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Vol. 37 / Issue 7 / July 2019

SARC Brings Three State Associations Together to Address Common Concerns

Speaker Says Verdict Being Used by OEMs to Limit Use of Non-OEM Parts

by Autobody News Staff

by John Yoswick

Matt Parker on Mississippi’s Consumer Guide to Insurance and Auto The 2019 SARC meeting wrapped Body Repair, a document developed up in New Orleans on Satby Hood’s Consumer Prourday, June 15, having entection Division and availgaged attendees with talks able for download at www and panels featuring Jim Hood, the Mississippi AG Attorney General Hood who is currently running for described his early experience with the industry governor, Aaron Schulenburg, Executive Director of when he was forced to perAttorney General sonally sue an insurer for SCRS, as well as Pulitzer Jim Hood of seizing his property post prize-winning political carMississippi accident. He was emphatic toonist Marshall Ramsey. Ramsey hosted a panel with that this opened his eyes to some of See SARC 2019, Page 4 Burl Richards, Doug White and

California Appellate Court Affirms $1 Million Bad Faith Judgment Against GEICO by Autobody News Staff

On August 11, 2008, Michael Mazik, 24, was involved in a serious automobile accident on a highway in Riverside County. While driving about 45 to 50 miles per hour, he collided head-on with another car that was in his lane driving about the same speed. The other driver, who had crossed over double yellow lines in his attempt to pass slower traffic, was killed. Mazik received $50,000 from Mercury Insurance Company, the insurer for the driver of the other

car who was at fault in the accident. That sum amounted to the full value of the driver’s policy. On December 31, 2009, Mazik’s attorney submitted a claim to GEICO under Mazik’s underinsured motorist policy, which had a policy limit of $100,000. The letter included medical records of Mazik’s treatment to date along with other supporting documentation. In light of the “severity of the damages” and the residual effects of the injuries, the letter requested compensation of $50,000, representing the full policy amount See GEICO Appeal, Page 28

Automakers are pressing for state laws requiring the use of OEM collision repair procedures as part of their effort to limit the use of alternative parts, a representative of LKQ Corporation told a gathering of non-

LKQ Corporation’s Ray Colas said automakers are using a verdict against a shop related to OEM repair procedures as part of their efforts to limit use of non-OEM parts

OEM parts manufacturers and distributors. “This is about money and profit,” Ray Colas, director of government affairs for LKQ Corporation, said at the Auto Body Parts Association (ABPA) convention held in May in Fort Lauderdale, FL. In the effort to pass state laws requiring the use of OEM procedures, automakers and repairers are pointing to the John Eagle Collision lawsuit, in which a dealership collision shop was successfully sued for not following OEM repair procedures on a vehicle in which a Texas couple, Matthew and Marcia Seebachan, were subsequently injured, Colas said. State lawmakers are being told that OEM procedure laws are needed See Non-OEM Parts, Page 50

Fix Auto USA Annual Conference Celebrates Focus on Family Value(s) by Stacey Phillips

More than 20 years ago, Erick and Shelly Bickett set out to create a national network of high-performing independent body shops. The collision repair visionaries wanted to ensure it was supported with a unified and branded infrastructure of systems and processes offering the best quality and services. The first locations were established in Denver, Portland, Los Angeles and San Diego in 2011. Rapid expansion soon followed. Fast forward to 2019 and the San Diegobased company now includes over 150 locations in ten states across the country: Alaska, Arizona, California, Colorado, Idaho, Illinois, Oregon, Minnesota, Nevada and Washington. “We did and are doing what everyone said couldn’t be done,” said

Paul Gange, president and CEO of Fix Auto USA, during the organization’s annual conference. “We took a fragmented industry—independent

(l to r) Erick Bickett, co-founder of Fix Auto USA, and co-owner of eight Fix Auto USA locations, and Paul Gange, president and CEO of Fix Auto USA. Credit: Stacey Phillips

entrepreneurs with their own ideas, attitudes, desires—and we asked them to come together as one.” In June, more than 275 attendees gathered in Carlsbad, CA, at the See Fix Auto USA, Page 32



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CONTENTS California Appellate Court Affirms $1 Million Bad Faith Judgment Against GEICO . . . . . . . . 1 Former Shop Owner Helps Body Shops to Win With Smart Marketing. . . . . . . . . . . . . . 26 Gerber Acquires Four Locations in NV and AZ . . 6 Large Narcotics Seizure at an Apple Valley, CA, Body Shop . . . . . . . . . . . . . . . . . . . . . . . . . 12 Man Shot Outside Hesperia, CA, Body Shop Airlifted to a Trauma Center. . . . . . . . . . . . . 16 Mike’s Body Shop in Alameda, CA, Gives Back . 13 Mike’s Body Shop in Concord, CA, Wins Award From Nationwide Insurance . . . . . . . 10 Registration is Open for 8th Annual MSO Symposium in Las Vegas . . . . . . . . . . . . . . 10 Sierra College in Rocklin, CA, Puts Its Automotive Tech Program on Pause . . . . . . 14 Tesla’s Recent Job Openings Hint at Production Activities at Lathrop, CA, Site. . . . . . . . . . . . . 6 Tire Tax Bill AB 755 Defeated in CA . . . . . . . . . 64

Chrysler Recalls 343,000 Ram 1500 Trucks . . 62


CIECA Announces Executive Director Departure . 13


Succeeding’ Webinar . . . . . . . . . . . . . . . . . 30 Auto Part Distributors Meet at the Latin Expo . . 12

CIECA Initiates Search for Executive Director. . 23

Anderson - Vehicle Owner’s Manuals Help Educate and Negotiate Need for Various Procedures . . . . . . . . . . . . . . . . . . . . . . . . . 52 Attanasio - Are You as High-Tech as Your Customers? . . . . . . . . . . . . . . . . . . . . . . . . 38 Ledoux - The 1970s - Part 2 - The OE’s Become Their Own Worst Enemy. . . . . . . . . 34 Ledoux - The 1970s - Trade Associations Become a Driving Force . . . . . . . . . . . . . . . 56 Ledoux - The HD Collision Market – Challenges and Opportunities . . . . . . . . . . . 46 Phillips - FCA Certified Collision Care Program Elevates the Focus on Proper Repairs . . . . . 18 Sisk - ASA Annual Business Meeting and Conference Exceeds Expectations . . . . . . . . 42 Yoswick - Consumer Advocate Gives Industry New Voice With Insurance Regulators . . . . . 40

Michael Naaom, Safelite Solutions . . . . . . . 44 Claim Genius Joins CIECA as a Corporate Member . . . . . . . . . . . . . . . . . . . . . . . . . . . 66 ClaimsCorp Inc. Renews Commitment to CIECA Standards . . . . . . . . . . . . . . . . . . . 64 Collision Hub Announces New Additions . . . . . 26 Dave Luehr’s Body Shop Presents ‘Human Triggers’. . . . . . . . . . . . . . . . . . . . . 28 Eastman Performance Films Invests in 3D Scanning Technology . . . . . . . . . . . . . . . 20 Evaluating AI Tools and Applications: Tips From Tractable AI . . . . . . . . . . . . . . . . . 54 FIAT Chrysler Automobiles Submitted Proposal to Merge With Renault . . . . . . . . . 63 Fix Auto USA Annual Conference Celebrates


CIECAst Webinar on FNOL To Feature

Focus on Family Value(s) . . . . . . . . . . . . . . . . 1 Fix Auto USA’s Paul Gange Named as a Finalist . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Ford Explorer Police Interceptor Carbon Monoxide Lawsuit Filed. . . . . . . . . . . . . . . . 68 From the Body Shop to the Art Gallery: The Story of C.R. Bob Bryant . . . . . . . . . . . . 22



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Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Contributing Writers: John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk, David Luehr, Stacey Phillips, Victoria Antonelli, Gary Ledoux Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Office Manager: Louise Tedesco Digital Marketing Manager: Bill Pierce Art Director: Rodolfo Garcia Graphic Designer: Vicki Sitarz Online and Web Content Editor: Alexis Wilson Accounting Manager: Heather Priddy Editorial/Sales Assistant: Randi Scholtes

Serving Alaska, California, Hawaii, Idaho, Montana, Nevada, Oregon, Washington and Wyoming. Autobody News is a monthly publication for the collision industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2019 Adamantine Media LLC.

Alloy Wheel Repair Specialists, LLC . . . . . . . . 22

Kearny Mesa Subaru-Hyundai . . . . . . . . . . . . 42

Anchorage Chrysler-Dodge-Jeep-Ram. . . . . . 12

Kia Motors Wholesale Parts Dealers . . . . . 58-59

Audi Burlingame . . . . . . . . . . . . . . . . . . . . . . 51

Kia of Carson . . . . . . . . . . . . . . . . . . . . . . . . . 44

Audi Wholesale Parts Dealers. . . . . . . . . . . . . 67

Laramie Auto Center . . . . . . . . . . . . . . . . . . . 43 . . . . . . . . . . . . . . . . . . . . . 46

Larry H. Miller Chrysler-Jeep-Dodge-Ram . . . 24

AutoNation Collision Parts . . . . . . . . . . . . . . . 17

Launch Tech USA . . . . . . . . . . . . . . . . . . . . . 71

AutoNation Roseville. . . . . . . . . . . . . . . . . . . 8-9

Matrix Electronic Measuring. . . . . . . . . . . . . . 29

Axalta Coating Systems . . . . . . . . . . . . . . . 5, 13

Mazda Wholesale Parts Dealers . . . . . . . . . . . 64

BMW Wholesale Parts Dealers . . . . . . . . . . . . 66

Mercedes-Benz Wholesale Parts Dealers . . . . 66

Car Pros Kia. . . . . . . . . . . . . . . . . . . . . . . . . . 30

MINI Wholesale Parts Dealers. . . . . . . . . . . . . 66

Car Pros Kia Renton. . . . . . . . . . . . . . . . . . . . 20

MOPAR Wholesale Parts Dealers . . . . . . . . . . 39

Chrysler-Dodge-Jeep-Ram of Seattle. . . . . . . 55

Moss Bros. Chrysler-Jeep-Dodge. . . . . . . . . . 31

Classifieds . . . . . . . . . . . . . . . . . . . . . . . . . . . 70

Nicolosi Distributing, Inc. . . . . . . . . . . . . . . . . 16

Autobody News P.O. Box 1516 Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax

Colortone Automotive Paints . . . . . . . . . . . . . 26

Nissan/Infiniti Wholesale Parts Dealers. . . . . . 61

Documents Insufficient . . . . . . . . . . . . . . . . 26

Courtesy Chevrolet San Diego . . . . . . . . . . . . 63

O’Reilly Auto Parts . . . . . . . . . . . . . . . . . . . . . 35

GM Digital Vehicle Platform Debuts . . . . . . . . . 68

Cutter Chrysler-Dodge-Jeep-Ram . . . . . . . . . 34

Penske Hyundai . . . . . . . . . . . . . . . . . . . . . . . 53

Hail! Hail! to Paintless Dent Repair . . . . . . . . . 44

Dave Smith Motors . . . . . . . . . . . . . . . . . . . . 57

Porsche Burlingame. . . . . . . . . . . . . . . . . . . . 51

Louisiana Anti-Steering Bill Passes

DCH Auto Group Temecula . . . . . . . . . . . . . . . 52

Porsche Wholesale Parts Dealers . . . . . . . . . . 54

Dent Fix Equipment . . . . . . . . . . . . . . . . . . . . 25

PPG Refinish . . . . . . . . . . . . . . . . . . . . . . . . . . 2

Diamond Standard Parts . . . . . . . . . . . . . . . . 41

Puente Hills Subaru . . . . . . . . . . . . . . . . . . . . 38

Downtown Motors of LA (Audi, VW) . . . . . . . . 48

Sandberg Volvo Cars . . . . . . . . . . . . . . . . . . . 24

Eckler’s Automotive . . . . . . . . . . . . . . . . . . . . 45

SATA Dan-Am Company. . . . . . . . . . . . . . . . . . 7

ECS Automotive Concepts . . . . . . . . . . . . . . . 28

Sierra Chevrolet-Honda-Subaru . . . . . . . . . . . 33

Enterprise Rent-A-Car . . . . . . . . . . . . . . . . . . 40

Sorbothane Soft-Blow Mallet . . . . . . . . . . . . . 10

Equalizer Industries, Inc. . . . . . . . . . . . . . . . . 32

Spanesi Americas . . . . . . . . . . . . . . . . . . . . . 23

First Auto Group. . . . . . . . . . . . . . . . . . . . . . . 50

Subaru Wholesale Parts Dealers. . . . . . . . . . . 62

Ford of Kirkland . . . . . . . . . . . . . . . . . . . . . . . 55

Symach . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Ford Wholesale Parts Dealers. . . . . . . . . . . . . 65

Tacoma Dodge-Chrysler-Jeep-Ram . . . . . . . . 27

Galpin Motors . . . . . . . . . . . . . . . . . . . . . . . . 49

The Bay Area Automotive Group . . . . . . . . . . . 47

Glenn E. Thomas Dodge-Chrysler-Jeep . . . . . 15

Tonkin Parts Center . . . . . . . . . . . . . . . . . 18-19

GM Wholesale Parts Dealers . . . . . . . . . . . . . 69

U.S. Chemical & Plastics . . . . . . . . . . . . . . . . 11

Honda-Acura Wholesale Parts Dealers . . . 36-37

USI of North America . . . . . . . . . . . . . . . . . . . 21

Hyundai of Kirkland . . . . . . . . . . . . . . . . . . . . 55

Vintage Flatz/Cumberland Products . . . . . . . . . 6

Hyundai of Seattle . . . . . . . . . . . . . . . . . . . . . 55

Volkswagen Wholesale Parts Dealers . . . . . . . 56

Hyundai Wholesale Parts Dealers . . . . . . . . . . 60

Volvo Wholesale Parts Dealers . . . . . . . . . . . . 64

GM Deems Free Body Procedure

House and Senate. . . . . . . . . . . . . . . . . . . . 30 MOTOR Information Systems Releases White Paper . . . . . . . . . . . . . . . . . . . . . . . . 24 Nissan Sides With Tesla on Camera-Based Self-Driving Approach . . . . . . . . . . . . . . . . . 66 onPeak Returns as SEMA Show Provider. . . . . 50 Recycled Rides Go to Three Moms . . . . . . . . . 60

NATIONAL ‘Tesla Fighters’ Audi E-Tron, Jaguar I-PACE, Face Recalls Over Fire Risk, Faulty Brakes . . 68 3M, CREF Grant Collision Education Programs . 64 AAPEX 2019 Lines up Top Training Partners . . 16 ABPA Voices Concern to Introduction of State Bills . . . . . . . . . . . . . . . . . . . . . . . . . . 64 Acura and Honda Vehicles Recalled Again Over Takata Airbags. . . . . . . . . . . . . . 60 ASA Presents ‘Stop Reacting and Start

Speaker Says Verdict Being Used by OEMs to Limit Use of Non-OEM Parts . . . . . . . . . . . 1 TechForce Foundation and CREF Announce Scholarship Recipients . . . . . . . . . . . . . . . . 24 Trump’s Mexico Tariffs Would Cripple U.S. Automakers . . . . . . . . . . . . . . . . . . . . . . . . 20 Veterans Encouraged to Become Entrepreneurs . . . . . . . . . . . . . . . . . . . . . . . 53 Your Future Self-Driving Car Will Be Watching Your Every Move, Says New Study. . . . . . . . . 4

Industrial Finishes and Systems. . . . . . . . . . . 72 / JULY 2019 AUTOBODY NEWS


Fix Auto USA’s Paul Gange Named as a Finalist The San Diego Business Journal has named Paul Gange, Fix Auto USA’s president and CEO, as a finalist for the “CEO of the Year” award. As a finalist, Gange is recognized among San Diego’s business elite for propelling Fix Auto USA forward and driving the

business to new heights within the collision repair industry. “It’s quite an honor to be considered as a finalist for this award, especially given San Diego’s business community is quite large and brimming with other successful CEOs,” said Fix Auto USA President and CEO, Paul Gange. Gange was selected as a finalist for his professional achievements, contributions towards Fix Auto USA’s growth, innovation, marketing activities, and relationships with Franchise Partners, and the marketplace at large. Continued from Cover

SARC 2019

the abuses routinely carried out by insurance companies. Officially hosted and organized by MSCRA (Mississippi) and their Executive Director, Ricki Garrett, and President Doug White, the event

catered to repairers from Mississippi, Louisiana and Texas in particular, but all repairers and vendors were welcome to attend then and in the future. Burl Richards addressed The John Eagle Case, recounting Attorney Todd Tracy’s efforts in the $42M judgment against the Texas body shop. Looming nearby was unheard but visible testimony, silently delivered by the now famous John Eagle Honda Fit. The car, delivered to the Jung Hotel, sat on a trailer outside the meeting rooms and was frequently cited during the talks as a potent reminder of shops’ liability if an acci4

Your Future Self-Driving Car Will Be Watching Your Every Move, Says New Study by Loukia Papadopoulos, Interesting Engineering

Future autonomous car firms may choose to harness personalized customer information through geospatial and navigation technologies resulting in high surveillance. When we think of self-driving cars we think of the ease of not having to drive. We are transported where we want to go and can spend our time checking our email or even watching our favorite TV shows. However, self-driving cars come with one caveat and that is increased surveillance. By their very nature, the new autonomous cars would have access to all details about your whereabouts and possibly more. Harnessing personalized customer information Will car companies and others choose to harness personalized customer information through geospatial and navigation technologies? If so, your new comfortable ride becomes a very adept method of surveillance according to new research. “Self-driving cars will represent a new mode for surveillance. Through a self-driving car’s global positioning,

dent reveals an improper repair. The meeting was relatively small, with an estimated 400 in attendance along with approximately 50 exhibitors, but the energy was good

system, navigational tools and other data collection mechanisms, companies will be able to gain access to highly contextual data about passengers’ habits, routines, movements and preferences,” explained Luis F. Alvarez León, an assistant professor of geography at Dartmouth. “This trove of personal, locational and financial data can be leveraged and monetized by companies, by providing a data-stream for companies to target customers through personalized advertising and marketing,” he added. It’s not just your locations that will be tracked. As autonomous vehicles enable passengers to spend more time engaging with media in a vehicle, the media you consume could also be tracked. Digital platforms for media companies This will also change the very nature of cars transforming “the car into a bundle of services rather than just a product.” “Automobile manufacturers may essentially become digital platforms for media companies, search engines, retailers, vendors and other companies, aiming to

threat is outside your shop, not from your competition down the street.” Mike Ganske gave a presentation on Cycle Time which was repeated due to popular demand.

The Seebachan’s burned out Honda Fit was shown live at the MSCRA-sponsored SARC Conference

and the speakers were prompted by the audience with questions. SCRS’ Aaron Schulenburg led an active panel discussion focusing on headlines in the media drawn from Repairer Driven News. Panel ists and industry veterans Burl Richards, John Mosley and Boyd Adams, gave input. They emphasized the need for shops to focus on the important issues they have in common, and not on infighting for customers between shops. The message given was “the


One particularly well-attended session was given by GM’s Sarah Booth on the GM Collision Repair Network and the associated Partner Perks program. Mitchell was also represented as it’s responsible for managing enrollment and reporting capabilities as it relates to the program KPIs and site audits. GM Partner Perks is a parts loyalty program that provides benefits extending beyond redeemable points to include national marketing sup-

offer services to passengers through a car’s infotainment system,” reveals the study. The growth of self-driving cars will see a merging of different technologies. “Through autonomous cars, the automotive and technology industries are likely to become more integrated with synergies across geospatial, navigation, artificial intelligence, ride-hailing, automotive and other industries and technologies,” said Alvarez Léon. However, this will make us all ever more vulnerable to tracking. Privacy and security concerns abound when it comes to self-driving cars. These are further exacerbated by the fact that specific governance mechanisms have yet to be defined by federal regulations. As the age of the autonomous car approaches, shouldn’t we be looking into effective legislation to ensure the privacy and safety of citizens? What do you think? Are selfdriving cars a more convenient form of transportation or an impending disaster of invasion of privacy? port, training resources and business tools that GM says can help drive profitability, productivity and the bottom line. Benefits accrue from the first purchase. The focus of the GM Collision Repair Network is to: Create an engaged network of collision facilities that are focused on proper and safe repair of all GM vehicles Increase visibility into collision repairs for additional OEM parts sales Ensure technicians are properly trained and prepared to handle today’s complex vehicles Increase customer brand loyalty The GM Collision Repair Network will evaluate several KPIs that are not typically measured by other OEM collision certification programs. The major difference is that it will be metrics-driven and dynamic, meaning that the Dealer, MSO, or Independent Repair Facility will continuously undergo audit checks, ensuring that they maintain the proper requirements established for the GM CRN program. More information can be had at / JULY 2019 AUTOBODY NEWS


Tesla’s Recent Job Openings Hint at Production Activities at Lathrop, CA, Site by Simon Alvarez,

Recent images of Tesla’s upcoming Lathrop, CA, site show that the interior of the 870,000-square-foot facility is now undergoing electrical work. Based on the site’s recent pictures, it appears that the Lathrop facility boasts a rather tall ceiling that is quite reminiscent of the first images that have emerged of Gigafactory 3’s interior. Tesla is yet to announce the official designation of its new building in the California town, through previous job listings for the area suggest that the facility will be used as a parts distribution center. The tall ceiling of the site would suggest this, as storage of parts usually involves the components being stacked on large racks. The semi-trailer-sized openings at the side of the facility also suggest that the building is designed to facilitate quick loading and unloading. Looking at the progress of Gigafactory 3 so far, it is difficult not to notice the similarities between the designs of the two facilities. Just like Lathrop, the first interior images from Gigafactory 3 show a rather tall ceiling that could accommodate large


racks (or machines for that matter). The Shanghai-based site also features rows of semi-sized openings on its side, similar to the Californiabased facility. It should be noted that Gigafactory 3 is not a parts distribution center, but rather, a full-fledged electric car production line.

Tesla’s current job openings for its Lathrop, CA, site suggests that the electric car maker is looking to conduct operations that go beyond simple parts and service warehousing. A look at Tesla’s career page, for example, shows multiple openings for manufacturing-related jobs. Among these are process technicians for castings, production supervisors for castings, production associates for CNC machining, equipment maintenance technicians for die casting and production associates for “pano roof.” While the manufacturing-related job listings suggest Tesla will be making electric car components


on the site, it remains to be seen if the company will utilize the location as a full-blown vehicle production facility. Nevertheless, it should be noted that Tesla needs more production sites to accommodate its upcoming vehicles. Recent reports have suggested that the Model Y will be produced at the Fremont factory, but the locations where other vehicles such as the Tesla Semi, the Pickup Truck, and the new Roadster will be produced are still up for speculation. Speculations among the Tesla community have pointed to Lathrop potentially being used for the production of the Semi. This might have merit, considering that the Semi will not be a high-volume vehicle like the Model 3 or Model Y. The site is also strategically located in between the Fremont factory and Gigafactory 1. Ultimately, producing the Semi in Lathrop could open the doors for the production of the pickup truck as well, especially as Elon Musk has suggested in the past that the vehicle could simply be a “mini version of the Tesla Semi.” We thank for reprint permission.

Gerber Acquires Four Locations in NV and AZ

The Boyd Group Inc. announced on May 16 the acquisition of four collision repair centers located in Nevada (three locations) and Arizona (one location). The shops are located in the Las Vegas area and Scottsdale.

These locations were previously branded New Look Collision Center, which originated in 2004 with a single shop. Additional locations opened in 2011, 2017 and 2018. “These acquisitions reinforce our brand and we are excited to continue providing high-quality service to customers in this region,” said Tim O’Day, president and COO of the Boyd Group. “We are eager to also better assist our insurance partners by expanding our footprint in this growing area.” Obtained via Newswire. / JULY 2019 AUTOBODY NEWS





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Mike’s Body Shop in Concord, CA, Wins Award From Nationwide Insurance by Ed Attanasio

Mike’s Auto Body in Concord, CA, received the 2018 On Your Side Showmanship of Excellence Award by Nationwide Insurance for its outstanding customer service and over-the-top community involvement.

it a great reputation amongst the community and its customers, Nationwide Insurance said in a statement. “Through integrity and consistency, Mike’s Auto Body has become a stand-out organization—often, going above and beyond to make sure customers are getting the best service pos-

efforts and happy to give Mike’s Auto Body this award,” Lallian said. Brennan Rose, CEO of Mike’s Auto Body, talked about the company’s 19-year-old Benevolence Program which aims to give back to the community through annual food drives, community service and more. The shop doesn’t give back to strictly receive an award, but they do appreciate it when they are recognized by the community, he said.

The entire crew at Mike’s Auto Body came out to celebrate its On Your Side Showmanship of Excellence Award by Nationwide Insurance in recognition of its outstanding customer service and community involvement. Credit: Ed Attanasio

Mike’s was selected as a “top shop” in Nationwide’s On Your Side (OYS) Repair Program for the western region. Only seven shops nationally out of the 4,000 OYS shops receive this award. The body shop has made many donations over the years and has shown impeccable leadership which has given

sible,” the statement said. Salvin Lallian of Nationwide Insurance, who works closely with all of Mike’s 17 locations, said he is proud of the partnership and unity that was shown between Mike’s and Nationwide. Both companies share the same goals for their customers, he added. “We are privileged to recognize their

Registration is Open for 8th Annual MSO Symposium in Las Vegas

The Automotive Service Association (ASA) announced earlier this month that the eighth installment of the MSO Symposium would take place on the Monday before the SEMA/AAPEX show, Nov. 4, in Las Vegas. Similar to years past, the event’s agenda, timing and content is driven and directed by industry leading members who voluntarily participate on the program’s advisory board. Last year’s event represented over 4,000 collision repair facilities with a total annual revenue exceeding $7 billion. The program has continued to evolve, including a move several years ago that expanded the list of companies and individuals that could attend. This inclusion of insurers, OEM’s and expanding independent repair facilities has proven to be visionary for the event and the industry. “The MSO Symposium continues to bring together the multishop owners and operators, dealers, franchisees, and repair networks from all across North America. The exclusive event has evolved into the 10

largest conference in the world, where only collision industry repairers, insurers and OEM’s can gather exclusively,” said ASA Immediate Past Chairman, Roy Schnepper. If interested in registering for the 2019 event, please be advised that attendance is limited and you must qualify to attend. Qualification standards are met by insurers, OEM’s, multi-shops operators and single location repair facilities with revenue exceeding $3 million in annual sales. More information can be found at: Registration with early bird rates is available for a limited time. If you have questions about registration please contact Jennie Lenk at JennieL@msosymposium .com. If you are looking for sponsorship information please visit our website or contact Brian Nessen at



(l to r) Salvin Lallian, Nationwide northern California manager and Tony Castagnetto, manager of Mike’s Auto Body’s in Concord, CA, at an award presentation. Credit: Ed Attanasio

“We are honored to receive a prominent award from Nationwide— I appreciate our relationship with Na-

tionwide which was built over many years,” Rose said. Mike’s is proud to have a healthy company culture. They seek to educate every customer that walks in the door, so they understand the repair process, a statement provided by Mike’s management said.

Kristen Fedje, office manager at Mike’s Auto Body’s in Concord, CA, holds the 2018 On Your Side Showmanship of Excellence Award by Nationwide Insurance. Credit: Ed Attanasio

“It is our commitment to drive the culture of our business,” the statement said. “We like to say it is our DNA. Words mean nothing unless action is behind those words. We truly are one big family—everyone has input.” / JULY 2019 AUTOBODY NEWS


Auto Part Distributors Meet at the Latin Expo

Thousands of auto part distributors attend the Latin Auto Parts Expo every year. This event provides a great opportunity to meet them. The sixth edition of the expo will be in the ATLAPA Convention Center in Panama July 17-19, 2019. Max Douglas of Berryman Products said about last year’s event, “The show buyer turnout was great! I was personally pleased with the results and leads accumulated for my aftershow follow-up. This show filled a niche for my distribution into the Latin American countries.” Registration is open and free. In this edition of the expo, it features new product categories, several training sessions and an increased number of educational conferences on new technologies in the automotive industry. For more information, view the conference schedule and visit the Expo’s website at https://www


Large Narcotics Seizure at an Apple Valley, CA, Body Shop by Matthew Cabe, Daily News

More than 500 pounds of methamphetamine, multiple assault rifles and “bulk U.S. currency” were among the items seized amid a multi-agency drug investigation that led Southern California and federal authorities to an auto body shop in Apple Valley, California. The seized meth had a street value of $1.25 million, according to several Southern California-based news outlets. Manuel Gallardo, of Apple Valley, and Daniel Gonzalez, of Ontario, were arrested in connection to the investigation, which also led officials to an auto body repair shop. There, they also found 40 grams of Fentanyl and handguns, according to a statement released by the Alhambra Police Department. Jail records show that Gallardo, 55, and Gonzalez, 21, were arrested in the 22500 block of Tussing Ranch Road, a rural residential section of Apple Valley that becomes unincorporated San Bernardino County east of Central Road. The men were booked on sus-


picion of possessing methamphetamine with intent to sell, transporting meth for sale and possessing meth, while armed following a

Law enforcement officials seized 500 pounds of methamphetamine worth $1.25 million and multiple firearms at an Apple Valley auto body repair shop after a monthslong investigation. Credit: Courtesy of the Alhambra Police Department

two-month-long joint investigation into drug trafficking by the Sinaloa cartel that involved the Alhambra and West Covina police departments, the California Highway Patrol and the Drug Enforcement Administration, according to the news outlets. Among the seized items were

five M4 and M16 rifles, six handguns and $38,000 in cash, according to the statement and news outlets. Gallardo was released on bail on Sunday, according to jail records. Gonzalez is being held at the High Desert Detention Center in lieu of $350,000 bail. The San Bernardino County District Attorney’s Office filed charges against both men. Their cases are being heard in the Victorville Superior Court. Gonzalez pleaded not guilty to multiple felony counts. Gallardo, meanwhile, has not yet entered a plea. Jamie Cimino, deputy district attorney, told the Daily Press that Gallardo’s arraignment was delayed because he posted bail before formal charges were filed against him. His initial court date has not been scheduled, court records show. An ex parte motion was filed for “reexamination of bail.” Cimino said the motion will “ensure that bail is not coming from any sort of illegal means.” We thank the Daily Press for reprint permission.

Mike’s Body Shop in Alameda, CA, Gives Back by Eric J. Kos, Alameda Sun

Mike’s Auto Body Shop in Alameda, California, helped celebrate the 99th anniversary of the Coast Guard Chiefs. The body shop presented a “new” used car to a deserving Coast Guard family as part of the shop’s Benevolence Program on Coast Guard Island on May 17. Each year, the collision repair industry comes across cars that are “written off” by either the owner or the insurance company. Often times, these older vehicles need some mechanical and, or bodywork to get them back on the road, safe to drive. Rather than let these cars go to waste, Mike’s Auto Body restores them for people who really need them. Mike’s Auto Body’s Benevolence Program, a community-relations effort, generates goodwill at the local level while improving and promoting the image of the collision repair industry. The program’s mission is to present refurbished used cars to deserving individuals or organizations. The shop calls it “A Gift of Charity Wrapped in Dignity.” Including the donation last Friday, over the last 19 years, Mike’s

has presented a total of 81 cars to deserving families and non-profit organizations.

A Coast Guard family could barely speak in the face of the huge generosity shown as Mike’s Auto Body Shop in Alameda, CA, unveiled their newly refurbished Honda. Credit: Alameda Sun

“It has been so rewarding over the years presenting the cars to deserving individuals and organizations who are working to improve their skills and become independent,” said owner Mike Rose. “Everything is donated—the cars, parts, paint, mechanical inspections, tires and one year of insurance. The body and paint technicians donate their time and talents as well.” Liberty Mutual-Safeco Insurance donated the written-off vehicle

that was presented to the deserving Stewart family who recently relocated to Alameda from West Virginia. “We feel very fortunate to be involved with such a wonderful program and are very excited to be able to give back to the communities that have supported us for the past 47 years,” said Rose. “After receiving hundreds of applications over the years and reading the heartbreaking stores, we only wish that we could do more.” Employees from Mike’s unveiled the car at a ceremony featuring Marilyn Ezzy Ashcraft, mayor, Michael McDonough, president of Alameda Chamber of Commerce and Rick Paauwe, chief petty officer. The car’s trunk was filled with toys for the Stewarts’ two children. Enterprise Rental Car also presented $250 in gift cards to the family. Mike’s Auto Body operates 16 locations throughout the Bay Area, including the one at 2050 Clement Ave. in Alameda. For more about Mike’s visit We thank the Alameda Sun for reprint permission.

CIECA Announces Executive Director Departure CIECA announced on June 6, 2019, that Fred Iantorno, CIECA’s executive director, has officially resigned from his position effective July 31, 2019. “We are incredibly appreciative of the contributions that Fred has made to CIECA over the years and he will be truly missed,” said Steve Betley, CIECA’s chairman of the board. Iantorno became executive director of CIECA in July 2002. During his leadership, Iantorno helped build over 200 messages and all of the codes needed to provide meaning to those messages. In addition, he was instrumental in the implementation of the messages to improve the operation and bottom-line of CIECA’s member organizations. “Where I have taken CIECA has been an accomplishment of which I am most proud,” said Iantorno. “We are now a financially-viable organization playing key roles in impacting the industry.” / JULY 2019 AUTOBODY NEWS


Sierra College in Rocklin, CA, Puts Its Automotive Tech Program on Pause by Sam Corey, The Union

The automotive technology program at Sierra College is “a mess.” That’s what William Duncan, Sierra College president, told people at a board of trustees meeting Tuesday, May 14, according to ABC News10. The college consequently decided to temporarily suspend the program. Amy Schulz, dean of business and technology division, told The Union the decision came in order to give administrators the opportunity to update the program to the economy’s 21st century needs. “It’s not discontinuing the program, it’s suspending the program in its current form,” said Schulz, meaning students who are within one year of finishing their certificate can do so. However, the college won’t be accepting new students, thereby pausing the program. To help some students caught in a bind, Sierra College is allowing students to transfer to automotive technology programs at American River College, Yuba College or Cosumnes River College. There are 130 students studying automotive technology at the combined four Sierra College campuses. Over the past few years, about 13 to 17 students graduated from the program each year, Schulz. Rebecca Bocchicchio, vice president of instruction, said automotive technology classes are only offered on the Rocklin campus, but because a Sierra College student is accepted at all four campuses, the decision affects Nevada County campus students, too. She estimates five Nevada County campus students to be one year from completing the degree for a program that has eight part-time faculty members. Upholding Standards In 2016, the state began providing $246 million of annual funding for the Strong Workforce Program to bolster career technical education at community colleges. But with the carrot comes the stick, and administrators said the automotive technology program was not meeting northern region standards set by the state. 14

“We have to demonstrate that there’s a labor market need, and that students graduating (can) earn a living wage,” Bocchicchio said. High salaries to graduate and earn about $15 an hour in the automotive technician sector aren’t avail-

Alex Wong, the last full-time instructor for the program at Sierra College agreed, saying he partly left due to “lack of trust” with the administration. In 2012, Wong said he established a vitality plan that administra-

able and there is too much supply, Schulz and Bocchicchio said.

tors approved, but did not financially support, leaving it unimplemented. Bocchicchio disagreed, saying the program was not deprived of funds and that since the last vitality plan was made, it had shared a Perkins grant, including over $240,000, with other career technical education classes. In fact, she said, in some years automotive technology got the most money of any program. “No department gets everything it asks for, but the department got what it needed,” she said. In general, Bocchicchio and Schulz said the process for placing the

“Our intention is that we will have new curriculum with emerging technologies” — Rebecca Bocchicchio

Disagreement Part-time automotive technology faculty members Jennifer Andronas and Don Moore disagree on the numbers. “Their research is not accurate or they are not talking to the right people or they are not asking the right questions,” said Andronas, who graduated from Sierra College automotive program in 1999 and also teaches full-time at American River College, where currently five other full-time automotive technology instructors graduated from Sierra College’s program. Moore, also a full-time instructor at Hayward’s Chabot College, agrees. “They are using flawed data, flawed information,” he said, noting administrators are basing research off a minimum wage for a two-parent household, which is not often applicable for Sierra College students. He added their research is based on an hourly wage, not a flat rate which is more common for the industry. Administrators like Bocchicchio said the program’s graduates also aren’t prepared to meet today’s job standards in the field because the program has lagged behind. “It had been some time since the curriculum was updated, and there was a concern that equipment was not updated,” she said. Andronas said there’s a legitimate reason for the lag: the school’s lack of investment in the program. “If the (enrollment) numbers are low, then there’s a reason the numbers are low,” she said, noting that administrators internally killed the program, depriving it of money and full-time staff members.


program on pause was “very thorough,” and included a diverse set of faculty members. Bocchicchio wants the program to be in the right direction before a full-time instructor is hired. Moore agrees, but wished that a full-time faculty member, in addition to better equipment, a fresh paint job and a slightly updated curriculum came sooner. At the board meeting on May 14, he said, was the first time he heard the word “revitalize” associated with the program, rather than “hibernate.” What’s Next? The college will be surveying employers, talking with the information technology and mechatronics programs at the college and converse with nearby college’s automotive programs to help restructure their own, said Schulz. The school hopes to incorporate autonomous vehicle, alternative fuel and electric car information into the curriculum. Moore noted the program’s See Sierra College, Page 33 / JULY 2019 AUTOBODY NEWS


AAPEX 2019 Lines up Top Training Partners Several industry organizations will bring their training expertise to this year’s AAPEXedu, offering a mix of classroom, hands-on and underhood sessions to keep automotive repair

professionals, auto parts retailers and warehouse distributors (WDs) ahead of the curve. AAPEX represents the more than $1 trillion global automotive aftermarket industry and will take place Tuesday, Nov. 5, through Thursday, Nov. 7, 2019, at the Sands Expo in Las Vegas. The AAPEXedu program will feature a forum on Advanced Driver Assistance Systems (ADAS), a Service Professionals Summit, sessions on trends, market outlook, technologies, tariffs and more, as well as Mobility Garage: Products and Training for Tomorrow and Let’s Tech presentations.

AAPEXedu partners include AVI, RLO Training, the National Alternative Fuels Training Consortium (NAFTC), the National Automotive Service Task Force (NASTF) and MERA—the Association for Sustainable Manufacturing. The Auto Care Association and the Automotive Aftermarket Suppliers Association (AASA)—the co-owners of AAPEX—also will provide training and education. In addition, The NPD Group, Inc., a leading market research company, and IHS Markit, a world leader in critical information, analytics and solutions, will share the latest aftermarket outlook and consumer and industry trends. Roland Berger, a global consultancy firm, will look ahead to 2025, covering the new retail frontier and the future of the automotive aftermarket. To centralize the location for education and make it more convenient for attendees, AAPEXedu classroom sessions will move to the Bellini Ballroom at The Venetian. Mobility Garage will be located in the adjacent Titian Ballroom of The Venetian and will feature underhood training

Man Shot Outside Hesperia, CA, Body Shop Airlifted to a Trauma Center

Desert Valley Hospital by ground ambulance and then flown to an Police are investigating after a man out-of-area trauma center. Jodi Miller, sheriff’s spokeswas shot multiple times outside a body shop in Hesperia, CA, on Sun- woman, said the victim remains in the hospital in critical condition. day, June 2. According to a witness, there was some type of problem involving a customer against another customer in the parking lot of the business that escalated into a shooting. Miller said no suspects have been identified and the investigation is ongoing. Victim of a shooting at Xtreme Auto Body was transported Anyone with inforto Desert Valley Hospital by ground ambulance. Credit: mation regarding this Hugo C. Valdez, Victor Valley News incident is urged to conAt about 9:20 p.m., sheriff’s tact the Hesperia Police Department deputies responded to a business fol- at (760) 947-1500. Callers wishing to remain lowing the reports of shots heard. When deputies arrived, they anonymous may contact the Welocated an adult male in the park- Tip Hotline at 1-800-78-CRIME ing lot of Xtreme Auto Body suffer- (27463) or ing from gunshot wounds, officials We thank Victor Valley News for said. The victim was transported to reprint permission. by Staff, Victor Valley News



companies, AAPEX is the showcase for the latest products, services and technologies that keep the world’s 1.3 billion vehicles on the road. More than 48,000 targeted buyers are expected to attend, including automotive service professionals, auto parts retailers, warehouse distributors, service chains, automotive dealers, fleet buyers and engine builders. Approximately 162,000 automotive aftermarket professionals from 126 countries To stay ahead of the curve, automotive aftermarket are projected to be in Las professionals turn to AAPEXedu for classroom, Vegas during AAPEX and hands-on and underhood training. Credit: AAPEX the SEMA Show. AAPEX is a trade-only event Let’s Tech stage will be nearby in the and is not open to the general public. Sands Expo, Level 2 Upper Lobby. A preliminary schedule of AAPEXedu sessions is available on the AAPEX website, A schedule of training in Mobility Garage and Let’s Tech presentations LIKE US will be available in July. ON All AAPEXedu sessions, Mobility Garage training and Let’s Tech : presentations are included in AAPEX 2019 registration. To register, visit With more than 2,500 exhibiting and two sections: Shop Equipment and Technology, and Electric Car and Alternative Fuel/Energy. The


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National Associations with Stacey Phillips

FCA Certified Collision Care Program Elevates the Focus on Proper Repairs Autobody News recently reached out to Fiat Chrysler Automobiles (FCA) to learn more about the FCA U.S. LLC Certified Collision Repair Program and the role of Assured Performance Network. FCA shared

how body shops can find out more information.

Can you please tell us what prompted Fiat Chrysler Automobiles to establish the FCA Certified Collision Care Program?


In 2011, we recognized the importance of assisting our Chrysler, Dodge, Jeep®, Ram and Fiat customers through every stage of the ownership cycle, including the unfortunate occurrence of an accident. With vehicles that feature ever-increasing levels of technology and complexity, it was important to offer customers a network to turn to for safe and proper collision repair. In July 2012, we launched the FCA U.S. LLC Certified Collision Repair Program. It is the first OE certification program managed through Assured Performance Network, the largest OE


The FCA U.S. LLC Certified Collision Repair Program was launched in July 2012. Credit: FCA

highlights about the program as well as the type of training offered and


503.546.6900 877.787.2787 18


certification group in the U.S. We currently have 1,847 shops that are part of the program.

shops have the right tools, equipment, training and modified facilities to be able to provide a proper repair. What are some of the highlights you would like to share with collision repairers and others in the industry about the program?


Mopar, established in 1937, is the official service, parts and customer care brand for FCA U.S. vehicles — Chrysler, FCA said its certified shops utilize the right tools to safely and properly repair vehicles to FCA standards Dodge, Jeep®, Ram and and procedures. Credit: FCA Fiat. Mopar’s top priority is to deliver owners the confidence and What is the role of Assured peace of mind that comes through rePerformance Network? pairs made at an FCA certified body shop with the use of OEM replaceAssured Performance Net- ment parts. Our program seeks to be work facilitates the program a convenient OE partner for repair See FCA Certified, Page 24 on behalf of FCA and certifies that




Trump’s Mexico Tariffs Would Cripple U.S. Automakers by Adam Shapiro, Yahoo Finance

President Donald Trump’s threat to impose tariffs on Mexican imports, effective June 10, will cripple U.S. automakers and cost people their jobs. The proposed tariffs will disrupt the supply chain for every automaker, domestic and foreign, in the United States, according to Rebecca Lindland, who spent 10 years at IHS Automotive as director of research and was the senior director and executive analyst at Kelly Blue Book. She now operates her own auto website, ‘U.S. trade with Mexico is all about cars’ “Nobody wins in the automotive industry,” said Lindland. “I mean union workers, suppliers, its blue collar, its white collar, it is across the board and nobody wins in this scenario.” Sixty-seven percent of U.S. imports from Mexico are intra-company trade according to Deutsche Bank research. Torsten Slok, the chief economist and managing director at Deutsche Bank Securities, explains that means two-thirds of companies

percentage reflects the value of parts produced in Mexico and Canada and included in cars assembled in the U.S. The number has grown every year since the mid-1990s when the North American Free Trade Agreement (NAFTA) was ratified. “The whole industry really changed when NAFTA came into play,” says Lindland. “We are one region and the biggest challenge is that we are not flexible. Vehicles Workers inspect General Motors Co. (GM) Chevrolet 2019 have 30,000 parts and if Silverado HD and 2019 GMC Sierra HD pickup trucks on you are missing a couple the assembly line at the GM plant in Flint, MI, on Tuesday, of screws you can’t build Feb. 5, 2019. GM is selling lots of expensive pickup trucks that vehicle.” and sport utility vehicles in the U.S., which helped its av-

producing goods in Mexico are producing products for their own supply chain and other manufacturers.

erage vehicle sales price hit a record $36,000. Credit: Jeff Kowalsky/Bloomberg via Getty Images

“U.S. trade with Mexico is all about cars. This would cripple the auto industry,” he said. “It would bring car production to a halt pretty quickly.” Slok cites trade data that shows 35% of U.S. auto exports, from a value added standpoint, consist of parts manufactured in Mexico. That

Eastman Performance Films Invests in 3D Scanning Technology by Chasidy Rae Sisk

On May 16, Eastman Performance Films, LLC announced its investment in 3D scanning technology for paint protection film patterns, claiming this is a leading edge, next-generation enhancement that will transform Eastman’s pattern development process by increasing speed and accuracy. Eastman predicts that deployment of this 3D technology will elevate its current database of paint protection film patterns and accelerate the rate of new modeland-trim additions to the database with improved precision. The 3D scanning technology utilizes lasers to capture any vehicle’s shape as flexible data that can quickly be converted into a 2D template. Describing the advantages of the new technology’s integra-

tion into pattern-making, Eastman’s New Product Development and Technology Service Manager Yancy Farrow explains, “The equipment is accurate within seven to eight microns in three-dimensional space. To put that into perspective, the average diameter of a human hair is 75 microns. This level of precision helps ensure the patterns we design, across the globe, are among the best fitting patterns from any manufacturer or marketer of paint protection film.” On September 4-6, 2019, Eastman Performance Films will be returning to the International Window Film Conference and Tint-Off ™ at the Indiana Convention Center in Indianapolis as a Diamond Plus Sponsor.

Trump threatens to keep raising tariffs Trump is using the International Emergency Economic Powers Act (IEEPA) to impose a 5% tariff on Mexican imports unless the Mexican government stops migrants trying to reach the U.S. “Mexico must step up and help solve this problem,” Trump said in a statement released by the White

House. The president went on to say the tariffs will be raised to 10% in July and could eventually hit 25% by October 1. “If Mexico fails to act, tariffs will remain at the high level, and companies located in Mexico may start moving back to the United States to make their products and goods,” he said. But Slok pointed out that manufacturing doesn’t work that way. “If you cripple the U.S. auto industry it will have implications for the auto industry in the rest of the world,” he said. Lindland agrees. “We can’t just turn on a dime. We are about making good solid affordable vehicles for consumers and if you disrupt the supply chain you are disrupting jobs, dealers, consumers.” According to Lindland, automakers have created an efficient manufacturing process to keep prices down for consumers. Setting up shop in the U.S. won’t be easy she says. It’s a complex and extensive process, “We are not interchangeable. We can’t just swap things out.” We thank Yahoo Finance for reprint permission.


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From the Body Shop to the Art Gallery: The Story of C.R. Bob Bryant by Ed Attanasio

C.R. (Bob) Bryant is a former combat medic for the U.S. Air Force, a collision repair lifer with a 60-year track record, and a painter with works that have appeared in premier galleries and sell for as much as $20,000.

Bryant is well-known for his maritime images, such as First Escort. Credit: Ed Attanasio

Bryant and his business partner, Jim Jordan, co-own a business together that has developed a new product, set to release this fall. Although Bryant is not yet ready to announce the product, he can say that it’s 100 percent American made, owned by U.S. Veterans and half the


price of his competition’s product. “The product’s concept was based on the Colt .45 caliber sidearm,” he said. “Our system has seven components compared to the 40 that our competition uses and is built primarily off-shore. Like the .45, our system is simple, highly reliable and cost-effective. We’re excited to release the news and bring an important new product to market before the end of the year.” Leading in the marketplace and taking ground in business has allowed Bryant to remain steadfast and creative; however, art has been a way in which he is able to express himself and see the world more clearly. Bryant created his first painting at age five in his hometown of Central Florida. He worked with traditional oils on linens and used techniques of the old masters. Over the years, Bryant has refined the rare and unusual technique of painting on copper used by early Dutch and Flemish painters and revered as the perfect ground for oils, he said. Known for his maritime images,


Bryant’s paintings of sailing ships are popular throughout North America. Relocating to the Pacific Northwest more than thirty years ago, he began focusing on preserving the rich marine history of Puget Sound

United States Coast Guard, maritime museums, international corporations and numerous classic yacht owners and patrons throughout Europe, Asia, the West Indies and the Americas. A dedicated artist, Bryant has made his pursuit of artistic excellence a priority. “My understanding and appreciation of visual arts have been enriched while living abroad and devoting considerable time in the world’s great art museums,” Bryant said. “By living and painting in the footsteps of the old masters, I have chosen not to live too far away from the sea, always preferring to live on or near the C.R. (Bob) Bryant has been involved in the collision repair ocean.” industry for more than 50 years and began painting when In 1997, Bryant surhe was only seven years old. Credit: Ed Attanasio vived a near-fatal accident without ever losing his passion for when he fell 30 feet while power painting classic sailing yachts. In Eu- washing his roof near Seattle. The rope his paintings are predominately incident changed his life, because commissioned by patrons and yacht shortly thereafter he decided to owners. His paintings are included in paint professionally and market his the permanent collections of the work by founding Emerald Island

Studios during a long and arduous rehabilitation period. “Painting allowed me to focus and develop the mental toughness to come back physically,” he said. “Many of the 40-plus paintings I did during that year ended up in the

America’s Cup of 2013 brought Bryant to San Francisco to create a series of paintings that have been praised by art critics worldwide. Credit: Ed Attanasio

trash, but a few were worth the effort. I’ve kept them to remind myself that anything is possible even in the most difficult of situations.” Bryant produces a number of paintings each year for donation to causes supporting the arts, marine heritage and historical conservation. In the U.S., his original oil paintings and limited-edition reproductions are represented by Mystic

Seaport, America’s Museum of the Sea, as a core artist and selected galleries worldwide. In 2019, Bryant was accepted into the Copley Society of Art in Boston. He described it as a milestone event in his long and wonderful career in art. He also discovered that Pelham Lyles, a cousin and the director of the Fairfield County Museum in Winnsboro, SC, confirmed Bryant’s direct family link to John Singleton Copley. With a move to Maine in August 2018, Bryant acquired new representation by signing on with Jean Briggs at the Mast Cove Gallery in Kennebunkport, ME. “It is a lively place, in a quiet sort of way, and certainly an improvement over the days we have spent living in cities like Los Angeles, Miami and London,” said Bryant. “With the move to New England, I have many new subjects to paint and I am occupied full-time with a company that is poised for a national product launch.”

CIECA Initiates Search for Executive Director CIECA is conducting an industrywide search to fill the position of executive director. This is a contract position and all applicants must apply by July 12, 2019. CIECA develops and promotes electronic communication standards that allow all collision industry stakeholders to be more efficient. CIECA’s vision is to have an eCommerce-enabled collision industry that allows the industry segments to communicate electronically, independent of platform or software used. The organization’s membership includes all market segments of the collision repair and property restoration industries, and related segments: repairers, insurers, OEMs, parts and material suppliers, information and software providers, car rental companies, towing companies, salvage and recycled parts providers, auto glass replacement facilities, subrogation providers, general service providers and property restoration providers. The ideal candidate for the executive director position should have excellent leadership skills and interpersonal communication with

multiple stakeholders as well as solid management experience, office computer proficiency and be technically savvy. A partial list of responsibilities includes: consulting with and answering members and non-members questions about CIECA, recruiting new members, Board of Trustees meeting preparation and management, budget management, researching new technologies and assessing applicability to CIECA and the collision repair industry, presenting new technology to CIECA committees, attending industry events/conferences, coordination of CIECA’s annual conference, hosting monthly CIECAst webinars, inter-association management, and developing and maintaining effective and meaningful working relationships with collision industry groups/influencers. For more information about the position and to request a detailed job description, email Roy Schnepper at by July 12, 2019. Applicants should include a short proposal outlining how they meet the specific requirements. / JULY 2019 AUTOBODY NEWS


Continued from Page 18

MOTOR Information Systems Releases White Paper

MOTOR Information Systems, one of the world’s premier suppliers of automotive data and a trusted partner of leading automakers, unveiled a new educational white paper for Original Equipment Parts Manufacturers and the greater automotive parts industry: “How to generate more demand for OE Parts.” The new white paper explores additional demand potential OE parts manufacturers can create by leveraging the right coded data for parts availability. Maintaining vehicles with Original Equipment (OE) parts ensures proper fit and function. “There is great opportunity to create additional parts demand from OE manufacturers given the abundance of cars on the road today with sophisticated drive chains and technology,” said Jeff Nosek, executive vice president, MOTOR.

FCA Certified

centers while requiring industryleading adherence to OE repair methods. For example, FCA has developed a list of the necessary equipment that is driven more on capability specifications rather than specific brand name tools. For all of our vehicle owners, Mopar is there every step of the way on their customer journey, and that includes safe and proper collision repair through a trusted network.

Q: A:

is access to a network of shops where they can feel confident the focus is on safe and proper repair. Our certified shops have the right tools in their toolbox to safely and properly repair vehicles to FCA standards and procedures.

Mopar is the official service, parts and customer care brand for FCA U.S. vehicles. Mopar-modified Ram 2500 Heavy Duty and a Jeep Gladiator shown in photo. Credit: FCA

FCA works closely with our shops to spread the word that they are part of our trusted network, and we feel this is another great benefit of our program. We host a certified shop locator on the Mopar owner website and the owner mobile app. We


TechForce Foundation and CREF Announce Scholarship Recipients

TechForce Foundation, in partnership with the Collision Repair Education Foundation (CREF), awarded three collision repair students with scholarships funded through a TechForce Foundation FutureTech Success Grant. Winners were selected from a pool of students who demonstrated a passion for learning and an affinity for the collision repair industry based on their participation in the scholarship’s selection process. Each winner received $2,000 that can be used to continue their education in the collision repair industry. This year’s scholarship winners include:

• Hanife Manning of Guilford Technical Community College in Greensboro, N.C. • Dylan Miller of City College in Billings, MO. • Larmar Tillery of Guilford Technical Community College in Jamestown, N.C. “The transportation industry needs


on average more than 15,000 new collision repair technicians each year, but tech schools are only graduating one-third of that number,” said Jennifer Maher, executive director, TechForce Foundation. “TechForce Foundation is proud to partner with organizations, including the Collision Repair Education Foundation, to solve this industry-wide challenge. By supporting collision repair students like Hanife, Dylan and Larmar, TechForce and CREF are working together to champion the next generation of transportation technicians and keep America rolling. Congratulations to the scholarship winners!” Industry members interested in joining the CREF’s supporters, and assisting high school and postsecondary collision school programs and students should contact Director of Development Brandon Eckenrode at (312) 231-0258 or Brandon.Eckenrode@ed-foundation .org. Obtained via techforcefoundation .org.


Q: A:

What type of training is offered for certified shops?

For 2019, we have continued to invest in both web-based and in-person training on how to correctly repair, scan and recalibrate FCA vehicles. We are taking a closer look at our network’s performance/capabilities and ensuring we have the right shops in the network for our customer experience.

What are the benefits of being part of the certified program?

Participation in the program elevates the focus on proper repairs. Through our partner network, we are able to require repair methods and training levels that only about 10-15 percent of the industry can meet, and we feel that’s a great service for our customers. Another benefit for our Chrysler, Dodge, Jeep®, Ram and Fiat owners

also partner with certified shops to offer customized mailers to Chrysler, Dodge, Jeep®, Ram and Fiat vehicle owners in certain zip code proximity to their locations.

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How can collision repair facilities find out more details about the program?


For more information on the FCA U.S. LLC Certified Collision Repair Program, visit http://


For more information about Assured Performance Network, visit https:// / JULY 2019 AUTOBODY NEWS


Former Shop Owner Helps Body Shops to Win With Smart Marketing by Ed Attanasio

Micki Hazz Marketing in Newbury Park, CA, is a company that helps body shops and other companies to flourish in the rapidly changing world of marketing, public relations and advertising. In 2007, Micki Hazz, owner of Micki Hazz Marketing, purchased Casa de Cadillac Body Shop in Van Nuys, CA, and began her journey in the collision repair industry. When the economy took a hit in 2010-2011, Hazz had to close her shop’s doors; but, instantly landed a job with the largest collision center in the area, helping them with their marketing and advertising. At first, Hazz worked part-time at the body shop due to her busy life with her twin daughters. She later became full time and handled all components of marketing for the shop. Upon the death of the owner, Hazz realized she could help different types of companies grow their businesses by starting her own company. When it comes to handling marketing for body shop clients, there are three important tips to share, she said.

Firstly, it’s beneficial to sit down with shop owners and managers to set up a list of priorities and deliverables. Her own company’s motto is “A goal without a plan is just a wish,” so she has learned to turn her clients into planners instead of dreamers, she said. “When a shop has done no marketing, I first suggest they create a logo and build a website,” Hazz said. “I’m surprised whenever I see a reputable shop with a ten-year-old site or a logo that looks like it was drawn in crayon. Customers are savvy—it’s a major red flag if they see a sub-par website and branding.” In most cases, Hazz uses WordPress to build her clients’ sites, for several reasons. This content management system (CMS) makes website navigation clear and easy, she said. “I want to create a website where the shop won’t need me forever to update the information on it,” she added. Secondly, when working on marketing, it’s important for shops to have an online presence through select social media, Hazz said. “Some shops want to be on every social media site, but that is counterproductive,” she said. “Focus

on developing your company’s Yelp and Google pages. Post frequently and make sure the content is accurate. To save time, I recommend using a social media dashboard like Hootsuite, which is free.” Shops should take advantage of Yelp; however, many shops fail to handle it correctly, Hazz said. “You should respond to every review—good or bad—unless, you are dealing with a combative customer,” she said. “If you encounter a bogus review, flag it for removal.” Lastly, once social media and branding is taken care of, shops should put together a digital portfolio they can use to promote themselves and develop new partnerships with car dealers and insurance companies, Hazz said. Oftentimes, she is the person that will help shops find new sources for business. “Some want to get more DRPs, while others are looking for dealerships to work with,” she said. “Before you go after any new business, you must have your ducks in a row. DRPs are looking for OEM certifications, ample parking, sufficient storage and all the right tools and equipment to do the work.”

Collision Hub Announces New Additions

Collision Hub is pleased to announce the addition of Jason Bartanen and Holly Goodwin, AIC. “After completing a two-year collision industry research project, it was clear there were needs that I couldn’t deliver,” said Collision Hub, CEO Kristen Felder. Bartanen will assume a new role within Collision Hub as Director of Collision Industry Relations. Working closely with industry stakeholders, Bartanen will bring an exciting line up of new products and services to market. “I’m most excited about the opportunity to reconnect with collision repair technicians from across the country, building products and services designed to help them excel,” Bartanen said. Goodwin will assume a new role as Director of Operations. Her primary responsibilities will be in supporting the infrastructures required for ongoing research, client services, product development and video training projects. “This is an incredible opportunity,” she said. For more information, please visit

GM Deems Free Body Procedure Documents Insufficient by Chasidy Rae Sisk

General Motors (GM) recently removed free PDFs pertaining to its body repair procedures from its website, because the OEM deemed that these documents alone were insufficient to guide a collision repair facility to produce a “safe and proper repair.” The released statement said “General Motors recently removed the downloaded PDF collision repair procedures previously hosted on The procedure information previously posted to the site was limited and did not represent the full details necessary for a safe and proper repair.” The statement continued, “Complete, accurate and up-to-date procedures are available to the market through GM Service Information (GMSi). It is the comprehensive collection of vehicle service repair information for all GM vehicles. GMSi is available to repair professionals on the ACDelco for professional’s site and is available to Collision Repair Network facilities through their Mitchell Cloud Estimating subscription.” This removal is unsurprising 26

since Bob Hartman of GM stated in July 2017 that GM’s free procedures site was not adequate to produce a proper repair. He had expressed concern that the existence of the free information could mislead shops into believing the documents contained everything needed to safely restore a vehicle, despite the absence of all repair procedures related to a vehicle’s frame as well as information on airbags, hybrid vehicle safety, diagnostics and calibrations. still contains position statements and general technical documents. All necessary body repair information and other needed procedures, along with hyperlinks and videos, are available on the paid ACDelco GM site at a cost of $20 for a three-day subscription, $150 per month or $1200 annually. The site can be accessed at .html.

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Continued from Cover

GEICO Appeal

offset by the $50,000 payment Mazik had already received. Mazik filed this action for bad faith against GEICO on May 7, 2014. The case was tried to a jury in July 2016. The jury returned a verdict in favor of Mazik and awarded compensatory damages of $313,508. The compensatory damages consisted of $300,000 for “[m]ental suffering, anxiety, and emotional distress” and $13,508 for “attorney’s fees and costs to recover the insured policy benefits.” The jury also awarded punitive damages of $4 million. Following a motion for a new trial, the trial court found that the punitive damages award was excessive in light of the ratio of punitive to compensatory damages and the fact that Mazik’s claim “relates to financial damages” rather than personal injury. The court reduced the amount of punitive damages to $1 million. Mazik v. GEICO (2019) 35 Cal.App.5th 455 involved a policyholder’s claim for the $50,000 limits


under his underinsured motorist policy. After a jury found that GEICO had unreasonably delayed paying those limits, it awarded the policyholder $313,508 in compensatory damages and $4 million in punitive damages. The trial court reduced the punitive damages to $1 million, but GEICO appealed, arguing that: (1) the evidence was insufficient to prove that “any officer, director or managing agent” of GEICO had acted in bad faith, (2) the conduct did not constitute “oppression, fraud, or malice”, and (3) even the reduced punitive damages award was excessive. GEICO appealed only the punitive damages award. It argued that (1) the evidence is insufficient to show that any “officer, director, or managing agent” was involved in any act of bad faith (Civ. Code, § 3294, subd. (b));[1] (2) even if a managing agent was involved, the evidence is insufficient to show that such an agent personally engaged in “oppression, fraud, or malice,” or authorized or ratified such conduct by other employees, as required to support a punitive damages award (ibid.); and (3) the punitive


damages award was excessive, even as reduced by the trial court. The California Court of Appeal rejected GEICO’s arguments and affirmed the punitive damages, ruling “There is sufficient evidence to show that GEICO’s managing agent ratified conduct warranting punitive damages. In concluding that Mazik’s claim was worth far less than the policy limits, GEICO disregarded information provided by Mazik showing that he had a permanent, painful injury, and instead selectively relied on portions of medical records that supported GEICO’s position that Mazik had fully recovered. As reduced by the trial court, the $1 million in punitive damages (approximately three times the amount of compensatory damages) is within the constitutionally permitted range in view of the degree of reprehensibility of GEICO’s conduct.


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Dave Luehr’s Body Shop Presents ‘Human Triggers’

Dave Luehr’s Elite Body Shop Solutions announces the next installment of the FREE Elite Webinar Series. “Human Triggers: How to influence customers to choose your shop over the competition” will feature Ryan Taylor, CEO of BodyShop Booster, on Thursday, May 30, at 1 p.m. Central. To register, visit: https://events.genndi .com/channel/May2019EliteWebinar. Those who are unable to attend the live event can watch the recorded webinar by joining the Elite Body Shop Academy for free at http://www.elitebodyshop This action-packed webinar will show attendees the fastest way to grow their shop by using behavioral triggers that will influence customers’ buying behavior. “This will be Ryan’s second time presenting with us on our Elite Webinar series,” said Luehr, founder of Elite. “The feedback from his last presentation received so much praise for its cuttingedge practical information.” / JULY 2019 AUTOBODY NEWS


ASA Presents ‘Stop Reacting and Start Succeeding’ Webinar

The goals of the seminar included: learning how to get more done On May 15, the Automotive Serv- in fewer hours, understanding how to ice Association (ASA) hosted its modify your behavior to get results monthly Webinar Wednesday, fea- and how to feel like a winner when turing “Stop Reacting and Start Suc- you go home every day. Keeping ceeding” with Rick White of 180 these goals in mind, White identified two typical management BIZ Solutions. White enstyles: the bad and the ugly. couraged attendees to The bad management style identify their management entails telling people what to style, look at how it imdo, when to do it and how to pacts overall performance do it. However, by managand recognize modified ing activities, you feel like steps to get the most out of a babysitter and your emtheir teams. Tony Molla, ployees feel micromanASA vice president, welaged and disconnected. In comed attendees and exASA hosted its the ugly style, the manager plained how they can earn monthly Webinar pushes the employee out of AMi credits. Then, Molla Wednesday, the way and does the task introduced White. featuring “Stop White began by ex- Reacting and Start themselves; this tells the employee that you don’t plaining that most shop Succeeding” with owners constantly function Rick White of 180 believe in them and causes them to resent you. in “react mode.” BIZ Solutions Rather than managing “There’s no growth; no plan. It’s just survival, and there’s through emotion or reacting to cirpain because you realize there’s more cumstances, White encouraged attenon the table, but you don’t know how dees to focus on training their teams to grasp it or believe you’re capable and helping them become proficient of achieving it,” said White. “My goal in those tasks. “Until you’re super clear on what is to help you move closer to achievyou want, your team is going to spend ing your dream.” by Chasidy Rae Sisk

Louisiana Anti-Steering Bill Passes House and Senate by Chasidy Rae Sisk

Louisiana House Bill 411, an antisteering bill which would require consumers to be notified of their right to choose a shop, passed the state’s House of Representatives and Senate in May. In order to become law, the bill merely needs to be signed by Gov. John Bel Edwards. According to an email written by Edwards’ communications director Shauna Sanford, “The Governor is inclined to sign the bill given the overwhelming support of the measure by the Legislature. There was no objection to the bill by the House or Senate.” House Bill 211 was introduced on March 29. Sponsored by Louisiana State Representative Terry Landry (D), along with 20 co-sponsors, House Bill 211 unanimously (88-0) passed the House of Representatives on May 15. It moved to the Senate without amendments. On June 1, the Senate also passed the bill unanimously (36-0). While Louisiana law already prohibits insurers from requiring policyholders to repair their vehicles at a specific shop, the bill adds lan30

guage, stating a carrier “shall not recommend the use of a particular motor vehicle service or network of repair services without informing the insured or claimant that the insured or claimant is under no obligation to use the recommended repair service or network of repair services.” Additionally, House Bill 211 prohibits insurers from using “any act or practice of intimidation, coercion, or threat to use a specified place of business for repair and replacement services.” If Gov. Edwards signs the bill into law, it will increase fines for steering. Current law fines up to $500 per offense, but under the new law, the Insurance Commissioner could fine an insurance company $1000 for the first offense, $2500 for a second offense within a year and up to $5000 for a third steering violation within the same 12-month period.




Autobody News

their time trying to figure out what to do,” said White. “It’s easy to get so focused on what you’re doing that you forget why you’re doing it. You fixate on a broken process and nothing gets better.” White defined activity as the action you’re taking. Results are the consequence of actions and the out-

come is the final product, which he referred to as “results with a conscience.” “Activities are there to get a result that leads you to the outcome. Outcomes are a bigger way of thinking about things,” he added. “Unintentional outcomes miss the mark of what you really want. You need to manage your outcomes with intention; otherwise, every day seems the same.” White went on to explore the differences between reacting and re-

sponding. Reacting is all about you and causes the employee to shut down. Responding focuses on educating them and building them up as well, he explained. He told attendees to spend a moment at the end of each day to evaluate what went well and what could have been better. This way, attendees can come up with a plan with three action items to make the next day better, “and you’ll go home feeling like a million bucks because you know you’re going to make a difference tomorrow,” he said. Concluding his presentation, White shared, “Consciously managing outcomes will allow you to manage with your head and heart. You’ll be proactive instead of reactive. Train your staff so they could work anywhere, but treat them in a way that they’ll never want to leave.” ASA’s next webinar will be held on June 19 with Bobby Bassett, North America national training manager for Gates Corporation, who will present “Belt Slip, the Gift that Keeps on Gifting.” For more information or to register, visit

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lence on behalf of the vehicle owners and insurers we serve,” Gange added. Gange joined Fix Auto USA as president and COO in 2009 and was Omni La Costa Resort for the 17th later named president and CEO in Annual Fix Auto USA Conference: 2016–the same year Fix Auto USA Family Value(s). They included Fix celebrated its 100th franchise locaAuto USA Franchise Partners and tion. Today, the company is driving their co-pilots as well as executives towards the goal of operating over representing every collision and in- 200 locations. “While we further develop our surance industry segment. footprint, we continue to be a top performer for our insurance and vehicle manufacturer partners who are looking for quality and efficient service for their customers. All of our locations are owner-operated, and our culture is that of a family. We truly have one common More than 275 attendees gathered in Carlsbad, CA, at the brand and we deploy a team Omni La Costa Resort for the 17th Annual Fix Auto USA of Fix Claims Solutions Conference: Family Value(s). Credit: Fix Auto USA (FCS) professionals unlike “Moving forward, we want to any other brand in the industry,” said continue attracting high-performing, Gange. Throughout the four-day conferforward-thinking operators who want to stay and compete and be part of ence, presentations were given on a something bigger than themselves wide range of topics to educate attenwhile we hold them accountable to dees and help them continue to build an unparalleled standard of excel- successful businesses. These included Continued from Cover

Fix Auto USA



building a talent strategy, developing a new generation of estimators and technicians, ADAS (Advanced Driver Assistance Systems) and elevating the customer experience through valuesdriven leadership. “The energy and thought leadership at our conference is extraordinary,” said Dennis O’Mahoney, vice president of business development.

“It is exciting to facilitate the dialogue between our Fix Auto USA franchises and our industry partners as we work together to solve the issues of the industry today. “Each of our franchise locations views the next as a ‘collaborator’ versus a ‘competitor’ even if they’re in the same market. So, bringing together our entire family is not only critical to our success, but to our culture,” he

continued. “When you have our entrepreneurs—the franchise partners— working together towards a common objective, the outcome is a tighter bond that delivers better results.” Jim Huard discussed the Fix Auto Dashboard, which was developed by Erick Bickett, co-founder of Fix Auto USA and co-owner of eight Fix Auto USA locations, and Huard, regional managing partner of three of Bickett’s locations: Fix Auto Anaheim, Fix Auto Costa Mesa and Fix Auto Irvine. Over the last three years, Bickett and Huard built the dashboard with the assistance of other franchise partners. The dashboard consolidates data points from multiple disparate systems onto one screen and refreshes the data in real time. During the event, VeriFacts Automotive co-founder and CEO Farzam Afshar presented Fix Auto USA an award for achieving the highest percentage of VeriFacts VQ Medallion shops of any collision repair brand in the world. VeriFacts’ VQ Medallion represents the highest level of shop repair quality and expertise. This year, more than $50,000

was raised for the Fix Auto USA— Tim Clark Memorial Scholarship, which awards scholarships to those looking to enter the collision repair industry. The scholarship was named after Clark, the Fix Auto USA executive responsible for giving FCS’s initial framework and charter.

(l to r) Erin Tallant, Axalta Coating Systems; Holly Bickett; Erick Bickett; and Jim Ocampo, Axalta Coatings Systems. Credit: Stacey Phillips

A highly-valued component of the conference’s agenda included recognizing and rewarding accomplishments by franchise partners. This year, Selvi Rizk received the Franchise Partner-of-the-Year award. Rizk operates Fix Auto Brea and Fix Auto Moreno Valley, both of which are located in Southern California, and also participates on the brand’s

Market Leaders Advisory Council. “Being named Franchise Partnerof-the-Year is a distinct privilege and is a career highlight for me,” said Rizk. “I was thrusted into this business ten years ago into the daunting task of turning around a troubled business. I’m happy to have been able to overcome the challenges of the past and focus on a brighter future.” During the conference, Rizk talked about her experience in the industry and becoming a franchise partner. The following awards were presented to Franchise Partners who exemplify Fix Auto USA’s Family Values: Marvic Vila, operator of Fix Auto Daly City and Fix Auto San Francisco – South of Market, received the Vision Award; Operatorof-the-Year was presented to Huard, regional managing partner of Fix Auto Anaheim, Fix Auto Costa Mesa, and Fix Auto Irvine; Rookie-of-theYear was given to Arthur Mercado, operator of Fix Auto Alameda and Fix Auto Castro Valley; and John Kimpton, operator of Fix Auto Springfield, received the Arrow Award. Locations demonstrating mar-


ket-leading performance and individuals going beyond the call of duty were also recognized. The Best Length of Rental award was presented to Fix Auto Irvine for the second consecutive year; Fix Auto Modesto received the Best CSI award

(left) Selvi Rizk, operator of Fix Auto Brea and Fix Auto Moreno Valley, received the Franchise Partner-of-the-Year award. Credit: Stacey Phillips

for the second consecutive year; the Best Estimator award was given to Tina Perez from Fix Auto Oceanside and Fix Auto Irvine received the Going Green Top Shop award. For more information about Fix Auto USA, visit or contact Marketing Manager Jonathan Herrera at


Continued from Page 14

Sierra College

problems didn’t begin with Schulz, as she stepped in after two interim deans in 2016. “Amy has inherited a problem. It’s not totally her issue,” he said. Still, both Moore and Andronas like the program and are concerned it will disappear. “My heart belongs to Sierra College,” said Andronas. “If they shut the program down, it will never reopen.” Administrators plan to open the revitalized automotive technology program in the fall of 2020. “Our intention is that we will have new curriculum with emerging technologies,” Bocchicchio said. Instructors like Andronas and Moore are nervous about the future, but want to take the administration’s words in good faith. “I sure hope, from the bottom of my heart, revitalization is what they intend to do,” Moore said. We thank The Union for reprint permission.


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In Reverse with Gary Ledoux

Gary Ledoux is an industry veteran with 48 years’ experience in the automotive and OEM collision parts industry. His column appears exclusively in Autobody News. He can be reached at

The 1970s - Part 2 - The OE’s Become Their Own Worst Enemy See Part 1 in June, 2019

The American fleet had grown exponentially by the 1970s. This growth has led to an influx in business for many body shops. Vehicle manufacturers were all about new cars, new models and the next great gizmo to help sell more cars. However, little thought was given to parts and service. Manufacturers had developed their network of dealers—and, it was up to those dealers to take care of the customer after the sale. The problem was that there were not enough dealers with body shops to handle the level of business the new cars created. It would be years before the OE’s realized they had to provide better support to the industry and to independent shops. Availability of parts from automakers was limited and therefore, it was not an OE’s first priority. Fred Jones, Pennsylvania shop owner, testified before a Senate Subcommittee, investigating the high cost of auto repair states. Jones continued to say that repairers cannot depend on parts deliveries from the big three automakers. He said he waited 28 days for parts on a Ford, 69 days for Buick parts and 37 days for Plymouth parts. He noticed that many new parts came in damaged. The repairer can go back to the dealer who claims the damage was produced by the trucking company, but it is difficult to make a claim. Even if a claim is made, the trucking company may or may not pay it. If the dealer will not compensate the shop for the repair, the shop must eat the cost. Jones continued to share his input on pricing. He said many dealers now receive wholesale compensation to help defray their reduction in gross profit when they discount parts to the independent shop. However, many deals do no avail themselves of the program and continue to sell parts to shops at a price, which gives the dealer-owned shop an unfair advantage. At the time, a dealer could give an independent body shop a discount of 10% off the MSRP 34

price and 15% off if the shop was a great customer. Furthermore, insurance companies are having cars towed from Jones’ yard to have them repaired at other shops, for what is claimed to be a lower price, without knowing what his price was, Jones’ said. The pressure for American automakers to provide better parts availability began to surge in the spring of 1970. Roy Lovell, claims manager for Nationwide Insurance, instructed all of his field people to alert him of any parts delays. Lovell planned to document any delays and bring the information to Senator Phillip Hart, the man in charge of the Senate Subcommittee, investigating the automotive industry. The industry has made it clear: the need for expedient parts delivery to collision shops is increasing. American Motors Corporation (AMC) heard the industry’s cry and announced the creation of an expanded corporate parts distribution division. Michael Lonergan is now the division’s general manager. In March of 1971, AMC announced that they had a new computerized parts ordering system, which enabled them to maintain an order performance level of 92%–higher than any other domestic car company. A part ordered through the system can be in the dealer’s hands within 24 to 72 hours. This all sounds good, until one realizes that this was part of an intricate distribution system—driven at the OE dealer level—a level with less technology and sophistication. In the early 1970s, dealers had four different ways (and slight variations thereof) to generate a parts order: Computerized system – ADP and Reynolds and Reynolds (R&R) came up with similar programs designed to control inventory and generate parts orders. Expensive systems as such can be effective for those larger dealers who can afford them. Pad system – Both ADP and R&R had systems whereby the dealer’s entire parts inventory was up-


loaded onto a computer along with the amount in stock. The results were printed on a “pad” of paper and delivered overnight to the dealer. The dealer then noted additions to and deletions from the inventory by placing “tick” marks in the proper column next to each part number. Periodically, the pad was returned to the computer at the company headquarters and a new, updated pad returned to the dealer. Based on parts movement, the system could then be used to generate a suggested parts order. This system was slow, prone to inaccuracies and not very efficient. Cardex system – Some of the smallest dealers kept track of their parts inventory by generating a 3X5 card for each part number in their inventory. Each day, a clerk would have to review every repair order and retail parts ticket generated the previous day, and mark on each card

what was sold, or what came into the inventory from an incoming parts order. Then, the clerk would review each card and determine if an order for the parts was needed. Seat of the Pants system (SOTP) – This system suggests that the dealer had no order-generating system at all. Except for the periodic ordering of some very fast moving items like oil filters or spark plugs, nothing was ordered until a customer requested it. The dealer also had a few different ways to order parts from their OE warehouse. Again, depending on the OE, these methods had different variations. Stock order – This order type was designed to allow the dealer to replenish their own stock. Typically, it provided the most benefits to the dealer—free freight, additional disSee Their Own Worst Enemy, Page 60 / JULY 2019 AUTOBODY NEWS



AutoNation Honda Costa Mesa

866-411-4759 714-434-5270 Dept. Hours: M-F 7-7; Sat 8-5

AutoNation Honda Roseville Roseville

800-262-3201 916-783-5628 Dept. Hours: M-F 7:30-6; Sat 8-5:30

Barber Honda B a ke r s f i e l d

661-396-4235 Dept. Hours: M-F 8-5:30

First Honda S i m i Va l l e y

888-523-0698 805-584-6646 Dept. Hours: M-F 7-6; Sat 7:30-5

Galpin Honda Mission Hills

800-GO GALPIN 818-778-2005 Dept. Hours: M-F 7:30-6; Sat 8-2

Honda Cars of Corona Corona

800-557-3652 951-734-9045 Dept. Hours: M-Sat 7-5


Acura of Fremont F re m o n t

888-435-0504 510-431-2560 Dept. Hours: M-F 8-6; Sat 8-5

Acura of Pleasanton Pleasanton

888-985-6342 925-251-7126 Dept. Hours: M-F 7:30-6; Sat 8-6



Please contact these dealers for your Honda or Acura Genuine parts needs. CALIF O R N I A




South Tacoma Honda

Honda of Hollywood

Pacific Honda

Findlay Honda


San D i e g o

L a s Ve g a s

800-371-3719 323-466-3205



Ta c o m a

Dept. Hours: M-F 8-6

Dept. Hours: M-F 7:30-5:30; Sat 8-5

San Francisco Honda

888-497-2410 253-474-7541

San Fra n c i s c o

Honda of Oakland



Dept. Hours: M-F 8-5

510-547-8047 Dept. Hours: M-F 7-8; Sat 7-6

Scott Robinson Honda

Honda of Pasadena

Torra n c e



800-433-0676 626-683-5880

Dept. Hours: M-F 7-6:30; Sat 7-5

Dept. Hours: M-F 8-6; Sat 8-4

Honda of the Desert

Sierra Honda


Mon r ov i a

408-720-0221 408-736-2608

800-322-8540 626-932-5614


800-446-5697 909-625-8960


Lithia Honda of Medford M e d f o rd

Larry Hopkins Honda

Metro Honda

Dept. Hours: M-F 7-6; Sat 8-5

888-471-7445 541-770-3763

Dept. Hours: M-F 7-6; Sat 7:30-4:30

Dept. Hours: M-Sat 8-5


Sel m a

Dept. Hours: M-F 7-6; Sat 7-5

Dept. Hours: M-F 7:30-6; Sat 8-5

888-234-4498 702-568-3531

Selma Honda 800-717-3562 559-891-5111

Cathedral City


Findlay Honda Henderson

Dept. Hours: M-Sat 7:30-6; Sun 10-5 WA S H I N G T O N

Hinshaw’s Honda Auburn

253-288-1069 Dept. Hours: M-F 7-6; Sat 7:30-4:30

Dept. Hours: M-F 7-6; Sat 8-4 IDAHO

Larry H. Miller Honda

McCurley Integrity Honda R i ch l a n d

800-456-6257 509-547-7924

Bo i s e

Dept. Hours: M-F 7:30-5:30; Sat 7:30-4

888-941-2218 208-947-6060

Ocean Honda

Dept. Hours: M-F 7-6; Sat 8-5

Dept. Hours: M-F 8-5:30; Sat 8-4

Santa Cruz

831-464-1800 Dept. Hours: M-F 7-6; Sat 8-4:30


AutoNation Acura of South Bay Torrance

310-784-8680 Dept. Hours: M-F 7-6; Sat 8-5

Bakersfield Acura Bakersfield





Metro Acura

Lyle Pearson Acura

Mont c l a i r



800-446-5697 909-625-8960

800-621-1775 208-377-3900


Dept. Hours: M-F 7:30-5:30

Dept. Hours: M-F 7:30-6

Acura of Honolulu

Findlay Acura

Dept. Hours: M-F 7:30-5:30


866-931-9086 808-942-4557

877-770-5873 702-982-4160

Marin Acura

Dept. Hours: M-F 8-5; Sat 8-4

Dept. Hours: M-F 7-6; Sat 8-4

Corte Madera

Dept. Hours: M-F 7-6; Sat 8-5



Hon o l u l u

800-77-Acura 415-927-5350

Hinshaw’s Acura

Dept. Hours: M-F 8-5:30; Sat 8-4 / JULY 2019 AUTOBODY NEWS


Shop Management

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at

with Ed Attanasio

Are You as High-Tech as Your Customers? No one wants to take their car to a body shop. The customer is either mad someone hit their car or embarrassed, thinking the accident was their fault. Collision repair is not an impulse buy, but it’s a service that is needed; so, people want the process to be fast and convenient. Now, collision repairers are leveraging technology to better accommodate customers. Consumers used to utilize any form of technology that made their collision repair easier. Nowadays, people expect technology to make their lives easier in every realm. Everyone—from seniors to millennials—are no longer afraid of cutting-edge technology they don’t understand, but do value, such as computer-based systems, automation, robotics, artificial intelligence and more. Tech-savvy customers are hard to impress. The true test of any new form of technology is when it becomes a daily part of our lives. Megan Williams, chief marketing manager at Lefler Collision & Glass Repair oversees marketing for this 66-year-old MSO with three locations in Indiana and one in Kentucky. “While the collision repair industry as a whole is outdated in terms of processes, we are experiencing a shift in service due to the addition of technological advancements,” she said. Technology is changing the world every day and body shops tapping into it are benefitting as a result. Body shops on the cutting-edge will excel, while late adopters will suffer. Below are three types of technology that can help make body shops become accountable and efficient while creating consumer confidence and trust.

Videos In the old days, you dropped off your car for repair and wouldn’t see it AUTOBODY


again, until the job was complete. Now, however, thanks to video technology, you can play a significant role throughout the entire repair process. Vehicle manufacturers are developing video technology that will empower car owners to find out about things such as scratches and dents that occur during transit, including the date and time of the incident while overseeing the repair process. Mercedes is a company that offers an IP solution, incorporating video surveillance software and IP cameras. Exterior cameras are able to record every aspect of the vehicle being loaded onto the showroom, including every license plate number. This technology allows users to access live video via the Internet instantaneously.

Apps People have an average of 35 apps on their devices. As a result, developers worldwide are clamoring to meet the demand. Collision repairers realize that apps used to transmit data about their various services and specials is a great way to get more business. Today’s car owners are more aware of technology; therefore, body shops are looking for ways to cater to today’s mobile customers. Apps are gaining momentum, Williams said. “Thanks to the ‘Amazon effect,’ consumers, like us, are looking for ways to incorporate technology into our everyday lives,” she said. “You can see this in our day-today behaviors such as ordering Starbucks from their app, so it is ready for us upon arrival, Prime shipping on Amazon and Target with their new order and drive-up service.” Apps help make body shops more responsive to their customers through software techmology such as UpdatePromise, the 3M Free Collision Repair App and Bodyshop Booster, among others. Williams sees value in the colli-



sion repair industry’s plethora of new apps. “Applications such as Bodyshop Booster make it possible for us to capture business during times where we are not open, but people still need to get in touch with us,” she said. “36 percent of individuals want to do business with us while we are closed, according to Mike Anderson’s research. We are seeing more individuals prefer to have text updates via CCC rather than phone calls, as it allows them to be updated more frequently and not have disruptions throughout their day.” Blogs Blogs are playing a major role now too, as shops educate consumers about their cars with helpful tips about different aspects of their vehicles and how to repair them. Blogs create a smarter customer—they have to tap

into technology to satiate their hunger for more. Experts forecast that the rapid evolution of in-car technology and consumer-focused mobile apps will place consumers firmly in the driver’s seat when it comes to repairing their cars. At the end of the day, technology makes our lives easier, but superior customer service remains crucial, Williams said. “As CCC reported in their 2019 Crash Course, consumers who are provided opportunities to ‘save a trip’ and make the collision repair process less of a hassle are more likely to return due to the superior service they received,” she said. “Other potential benefits include reduced cycle time due to the ability to plan for the vehicle prior to its arrival, increased employee productivity due to fewer phone calls and time spent writing estimates in person.”

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Industry Insight with John Yoswick

—John Yoswick is a freelance writer based in Portland, Oregon who has been writing about the automotive industry since 1988. He is the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit Contact him by email at

Consumer Advocate Gives Industry New Voice With Insurance Regulators Ohio attorney Erica Eversman, insurers, such as the health insurer who has long been an advocate for covering the costs of medical care consumers and collision repairers for the couple hurt in the accident in legal battles with insurers, has that led to the John Eagle lawsuit or recently become one of about 30 the garage-keepers’ insurer covering volunteer consumer liaisons to the the shop. National Association of Insurance Eversman said California InsurCommissioners (NAIC). The con- ance Commissioner Ricardo Lara sumer liaisons attend the NAIC’s seemed particularly receptive after three meetings per year that draw her presentation to work with her state insurance commissioners and “on solving some of these issues for their staff, along with inconsumers,” and she sensed surance industry represen“immediate opportunities to tatives. be able to make a change” The NAIC focuses on in New York, North Carinsurance regulatory issues, olina, Colorado and Missisoften drafting or, at least, atsippi. tempting to draft model leg“This is not to say other islation states may adopt. In states wouldn’t be interOhio attorney Erica the early 2000s, for examested, but I didn’t have any Eversman ple, the NAIC unsuccesspersonal interactions [at the fully attempted to draft a proposed NAIC meeting] with some of the regulation for states to consider the other states,” Eversman said. use of non-OEM parts. Mississippi is one state in which Eversman said the NAIC is now repairers shouldn’t have trouble being largely focused on healthcare issues. paid for OEM repair procedures, she “There is nothing going on right said. Following her presentation, now at the NAIC involving auto insur- Eversman spoke with Deputy Insurance, but we intend to change that,” ance Commissioner of the MissisEversman said. sippi Department of Insurance, Mark Presentations made at NAIC Haire. meetings help lead the organization “Our commissioner already manto have one of its committees take on dates the use of OEM procedures. We a particular issue, she said. She pre- don’t have that issue,” Eversman said sented at NAIC on the John Eagle Haire told her. “That was the first I’d Collision Center lawsuit. The lawsuit heard of that. That could be true, I referred to the dealership collision don’t know, but that was the position shop that was sued for not following they took.” OEM repair procedures on a vehicle, Eversman acknowledged that in which a Texas couple was injured many collision repairers and shop asby, she added. Eversman said she fo- sociations have become frustrated cused on the need “to have insurance with trying to get their state insurcompanies pay for OEM procedures ance regulators to address their conthat affect safety.” cerns about some claims practices by When asked if that would drive auto insurers. up insurance rates, Eversman said it “Unfortunately, as I think we’ve may or may not. all experienced, sometimes it seems “But even if it did, would you as if the insurance commissioners are rather have insurance rates go up or there to protect the insurance compawould you rather have unsafe cars go nies [rather than consumers],” Eversback out on the road just so we can man said. “I certainly have had that keep insurance rates down?” Evers- experience.” man asked. One message she said she reShe also said auto insurers de- ceived at an NAIC meeting centered clining to pay for “proper, safe re- on the idea that shops should file pairs” has repercussions for other complaints about insurer practices



with their state regulators. “I told commissioners we sometimes get push-back—we’ve been told there are some states in which the department of insurance won’t take complaints from collision repairers—only from consumers,” Eversman said. “They told me no, that isn’t true.” She said if shops are told that, they should contact her so she can address it with the state agency involved. Complaints directly from consumers may be better, she said, “but how is the consumer supposed to know why a roof needs to be welded rather than glued? They can’t know that.” One state regulator told her they don’t have the authority to make factual determinations about who is at fault in some disputes, she said. Getting complaints from multiple shops around a state—rather than a lot

from one shop—can help demonstrate a pattern or practice and thus trigger an investigation, she added. When submitting a complaint about an insurer’s refusal to pay for a necessary OEM repair procedure, she recommended shops to stick to the facts. “Do not whine,” Eversman cautioned. “Tell them the proper way to repair the vehicle and let them know it’s a safety issue.” The NAIC website offers links to each state’s insurance regulatory agency, including a link that shows how to file a complaint in each state. Eversman also suggested that collision repairers support the re-election next year of Mike Causey, a retired life insurance executive and a former lobbyist for the North Carolina Autobody Association of Collision and Autobody Repair (NCACAR). See New Voice, Page 43 / JULY 2019 AUTOBODY NEWS


National Associations with Chasidy Rae Sisk

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at

ASA Annual Business Meeting and Conference Exceeds Expectations On April 30-May 2, the Automotive Service Association (ASA) hosted its 2019 Annual Business Meeting and Conference at the Hurst Conference Center, in Hurst, Texas.

and where we are going. In addition, new officers are sworn in and election results are announced,” said Tony Molla, ASA vice president. The meeting began on Tuesday, April 30, with a joint meeting of ASA’s Board of Directors, Affiliate Executive Directors and Affiliate Board Chairman/President of Collision and Mechanical Opera-

Bob Cooper of Elite Worldwide presented a two-part class on pay plans. Credit: Chasidy Rae Sisk

“ASA’s Annual Business Meeting is a combination of business management and technical training. It allows members and leaders to network and to learn the latest information on what the association is doing

Roy Schnepper, ASA outgoing chairman (center), is flanked by his wife, Roseanna and Ray Fisher, ASA executive director, as he is presented with the traditional ASA Chairman’s Ring. Credit: Chasidy Rae Sisk




MON-FRI 7-6 / SAT 8-5

e. It ju st ma ke s se ns

tions Committees. There was also an Advanced Driver Assist System (ADAS) calibration class for both collision and mechanical members, provided courtesy of Standard Motor Products.

Jeremy O’Neal of Advisor Fix did double duty at the meeting in serving as co-moderator of the Recruitment & Retention panel and providing two classes for the shop-owner attendees. Credit: Chasidy Rae Sisk

On Wednesday, April 30, additional training opportunities included a class on pay plans presented by

Bob Cooper of Elite Worldwide and a vehicle design and technology class taught by Tom McGee, courtesy of Spanesi USA. Sarah Fraser of Haas Performance Consulting provided a presentation on Generation Z—outlining the difference between Generation Z and millennials.

Sara Fraser from Haas Performance Consulting presented an informative session on the differences between millennials and Generation Z. Credit: Chasidy Rae Sisk

“The interesting takeaway here proved valuable as an employer and



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as a customer,” said Ray Fisher, ASA executive director. “It really helped you understand why their thinking process is different from boomers— not in a ‘bad way’ either, just different influences.” Molla moderated a Recruitment and Retention panel, on the afternoon of April 30, featuring panelists from TechForce Foundation, ASE

Education Foundation, AMi, Collision Repair Education Foundation (CREF) and the U.S. Department of Labor. Jeremy O’Neal of Advisor Fix also taught two informative sessions. In addition, a variety of board meetings and committee meetings were held throughout the conference. Lastly, ASA hosted its annual awards dinner on the evening of April 30. “The ADAS training and Recruitment and Retention Panel discussion was well received,” Molla

said. “We were glad to receive some suggestions for next year along with positive feedback. The event exceeded our expectations.”

ment, most of our news and information is delivered electronically. While this is certainly efficient, it can’t replace the value of personal interactions and networking as part of a robust involvement in the industry—it’s always better when you can put a name to a face.” During the ASA updates, Fisher announced the launch of its new ASA app, which can be found in any phone’s app store. The Recruitment and Retention panel explored the resources “We partnered with Moavailable from a variety of organizations to help shop owners bileSoft to develop a new find the talent they need. (l to r: Tony Molla, ASA VP of tool for our members to get Industry Relations; Christen Battaglia, CREF; Trish Serratore, ASE Education Foundation; Jeff Peevy, Ami news and information on President; Roxann Griffith, US Department of Labor; the go, with additional feaand Jennifer Maher, TechForce Foundation). Credit: tures like an ASA Member Chasidy Rae Sisk Shopfinder, industry events, The ASA’s goal is to advance legislative news and member beneexcellence in the service and repair fits,” said Molla. “MobileSoft can industries. Molla said one of the ben- also provide a customized mobile efits of the meeting, aside from the app for any ASA member business at training and education, is the ability a very affordable price as part of our member benefits.” to network with like-minded peers. “It’s important for our members to have the opportunity to meet face- For more information on ASA and its to-face at least once a year,” Molla future events, visit “In today’s connected environ- nualmeeting.

Continued from Page 40

New Voice

Causey, a Republican, was in the news earlier this year after he alerted federal law enforcement about what he saw as an attempt to bribe him. The chairman of the Republican Party of North Carolina—one of four people indicted in the scheme—allegedly offered campaign contributions to Causey to help ensure special treatment for an insurance firm. All those indicted have denied the allegations. “Mike is the guy who wore a wire for the FBI” after he told authorities of the alleged bribery attempt, Eversman said. “Mike is a friend of this industry. He’s willing to help the industry, but we have to keep him there.” Eversman said that like the other consumer liaisons, she has a one-year term in the position at the NAIC, but can reapply this fall for another term. “Some of the consumer liaisons have been with NAIC for 15-plus years and really know the various departments and how they operate,” she said.

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Hail! Hail! to Paintless Dent Repair

storm takes place. He warns businesses to be prepared when a hailHail season is considered to be from storm comes. When hail happens, mid-April to mid-September. It is shop operations can get busy which during this time when body shops ex- is why PDR services are necessary, pect a rush of business with damaged he said. cars flooding in. Auto body shops are “Vehicles that require paintwork slammed with work as inclement can overload a shop’s paint booths, weather surfaces throughout the re- so working closely with the PDR gion. Shop owners are often looking company to minimize work blockage for ways to quickly repair these dam- is critical,” Volquardsen said. “Body aged vehicles. shops that offer hail repair should Paintless Dent Repair (PDR), consider operating two shifts to minused for hail damage, minimizes the imize the effect on the daily operasteps needed to perform a repair on tion and to expand their paint booth the body of a vehicle. Dentsmart, a capacity.” company that provides PDR, is comWilliams have seen the PDR inmitted to providing comprehensive dustry change in several important education on this process to all tech- ways that benefit both shops and nicians. customers. New technology and spe“PDR is a skilled process of man- cialized tools has changed the repair ually removing dents without damag- process, he said. ing the automobile’s finish,” “The introduction of said Jeff Williams, Dentspanel shrinking devices has mart partner. “While it is a caused heat to shrink and specialized repair process, a metal to stretch,” Williams majority of repairs are comsaid. “While effective, they pleted by hand. Standard can be intrusive.” tools include lights, hand PDR does require a techtools, glue-pulling systems nician to touch the vehicle Dentsmart’s and hammers.” physically, so we’ve seen litJeff Williams Keith Volquardsen, a tle to change the process; has witnessed PDR expert with The Claims technology change however, specialized tools the PDR industry Bridge, shows body shops have become available. on many levels how to make money per“Many of these tools come forming PDR services when a hail- in various shapes and sizes, different by Ed Attanasio

materials and have interchangeable load—to 100% over capacity when a hailstorm hits,” Haxton said. “There working surfaces,” he said. Technological advances do ben- are a lot of questions to be addressed. How to handle the calls from efit technicians and the incustomers and insurance dustry as a whole, but certain providers? How to efficiently advances make it harder for handle estimates and schedulPDR technicians to get a ing so you capture the job?” grasp of the tools required to Dentsmart and other PDR repair these cars, Williams companies are using new said. technology to serve its net“Dentsmart embraces Debbie Haxton at Dentsmart has work shops and provide betthese challenges,” he said. shown countless ter customer service, Haxton “Our advanced training probody shops said. grams not only include PDR throughout the “At Dentsmart, we derepair processes, estimating country on how to and customer service skills succeed and make veloped a proprietary hail but also advanced electronics a profit doing PDR management system—an and safety systems, structural design, automated estimating program that panel composition, position statements interfaces with the body shop’s estimating program,” she added. “We and OEM repair procedures.” Debbie Haxton, another partner also capture all of the photos during at Dentsmart, said a hailstorm can the estimating process.” So, the next time you see a hailmean more revenue, but it’s a lot more involved than just simply repairing storm coming your way, think about dents. There is havoc that begins in the PDR and how it can raise your bottom line. Adding another item to your front office, she said. “In a matter of minutes, a shop menu of services requires strategic can go from capacity—trying to han- planning and the correct training, tools dle their normal conventional work- and equipment to do the job right.


The right part makes the difference.

CIECAst Webinar on FNOL To Feature Michael Naaom, Safelite Solutions

CIECA announced its next CIECAst webinar will feature Michael Naoom, AVP, Claims Experience for Safelite Solutions. Naoom’s presentation, “The Modern Claims Experience Using Intelligent FNOL, will be held on Tuesday, June 18 at 11 a.m. CST. During the one-hour live broadcast, Naoom will discuss the emergence of intelligent FNOL (First Notice of Loss) and how it can be used during the claims process. He will talk about the importance of adopting digital claims and what the industry needs to do to remain competitive and avoid disruption. Naoom will also explain how telematics can enhance the customer experience, reduce cycle time and improve repair efficiency. Throughout the presentation, he’ll 44

cite real-world examples of organizations incorporating digital claims into their businesses and how it is changing their day-to-day operations. Naoom has served in various roles within the automotive service and collision industry for over 20 years. In 2013, he began working at Audatex as director of professional services leading the company’s team of strategic account managers, consulting the company’s clients on their metrics and aiding in the development of new products. Naoom joined Safelite Solutions in 2016 as AVP, Claims Experience where he is responsible for auto claims product development strategy and implementation. To register for the CIECAst, visit: register/8215108178763000844

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Truck Topics with Gary Ledoux

Gary Ledoux is an industry veteran with 48 years’ experience in the automotive and OEM collision parts industry. His column appears exclusively in Autobody News. He can be reached at

The HD Collision Market – Challenges and Opportunities Most people in the auto collision industry agree that the collision industry was born around 1946. It was during this time that service men and women were returning from the European and the Pacific theater of operations. A lot of these men and women did not have existing jobs to return to, so they would start their own business. Oftentimes, it would be an auto and collision repair business. During the 1960s, each shop was on its own. Shop owners worked independently with little to no input from other shop owners, associations or industry leaders. No one knew what was going on in the industry, because there was no means of communication. It seems as though the HD collision market is facing similar challenges the industry faced over 70 years ago. However, there are a few distinct differences. First, at the time, there were fewer HD shops than auto shops. Unlike the auto shops that seemed to be at war with everyone, the truck shops seem to want to work together. The size of the market and the desire to work together should help push the industry along at a quicker pace. Chris Sterwerf is an industry leader who argues that HD shops work better together. Shops should cooperate and speak up when needed, he said. “Shops must paint a clear picture to vendors, equipment providers, OEMs and information providers on what is needed to make sure these behemoths operate safely,” said Sterwerf, chief finance and operations officer for Fairfield Auto and Truck Service in Fairfield, Ohio. Sterwerf, chairman of TMC’s Heavy Duty Collision Repair Guideline Task Force, mentioned that in the past, HD shops rarely shared information with competitors. “Car shops tended to collaborate with shops out of their market area,” he said. “HD 20 Groups and the HD Repair Forum are now helping to connect the dots to give HD


shops the megaphone that has been needed for decades. Technology is pushing the HD collision industry along and it won’t wait. Repairers won’t have years to catch up. Training is paramount and needed now. ADAS systems are installed on the majority of new Class 8 and 9 trucks and they need repair and recalibration. All-electric trucks

could also guide policy, creating organizations like I-CAR or TMC to create training for HD repairers.” Challenge: According to some in the trucking industry, ADAS systems threaten to make trucks completely autonomous—eliminating drivers and making accidents almost non-existent—greatly reducing the need for HD collision shops.

are now operating on our highways. An inexperienced or untrained technician, making the wrong move, working on such a truck could injure or kill the technician, Sterwerf said. “CNG, LNG, Hydrogen and Propane are explosive fuels that shops need to be trained on to keep employees, property and neighbors safe,” he added. “ELD (Electronic Log Data) equipment and tracking can be difficult to deal with. Safety systems must be integrated with the tractor/power unit from the trailer and, or utility bodies. HD collision technicians need to know how to deal with these systems.” Here are a few other challenges and opportunities HD shops create. Challenge: Within the HD collision world, there is little to no formal training available. Opportunity: I-CAR has created new training content. I-CAR has also adapted existing training materials to accommodate the HD collision world. In April, Penske Collision Repair in Norcross, GA, became the first HD shop to achieve Gold Class status. It is now up to the industry to support I-CAR’s efforts, allowing them to grow and expand. “It might be possible to get collaboration between I-CAR, ASE and TMC, so the wheel doesn’t have to be reinvented, possibly creating delegations from various associations,” Sterwerf said. “The HD Repair Forum

Opportunity: In her address to the HD Repair Forum held in April in Fort Worth, Texas, Susan Alt, senior vice president of public affairs for Volvo, said fully autonomous cars and trucks of sci-fi movies will be a

“Shops must paint a clear picture to vendors, equipment providers, OEMs and information providers on what is needed to make sure these behemoths operate safely,” — Chris Sterwerf


long time coming, if ever. Alt said airplanes have had autopilot since the 1940s; yet, we still have pilots. Trains run on a very narrow pathway and can operate with little or no human intervention. However, engineers still are needed when negotiating populated areas or rail-switching yards. In addition, trucks can operate with little to no driver assistance on open highways; but, in a construction zone, warehouse yard or loading yard, a driver is still needed. The opportunity to make collision repairs will still exist, but the nature of the repairs will change. Gone will be the horrific crashes creating bent and twisted frames; much of the damage will be small. The biggest challenge will be the proper replacement of sensors, cameras, etc. to allow the ADAS system to operate properly. “Mother Nature—weather, animals, road infrastructure, etc.—still


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damages vehicles and creates the need for HD shops,” Sterwerf added. “These trucks will always need corrosion protection and reimaging— operations performed by HD body shops.” Challenge: Communication and cohesiveness between HD shops, except for shops operating in the same city, seem to be lacking. There is a gap both in communication among shops and a lack of knowledge about what is happening within the industry. Opportunity: The auto side of the collision industry operated the same way from 1946 to the early 1960s. Three things happened almost simultaneously to promote communication and cohesion within the industry. One, trade magazines began to emerge giving the industry a voice. Two, trade associations began to emerge to represent an industry as a unit and three, leaders within the industry began to emerge. On the HD side, AutoBody News has begun to bring you news of the industry. It is one column per month, but it’s a start. Trade Associations such as the TMC has begun to recognize the collision side of the business. Leaders

like Joey Fassett and Chris Sterwerf have begun making strides towards consistent and safe collision repairs. Challenge: Currently, no codified collision repair procedures exist for the HD market, which is dangerous. Some shops may be making safe repairs, but others may not. Ultimately, the shop is responsible for the repairs they make and any subsequent problems that may arise. An example of this is exemplified in the following case. On October 2, 2017, a Texas jury awarded Matthew and Marcia Seebachan a $42M settlement for the botched repair on their Honda Fit. Repair procedures from Honda existed, but the shop chose to ignore them. Had they followed the correct procedure and the car crashed with the same or similar result, chances are there would have been no lawsuit. Opportunity: Every HD shop has the opportunity to work with and support the TMC’s HD Collision Task Force to create RP’s (Recommended Practices) for safe and complete HD collision repairs. Once these RP’s are established, it will be up to every shop owner to follow them and raise the repair standards within the industry.

Challenge: While several HD collision estimating systems exist, they all seem to be lacking parts and pricing information. During a panel discussion at the HD Repair Forum in Fort Worth, one shop owner said it could take him up to two weeks to get pricing and parts availability information from an OE dealer. Meanwhile, the truck is down, not generating any income for the company, exacerbating the cost of the repair. Also, some OE’s make parts pricing available online only to a select few independent shops, as determined by the OE dealer. Some OE’s make it available to anyone; some make it available to any estimate provider, while others do not. Opportunity: Estimating information, including parts pricing and availability, is a basic tenet of collision repair. It should be a priority for all OE’s to provide this information to estimating companies, dealers and independent collision repair shops. The OE’s would do their customers great service by ensuring that their truck can be repaired in the least amount of time possible. Challenge: After hearing several

OE truck representatives speak about their current and future products, there is no question that Advanced Driver Assistance Systems (ADAS) are installed on a majority of new trucks coming off the assembly line. Given their acceptance within the trucking community amongst fleet owners, managers and safety officials, these systems will soon be on every new truck, retrofitted to some older fleets and become more integrated into existing systems. Trucking and HD truck repair is going to get more complicated. Opportunity: The opportunity exists to create/grow a new kind of technician—someone who will learn ADAS systems and other new technology and will be able to repair, replace and recalibrate those systems. Performing these operations in-house will create a faster repair—saving time and money for your customer with less downtime for the truck. It could be a service element that separates your shop from every other shop. The entire HD collision industry is sitting at the on-ramp of the next phase of the industry’s growth. There are plenty of opportunities to “grab a gear” and move forward.

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Continued from Cover

Non-OEM Parts

to prevent insurers from calling for the use of non-OEM part and industry-accepted repair practices, he said. However, he said, the dealership shop sued by the Seebachans was “unable to provide evidence that [the repair process they used] was provided by the insurer.” “The insurer did not force them to follow a certain procedure,” Colas said. “They chose not to, because they didn’t feel they would get paid for the [automaker repair] process which is why the verdict was against the body shop. They chose profits over morals.” The reality, Colas said, is that nothing prevents body shops from following OEM procedures. The industry regularly uses “best practices” in the many situations in which a documents OEM procedure doesn’t exist. It is “hypocritical” of the repair industry to back legislation mandating insurers to pay for OEM repair procedures if shops aren’t also required to follow them, he said. “There is no penalty against the body shop” in most of the proposed state bills, Colas said. “They’re going after the deep pocket—it’s the insurer’ fault.” Such legislation is being backed by automakers as part of their push for the use of OEM parts as called for in their position statements, he added. “Our position is, as creative as they are, with utilizing this mechanism to restrict the use of aftermarket parts,” Colas said. “Why don’t they

use that same level of creativity to get paid [for following OEM procedures]?” Colas acknowledged that proponents of some of the state bills calling for the use of OEM procedures offered assurances that the legislation was meant to address repair procedures only, not to impact parts choice. The Alliance of Automobile Manufacturers said in December it views the OEM procedure issue as “separate and discrete from the question of what parts are used. In March,

CCC’s Bill Langley said results of a survey the company commissioned showed consumers feel uninformed about choosing a collision repair shop

the alliance urged Connecticut lawmakers to amend the bill to make it clear it is not an effort to limit the use of non-OEM parts. Colas said opponents of such legislation “should have never trusted them,” because automakers and shops only sought to amend the bills after the non-OEM parts industry opposed the bills in several states. The proponents of OEM procedure legislation want to use their own wording for any amendment related to parts rather than letting the alternative parts

onPeak Returns as SEMA Show Provider

The Specialty Equipment Market Association (SEMA) is partnering with onPeak to provide SEMA attendees with affordable and reliable housing options for the 2019 SEMA Show. Available through www.sema, hotel room reservations may be made at nearly 40 hotels throughout Las Vegas, NV. Housing in Las Vegas during the SEMA Show has been known to sell out and may be limited. Rooms booked through onPeak include guaranteed low rates, no hidden fees and may be canceled without penalty. 50

“SEMA showgoers have options as to where to stay during the SEMA Show,” said Tom Gattuso, SEMA vice president of events. “Through onPeak, attendees have dozens of hotels from which to choose, all at the lowest possible cost.” The 2019 SEMA Show taking place Nov. 5-8, 2019, in Las Vegas, is the premier automotive tradeonly show in the world.

industry “write the exemption language” that it wants, he added. “The problem is we don’t understand the terminology they are using in different states, and what loopholes they are creating [in the legislation],” Colas said. “They are several years ahead of us. They know what they’re planning to do— utilizing technology and processes five to ten years from now—whereas we don’t have that insight. So obviously we’re very concerned with anything they propose on our behalf. Let us propose what’s best for us and our industry.” Bill Langley, director of strategy at CCC Information Services, discussed a consumer survey commissioned by CCC that may signal the company is looking to play a larger role in how vehicle owners choose a collision repair shop. Langely said CCC worked with Magid to interview 7,000 consumers who had collision repairs to a vehicle in the previous two years. “They were very unsatisfied about finding a repair facility,” Langley said in summarizing the survey findings. “They were more satisfied

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with the end repair than with the process they were going through” in choosing a shop. Consumers were asked about their comfort level with getting a variety of tasks accomplished, such as home or vehicle repairs. Nearly twothirds (64%) said they felt “knowledgeable” about getting a home structural repair, such as roof damage from hail or a fallen tree, handled. A similar percentage felt knowledgeable about dealing with a home appliance failure (63%), a vehicle failure that left them stranded (61%) or another major home repair such as a furnace or air conditioner failure (61%). However, only about half (54%) felt knowledgeable about how to handle vehicle body damage requiring a body shop. More than 21% of consumers said they felt “uninformed” about addressing vehicle body damage. Moreover, 15% felt uninformed about addressing a home structural repair and 17% felt uninformed about what to do when a home appliance or furnace failed. “What we’re trying to do is make the consumer process better,” Langley said.


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From the Desk of Mike Anderson with Mike Anderson

Mike Anderson is the president and owner of Collision Advice, a consulting company for the auto body/collision repair industry. For nearly 25 years, he was the owner of Wagonwork Collision Center, an OEM-certified, full-service auto body repair facility in Alexandria, VA.

Vehicle Owner’s Manuals Help Educate and Negotiate Need for Various Procedures My friend Danny Gredinberg at the Database Enhancement Gateway (DEG) recently made available a document that includes links to each automaker’s database of online vehicle owner’s manuals. I am blown away by how useful a tool this can be. If you haven’t taken some time to review some of these manuals, you’re missing out on awesome content that can help you or your estimators with damage analysis. I know from the “Who Pays for What?” surveys I conduct with CRASH Network that only about one-third of shops say they are being paid regularly to inspect seat belts when they do it—and bill for it—as a necessary and “not included” repair procedure. However, nearly half of all shops say they’ve never sought to be paid for this critical step. The owner’s manuals are a great tool to educate your customers about

the importance of this necessary step. For example, take a look at the owner’s manual for the 2017 Nissan Armada. It states that “All seat belt assemblies, including retractors and attaching hardware, should be in-

spected after any collision. Seat belt assemblies not in use during a collision should also be inspected and replaced if either damage or improper operation is noted.” If a seat belt pretensioner has activated, “it cannot be

The 2017 Nissan Armada owner’s manual indicates when seat belts should be inspected or replaced. Credit: Mike Anderson

reused and must be replaced together with the retractor.” Now, keep in mind, this doesn’t apply to every Nissan vehicle. The manuals are specific to the model and year of the vehicle. That’s why, like the OEM repair procedures themselves, the owner’s manuals can be more effective than automaker position statements at demonstrating the need for certain procedures to take place. I’m sure many of you have had an insurance company say they don’t want to pay for a vehicle scan, right? They may say, “I don’t care what the automaker’s position statement is.” So, again, take a look at that same owner’s manual for the 2017 Armada. It very clearly states: “If there is an impact to your vehicle from any direction, your Occupant Classification Sensor (OCS) should be checked to verify it is still functioning correctly.” The OCS, it says, “should be

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The owner’s manual for the 2017 Nissan Armada says the occupant classification sensor should be checked after any vehicle impact. Credit: Mike Anderson

A “Who Pays for What?” survey of more than 600 shops found that about 34% of those who bill to inspect seat belts are paid regularly for the procedure by the nation’s largest eight insurers. Credit: Mike Anderson

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checked even if no airbags deploy as a result of the impact. Failure to verify proper OCS function may result in an improper airbag deployment resulting in injury or death.” That’s a pretty strong statement. The only way to check your OCS is with a vehicle scan. Some automakers also require a scan as part of the seat belt inspection. I think you will be surprised by some of what you can find in the owner’s manuals. One of the things I would encourage you to do is review the owner’s manual for each vehicle with the owner when they are dropping it off for repairs. If you’re certified by the automaker and equipped to conduct the inspections, you can let the customer know you will do this as part of the repair, or you can let them know you will sublet it to a dealer. Using the owner’s manual is a great way to educate your customer early in the process. Furthermore, customers want to do business with someone they trust and this is a great way to help gain their trust. In my next column, I’ll dig more into the topic of building customer trust.

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Veterans Encouraged to Become Entrepreneurs

Maaco Collision Repair and Auto Painting, the leader in the $43 billion automotive paint and collision industry, and a longtime supporter of our nation’s veterans, is proud to announce significant financial incentives for veterans who want to become entrepreneurs. A new franchisee who qualifies as a veteran will receive a substantial reduction on the initial franchise fee, as well as a reduction on the royalty fees during the first two years of a new Maaco center’s operations. “Veterans bring with them skills learned throughout their service - such as a strong work ethic, determination and a get-itdone attitude that make them successful entrepreneurs,” said Bob Benjamin, president of Maaco and former Colonel in the U.S. Army. To learn more about franchising opportunities with Maaco, visit: or contact Mason Bennett at mbennett


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Evaluating AI Tools and Applications: Tips From Tractable AI by Chasidy Rae Sisk

Technological advances in the collision repair industry are an ongoing challenge; however, when utilized properly, many of these advances, such as artificial intelligence (AI), can be a huge benefit during the repair process. Advances, such as Tractable, help develop AI for accident and disaster recovery. “Tractable’s market-leading tools use photos to automate damage appraisal—allowing partners to improve accuracy, reduce turnaround time and deliver a revamped customer experience,” said Ahmed Zifzaf, senior partnerships and marketing manager at Tractable. “One of Tractable’s AI tools is their ‘review product,’ which helps automate estimate desk reviews, by comparing the photos of a collision with the estimate that was written.” Although it’s common knowledge that AI photo-analysis solutions are increasingly being marketed across the industry and promise to lead to major changes in the repair process, it isn’t always clear how well these solutions work. While it may seem daunting to determine how well an AI photo system works, Tractable’s educational video shares three simple steps collision facilities can use to test such solutions. The first step is to obtain a set of photos the AI has never seen. Secondly, upload the photos on the spot to the AI system and lastly, evaluate the results yourself. Tractable’s AI tool generates estimates of repair or replace decisions and a likely range of labor hours, based on the uploaded photos. During a demonstration earlier this year, Alex Dalyac, Tractable CEO, noted that the range is meant to address the “notoriously ambiguous task” of determining labor hours since experts will estimate different labor times for the same procedure. Users can configure their AI tool to specify the number of hours for a certain function. “Our AI can predict bodywork, R&I and paint time,” said Zifzaf. “In general, these need to be adjusted to the client as opinion times vary greatly across North America (e.g. based on the type of insurer, repair 54

facility, etc.). In the demo, our AI outputs a range of hours instead of specific hours, but in production, we calibrate to the particular client or market area.” When it comes to the decision of repair vs. replace, Tractable AI begins with part recognition, then moves onto damage assessment and then lastly, it makes a recommended decision based on its confidence level. The system’s confidence level will depend on part visibility, photo conditions and extent of the damage. This means the AI can also interact with the person taking photos to request specific additional photos on the spot. “Confidence level can be seen as a proxy for how certain the AI is making the correct decision,” Zifzaf notes. “The decisions made can be calibrated to specific geographic areas, carriers or shops.” Tractable’s AI technology specializes in exterior damage, but it can also be used to predict damage to things like sensors via decoding the VIN and predicting the damage associated with an impacted panel. However, Tractable recommends that shops still perform a diagnostic scan on the affected components that are unseen by photos. “Our research is driven by visual algorithms, so we can get an accurate assessment of what happened to the exterior, but we recommend that shops still do their due diligence to see what other damage there may be internally,” said Zifzaf. Tractable’s AI software is able to “learn” from previous photos, said Zifzaf. “The AI is trained on millions of photos from opt-in customers and partners,” said Zifzaf. “Algorithms can work on any make and model to look at different photos and severities. This is how it learns to calculate the corresponding damage and labor hours in the future.” AI photo technology can benefit shops in several key ways. Shops can use AI for triage, Zifzaf explains, “It is inefficient for body shops to receive vehicles that are total losses. AI total loss appraisals take seconds and can help ensure the right vehicles make it to the salvage yards instead of the shops.”


AI technology can also be used for self-auditing purposes, especially for larger MSOs. Zifzaf says, “They can get started by augmenting or automating desk reviews using photo AI systems. This can allow shops to self-manage accuracy; while, allowing shop employees to spend more time focusing on customer needs and repairs. It can also help MSOs identify and promote top-performing shops.” Additionally, shops can use AI to automate and streamline estimate writing and interactions with insurers. “Body shops can calibrate AI to their accurate repair standards and reduce supplements and unnecessary interactions with the insurer,” according to Zifzaf. “This allows them to spend more time repairing cars and taking care of customers, instead of wasting precious time on other tasks that can be automated.” Zifzaf said using AI photo technology for audits can reduce risk and liability “by increased compliance and standardization across estimates.

As algorithms give consistent answers, it allows for consistent decisions to be made and therefore reduces risk and liability. A well calibrated and accurate AI is at the core of this.” Tractable is not the only AI technology available on the market. CCC offers an AI photo-estimating product, and in 2017, Audatex announced its partnership with hail photo-estimating provider CSI. When it comes to evaluating which system to invest in, Zifzaf advises, “As a first step, make sure the photoanalysis system really works. Ask to upload your own photos to the system and judge the results for yourself.” “Tractable was found in 2014 and is backed by $30M in venture capital,” said Zifzaf. “We are in production with top insurers globally and have processed over a million auto claims. Now, we are looking to engage with repair facilities on how our technology could best help them.” Feedback can be provided to”

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In Reverse with Gary Ledoux

Gary Ledoux is an industry veteran with 48 years’ experience in the automotive and OEM collision parts industry. His column appears exclusively in Autobody News. He can be reached at

The 1970s - Trade Associations Become a Driving Force Auto body associations had been around since the 1940s. By the 1970s, like the rest of the industry, the associations were “coming of age.” During the 1970s, auto body associations were working even harder to improve the industry. An article in the July 1970 issue of a national trade magazine notes the “rebirth” of the industry association. The article said with the revival of associations, shop owners are no longer fearful of each other. Owners have come together to make the industry a better place to work. Back then, trade magazines were full of stories about new state-level associations popping up and joining with the Auto Body Association of America (ABAA) or Independent Garage Owners of America (IGOA), to get the benefits of national representation. Most shop owners came to the realization that there was strength in numbers, especially at a national level. Auto body associations became larger, better run and more influential within their own ranks, the government and other entities. Another article in a trade magazine, in August 1971, commented on the transition of IGOA and the future of the industry. “We are long past the day where we can view IGOA as a local civic club,” said Carl Chambers, the new president of the IGOA. “It is now a quarter-million dollar business enterprise under professional management. There’s no doubt in my mind that the future is ours.”

Uniform Accounting and Dealer Shops In February 1970, the IGOA adopted a uniform accounting and management system, specifically designed for body shops. The association encouraged all shops to use it. This was timely, since shop profitability began to emerge as a pressing issue. The system was a great idea, but shops wouldn’t embrace proper accounting practices for another ten years. Also, early in the 1970s, Michigan shop owner and head of the IGOA body shop council, Robert 56

Ramsey proposed all IGOA state affiliates to invite dealer-owned body shops to join their group. Ramsey said this was a good idea, since independents and dealer-owned shops have similar problems and can work together to fix them. Prior to this time, a deep rift existed between dealerowned shops and independents, so it was a brave move for Ramsey to suggest this idea.

Shop Owners and Insurance Executives Talk In February, shop owners and other members of the ABAA met in New York City with insurance company executives to discuss industry matters of mutual concern. Both shop owners and company executives were concerned about parts availability. Shop owners wanted to meet with car-maker executives. The OE’s had become their own worst enemy by ignoring the collision repair industry. Finding New Technicians Associations were starting to address the need for more trained collision repair technicians. By early 1970, soldiers were being trained for the auto body trade at Fort Bragg in North Carolina through a cooperative effort between the United States Army and the ABAA. The six-week course familiarized soldiers, close to their discharge date, with the collision repair industry. Combined Forces On the east coast, Malcom Slagel, president of the Washington Metropolitan Auto Body Association, and an active member of IGOA of Virginia, said the only way to solve auto body industry problems is with one voice. To achieve one voice, Slagel proposes the combining of IGOA and the ABAA—the two largest associations in the US at the time. In the early summer of 1970, members of the IGOA and ABAA met in Washington, D.C., to discuss joining the two organizations. Both associations realized they are after many of the same goals and can achieve more


with one louder, single voice. IGOA and the ABAA left the meeting to discuss the issues with their respective board of directors. In the fall of 1970, members of both the ABAA and IGOA met again—this time in New York—and agreed that combining the two organizations was the right thing to do. Reasons given include: • One voice representing all industry people will have great influence in Washington, D.C. • Unification will eliminate covering the same ground twice. • Unification will establish positive certification and standardization. • One unified group will have a greater potential for growth. • Among non-members, there will be no question as to what association to join. • Unification can establish better

communications. • One voice will be better at solving many of the problems with the insurance industry. • Unification could make a national advertising program possible.

Despite the need for a single national association and among new statelevel auto body associations popping up, the ABAA said each state association must be strong. Many industry problems must be addressed with state legislators—a job best served by one state-level association as opposed to a national organization or a number of smaller, state-level associations. Among the items to be addressed at the state level are: licensing of shops, licensing of appraisers, certification of technicians and state aid for education for technicians in the auto body industry. See Trade Associations, Page 63



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Continued from Page 34

Recycled Rides Go to Three Moms

Government Employees Insurance Company (GEICO), Caliber Collision and Enterprise combined their efforts to present three military moms with vehicles that were refurbished to like-new conditions. Receiving vehicles were Gloria Crothers, a volunteer and a member of the Maryland Chapter of Gold Star Mothers. Her son Michael Heed, Jr., Marine Sargent, was killed in action on July 13, 2009, serving in Afghanistan. Janice Chance, president of the Maryland chapter of Gold Star Mothers. Her son Jesse Melton III, Marine captain, was killed on September 9, 2008, serving in Afghanistan, and Lafreda Scurry who honorably served in the Army for eight years was the third recipient. “GEICO has a rich history of working with our military customers. This event is an example of our strong commitment to the military,” said Angela Rinella, vice president of GEICO’s claims operations.

Their Own Worst Enemy

counts, etc. The downside was a slow processing and delivery time, and a far time in between ordering dates. A dealer may only be able to order parts once a week, or possibly once a month. Daily order – Some OE’s allowed a dealer to order parts on a daily basis, so the parts would arrive quicker. In order to do that, the dealer must give up additional discounts and pay for the freight. Vehicle off Road (VOR) – This is the most expedient way for a dealer to get parts. A part ordered via this method could arrive at the dealer within 24 to 48 hours. The only problem is, the dealer must forfeit any extra discount they may have received, and they must pay premium fright costs—sometimes way more than any gross profit they may have made on the part. So, despite what the OE’s did with their own internal parts systems, parts availability was no better than the dealer who invested in an equally

Acura and Honda Vehicles Recalled Again Over Takata Airbags by David A. Wood,

Honda is recalling more than 19,000 vehicles with front passenger Takata airbag inflators that may have been installed incorrectly during replacement.

• • • • •


2009-2014 Acura TSX 2011-2013 Acura TSX Sport Wagon 2010-2012 Acura ZDX 2008-2012 Honda Accord 2010-2011 Honda Accord Crosstour

• • • • • •

2012-2014 Honda Crosstour 2006-2011 Honda Civic (Includes Civic Hybrid and Civic NGV) 2007-2011 Honda CR-V 2009-2013 Honda Fit 2010-2013 Honda Insight 2009-2015 Honda Pilot

The passenger inflators were installed as replacements during previous recall repairs at numerous dealerships before May 2018. An airbag inflator that wasn’t installed correctly won’t deploy properly in a crash. The recall is expected to begin June 28, when Honda and Acura dealers will replace any affected passenger frontal airbag module assemblies. Customers with questions should call 888-234-2138. We thank for reprint permission.



sophisticated system and a parts manager who knew how to use it. Parts pricing was also coming under scrutiny. According to a survey conducted by the Insurance Services Office, an insurance industry trade group, the price of auto parts had risen from 6% to 30% for 1972 models compared to 1970 models. The survey was broken into two broad categories—collision-related parts and wear-related parts—for three of the most popular models on the road: the Chevrolet Impala, the Plymouth Fury and the Ford Galaxie. For the collision category, the Chevrolet Impala recorded the highest change in prices at 30%, followed by the Ford Galaxie at 16% and the Plymouth Fury at 9%. For wear parts, the Ford Galaxie was the highest at 15%, followed by the Plymouth Fury at 9% and the Chevrolet Impala at 8%. To emphasize the high cost of OE parts, studies were conducted by various entities to see how much it would cost to build a car—from the ground up—with individual parts purchased from an OE dealer. Although that information from the 1970s could not be located, a simi-

lar study in 1996 conducted by the Alliance of American Insurers. This study found that a 1996 Chevrolet Lumina with an MSRP of $19,340 would cost almost $73,000 if all the parts were purchased through the dealer network. Sadly, back in the 1970s, again in 1996 and in a similar exercise in 2001, no mention was made, by the OE’s or anyone else, about what contributed to those costs. There was no mention that parts get delivered to a car-building factory—hundreds or thousands at a time—decreasing shipping and handling costs. Conversely, no one mentioned that for a dealer to receive a part and make it available to a shop, each part must go through multiple levels of shipping and distribution, and each must be individually boxed and accounted for, all adding to cost. The price of an OE part will always present an issue. However, with the advent of the 1980s, the OE’s and dealers have increased parts availability and put a stop to shipping damage.



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Chrysler Recalls 343,000 Ram 1500 Trucks by David A. Wood,

A Ram 1500 recall has been ordered for nearly 343,000 trucks that need repairs to prevent the airbags and seat belt pretensioners from failing.

The 2019-2020 Ram 1500s have software problems related to the occupant restraint controllers which can disable the airbags. Nearly 296,000 of the recalled trucks are in the U.S., 38,884 Ram 1500s are recalled in Canada, another 1,817 will be repaired in Mexico and 6,154 trucks are recalled outside North America. Fiat Chrysler (FCA) says the 2019-2020 trucks have software with vulnerabilities “during powerdown memory clean-up events which can corrupt flash memory.” According to Chrysler, once

the truck ignition is turned off the occupant restraint controller begins under its own power, but data corruption is possible if the controller powers down and interrupts a memory erase process. However, the process doesn’t occur every time the ignition is turned off. If the problem does occur, a driver will see an illuminated airbag warning light, and the truck will result in fault codes internally. The real issue is the deactivation of the seat belt pretensioners and airbags. The model year 2019 trucks were built from October 31, 2017, to April 29, 2019, and 2020 model trucks were manufactured between April 8, 2019, to May 21, 2019. FCA says the recall is expected to begin July 20, 2019, when dealers will reprogram the occupant restraint controllers or replace them. Ram 1500 owners with questions should call 800-853-1403. Chrysler’s numbers for this recall are V61 and V71. We thank for reprint permission.

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FIAT Chrysler Automobiles Submitted Proposal to Merge With Renault Fiat Chrysler Automobiles N.V. has delivered on May 27 a non-binding letter to the Board of Groupe Renault proposing a combination of their respective businesses as a 50/50 merger.

The FCA proposal follows initial operational discussions between the two companies to identify products and geographies where they could collaborate, particularly as they develop and commercialize new technologies. These discussions made clear that broader collaboration through a combination



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would substantially improve capital efficiency and the speed of product development. The case for combination is also strengthened by the need to take bold decisions to capture at scale the opportunities created by the transformation of the auto industry in areas like connectivity, electrification and autonomous driving. The proposed combination would create a global automaker, preeminent in terms of revenue, volumes, profitability and technology, benefitting the companies’ respective shareholders and stakeholders. The combined business would sell approximately 8.7 million vehicles annually, would be a world leader in EV technologies, premium brands, SUVs, pickup trucks and light commercial vehicles and would have a broader and more balanced global presence than either company on a standalone basis.

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Continued from Page 56

Trade Associations

Trade Shows The California Auto Body Association announced that they will sponsor their second trade show and convention, known as the Western States Autobody Trade Show, at the Sheraton Palace Hotel in San Francisco. Around 6,000 people were expected to attend. Over 3,000 attended the first show held in Los Angeles in 1969. The trade show theme is “Total Involvement.” It was later reported that over 3,000 repairers and other industry people attended the show featuring 80 exhibitors with a number of companies conducting clinics. Starting perhaps in the 1950s and certainly into the 1960s, there were many small local and regional trade shows sponsored by the local auto body associations. They got little attention except in their local market, mainly because there was no national trade media. With the advent of the 1970s and nationwide coverage of the industry, these shows started to attract a larger audience.

In the fall of 1970, the ABAA was getting ready for their fifth annual convention and trade show in Hollywood, Florida. They were expecting to have 125 booths exhibiting. The theme for the show was “Partners in Progress,” pulling together the three main components of the industry: manufacturers, body shops and jobbers. Manufacturers, in this case, refer to those who make auto body equipment. There was no mention of paint manufacturers or OE’s. How-

to improve the image of shops to customers. Much of what was discussed during a five-man panel was not so much the physical condition of the shop, but more about how shop customers are treated. Louis Baffa – Man of His Time Every decade seems to have its stand-out collision industry executive. In the 1970s, it was shop owner Louis Baffa who came to prominence as the outspoken president of

“It is now a quarter-million dollar business enterprise under professional management. There’s no doubt in my mind that the future is ours.” — Carl Chambers

ever, it is not surprising about the OE’s, since they were not on good terms with the collision industry. Parts availability and parts damage was still a problem. Improved Public Image Shop owners were also beginning to become more conscious of their image and how they were perceived by the public. In the summer of 1970 at the IGOA convention in Texas, shop owners adopted a five-year plan

the ABAA in 1967, 68 and 69. In 1970, Baffa wanted to take drastic measures to change the direction of the industry. According to Baffa, the body shop and car owner had been “under the thumb” of the insurance companies for the last 20 years and felt it is time to take stronger action. Baffa, along with as many vehicle owners and body shop owners as he could muster, planned to march in Washington, D.C., in April 1970 and demand reform. Baffa was receiving

backing from the ABAA and the IGOA. A short time later, with the advent of several bills pending, Baffa called off his march. In February of 1972, collision industry associations, ABAA in particular, took a giant leap forward when Baffa was provided a new position at ABAA as administrative executive. He worked full-time for the ABAA, giving up his role as shop owner and collision equipment distributor, to dive into his new position. This is believed to be the first appointment of its type in the industry. Looking to the Future Early in 1972, the IGOA formed a new committee called Trends and Perspectives, designed to identify trends and possible future events, so the IGOA could act, rather than react to events. Ron Weiner of Denver, George “Bud” Merwin of Kansas, and Harry Wright of Georgia all served on the committee. Some of the challenges faced in 1972 are the same challenges faced today, almost 50 years later; but, it is associations that help push forward the industry.

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Tire Tax Bill AB 755 Defeated in CA

The California Auto Body Association (CAA) is proud to announce that AB 755, a bill which would have increased the tire change fee from $1.75 to $3.25 per tire has died on the Assembly Floor. At the request of its sponsor, the bill was shelved on Wednesday, May 30.

The CAA and its allies have been working tirelessly to defeat the bill which would have negatively affected our industry and has been referred to as a “regressive” tax. We would like to thank our lobbyist Jack Molodanof who played a key role in the bill’s opposition and our membership that supported us by contacting their legislators in order to express their opposition to the bill. Our grassroots efforts make a difference.

3M, CREF Grant Collision Education Programs

ClaimsCorp Inc. Renews Commitment to CIECA Standards

The grant funds will be used to pay for tools and equipment to enhance the training opportunities they provide to the next generation of collision industry professionals studying in the schools. “We are excited about this opportunity to continue our support of CREF and the communities in which 3M has a large presence,” said Kelly Lunder, U.S. channel marketing manager for the 3M Automotive Aftermarket Division.

Wilder, president of ClaimsCorp, has been in the industry for 30 years and has been a CIECA member through various organizations, most recently the last four years with ClaimsCorp. ClaimsCorp is data-based and works closely with many systems. “CIECA has been a mainstay standardization solution and we value standardization, consistency, security and reliability when it comes to data we handle and pro-

3M and the Collision Repair Education Foundation (CREF) announced the establishment of the 3M and CREF Grant. The new grant program, funded by 3M, will provide two collision schools with $10,000 each. The two schools that will receive the grant include: • Greenville Technical College, a CREF Benchmark Tier 1 school in Greenville, S.C.; and • South Central College, a CREF Benchmark Tier 2 school in North Mankato, MN.

ABPA Voices Concern to Introduction of State Bills The ABPA is concerned with the accelerated introduction of OE Repair Procedure bills in multiple states that are tying in the exclusive use of OE Parts. Though noble intentions were behind their origination, we are seeing an increase in the addition of anti-aftermarket language, which is not only detrimental to an important segment in the collision repair chain, but it will also affect the American consumer. “The current wave of OE Repair Procedure legislation many times contains embedded language that in effect limits repair competition” Christopher Northup, ABPA chairman, adds, “Consumer rights around safe, quality and economic repairs are threatened with these proposed bills. The result would be a detrimental effect on the cost of repair, the total loss valuation outcome and in time insurance premiums. All of which hurt consumers as well as threaten the vehicle repair supply chain.” Automobile manufacturers are becoming more assertive in their efforts to eliminate the aftermarket collision repair industry 64

through their use of repair procedures and position statements. These self-serving methods claim that only OE parts can be part of the official repair procedure. In 2019, there have been 13 states that have introduced OE Repair Procedure requirement bills. These include the states of CT, Hawaii, IL, IA, KY, LA, MN, MS, MT, NV, NH, Texas, & WV. This is in addition to similar bills in nine states in 2018 and six states in 2017. Comparable legislation will be introduced in 2020 in other states. “As always, the ABPA will continue to address any legislation that looks to restrict the aftermarket,” said Edward Salamy, ABPA executive director. “The ABPA would also like to stress that having a healthy aftermarket ensures competition and helps protect the wallets of American consumers.” Obtained via ABPA news.


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tect for our customers,” said Wilder. “CIECA has helped provide a more productive and reliable way to structure, process and map our customers’ data to drive value to their business and staff.” Wilder said that randomness breeds inaccuracy and inconsistency, and CIECA helps to reduce the impact of having too many ways to do the same thing. “CIECA helps attract data interfacing and integration among insurers, shops, supply chain and consumers,” he said. “The more that can be done to increase the number of securely integrated partners, the more we increase the number of solutions to help improve what’s available to help shop owners and operators run their businesses and drive improvements for the industry stakeholders and vehicle owners.”

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Claim Genius Joins CIECA as a Corporate Member

Claim Genius recently joined the Collision Industry Electronic Commerce Association (CIECA) as a corporate member. The company’s patent-pending GENIUS suite provides insurance carriers, salvage firms and car leasing companies with an integrated AI damage estimation platform. Raj Pofale, senior technology executive and product development leader at Claim Genius, said this enables clients an instant AI assessment of claims based on photos uploaded from a carrier’s mobile app. Claim Genius first learned about CIECA through another member and decided to join the organization shortly after. “We believe that bringing the best technology practices and standardization to the industry are great initiatives by CIECA and we are excited to contribute to this goal,” said Pofale. Pofale said CIECA standards are important for the industry because they make everyone’s jobs easier.

Nissan Sides With Tesla on Camera-Based Self-Driving Approach by Simon Alvarez, Teslarati

Japanese automaker Nissan Motor Co Ltd said on Thursday, May 16, that it would be using cameras and radar in the development of its full self-driving technologies. Seemingly siding with American electric car maker Tesla, Nissan argued that LiDAR, a key component in the autonomous driving systems of competitors such as GM and Ford, is too expensive for its capabilities. Nissan’s announcement comes roughly a month after Tesla held its Autonomy Day, where Elon Musk dubbed LiDAR a “fool’s errand.” During the event, Musk predicted that companies relying on the light-based sensors would likely abandon the technology in the future. For his part, Tetsuya Iijima, general manager of advanced technology at Nissan, noted in a statement to reporters that LiDAR’s capabilities currently fail to match up to advanced camera and radar solutions. “At the moment, LiDAR lacks the capabilities to exceed the capa-

bilities of the latest technology in radar and cameras. It would be fantastic if LiDAR technology was at the level that we could use it in our systems, but it’s not. There’s an imbalance between its cost and its capabilities,” Iijima said. Iijima’s statements about LiDAR are not just empty words from the Japanese carmaker, as Nissan has unveiled its own camera and radar-focused self-driving technology recently. Unlike Tesla’s current Autopilot system, which requires drivers to keep their hands on the steering wheel, Nissan’s system allows hands-free driving in single lanes on highways on predefined routes. To enable this technology, Nissan utilizes cameras, radar, and sonar sensors to compile three-dimensional mapping data, enabling the company’s vehicles to “see” their surroundings accurately. The Japanese carmaker is also developing a “TriCam” system that focuses on three points to the front and sides of a vehicle, allowing cars to capture a wide area of view.

Nissan plans to roll out its selfdriving technology even to its lineup of affordable vehicles in the future. By doing so, the carmaker expects to see a boost in sales, enabling it to recover from a profit slump. Nissan’s earnings have been rough as of late, with the company noting during a recent report that it had hit “rock bottom” amidst the aftermath of a financial scandal related to its former chairman, Carlos Ghosn. Tesla’s full self-driving strategy, which uses cameras and artificial intelligence, was explained by Sr. Director of AI Andrej Karpathy during the electric car maker’s Autonomy Day event last month. Karpathy likened Tesla’s full selfdriving approach to the way humans operate a vehicle, even joking that the event’s attendees only used their biological cameras (eyes) and neural networks (brain) to drive to the event’s venue. “You all used your own neural network in your brains to get here. You didn’t shoot lasers from your eyes to drive,” Karpathy lightly said. We thank Teslarati for reprint permission.

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‘Tesla Fighters’ Audi E-Tron, Jaguar I-PACE, Face Recalls Over Fire Risk, Faulty Brakes by Simon Alvarez,

The Audi e-tron and the Jaguar IPACE were recently hit by twin recalls over potential safety concerns. Both companies have opted to proactively issue the safety recalls before reports of any untoward incidents concerning the vehicles emerged from owners. In the case of the Audi e-tron, water can get into the all-electric SUV’s highvoltage charging port, which could then make its way to the vehicle’s

electronics, resulting in a potential battery fire. Michael Forson, Audi etron owner and ServiceNow Director, recently noted on Twitter that not all of the electric SUVs are affected by the major electrical fault, but the German manufacturer is nonetheless taking the issue seriously. With this in mind, it would not be surprising if Audi ends up inspecting most, if not all, e-trons that have been delivered to customers thus far. The Jaguar I-PACE, on the other

hand, was recently hit by a recall over the vehicle’s regenerative braking system. According to investigators, the I-PACE’s regen brakes could ex-

hibit an “increased delay” between the point when a driver hits the brakes and when the vehicle actually begins slowing down. Jaguar is recalling all of the I-PACE that it has delivered so far, such as the 3,083 units it has sold in the United States. While Audi has yet to issue a statement about a potential fix to the e-tron’s major electronic safety issue, Jaguar has announced that it already has a solution to the I-PACE’s braking fault. According to the British carmaker, a software update is expected to address the increased delay in the all-electric crossover’s braking system, though this would not be rolled out through an over-the-air update similar to Tesla. Instead, the software update will be distributed through Jaguar’s dealer network at no cost to I-PACE owners. Jaguar is expected to

start implementing the firmware update next month. Both recalls being faced by Audi and Jaguar for the e-tron and I-PACE involves features that are among the fundamentals of electric vehicles. Charging port protection and regenerative braking systems, after all, are basics that more experienced EV makers such as Tesla, and GM for that matter (thanks to the Volt), have learned and mastered over the years. Ultimately, these recalls show that designing and producing electric cars are not as easy as Tesla skeptics might think. While credit must be given to Audi and Jaguar for recalling the e-tron and the I-PACE even before any untoward incidents happened, it should also be noted that Tesla had exhibited the same proactive reaction in the past. Last year, for example, the electric car maker voluntarily recalled 123,000 Model S built before April 2016 due to excessive corrosion in the aluminum power steering bolts supplied by Bosch. This issue, according to Tesla, could make steering the Model S heavier than usual due to the loss or reduction of power assist steering. We thank for reprint permission.

Ford Explorer Police Interceptor Carbon Monoxide Lawsuit Filed by David A. Wood,

A Ford Explorer Police Interceptor carbon monoxide lawsuit alleges two California officers were killed in a crash caused by defects found in the Explorer. Stanislaus County Deputy Sheriff Jason Garner and civilian Community Service Officer Raschel Johnson were killed responding to a call, but without the lights and siren activated. According to court records, the crash occurred on May 17, 2017, when officers Garner and Johnson were traveling with Garner behind the wheel. The lawsuit alleges carbon monoxide allegedly entered the passenger compartment and caused Garner to lose consciousness. The Explorer crossed a yellow line and went off the road, accelerating to about 89 mph when the SUV struck a steel post and other wrecking yard debris. The lawsuit says the Explorer hit a storage bin and caught fire, with both occupants pronounced dead at the scene. An autopsy showed Garner’s blood carboxyhemoglobin saturation level was 19 percent and Johnson’s blood carboxyhemoglobin saturation 68

level was 27 percent. According to the lawsuit, both levels are “alarmingly high and toxic” based on data from the Centers for Disease Control and Prevention. The plaintiffs claim the Ford Explorer police vehicle allowed exhaust fumes and carbon monoxide to poison the officers, because of numerous defective areas of the SUV. Alleged problem areas include: • Behind the bumper and within the interior and exterior panels • Defective rear air extractors • Rear liftgates that used defective drain valves • Sheet metal panels, overlaps, joints and seams • Rear auxiliary air conditioning parts that were defectively designed and/or located too close to the driverside rear air extractor According to the lawsuit, Ford Motor Company sent multiple technical service bulletins (TSBs) to dealerships concerning exhaust odors in the cabins of Explorers. TSB 12-12-4 was sent in December 2012 and titled, “Explorer Exhaust Odor in Vehicle,” and tells technicians, “[s]ome 2011-2013 Explorer vehicles may exhibit an ex-


haust odor in the vehicle with the auxiliary climate control system on. Customers may indicate the odor smells like sulfur.” The bulletin was followed by TSB 14-0130, titled “Exhaust Odor in Vehicle,” which added 2014-2015 Explorers to the list. According to the lawsuit, this is important because this TSB included the 2014 Ford Explorer modified for use by police departments. However, the plaintiffs claim none of the repairs in the bulletins fixed the exhaust problems and neither TSB mentioned carbon monoxide dangers. The California Highway Patrol (CHP) investigated the crash and more than a year later concluded Garner crashed the Explorer due to a health-related condition not related to carbon monoxide. An autopsy shows the driver had an enlarged heart and investigators couldn’t rule out a heart-related event caused the crash. According to the Modesto Bee, the pathologist who performed the autopsies ruled out carbon monoxide as the cause or even a contributing factor of the deadly crash. In addition, the pathologist determined both Explorer occupants had elevated levels of carbon monoxide in their blood

GM Digital Vehicle Platform Debuts

Today, Mark Reuss, General Motors (GM) president, debuted the company’s all-new electronic platform necessary for its next-generation of vehicles, EVs, active safety, infotainment and connectivity features, and the evolution of the Super Cruise driver assistance feature. Debuting on the recently-unveiled 2020 Cadillac CT5 sedan, the electronic platform will go into production later this year and should be rolled out to most vehicles within GM’s global lineup by 2023. The new architecture also provides more rapid communications within the vehicle itself and to outside sources thanks to Ethernet connections of 100Mbps, 1Gbps, and 10Gbps. “The critical role of software and its importance to our vehicles, both now and for years to come, cannot be overstated,” said Reuss. “Our new digital vehicle platform and its eventual successors will underpin all our future innovations across a wide range of technological advancements, including EVs and expanded automated driving.”

due to smoke from the vehicle fire. The Bee says Johnson’s autopsy report shows soot was found in her airway while Garner had no soot in his airway, a possible reason why Johnson’s carbon monoxide levels were higher. Ford denies carbon monoxide had anything to do with the crash and referenced official reports from the coroner and the CHP Multi-Disciplinary Accident Investigation Team which said carbon monoxide wasn’t a contributing factor of the crash. The automaker has faced prior lawsuits after Ford Explorer police vehicle incidents allegedly caused by carbon monoxide poisoning, including lawsuits filed by three officers in three states. In addition, Ford created a program to repair Police Interceptors after numerous agencies across the country complained about their fears. The Ford Explorer Police Interceptor carbon monoxide lawsuit was filed in the Superior Court of the State of California, County of Stanislaus - Garner, et al., v. Ford Motor Company, et al. The families are represented by the Matiasic Firm, P.C. We thank for reprint permission.


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