "Right to Repair" legislation.

John Francis III of Francis Automotive in West Chester, Pa., testified for the Automotive Service Association (ASA) emphasizing that automotive service information is already available to independent repairers and consumers. "At Francis Automotive, we use several third-party service information providers - ALLDATA, Identifix and an online service that includes technicians from all over the world, iATN - on a daily basis. As needed, our technicians will use automotive manufacturer websites. We have several aftermarket scan tools that we use and two auto manufacturer scan tools. Tools to perform reflashing are available for all makes of vehicles. It's a business decision regarding which tools to purchase. We have made a business choice not to purchase equipment to reflash BMWs and Mercedes. It is not because the tools and information are not available--they are available. But for our business model, we have chosen not to purchase this equipment."

Two auto repair facilities in New York were recognized by the Coordinating Committee For Automotive Repair (CCAR) as one of the group's GreenLink Shops for the month of May on June 1.

The GreenLink Shop status is an extension of CCAR’s CCAR-GreenLink Environmental Compliance Assistance Center and S/P2 Safety and Pollution Prevention E-learning Program--designed to promote consumer confidence in local automotive repair facilities’ environmental/safety awareness and stewardship.

The new GreenLink Shops are; Tedesco Auto Body, New Rochelle, NY and Wayside Auto Body, Jamaica, NY.

“CCAR is proud to recognize these newest members of the GreenLink Shop program and their commitment to best practices in environmental and safety processes,” said Daren Fristoe, CCAR president and chief operating officer.

CCAR requires that repair facilities seeking the GreenLink Shop recognition must maintain high standards of excellence in environmental, health and safety (EHS) practices in four categories including; business operations, employee training, safety compliance and environmental management.

For more information please visit www.ccar-greenlink.org.

Auto Body World Collision Centers, based in Phoenix with several shops in the south-central past of the state, will add its eighth location, the company announced May 31.

The new 34,000-square-foot shop, located on W. Chandler Blvd. in Chandler, AZ, will open in June. Auto Body World Collision Centers was founded in 1962 and is Arizona's largest independently owned multi-shop operator, with shops throughout the Phoenix and Casa Grande markets.

“This addition is an important step in Auto Body World’s overall growth strategy, which includes deeper expansion into Arizona,” said Mark Turner, Auto Body World’s president, "This is a great opportunity for us, and we look forward to many more like it."

“This new location compliments our footprint very nicely because it allows us to serve consumers and our insurance partners along the 1-10 corridor in the east valley,” said Auto Body World CEO, David Fait. The new location will bridge the gap between the company's south Gilbert location and their Casa Grande location.

Auto Body World Collision Centers is continuing to seek out well-run companies throughout Arizona for acquisition. Interested owners should contact Auto Body World President Mark Turner at This e-mail address is being protected from spambots. You need JavaScript enabled to view it . For more information on the company please visit autobodyworld.com.

The Glass Doctor® of North Central Louisiana franchise owned by Kane Banks is now open and ready to “fix your panes!”

Glass Doctor of North Central Louisiana offers mobile residential, automotive and commercial glass services to Lincoln and Ouachita Parishes. The showroom and shop are open 8 am to 5 pm Monday through Friday, 8 am to noon Saturdays and a 24-hour emergency service is available.

“We’re pleased to be a part of Glass Doctor,” Banks said. “We’re here for Ruston, Monroe and the surrounding area’s glass needs, including everything from windshield replacements to storefronts to custom glass shower enclosures.”

Upon purchasing the franchise, Banks attended the most in-depth training in the glass services industry, a 10-day training course on the latest glass repair technology, customer service techniques and marketing methods held at the Glass Doctor University Training Center in Waco, Texas.

The Georgia Collision Industry Association (GCIA) conducted their 5th annual labor rates surveys for body shops in the metro Atlanta area earlier this year.

CSi complete conducted the surveys, which were available online, over the phone and in a mail-in format in March and April of 2011. Turnout slightly decreased from the 2010 survey results in which 291 shops participated.

"With over 500 shops in the Metro Atlanta area, to only have 230 respond is disappointing," said GCIA President Howard Batchelor, "Shops need to realize that this survey is intended to help establish a fair market rate in the marketplace."

Businesses were asked to submit their posted door rates for body labor, paint labor, frame labor, mechanical labor, paint and materials rate and storage rate.

Sherwin-Williams Automotive Finishes will hold its next A-Plus™ EcoLean™ Level 2 workshop July 27-28, 2011 at the Hyatt Regency in Dearborn, Michigan.

The EcoLean Level 2 workshop is exclusively designed to educate attendees about maximizing profitability by improving productivity and eliminating waste throughout their facilities. 

It is an extensive, two-day course that further implements the Sherwin-Williams message that educates shop owners on the connection between environmentally sound business decisions and the reduction of process and environmental waste.

“EcoLean is all about helping collision centers drive profitability and productivity, while reducing their environmental impact,” said Rodes Brown, Manager–Marketing Strategic Programs for Sherwin-Williams Automotive Finishes. “The training is structured like a college curriculum and the new EcoLean Level 2 workshop is open to all collision facility owners and managers that have attended Sherwin-Williams’ EcoLean Level 1 workshop.” 

Volkswagen is jumping into the U.S. auto market by opening a new plant in Chattanooga, TN.

At the grand opening of the plant on May 24, the German automaker presented the 2012 Passat as the key to building U.S. sales to 1 million units by 2018. The $1 billion plant has been producing cars since April.

The new Passat will go on sale in Q3 of 2011 for $20,000 a car. That's about $7,000 cheaper than current models built in Germany and close to the prices of such competitors' models as the Ford Fusion, the Toyota Camry, the Honda Accord and the Hyundai Sonata.

Jonathan Browning, president and chief executive officer of Volkswagen Group of America, said the automaker wants to make German engineering more accessible to North American buyers.

"The Passats produced here in Chattanooga will be a key enabler to our growth, allowing us to compete in the core of the midsize sedan segment," Browning told reporters before the unveiling of the plant, according to the Associated Press.

US sales were mixed in May for the three models produced by Mercedes-Benz at its Vance, AL, auto factory.

Sales of the M-Class SUV totaled 1,928, a 15 percent slide from May 2010, the German automaker said June 1, according to the Birmingham News.

But sales rose 237 percent, to 873, for the R-Class crossover. Sales also rose 8.6 percent to 1,885 for the GL-Class full-size SUV.

Overall, a total of 18,886 Mercedes-brand vehicles were sold in the United States during May, a 2 percent rise from a year ago.

Kia Motors Corp. said June 2 it will increase the production capacity of its West Point, GA, assembly plant by 20%, to help the company keep up with demand for its vehicles, according to the Wall Street Journal.

The Korean car maker says it will begin expansion projects at its Georgia factory that will raise its total annual capacity to 360,000 vehicles by the beginning of next year. The boost follows an announcement earlier this year at the New York International Auto Show that the automaker would begin producing its Optima mid-size sedan at the US plant.

The planned expansion includes the plant’s stamping, welding, paint and general assembly shops. The expansion will make room for the 2012 Optima to join the company’s Sorento crossover utility vehicle which is already built at the plant.

Kia and its parent company Hyundai, who have long fought to be taken seriously by rivals and consumers in the US, have hit their stride with efficient attractive and desirable vehicles that appear to be bargains compared with competitors’ products. The company has also been able to step ahead of other foreign automakers due to the shortages of Japanese vehicles resulting from the March earthquake and tsunami in that country.

New data shows the number of crashes involving teen drivers is higher on certain roads and highways in Texas, according to Allstate.

Interstate 45 in Harris County had more car crashes involving teen drivers than any other roadway in Texas between 2006 and 2010, according to the data provided to Allstate by the Texas Department of Transportation.

Interstate 10, also in Harris County, had the second highest, and Interstate 10 in Bexar County had the third most.
Motor Vehicle Crashes by Roadway and County Involving Drivers Age 15-19 from 2006-2010 in Texas:

Texas is set to join numerous other states across the country that have begun cracking down on texting while driving.

The Texas House of Representatives has taken action to reduce the number of accidents relating to distractions caused not only by texting, but by sending instant messages and emails while driving.

The Texas House approved a bill on June 4 that will place a ban on sending and receiving texts, emails and IMs (instant messages) while driving. This bill is one of the first to deal with the barrage of other distracting actions available on cellphones that have become more popular with recent technological advancements.

Many Texas cities already have their own ordinances banning texting and cellphone usage, such as Austin, El Paso, Dallas and San Antonio.

However, according to Gainesville Police Department Public Information Officer Belva McClinton, the city of Gainesville does not have any ordinances of this nature.

The Click It or Ticket campaign will be in full effect with statewide overtime seat belt enforcement through June 4. Daily enforcement traffic safety checkpoints and saturation patrols will be conducted day & night by 24 state, local, and municipal police agencies statewide. Much of the enforcement will occur in the afternoons and evenings when the majority of unrestrained injuries and fatal crashes occur, according to the Milford Beacon.

Currently, Delaware’s unrestrained fatal crashes are out pacing this time last year. At this time last year 35% of the fatal vehicle occupants were not wearing seat belts compared to 46% currently. 

Delaware law requires drivers and all passengers, including those in the back seat, to wear a seat belt.  An officer can pull over a driver if he sees any person in the vehicle not wearing a seat belt, even if there is no other violation. Officers will be issuing citations for seat belt violations as part of a zero tolerance policy. The ticket, which goes to the driver no matter who is unbuckled in the vehicle, is a $25 fine plus court costs, which can eventually total as much as $70.

Participating agencies include Dewey, Dover, Elsmere, Felton, Georgetown, Laurel, Milford, Millsboro, New Castle City, New Castle County, Newark, Newport, Rehoboth, Seaford, Wilmington, Wyoming, and Delaware State Police.

Since New Jesery did away with mandatory vehicle safety inspections required to get a valid registration sticker, inspection and fixing of certain items that would have been required for the eliminated safety portion of the motor vehicle evaluation process seem to have slipped from the consciousness of the driving public.

At least that’s what their mechanics are saying after the mechanical, or safety inspection portion, of the process was eliminated in August of 2010. State officials said they’ve seen fewer vehicles come to state inspection stations for emissions testing, which was partly attributed to new regulations exempting new cars from being inspected for five years.

A survey of members of the the New Jersey Gas-Convenience Store Retailers Association said that the number of customers having inspections performed has declined by “significant numbers” and that drivers were putting off the types of mechanical repairs previously needed to pass the state’s safety inspection, when items are brought to their attention.

“Our members are finding two things: A lot of vehicles aren’t getting inspected period, and some drivers are under the impression they don’t need the emissions inspection,” Sal Risalvato, executive director of the association, told the Asbury Park Press. “When we (mechanics) find things and bring it to their attention, they’re choosing not to do certain things, like replace a cracked windshield, or they put it off.”

Bad tires and faulty brakes are the biggest safety concerns and could lead to an accident, Risalvato said.

Allstate New Jersey Insurance Company is pursuing a plan to appoint 25 new agency owners by the end of 2011, the company announced June 1.

Allstate New Jersey, one of the state's largest insurance companies, is targeting successful, self-motivated professionals for a career as an Allstate exclusive agent. Unlike typical entrepreneurships, Allstate New Jersey provides its new agents with essential tools and resources to help them get off to a great start, including: insurance product education, expertise from company sales consultants, customizable marketing and advertising materials, and performance incentives. The company currently has approximately 270 agents and financial representatives throughout the state.

In addition, new and existing Allstate New Jersey agencies are projected to hire hundreds of licensed sales professionals and personal financial representatives. These positions involve selling life insurance, annuities, mutual funds, and other financial services products.

"The Allstate New Jersey opportunity is encouraging news for entrepreneurs looking for a chance to excel in a down economy," said Dale Schueller, regional sales leader, Allstate New Jersey. "If you do not have an insurance background, we will provide you with education to help position you for success."

The Quality Parts Coalition (QPC) is a group of about 80 representatives from different companies and associations that focuses on preserving competition of auto repair parts by keeping the availability of quality, lower-cost alternative collision repair parts for consumers. Eileen Sottile, a representative for QPC who has been instrumental in getting legislation together for the organization to present to Congress, gave a legislative update to Autobody News on the group's upcoming endeavors now that there is a new Congress on the hill.

QPC came about in response to a 2005 patent infringement suit that Ford brought to the International Trade Commission against Keystone, alleging design patent infringement of exterior collision repair parts for the 2005 F-150.
It was after this case that coalition members realized they "needed a permanent change to the patent laws," said Sottile.
According to Sottile, up to that point people in the aftermarket crash part industry didn't think they would have design patent issues on cosmetic parts.

Ford brought yet another lawsuit against LKQ/Keystone following the F-150 case, and Sottile said that without a change in the patent laws carmakers can continually come back with lawsuits on a part-by-part basis and bankrupt the aftermarket parts industry.

QPC was created in response to these issues to try to find a solution. This group represents all aspects of the repair industry, including; insurers, collision shops, seniors, retailers and aftermarket parts companies and manufacturers. Some consumer groups have also voiced their support for QPC's legislative endeavors, although they are not QPC members.

The California Autobody Association Board of Directors met on May 14th at the Holiday Inn on the Bay in San Diego, CA. This was the 2nd quarter board meeting for 2011, the first was held in Sacramento in February.

The CAA began the meeting by announcing their new endorsed insurance broker for CAA members, Owen-Dunn. Tim Dickison with Own-Dunn discussed the partnership with CAA and their commitment to providing CAA members with competitive pricing through approved carriers, along with superior risk and cost containment support services. CAA members can contact Owen-Dunn when their Workers Compensation and Liability Insurance comes up for renewal. Tim can be contacted at 916-993-2755 or This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

Tony Endres with Furnace Dynamics reported on the status of Rule 1147 which currently affects the South Coast Air Quality Management District (SCAQMD) but could be addressed by all the districts throughout California and would include body shops. Rule 1147 is a retrofit rule that is designed to lower NOx emissions on a wide variety of sources to specific ppm levels. These levels are determined by the type of equipment and the temperature of operation. The CAA has been working with various groups, including Tony, and will be working with others to make sure the industry conforms to reasonable emission limits.

Verifacts Automotive spoke about their new program for CAA members titled “Business Ethics and Integrity with Emphasis on BAR." The objective is to train and empower shops to have the highest level of ethics and integrity and to differentiate them in the eyes of consumers, government, and insurance companies. CAA and Verifacts will be sending out additional information about these programs.

The Valley Ventura chapter of the California Autobody Association (CAA) will hold their monthly members meeting on June 23 at the Junkyard Cafe in Simi Valley. The meeting will begin at 5:30 and will feature Michael Pellett, a Regional Training Center Manager for Sherwin-Williams from Dallas, Texas.

Michael specializes in collision shop management and regularly teaches classes on Estimating, Sales, Key Performance Indicators and Lean classes throughout the nation.

Michael will talk about how you can leverage KPIs to your advantage and help drive additional business to your shop. In addition, Michael will discuss how the Reduction of Refinish Hours negatively impacts your bottom line. Come and see Michael share a straight forward and logical argument against the practice of lowering your refinish time when performing a “Blend within Panel” or “Partial Refinishing” operation.

A 60-second clip of Michael can be seen here: http://www.youtube.com/watch?v=-82O88dlbYE&feature=youtube_gdata_player
Please RSVP to: Cindy Shillito at (714) 944-4028 or email: This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Garmat® USA, has recently been recognized as a Colorado Company to Watch. They join a select group of Colorado Companies acknowledged for their hard work, dedication and contribution as a growing company in the state of Colorado.

“Garmat USA is honored to receive this award. Although being located in Colorado has been integral to our success, it would not be possible without the dedication of the Garmat employees and distributors,” said Johan Huwaert, General Manager.

“We are pleased to recognize Garmat USA for their outstanding contribution to the fueling the economic fire of our wonderful state. Thank you Garmat USA,” said Stephanie Steffens, Colorado Companies to Watch Program Director.

The Colorado Companies to Watch Program honors Garmat USA for developing valuable products, creating quality jobs, enriching our community and being a part of Colorado’s Economy. The award not only acknowledges the company’s growth but also recognizes the critical differences Garmat USA has made in their industry through their innovative products.

Garmat USA manufacturers spray paint booths and finishing solutions for collision repair, aviation and industrial applications. Located in Englewood, Colorado, the company strives to provide the most technologically advanced products that enhance productivity and profitability while providing an environmentally safe atmosphere for the technician and community.

Toyota Motor Sales, USA, Inc. (TMS), announced on June 1 that it will conduct a voluntary safety recall involving approximately 52,000 2001 through 2003 Prius vehicles sold in the U.S. to replace the electric power steering pinion shaft attachment nuts. This announcement is for U.S. vehicles included in Toyota Motor Corporation’s global recall of 106,000 vehicles.

If the steering wheel is repeatedly and strongly turned to the full-lock position, there is a possibility the nuts securing the pinion shaft in the steering gear box assembly may become loose. If the vehicle is continuously operated in this condition, over time, the customer will gradually notice significant increased steering effort when making a left turn.

Toyota dealers will install improved nuts that secure the pinion shaft at no charge to the vehicle owner. The repair will take approximately 4 hours depending upon the dealer’s work schedule.

Owner notification letters by first class mail will begin in early July, 2011.

Edward Flak, the Temecula, CA, marine who had his '94 Mustang GT repaired for him secretly while he was on his third tour in the Middle East in April, received a donation from the Veterans of Foreign Wars, Department of California to help cover some of the cars continued costs.

Precision Paint and Body Works, the body shop that did the body work on Flaks car, agreed to donate about half of the $7,800 it cost to repair the vehicle in April.

The Flaks were happy to have so much of the work on the car donated by Precision and the other businesses that agreed to donate some work, but this still left them with about a $3,000 repair bill after all was said and done.

When the Commander Donald Durnil, of the Temecula Valley VFW, found out that the Flaks still owed money for the car makeover he asked for the California VFW to donate money to help pay.

Durnil reached out to Jim Rowoldt, the State Adjutant/Quartermaster, to see if they could come up with more of a donation.
"They {the Flaks} don't make a lot, and that's a hefty bill," said Durnil.

The Temecula Valley VFW Post originally came up with a $200 donation for the Flaks back in April but knew this would not cover the last of their costs.