New England Automotive Report Janaury 2016

AUTAUT MM TIVETIVEN E WN E W E N G L A N DE N G L A N D

January 2016U.S.A. $5.95

MASSACHUSETTS

BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

Serving the New England Collision and MechanicalRepair Industry

THE SPIRITOF UNITY:AASP/MA Hosts Holiday Party,Provides Legislative Review

A New Class:Inside the

Push for ShopClassifications

www.grecopublishing.com

Schools PutAASP/MAVocational

Grants to Use

2 January 2016 New England Automotive Report

CONTENTSJanuary 2016 Volume 14, No. 1

ALSO THIS ISSUE

COVER STORY48 | THE SPIRIT OF UNITY: AASP/MA HOSTS HOLIDAY PARTY, PROVIDES LEGISLATIVE REVIEW

New England Automotive Report January 2016 5

DEPARTMENTSPRESIDENTS MESSAGE by Molly Brodeur8 | A Clean Slate

LOCAL NEWS by Joel Gausten20 | ADALB Targets Pre-Insurer Teardowns

24 | Schools Put AASP/MA VocationalGrants to Use

NATIONAL NEWS by Jacquelyn Bauman26 | New Year, New Expectations: Whats Comingat NORTHEAST 2016

28 | Auto Body Shop Choice Bill Signed inWisconsin

LEGAL PERSPECTIVE by James Castleman32 | Collecting Diminished Value through the Back Door

VENDOR SPOTLIGHT by Joel Gausten36 | Mattie Imports: Where Customers BecomeFamily

NATIONAL FEATURE by Joel Gausten40 | A New Class: Inside the Push for ShopClassifications

7 | TRAINING OPPORTUNITIES: I-CAR CALENDAROF EVENTS10 | A MESSAGE FROM THE EXECUTIVE DIRECTOR14 | AASP/MA SPONSORS

15 | AASP/MA PLANNED YEAR54 | AASP/MA MEMBERSHIP APPLICATION58 | INDEX OF ADVERTISERS

We Provide Hot Mix Asphalt Repairs YEAR ROUND! Malls, Supermarkets and Retail Outlets, Hotels Restaurants, Apartments, Condominiums, Oce Parks,

Leisure and Health Businesses, Hospitals, College & School Campuses, Municipal Facilities

In short, anywhere there is a parking lot in need of a maintenance repair

EMERGENCYPAVEMENT SERVICE

AVAILABLE 24/7/365PERMANENT

Hot Mix Pot Hole & Pavement Repairs

A Division of G&M New England1-844-MR-POT-HOLE 844-677-6846

www.mrpotholeman.com


STAFF

PUBLISHED BY: Thomas Greco Publishing, Inc.244 Chestnut Street, Suite 202, Nutley, NJ 07110 Corporate: (973) 667-6922 / FAX: (973) 235-1963

www.grecopublishing.com

AASP/MA EXECUTIVE COMMITTEEPRESIDENTMolly BrodeurVICE PRESIDENTAdam IoakimSECRETARYGary CloutierTREASURERKevin GalleraniIMMEDIATE PAST PRESIDENTPaul Hendricks

AASP/MA STATEWIDE DIRECTORSCOLLISION DIRECTORRick Starbard

AASP/MA CHAPTER DIRECTORSNORTHEAST CHAPTER DIRECTORSAlex FalzoneKevin KyesSOUTHEAST CHAPTER DIRECTORSMichael PenachoDarlene AndradeMIDSTATE CHAPTER DIRECTORSTom RicciRay Belsito, Jr.WESTERN CHAPTER DIRECTORPeter Langone

PUBLISHERThomas Greco ([email protected])

DIRECTOR OF SALESAlicia Figurelli ([email protected])

EDITORJoel Gausten ([email protected])

ART DIRECTORLea Velocci ([email protected])

MANAGING EDITORJacquelyn Bauman ([email protected])

PRODUCTION Donna Greco ([email protected])

WWW.AASPMA.ORG

AASP/MA EXECUTIVE DIRECTORJillian M. Zywien

12 Post Office Square, 6th Floor Boston, MA 02109Phone: (617) 574-0741 Fax: (617) 695-0173

Email: [email protected]

MASSACHUSETTS


New England Automotive Report is published monthly by TGP, Inc., 244 Chestnut Street, Suite 202 Nutley, NJ 07110. Distributed free to qualified recipients; $48 to all others. Additional copies of New England Automotive Report are available at $5 per copy. Reproduction of any portions of this publication is specifically prohibited without written permission of the publisher. The opinions and ideas appearing in this magazine are not necessarily representations of TGP Inc. or of AASP/MA. Copyright 2016 by Thomas Greco Publishing, Inc. Images courtesy of www.istockphoto.com


January 7, 2016Adhesive Bonding

January 12, 2016Aluminum Exterior Panel Repair & Replacement

January 20, 2016Replacement of Steel Unitized Structures

January 26, 2016Sectioning of Steel Unitized Structures

January 28, 2016Hazardous Materials, Personal

Safety & Refinish Safety

in Massachusetts

All classes held at Fuller Auto Body, Auburn, MA

For more information, visit i-car.com


PRESIDENTS MESSAGE

A ClEAN SlAtEIts hard to believe as I write this

message, but despite the spring-likeweather, a new year is upon us. To me,this time of year represents a cleanslate of sorts, and is an optimal time totake a step back and look at your en-tire business with a critical eye. Whatbetter way to make sure you are start-ing off the months ahead on the rightfoot?

As you think about the future ofyour business, please keep AASP/MAin mind, as we can be of assistance inhelping you meet your goals for thecoming year. Whether thats helpingyou establish a connection with one ofour industry partners, communicating

through a possible equipment or tech-nology purchase for the shop, takingaction on an issue youre experiencingor setting up an educational offeringin your area, we want to hear fromyou! We are always on the lookout for valuable topics to address, especiallyones that we know our members haverecommended to us. Do you havequestions about creating a businesssuccession plan, for example? Con-cerns about OE certification or techni-cal training? Please tell us thatswhat were here for!

Please dont ever hesitate to con-tact any member of the AASP/MABoard, or our executive team at Lynch

Associates at (617) 574-0741, with yourquestions, comments, concerns or suggestions. We are very interested tohear what you and your business arefacing, and as an association we lookforward to helping you make 2016your most successful year yet.

MASSACHUSETTS


AASP/MAPresident MollyBrodeur is the Chief Operating

Officer of Al Brodeurs AutoBody in Marlborough, MA.

She can be reached at (508) 485-1082 or

[email protected]

Happy New Year, Members!

Recently, your Board of Directors (led by our ad hocBylaws Committee) concluded a yearlong effort to approvea new set of bylaws. The improved items include updatestoreflect changesin technology(e.g.,votes by electronicmeans and new membership payment options and cate-gories) and the removal of specified chapter boards.

The previous bylaws made electronic voting and proxyvotes impossible. In the case of emergencies or instanceswhere we need immediate action, electronic voting can beextremely helpful and timely. Additionally, weather andscheduling conflicts sometimes interfere with importantmatters that need the Boards approval. Proxy voting al-lows the Board members to weigh in by sending someonein their place or voting prior to the meeting if they will beabsent. These changes will allow us to act quickly and carryout the associations orders.

As part of AASP/MAs ongoing mission, we want 2016to be a year of growth. To assist us in that, we have createda new membership category called associate members.

An associate member is an employee of a registered repairshop. Oftentimes, the association notices are sent to thecompany owner and rarely reach the technicians, shopmanagers, secretaries, etc. Associate membership wouldensure your employees are informed and educated. Wehave also implemented new payment options for thosejoining in 2016. Non-members can now join the associationfor just $40 a month! Payments can either be made quar-terly or in full. If you are not a current member of the asso-ciation, or if you would like to add employees to youraccount, please check out our updated membership appli-cation on page 54.

The newly drafted bylaws also remove the specifiedchapters and chapter board structure formally created atthe time of the merger between AASP/MA, MABA andCMARA. It was becoming increasingly difficult to attractvolunteers and members willing to host, plan and executechapter meetings and manage separate bank accounts. In-stead, the Board agreed to alleviate the strain on our valuedvolunteers and have those duties delegated to associationstaff. In 2016, AASP/MA will be hosting regional meetings

NEW YEAR, NEW PROJECtS FOR AASP/MAA MESSAGE FROM THE EXECUTIVE DIRECTOR


in every chapter twice per year. Please check out ourplanned year on page 15 of this issue. Our first meeting of2016 will be hosted on January 6 in the Midstate region atAssabet Valley Technical High School in Marlboro follow-ing our regular Board of Directors meeting. (More informa-tion can be found on page 21.)

The newly approved bylaws can be found attinyurl.com/AASPMA-2016bylaws. The changes will im-prove the associations coverage of the state to ensure all of our members are updated on regulatory, legislative andassociation-specific matters. Furthermore, we hope to at-tract more industry professionals with our new membercategory and payment options.

This will be a year of growth for AASP/MA, and weneed our non-members to participate. We are building thesuccess of the auto repair industry, and we are the only voicein the Commonwealth representing YOUR concerns. CallAASP/MA today and talk to our staff about what we areworking on and how you can become involved. We needthe entire industry behind us to impact change. Please joinus in the fight today.

For those who are members, your continued supportand participation fuels our efforts and perpetually encour-ages change in front of regulators and legislators. Thankyou.

Sincerely,

Jillian Zywien


AASP/MAExecutive Director Jillian Zywien has beena senior account executive at Lynch Associates for over

seven years. She can be reached at (617) 574-0741 or viaemail at [email protected].

MASSACHUSETTS


Contact AASP/MA at (617) 574-0741 / [email protected] for information on becoming an AASP/MA sponsor!

AASP/MA NEWSLETTER SPONSOR

AASP/MA ASKS YOU TO PLEASE SUPPORT OUR SPONSORS!

WOLPERTINSURANCE



MASSACHUSETTS

BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRYPLANNED YEARJANUARY MARCH

MAY JUNE

JULY SEPTEMBER

NOVEMBER For more information, visit aaspma.org orcontact Executive Director Jillian Zywien at

[email protected] or (617) 574-0741

Check New England Automotive Report for

updated event info throughout the year.

January 6Board of Directors

MeetingStatewide Meeting

March 22Board of Directors


May 13

AASP/MABBQ

July 26

Board of DirectorsMeeting

September 23

AASP/MAClambake

November 12

AASP/MA CasinoNight & Annual Meeting

May 24Board of Directors


Date TBD

AASP/MAGolf Outing

Date TBD

New England AutomotiveRepair Training & Trade

Show Event

September 27Board of Directors


November 15

Board of DirectorsMeeting

When is it appropriate for a shopto perform a teardown on a vehicle?As made clear at the ADALBs Decem-ber 8 meeting at the Division of Insur-ance in Boston, shops that do thisbefore an insurer has a chance to seethe car might be asking for a world oftrouble.

ADALB member and insuranceindustry representative Lyle Pare (Ply-mouth Rock Assurance) kickstarted alengthy debate on how some shopsare potentially creating roadblocks forinsurers in settling auto body claims.

There seems to be a trend in theindustry of shops taking it upon them-selves to disassemble cars prior to aninsurance companys inspection ofthat vehicle, he explained. Thattakes away an insurance companys

ability to investigate that claimI justthink its a practice that has to stop.Weve had shops that claim thattheyre the appraiser and they havethe right to make that determination. Idisagree.

Pare added that although someshops claim that they do this in orderto help insurers see all the damage,this prevents an insurer from holdinginsureds accountable for what theyrestating. Shops are also charging insur-ers for disassembly, which preventsthe insurer from negotiating the tear-down in advance. Additionally, hewarned that some shops are disassem-bling vehicles that are obvious totallosses and expecting the insurer topay for it.

ADALB member and collision

representative Rick Starbard agreedthat the practice is a cause for concern.

I, as a shop owner, would nottear the car down unless I knew whowas paying for it, he offered. Werea non-referral/non-program shop, andwe do have a couple of insurers thatwill call us and say, Were comingdown to see you...Can you pull thebumper off? Well do that and chargethem for it, but they requested it andwe know up front that theyre payingfor it.

David A. Guertin, director ofclaims for Plymouth Rock Assurance,addressed the Board with his perspec-tives on the issue.

I think theres an inherent con-flict of interest for a body shop to au-thorize teardown and repairs and

The ADALB tackled the heated teardown issue at their December meeting.


LOCAL NEWS by Joel Gausten

ADALB TARGETS PRE-INSURERTEARDOWNS

expect the insurance company to thenpay for those without their authoriza-tion, he said. Its important for aninsurance appraiser, as part of his orher job, to not only assess the damage,but to investigate the loss in many as-pects. Determining the amount ofdamage is only about 25 percent ofwhat theyre having to do.

The body shop is putting the cus-tomer in peril by even suggesting theytear it apart before we see it, headded. If a shop knows that theresan insurance company involved andhas an appointment to come out andsee the vehicle, they shouldnt touchit.

ADALB member Bill Johnson ex-pressed the viewpoint that it is theconsumer who has the ultimate say onpre-insurer teardowns, stressing that itis the responsibility of the carriers totell their insureds not to approve theprocess.

A shop works for the claimant; itdoes not work for the insurance com-pany, he noted. If the body shop ap-praiser calls up the vehicle owner the claimant and says, Hey, I wantto tear your car down so I can write acomplete and accurate appraisal, andthat claimant gives permission, thatappraisers in the right to do that...Isthe insurance company on the hookfor payment? I would say thats be-tween the claimant and the insurancecompany.

Board member Joseph Coyne, Jr.cautioned that shops that disassembleobvious total loss vehicles prior toan insurers visit are doing more thanjust removing the opportunity for thatcarrier to investigate the damage.

Theyre taking away the oppor-tunity for the consumer to retrieve asmuch money as they can in salvage,he observed. Once you dismantlethat vehicle, the salvage value is worthmuch less. Heres a shop costing theconsumer money now on an obvioustotal loss.

ADALB Chairman Gilbert Cox in-troduced the possibility of issuing anAdvisory Ruling on the matter, whilePare suggested a possible change tothe language in the state regulations to say that all parties must approve a

teardown before it begins. Coyne laterrecommended that before moving inthat direction, the Board should con-sult with ADALB Legal CounselMichael Powers for a closer look at theway the language is currently writtenand how it might be changed. The mo-tion passed on a 3-1 vote.

Additionally, the ADALB debatedthe topic of whether a licensed motorvehicle damage appraiser is allowedto conduct appraisals at more than oneauto body shop under the ADALBsenabling legislation and current stateregulations. After a lengthy exchangeon the matter, the Board decided thatit would be more appropriate for theDivision of Standards to address theseconcerns. The Board also discussed

new language contained in the stan-dard Massachusetts private passengermotor vehicle insurance policy as sug-gested by the Automobile InsuranceBureau (AIB), which states that the in-surance company will pay no more torepair damage to a motor vehicle thanwhat it pays to a referral auto bodyshop. Cox asked Powers to draft a let-ter for the Boards review that explainsto the Division of Insurance that thisprovision should not be worth thepaper its written on. This motionpassed on a 4-1 vote. More insight intothe AIB is available below and in ourcover story on page 48.


MASSACHUSETTS


MASSACHUSETTS


AiB PolicyUPDATE

Wednesda

y,

January 6

ProgrAMHigHligHTS:

How does this approved,

standardized policy affect

your shop and your customers?

Assabet Valley Tech 215 Fitchburg St, Marlboro, M

A

6-9pm

For Original BMW Parts, contact one of these authorized BMW centers:

THERE HAS NEVER BEEN A BETTER WAY TO BUY THEWORLDS BEST ENGINEERED PARTS.

BMW of West Springfield 1712 Riverdale St.West Springfield, MA 01089PH: 413-746-1722FAX: 413-304-9009www.bmwwestspringfield.com

BMW of Darien140 Ledge RoadDarien, CT 06820PH: 203-656-1804FAX: 203-656-1802www.bmwdarien.com

New Country BMW1 Weston Park Ave.Hartford, CT 06120PH: 860-240-7881FAX: 860-240-7873www.newcountrybmw.com

BMW of Stratham71 Portsmouth AvenueStratham, NH 03885PH: 603-772-0000FAX: 603-772-9436www.bmwofstratham.com


Original BMWParts

The UltimateDriving Machinewww.bmwusa.com

Theyre called Original BMW Parts for good reason. For uncompromising precision and incomparable quality, your BMW center is your One-Stop shop for everything BMW.

BMW of Warwick1515 Bald Hill Rd.Warwick, RI 02886PH: 401-821-1510FAX: 401-823-0530www.bmwofwarwick.com

BMW of SudburyWholesale Parts68 Old County RoadSudbury, Ma. 01776PH: 800-338-3198FAX: 508-881-7578www.bmwofsudbury.com

BMW of Cape Cod500 Yarmouth RoadHyannis, MA 02601PH: 508-815-5500FAX: 508-790-3551www.bmwofcapecod.com

Wagner BMW of Shrewsbury770 Boston TurnpikeShrewsbury, MA 01545-3202PH: 866-438-3997 FAX: 508-925-2291www.wagnerbmwofshrewsbury.com


LOCAL NEWS by Joel Gausten

Schools Put AASP/MAVocational Grants to UseThanks to the Collision Repair Education Foundation

(CREF), the future of auto body education in America isbrighter than ever before.

For more than 25 years, the not-for-profit organizationhas worked to secure donations from insurers, suppliers,technology companies, manufacturers and other industrystakeholders to support philanthropic and collision repaireducation activities that promote and enhance career op-portunities. Each year, the Foundation awards $50,000 Ulti-mate Makeover Grants to schools that are in desperate needof financial assistance. To further its commitment to sup-porting automotive education initiatives in the Common-wealth, AASP/MA partnered with CREF in recent years tobring special Vocational Grants to the local level. Last May,the association was able to assist three schools AssabetValley Regional Technical High School (Marlboro), Mon-tachusett Regional Vocational Technical School (Fitchburg)and Medford Vocational Technical High School (Medford) that applied for but didnt win the $50,000 MakeoverGrant by providing each with an epoxy floor coating fortheir collision repair departments (AASP/MA Hosts Voca-tional Grant Ceremony & Roundtable, NEAR June 2015).

Assabet Valley Regional Technical High School recentlycompleted the installation of its new epoxy coating, withstudents devoting several weeks to making this improve-ment a reality.

Its amazing how it keeps the shop so much cleanerthan the old cement floor that had no coating on it whatso-ever, says Assabet Auto Collision Instructor Ken Stukonis.I think it just changes the mindset within a shop. Whenpeople come in and look at it, theyre like, This doesntlook like an auto body shop; it looks more like a dancehall! Were trying to teach the kids to have pride in them-selves and pride in their school and what they do.

David Lelievre, collision repair instructor at Mon-tachusett Regional Vocational Technical High School, looksforward to adding the new floor to his facility during thefirst half of 2016.

Were trying to create a better appearance for theshop, he says. A lot of people still think of this industryas being dark and dirty. If we can make our shop looknicer, its very exciting. We were very excited to get this; itsa huge thing that we probably couldnt budget for.

This biggest [benefit] is going to be a nice, cleanerwork area, comments Medford Vocational Technical HighSchool instructor RJ Searle. Were going to have unifor-mity to the floor and the way we structure [things] and putthe cars in.

In addition to working with AASP/MA in facilitatingthe Vocational Grants, CREFs focus on supporting auto-motive education in the Commonwealth gained a widerspotlight last November when it awarded a $10,000

A before-and-after glimpse of how much the AASP/MA Vocational Grant helpedAssabet Valley Regional Technical High School (Marlboro).


After

Before


Ultimate Collision EducationMakeover Secondary Runner-UpAward to Southeastern Regional Voca-tional Technical High School in SouthEaston. The announcement was madeNovember 3 at the organizations an-nual industry reception during theSEMA Show in Las Vegas. Over$250,000 in grants was awarded dur-ing the event, which drew attendancefrom students, educators and industryrepresentatives from across the country.

Like the other schools that apply for the MakeoverGrant, Southeastern Regional receives a multitude of in-kind donations throughout the year. In 2015, this amountedto nearly $15,000 in free goods in addition to the $10,000provided by the Award all by simply going through thefree application process through CREF.

Over the years, weve [received] safety glasses, casesof tape, work shirts for the students [and] body filler from3M, offers Southeastern Collision Repair InstructorWilliam Collins. A collision repair program is not a cheapprogram to run. To have any extra help with it obviouslyhelps us out with our budget.

During the Las Vegas presentation, CREF Director ofDevelopment Brandon Eckenrode stressed to the students inattendance that they are worthy and wanted members ofthe automotive community.

There are many different industrysegments and career opportunitieswithin this [field] that you can gointo, he said. Whether its workingfor a paint company, tool company[or] an estimating company, there area lot of different [professional options]out there for you that were workingto help make you aware of.

Eckenrode added that the need foryoung employees is at an all-time highdue to the fact that the average age of

repair technicians in todays industry is 40-plus years old.As he told the young attendees, We have million-dol-

lar, billion-dollar companies coming to us panicked, say-ing, We need the next generation of students because theiremployees are going to start to work towards retirement.Thats where you guys come in.

Over 140 high school and college collision school pro-grams applied for the 2015 Ultimate Makeover Grant. Theprogram has given out over $3 million in donations from avariety of participating companies to applicant schoolssince 2009, with 94 cents of every dollar donated to theFoundation returned to collision repair schools. More infor-mation on the Collision Repair Education Foundation isavailable at CollisionEducationFoundation.org.

Were trying to teachthe kids to have pridein themselves andpride in their schooland what they do.

- Ken Stukonis

MASSACHUSETTS


As the New Year rolls in, its time to start putting yourresolutions for 2016 into place. Some of the most popularones every year are from a point of personal betterment to quit smoking, to read more, to exercise, to drink morewater or to finish that project you started back in 2010. As an industry professional, you should be working towardsimproving your business. Luckily for repairers in the Com-monwealth, the 39th Annual NORTHEAST 2016 Automo-tive Services Show will be occurring just a few states and amanageable car ride away to help you achieve your goals.

Sponsored by AASPs New Jersey affiliate and heldMarch 18-20 at the Meadowlands Exposition Center in Se-caucus, NJ, the show will feature industry giants gatheringtogether as vendors, speakers and peers. With new productsbeing demonstrated and invaluable information distributedby prominent industry sources, this event is not one to bemissed. Now, after a record-breaking year in 2015, exhibitorsare rushing to sign up for the show, pointing to a more suc-cessful three-day weekend than ever before.

As industry technology advances at an unprecedentedrate, one of the largest draws of NORTHEAST will be thevendors displaying their most important industry products.Major paint and refinish distributor BASF, the continuedPlatinum Sponsor for NORTHEAST, is one company thatwill be bringing a major presence to the 2016 show.

NORTHEAST is always a great event for us, saysBASF Marketing Services Manager Tina Nelles. We havethe opportunity to connect with our customers face to faceand demonstrate our importance to the industry.

National companies arent the only ones looking for-ward to the NORTHEAST experience. Walcom, out of War-wick, RI, is one exhibitor that is excited to bring its newestofferings to the 2016 show.

Of course, the number one reason we contribute toNORTHEAST is the customers, says Operations ManagerRoman Skorik. Were always looking for new customersand the opportunity to introduce new products to them. Thisis the perfect chance because its right in our backyard, so its

a good area for us to service.One item that Skorik is proud to reveal at the Secaucus

show is Walcoms upcoming carbon fiber spray gun, whichwill be finished for production in early 2016. For shops thatconsistently work to bring their business to the forefront oftechnology changes, this is not a product to be missed.

There will be plenty of suppliers at NORTHEAST, in-cluding industry giant PPG. Having been a major proponentof the NORTHEAST Automotive Services Show for a num-ber of years, this paint supplier understands the advantagesthat come from participating in and attending the largest re-gional trade show of its kind. Due to its success in 2015, PPGwill be expanding its booth by 1,500 square feet in order toaccommodate its new, eye-catching Show Truck, which willshowcase all that the company has to offer.

We have a great deal of customers who attend thisshow, and we want to show our support for them," says PPGRegional Manager Brad Panichella. The show is the perfectplace for us to introduce new products. Our presence thereallows us to improve our customer relations. We see peoplethat we dont always get to see because they are busy work-ing in their shops. It allows us to bond with them and findways to help them run their businesses more efficiently. Weremove the distraction of being on the busy shop floor so at-tendees can learn about whats new at PPG and in our in-dustry. For those unfamiliar with PPG and our offerings, itsan excellent opportunity to learn about our products, pro-grams and services.

Of course, suppliers are not the only companies alreadygearing up for the show. After a wildly effective presence inSecaucus last year, American Honda Motor Company has se-cured its position in the 2016 installment. Having successfullyintroduced its ProFirst Certified body shop program at the2015 NORTHEAST show, American Honda is ecstatic todemonstrate whats new from the company at the upcomingshow.

We have an all-new booth this year so we can reacheven more collision professionals with information on our


NATIONAL NEWS

NEW YEAR, NEW EXPECTATIONS:Whats Coming at NORTHEAST 2016

by Jacquelyn Bauman


ProFirst Certified body shop program,says American Honda Motor CompanyAssistant National Manager GaryLedoux. To demonstrate the impor-tance of the program and followingOEM repair procedures closely, we willhave two collision-damaged vehicles atour booth. It will drastically displaythe importance of following the correctprocedures and using the right tools,technology and equipment in repairson our vehicles.

Big things are on the horizon fromthe NORTHEAST 2016 AutomotiveServices Show; make plans to be part ofthis years installment! To find outmore, visit aaspnjnortheast.com.

The 39th Annual NORTHEAST 2016Automotive Services Show will be heldfrom March 18-20 at the Meadowlands Ex-position Center in Secaucus, NJ. Registra-tion is now open at tinyurl.com/NE16reg.

MASSACHUSETTS



NATIONAL NEWS by Jacquelyn Bauman

Slow and steady wins the race isan adage that is becoming increasinglyrelevant in regard to change in the colli-sion repair industry. One small victoryfor the industry occurred on November12, when Republican Wisconsin Gover-nor Scott Walker signed a bill thatstates that car insurance companiescannot demand that repairs be made ata particular auto body shop.

Senate Bill 93 prohibits an insurerthat issues a motor vehicle insurancepolicy that covers repairs to a motor ve-hicle from: 1) requiring that repairsmust be made by a particular contrac-tor or repair facility as a condition ofthat coverage; or 2) failing to initiate orconclude with due dispatch an investi-gation of a claim for repairs on thebasis of whether the repair will be

made by a particular contractor or repair facility.

The legislation also establishes thata consumer has the right to select themotor vehicle repair facility of his orher choice.

The success of the bill is largelydue to the Wisconsin Auto CollisionTechnicians Associations Ltd. (WAC-TAL), a statewide trade associationcomprised of independent and dealercollision repair centers, technical col-leges and businesses affiliated with thecollision repair industry.

Through the dedication and per-severance of WACTAL Board memberArt Krolikowski, WACTAL lobbyist Jo-lene Plautz and lead bill authors Rep.Ed Brooks and Sen. Howard Markelin,WACTAL was successful in getting this

legislationpassed, the as-sociation statedin a newsletterfollowing thebills signing.Art's tireless ef-forts in working with his legislator,Rep. Brooks, and [his] many trips to theCapitol are commendable. To thosemembers who made phone calls andmet with their legislators, and attendpublic hearings - THANK YOU! Yourefforts paid off!

To read the bill in its entirety, visittinyurl.com/WI-SB93.

MASSACHUSETTS


AUtO BODY SHOP CHOICE BIllSIGNED IN WISCONSIN

COllECtING DIMINISHED VAlUEtHROUGH tHE BACK DOOR

by James A. Castleman, Esq.


LEGAL PERSPECTIVE

An attorney called me last week, seeking my advice onhow to deal with a Diminished Value (DV) claim that hisclient had been handling on his own to that point. The clienthad purchased a new high-end vehicle that had been hit byanother car only three weeks after it left the showroom floor.The vehicle had been badly damaged, but it was repairable.The repairs had been made by a qualified collision repair shopand paid for in full by the insurer. Since the car was new andexpensive, the client had been concerned about how thevehicles value would be affected by the accident and repairs.When asked, the car dealer confirmed that, especially withtodays CARFAX and similar reporting systems, the vehiclewas worth thousands of dollars less.

After having told me all of this, the attorney finally posedhis question: The dealer told the client that the car was worthabout $5,000 less because of the accident, but the insurer wasonly offering to pay $3,500 for Diminished Value. Whatshould the vehicle owner do?

It took me a while to get my head around what washappening. Why was an insurer in Massachusetts paying forDiminished Value at all? And if it was, why wouldnt it makesense for the client to grab whatever he could for DiminishedValue under these circumstances especially since the vehicleowner still intended to keep the car for many years?

It dawned on me that this must have been a third-partyclaim, i.e., the vehicle owner had made a claim against theinsurer for the car that hit him. However, it turned out thatthis was only partly the case. The vehicle owner had made afirst-party claim with his own collision insurance carrier, whohad paid for the repairs, but he had made a completelyseparate third-party claim for Diminished Value against theinsurer for the car that had hit him.

Ultimately, I told the other attorney that it would be hisclients choice on how to proceed, which would involvemaking an informed business decision. Might he be able tonegotiate a few more dollars from the insurer? How sure wasthe dealer that $5,000 was an accurate Diminished Value? Wasit worth trying to confirm it by asking a couple of dealers fortheir opinions? Where did the insurer get its figure? Did ithave competitive quotes from other dealers? If the client wentfurther, was he going to have to pay a lawyer to representhim? If so, how in the world was he going to end up with anymore in his own pocket than was being offered after payinglegal fees? Was the client comfortable handling the matter onhis own in small claims court if push came to shove? Whatwas it worth to him to get $3,500 in hand now, rather thantaking the chance that he might get $5,000 many months down

the road if a small claims magistrate ruled in his favor andafter spending several hours at his local district court?

The situation got me thinking. Are too many claimantsforegoing an attempt to collect Diminished Value whenperhaps they should make more of an effort to recoup it?

ThE BASIC RulESDiminished Value is the inherent decrease in value that

a vehicle incurs because it has been involved in an accident,even if it has been repaired.

It may be fair to ask why a car would be worth any less ifit had been competently repaired by a qualified, skilledtechnician. I have been told by more than one person in thecollision repair industry that, especially for older cars,sometimes a repaired vehicle is a better value. After all, if youare replacing worn or rusted parts with all new or recon-ditioned ones (and you are putting a new coat of paint on avehicle that has lost its sheen), isnt it actually in better con-dition than before it was damaged?

The reality is that (for almost all cars) once a vehicle hasbeen in an accident, it is worth less than a similar car that hasbeen accident-free. This is the case no matter how well it hadbeen repaired. Further, qualified experts can put a dollaramount on that decrease in value by looking at comparablesales of similar vehicles and other market value factors.

If a persons car has been in an accident, the damages thatthe car owner has suffered are not limited to just the cost ofrepair. They also include the Diminished Value that the carhas incurred. If the vehicle owner were to try to sell his car theday after repairs were completed, then he would get less forthat vehicle and would bear the additional monetary losscaused by it having been in an accident.

Despite this, two cases decided by the MassachusettsSupreme Judicial Court have made it clear that a car ownercannot collect damages for Diminished Value from his or herown insurer on a first-party collision or comprehensive claim.What the insurer is required to pay is governed by theinsurance policy that covers the car. That policy is a contractbetween the vehicle owner and the insurer, and it defines andlimits what an insured can collect for his or her premium if thecar is damaged in an accident. Diminished Value is not part ofwhat the insured can collect.

However, neither the vehicle owners insurance policynor the two legal cases that addressed the issue have anythingto say about what a car owner can collect from a third partythat negligently caused damage to a claimants car. Rather,what the vehicle owner can collect is governed by standard


tort law, which says that a negligent party is liable for allreasonably foreseeable damages resulting from their negligentconduct. The insurer for the third party is responsible forpaying all of those damages, up to the third partys policylimits.

SPlITTIng ThE ClAIMFor several years, I have advised that Diminished Value

damages are not recoverable on first-party claims, but thatthey very well may be recoverable on third-party claims.Therefore, I have generally told people who want to collectDiminished Value damages to seek them from the responsiblepartys third-party insurer. Otherwise, they can forgo theDiminished Value damages and just look to get full paymentfor the cost of repair from their own insurer.

Until I received the attorneys call last week, I had reallynot thought much about the mechanics of how to handlesplitting a claim by looking to have your own collision orcomprehensive carrier pay for the cost of repair and the thirdpartys insurer cover additional damages for DiminishedValue. There are, however, no significant impediments stand-ing in a claimants way from doing this, and I have alwaysrecognized that other parts of a claim could be handled in thismanner, particularly substitute transportation damages (i.e.,seeking repair costs from your own insurer, but getting paidfor a rental car from the third partys carrier a very commonsituation). Acknowledging this, I was encouraged to lookeven harder at the Diminished Value claim split, since I knowthat a claimant can often collect more for a rental car from athird-party carrier than from his or her own insurer. The otherinsurers responsibility for the cost of rental is not limited bythe claimants insurance policy daily dollar limits or by the 30-day maximum on first-party rental coverage.

Please understand that there are some limitations onseeking Diminished Value from the third partys carrier. First,the third party has to have been legally responsible for thedamage. If you rear-ended the other guy, you are not going tobe able to collect. Unlike in first-party coverage (which pays inall instances), collecting on a third-party claim requires you toestablish that the other operator was negligent and that thisnegligence caused your damages. Second, even if the thirdparty was primarily responsible for the damage to your car, ifyou also had some degree of negligence (no matter howsmall), the amount that you can collect is going to be reducedby the percentage of comparable negligence attributable toyou. Insurers are notorious for trying to assess some degree ofnegligence to third-party claimants. Third, the amount thatyou can collect is going to be limited by the policy limits thatthe third party has, i.e., how much property damage coveragethey have chosen to purchase from their insurer.

The question of how much effect the third partys policylimits have is further complicated by how much your owninsurer is seeking from the third partys insurer undersubrogation principles. Even though your own insurer isobligated to pay you the full amount of the cost of repairwithout you having to show negligence, they are subro-gated to your rights against the other partys insurer up tothe amount that your insurer pays on your behalf. If yourinsurer pays $10,000 for the repair of your vehicle, they can

seek to get reimbursed for that $10,000 from the third partysinsurer. If the responsible party purchased only $10,000 worthof property damage liability coverage, then there is going tobe nothing left to cover your Diminished Value damages. Thefull $10,000 is going back into your insurers pocket.

PuRSuIng ThE ClAIMNotably, if they are going to pursue Diminished Value

damages from a third-party carrier, most claimants should beable to handle the process on their own. It is not that difficultto pick up the phone and call the responsible partys insureror to submit a claim in writing. Be aware, however, that anysuch claim should be backed up by facts and documentation.Some examples may be a police report of the accident thatindicates that the other driver was responsible and, of course,a written opinion from an expert (such as a car dealer) as tothe Diminished Value incurred.

If making an oral or written claim does not get the desiredresult, then the next step may be to bring a small claims actionin the claimants local district court. A claimant does not needa lawyer to bring a small claims action. Also, under a quirk inthe law in Massachusetts, a small claims action may be brou-ght for any dollar amount for motor vehicle property damageclaims, and is not limited by the usual $7,000 limit on smallclaims matters. If someone is claiming $15,000 in DiminishedValue damages, then they can still use small claims court.Also, there is a special statute that says that if a person bringsa small claims action for motor vehicle property damage, thenthat case does not affect any separate civil case that may bebrought for personal injury damages. The cases are treatedcompletely separately, and neither prejudices the other.

In bringing a small claims action, the responsible person -not just his or her insurer - should be named as a defendant.The insurer has an obligation to defend its insured and to payany judgment entered against him or her, but that insured isthe real party being sued. That being said, it is still good pra-ctice to name the insurer as an additional party. This ensuresthat they get notified of the action rather than relying on theirinsured to give them notice.

In some cases, an insurer may seek to remove a smallclaims action from small claims court to the ordinary civildocket. If that occurs, the claimant may then be better servedby hiring an attorney. There is additional protection for theclaimant in such a situation. By statute, if the insurer removesa property damage claim brought against them and loses,then the court must award the claimant his or her legal fees as part of the damages. Be aware that this applies only toproperty damage claims (such as for Diminished Value), andonly to insurers that remove those claims.

ConCluSIonIn my experience, most claimants dont bother trying to

collect Diminished Value for vehicles that are repaired withtheir own insurers collision coverage dollars, but maybemore claimants should think about also seeking DiminishedValue damages if a third party has caused an accident. Afterall, they have lost value in their vehicle because of that

continued on page 58

VENDOR SPOTLIGHT

In todays wholesale parts business, building a solid reputationmeans always being there whenever and wherever a customer needsyou. Since 1981, Mattie Imports in Fall River has perfected the art of beingin the right place at the right time with the right part. Covering Southeast-ern Massachusetts, all of Rhode Island and parts of Connecticut, the deal-erships parts department supports shops by maintaining one of the mostimpressive delivery services in the area.

For in-stock parts, they can call me until about 3pm and Ill makesure they see it that day, offers Parts Manager Bob Moniz. If its not instock and they call me before 1pm, they will see it the next day. Were notgoing to treat you like a customer; were going to treat you like family.

Mattie Imports dedication to providing an exceptional experience isdemonstrated by their commitment to OEM collision and mechanicalparts. With aftermarket products on the rise, the dealership works tocombat the spread of these often-inferior items by offering price matchingthrough CollisionLink to allow shops to receive original equipment partsat non-OE prices.

With CollisionLink, were able to match some aftermarket prices,Moniz explains. I would rather see a car with a factory part thats de-signed for it than an aftermarket part that somebody had to make fit towork. Even before we started using CollisionLink two years ago, wewould always try to work with [our] customers and get the factory partfor them. When customers find out about CollisionLink and realize thebenefits, a lot of them become strong on using it and really like the way itworks.

An 18-year parts industry veteran, Moniz started at Mattie Imports16 years ago as a driver and has been in his current management positionfor a decade. He works alongside a solid team comprised of driver RickRose (who has been with Mattie Imports for 15 years) and parts sales as-sociates Chris Reis (a 14-year veteran of the dealer) and Ross St. Laurent(who has been with the operation since 2012). Together, they fulfill anever-growing order list that has expanded greatly in recent years thanksto the ongoing popularity of the Audi brand, which currently comprises

Left to right: Bob Moniz, Rick Rose and Ross St. Laurent of the Mattie Imports parts department (not pictured: Chris Reis)

45 percent of Mattie Imports overall business.They just make a phenomenal car, Moniz

says. The technology, the fit, the comfort, thesafetyeverything is just there.

With their parts in such high demand, Monizand his team make sure that every order they re-ceive is treated with the utmost respect.

We really want to give good service; wewant to see all of our customers happy, he says.The shops customers might not be ours directly,but theyre ours indirectly because we representthe brand.

In addition to growing business through ex-ceptional customer service, Mattie Importsspreads the word about their parts services everytime Rose hits the road. Last July, the departmenthad the delivery truck wrapped to make it appeartransparent. Whether on the highway or at a bodyshop, this awesome visual gets attention.

Customers love the truck; nobody can be-lieve it, Moniz says. They think the trucksamazing.

Whether you are in Providence or MarthasVineyard, a call to Mattie Imports will get you theVW and Audi parts you need. With cycle time de-mands at an all-time high, theres nothing moreimportant than working with a parts departmentthat treats you like one of the family.

The Mattie Imports parts department is openMonday through Friday from 8am to 5pm andSaturday from 8am to noon. For more informa-tion, please call (508) 678-5555 or [email protected].

MASSACHUSETTS


by Joel Gausten

Mattie Imports visually stunning parts delivery truck

MATTIE IMPORTS: WHERE CUSTOMERS BECOME FAMILY


In many ways, the countless technological and educational demands in todays shops have turned the col-lision repair field into the new Wild West. These days, its very common to find a new, entry-level shop oper-

ating down the street from a decades-old facility that hasnt made any new investments in years. A fewblocks away, a high-quality, heavily certified center might be building business by showcasing the latest

in aluminum repair equipment and practices. Now, keep this scenario in mind when considering thatall three of these shops currently operate under the same Labor Rate. Does that make sense to any-

one reading this? It has certainly never made sense to the Auto Body Association of Rhode Is-land (ABARI), who recently succeeded in doing something to truly differentiate between the

shops in todays marketplace and make sure those on the higher end of the spectrum re-ceive the compensation they deserve.

In June, the Rhode Island House and Senate passed ABARI-created legislationthat called for the states Department of Business Regulations to classify shops as ei-

ther Class A or Class B facilities. To be classified as a Class A repair busi-ness, a shop must:

NATIONAL FEATURE by Joel Gausten

A NEW CLASS: Inside the Push forShop Classifications

be certified by at least one automobile manufacturer forthe repair and refinishing of aluminum, high-strength steelor another metal or alloy;

provide a written limited lifetime warranty againstworkmanship defects;

maintain a system for documenting customercomplaints and responses to service; and

provide evidence of certification for alltechnicians employed at the auto bodyrepair facility.


Additionally, each insurer must conduct a separateand distinct auto body Labor Rate survey for each classifi-cation of auto body shopsannually to determine a sepa-rate and distinct prevailing auto body Labor Rate for eachclassification of fully licensed auto body repair facilities.Under the new law, an insurer is barred from using ratesurvey information or contract rates from any shops withwhich it has a formal agreement or contract to provide autobody repair services to insureds and/or claimants. A des-ignated Class B auto body repair facility may apply forClass A certification at any time in a calendar year with anapplication fee of $300. At the time of this writing, the lawwas expected to go into effect later this month once thefinal points for implementation were ironed out by the De-partment.

ABARIs latest home run in the political arena follows along line of similar victories in recent years, including thepassage of various bills addressing (among other things)steering, payment based on the use of P-Pages and directpayment to rental companies. Additionally, the associationwas successful in prompting the passage of legislation thatestablishes that all vehicles with $2,500 or more in damage(as appraised by a licensed appraiser) cannot be repairedby a facility or paid for by an insurer based solely upon awritten estimate from a shop. Considering ABARIs alreadystrong presence at the State House, it comes as little sur-prise that the association again followed the legislativeroute to address another critical industry issue.

We saw [this bill] as the most reasonable solution tothe problem of Labor Rate reimbursement, explainsABARI Vice President Randy Botella. There are differentlevels of shops; the disparity between what its going totake to run each of those shops cant be addressed with oneLabor Rate across the board. Basically, the people whomake the biggest investment and are on the cutting edge ofcollision repair wind up penalized because they receivenothing for their investments.

One very important element of the bills success wasthe fact that it didnt impose anything on the shops itaimed to serve.

It doesnt mandate anyone to do anything, Botella in-sists. Full collision repair-licensed shops in this state coulddo absolutely nothing and it wouldnt affect them nega-tively at all. This was only for the shops that were continu-ing to make investments in equipment and training inorder to prepare for full aluminum repair as well as the cut-ting edge technology on the cars today.

I dont think the industry should be set at such a highstandard at the entry level that it drives the investmentcosts so high that nobody can ever open up a new shop,he adds. I do think there is going to be room in the marketfor the different levels of shops; not everybody is going towork on all-aluminum body Porsches, Mercedes-Benzs,BMWs, Jaguars and Land Rovers. There will be plenty of

Hyundais, Toyotas, Kias and GMs to be worked on. But asthe years march on, Im sure there will continue to beadded expenses and increases on what its going to take tofix the cars, and well have to address that. But I dont thinkthat every single body shop out there should have to be in-vested to that top level.

Interestingly, ABARI also experienced less resistancethan expected from the insurance industry in making thislegislation a reality.

[Insurance carriers] were the ones that had actuallybrought to our attention the dramatic difference in invest-ment in shops, recalls Botella. They were the ones whopointed out to us that it made it impossible to have a happymedium; you had some shops with [large] investments,and you had the shops that had small investments. Theyfelt that what they were paying in some shops may havebeen adequate, and they acknowledged that it would be in-adequate in other shops.

ABARI Legal Counsel Jina Petrarca-Karampetsos cred-its the bills passage to the fact that it aims to support con-sumers as well as body shops.

How could you argue with the idea that the consumershould know whether or not the shop theyve chosen canactually fix his or her car? she reasons. Anything thatgives consumers more notice and more information is goodfor both industries. Insurance companies have valid pointsand body shops have valid points, but the person who theLegislature cares about is the consumer.

Along the way, ABARI utilized the services of noted in-dustry educator and frequent New England Automotive Re-port contributor Larry Montanez (P&L Consultants), whotestified in both the House and Senate on how the rapidchanges that have occurred in the industry have led tomany shops making larger-than-ever investments in equip-ment and training. Botella is thankful for what the industryveteran brought to these discussions.

[Larry] was very helpful in being able to answer tech-nical questions and being a technical expert, he shares. Itremoved any question of the legitimacy of what we weresaying, as opposed to just having lawyers and lobbyistsmake statements. Its a lot more powerful to have someonewho is as well-educated as Larry answer any questions thatcome up.

In addition to providing Montanezs expert perspec-tives, ABARI worked hard to grow its position at the StateHouse by devoting years to properly educating regulatorson the issues affecting repairers and vehicle owners.

We made sure that anything that we brought forwardwas 100-percent accurate and honest, Botella says. Wealso made sure we never left anything out or were disin-genuous in anything that we said. Over the course of morethan 16 years, that credibility was built upon again andagain.

Of course, ABARI is not alone in its efforts to promoteshop classification in the field. For decades, the CollisionIndustry Conference (CIC) has encouraged industry stake-holders to utilize the groups Minimum RecommendedRequirements for a Class A Collision Repair Facility(available online at tinyurl.com/o5xhepg). Recently, theCIC Definitions Committee has been working on an up-dated draft of the document. Still under debate by the CICbody at press time, the new incarnation would divide theForums Class A definition into three categories:

Non-Structural/Cosmetic: Capable andequipped to perform refinishing and light metalrepairs not requiring pulling or welding on structural components of the vehicle

Structural: Capable and equipped to perform repairs and refinish work on steel vehicles including structural repairs and weldingon replacement structural components

Structural Advanced Materials and Techniques: Capable and equipped to performrepairs and refinish work on steel and advanced-material vehicles such as aluminum, carbon fiber,etc., including structural repairs and replacingstructural components

Despite this ongoing work, a growing call to put anend to CICs role in the Class A discussion can be heardthroughout the industry. At a time when more and moreOEMs are pushing their own certification programs cou-pled with CICs inability to police and enforce its recom-mendations to the industry is the CIC DefinitionsCommittees work even necessary? Addressing the Com-mittee from the audience during the forums meeting inLas Vegas last November, Texas-based repair professionalDustin Womble answered that question with a resoundingno.

The Class A definition came out almost 20 yearsago, he said. We had vehicles that were on the road thatare different than the vehicles that we have on the roadtoday. It was an attempt to give a little bit of a heads up topart of our industry on [the shops] they should be lookingfor as their Direct Repair Programs evolved. Now, DirectRepair Programs have evolved many times over; cars havechanged many times overThe real-word situation is thatthis Class A definition is irrelevant in todays market.

While his views on CICs efforts are not as strong asWombles, Botella nonetheless has reservations over the en-deavors ultimate effectiveness in the industry.

I think they put in a good effort, but it takes a meetingof the minds to make it happen, he offers. You just cantwrite a list and say, This is what we want it to be and thenhave it executed. You have to have the support of the

shops, legislators and governing bodies, and it helps to findcommon ground with the insurance industry on what isbest for the consumers.

When asked for words of wisdom for other entitiesworking to establish relationships in the Legislature asfruitful as ABARIs, Petrarca-Karampetsos advises industrymembers to always keep their goals and expectations real-istic and stay armed with the right ammunition.

You have to fight fire with fire, she says.When theinsurers go up with all of their figures and very nice pre-sentations and booklets, you have to go up with thosethings, too. You have to have the counter-data packaged inthe same way they packaged it.

In Botellas mind, the biggest difference between suc-cess and failure in getting a bill of this nature passed is theamount of patience the proponent can muster.

The problems that we have in the industry didntcome on in one day, and theyre not going to go away inone day with one change, he says. One thing I thinkeveryone needs to know is that it will take a group of peo-ple; it needs to be an association with multiple people whohelp or start a plan to put things forward.

Although it can often be a long and frustrating journey,the road to the State House is one that ABARI travels often and will likely hit again as soon as other issues impact thepotential success of the shops and industry it serves.

I cant imagine why anyone would shy away fromlegislation, Petrarca-Karampetsos says. You have to legis-late the policies you need to fix the issues in our industry. Itmay not be the exact legislation that you want, but it mightcome close, and thats something.


MASSACHUSETTS


On the first day of December, AASP/MA kicked offthe final month of 2015 with the Western Chapter HolidayParty at the Slainte Restaurant in Holyoke. The Tuesday nightevent provided attendees with an amazing steak dinner anda special presentation by association representatives on

the groups many activities and successes over the pastyear.

AASP/MA Executive Director Jillian Zywienupdated shop and vendor members on the groups

legislative endeavors in recent times. Taking whatshe called a branch approach to addressingindustry issues, AASP/MA is actively pushingfor the passage of five bills it has filed at theState House. In addition to the current incarna-tion of the long-running Labor Rate Bill, thepieces of legislation include two bills designed tochange the Auto Damage Appraiser Licensing

Board (ADALB). One bill would move theBoard (currently housed under the Divi-

sion of Insurance) to the Division ofProfessional Licensure, which

oversees nearly 30 licensingboards in the Commonwealthand includes an investigativeunit. The second ADALB-re-lated piece would add a con-sumer representative as wellas a representative from theAttorney Generals Office tothe Board.

We think the con-sumer would help balance

THE SPIRITOF UNITY:AASP/MA HostsHoliday Party,ProvidesLegislative Review

COVER STORYby Joel Gausten


out some of the things weve been fac-ing on the inspection sticker issue andgeneral things that they are concernedabout, Zywien explained.

The fourth AASP/MA bill cur-rently at Beacon Hill is a consumer no-tice piece that would enhance the anti-steering law (The Push Continues:AASP/MA Announces New Legisla-tion, NEAR March 2015).

Thats a huge issue for ourmembers, Zywien said. We hearweekly about your customers beingsteered away from your shop [out offear] from their insurer that theyredoing the wrong thing.

The fifth AASP/MA bill aims to in-form a consumer when an aftermarketpart could potentially void his or hervehicle warranty (Fighting for theConsumer: AASP/MA Submits WrittenTestimony on Senate Bill 134, NEARNovember 2015). Information on all ofthe bills is available under the Legisla-tive Initiatives tab on the AASP/MAwebsite (aaspma.org).

While these legislative endeavorswere still underway at press time, anumber of crucial industry changeswere officially put into effect in 2015.Bolstered by the addition of collision in-dustry members Bill Johnson (Pleasant

Street Auto, South Hadley) and RickStarbard (Ricks Auto Collision, Revere),the ADALB rescinded their previous Ad-visory Ruling that the use of photos orvideo could be accepted as personal in-spection in the initial appraisal process(ADALB Rescinds Controversial Advi-sory Ruling, NEAR September 2015).Zywien noted that it was the first timethat the Board had reversed a previousposition. More recently, the Board filed aRuling regarding the utilization of usedsus-pension parts in the repair of a dam-aged automobile (ADALB Issues Advi-sory Ruling on Used Parts, NEARNovember 2015).


Left to right: AASP/MA Executive Director Jillian Zywien outlined the association's work at the State House. Peter Langone (left) andAndre Marcoux were just two of the attendees who got into the holiday spirit. AASP/MA executive team member Peter D'Agostino

discussed AASP/MAs new chapter structure.

MASSACHUSETTS


[The Ruling] told licensed ap-praisers whether they work for insur-ance companies or body shops, itdoesnt matter Hey, if youre writingused suspension parts, we are tellingyou today that we believe that mayimpact the operational safety of thevehicle, offered AASP/MA executiveteam member Peter DAgostino.I en-courage you to go online and look atthe Advisory Ruling. That is meant tobe a tool for the shops to use as part oftheir negotiations...The ADALB istelling you how theyre going to rule ifyou bring a complaint to them.(Videos of past ADALB meetings areavailable in the Members Only sec-tion of aaspma.org.)

Away from the legislative arena,the AASP/MA Board of Directors hasbeen hard at work updating the associ-ations bylaws. One of the biggestchanges to impact membership in 2016will be the elimination of Board struc-tures within AASP/MA chapters. Now,chapter activities will be overseen bythe AASP/MA executive team. This de-cision was made to help relieve thepressures on volunteer chapter Boardmembers to conduct their own meet-ings and organize their own events.Two special gatherings one a specialevent (such as a Clambake or BBQ), theother a joint Board/chapter meeting will be held in each of the associationsfour chapter regions twice a year.

Were going to be one organiza-tion as weve always been, notedDAgostino. We just wont have additional leadership levels. (For additional insight into the new bylaws,

read the Message from the ExecutiveDirector on page 10.)

Later, DAgostino updated theroom on recent and potentially veryimportant actions by the AutomobileInsurance Bureau (AIB), a private asso-ciation comprised of member insurancecarriers.

They have filed what is consid-ered by them and their members [to be]standard language for automobile in-surance policies in Massachusetts, hesaid. If you remember, years ago thereused to be just one insurance policy,and all the carriers had the same insur-ance policy and same rates when wewere regulated. When we were deregu-lated, all of that went away. Now, eachcarrier has their own insurance policy.

DAgostino warned that the filingsfeature some absolutely concerningthings for the Massachusetts motoringpublic. On the top of the list is the factthat the language aims to regulate whatconsumers can be reimbursed for bytheir insurers.

They will not pay for any towingcosts that are unregulated, he said.There are only two that are regulated hooking the hook to the car, and thestorage.

If a consumer has an accident andtheres antifreeze or oil on the groundthat somebody needs to be paid toclean up, and if theres some specialequipment that is used at the site forjust hooking into the vehicle, all those[expenses] are 100 percent the cost [of]the consumer, he added.

While the language had not been of-ficially adopted by any Massachusetts

insurers at press time, DAgostinowarned that some insurance appraisersmight already try to convince shopsthat it was indeed the law of the land.

Look at what theyre showingyou, he advised. It will say Automo-bile Insurance Bureau. That is not in apolicy approved by the Division of In-surance...The carrier must file theirown plan.

AASP/MA plans to host a specialmembership meeting on the AIB situa-tion on January 6 at Assabet Valley Regional Technical High School inMarlboro. (See page 21 for more infor-mation.)

If these changes start gettingadopted, it could have a significant im-pact on your business, DAgostinosaid. You want to know that before ithappens.

Above all, the Western ChapterHoliday Party served as an opportu-nity for the association to give thanksto its member body shops, vendors andregular sponsors for their valuable in-volvement.

Were working every day on yourbehalf, Zywien said. Were the onlyvoice in the Commonwealth, and wereally appreciate your support. Weknow its important for you to savemoney and take cost into considera-tion, so we appreciate you putting yourfaith in us and spending money withAASP/MA.


www.firsthyundai.com www.firstfordma.com www.firstchryslerma.com

Prompt & Dependable DeliveryParts Line:508.699.4700Fax Line: 508.699.4761Parts Hours:Mon-Sat: 7:30-5:00270 East Washington St. North Attleboro, MA 02760

Experienced andProfessional Parts TeamParts Line:774.888.6666Fax Line: 508.673.6338Parts Hours: Mon-Sat: 7:30-5:00292 William S. Canning Blvd. Fall River, MA 02721

Ask about ourCompetitive PricesParts Line:508.316.8410Fax Line: 508.316.8397Parts Hours: Mon-Sat: 7:30-5:00280 East Washington St. North Attleboro, MA 02760

As a member of the Alliance of Automotive Service Providers of Massachusetts (AASP/MA), I will abide by the associations bylaws and code ofethics. I understand that membership in AASP of Massachusetts is non-transferable, and I must remain current with my dues in order to be a member in good standing. I understand that if I discontinue my membership that I must immediately cease using any association promotions,logos or materials. Additionally, I understand that as part of my AASP of Massachusetts membership, I will receive New England Automotive Report, the official publication of AASP of Massachusetts, faxes, emails and other mailings.

2016 MEMBERSHIP APPLICATION

*** PlEASE tYPE OR PRINt lEGIBlY ***

12 Post Office Square, 6th Floor Boston, MA 02109Phone: (617) 574-0741 | Fax: (617) 695-0173|[email protected]

Primary Contact Name: ________________________________________________________________________________________________

Business Name: ______________________________________________________________________________________________________

Street Address ________________________________________________________________________________________________________

Mailing Address ______________________________________________________________________________________________________

Phone Number ( )____________________________________ Fax Number ( ) __________________________________________

E-mail Address ________________________________________ Web Site Address ____________________________________________

Street City State Zip

Street City State Zip

As required by the U.S. Tax Code, AASP of Massachusetts, Inc. informs its members that 75% of the dues paid to the associationare tax deductible. The remaining 25% is allocated to legislative activities and is not tax deductible.

MASSACHUSETTS


(3#s on back for Visa, 4 on front for AMEX)


MEMBERSHIP TYPE (check one)

Collision Repair ShopMechanical Repair ShopBoth, Collision & Mechanical Repair ShopsVendorRS Number (if applicable) ________________________________

AASP/MA CHAPTER (check one)MidStateSoutheasternNortheasternWestern

ADDITIONAL CONTACT FOR NEWSLETTERS AND LEGISLATIVE UPDATES

Name: ____________________________________________________Email: ____________________________________________________Name: ____________________________________________________Email: ____________________________________________________Name: ____________________________________________________Email: ____________________________________________________Name: ____________________________________________________Email: ____________________________________________________

ACCOUNTS PAYABLE CONTACT:Name: __________________________________________________Phone Number: __________________________________________Email:____________________________________________________

ANNUAL MEMBERSHIP DUES (The AASP membership year is from January 1 to December 31, 2016)

$40/month $115/quarter $425/year - BESt VAlUE!Monthly & Quarterly Dues are Automatic Credit Card Transactions ONLY*

NEW! Political Action Committee (PAC)Donation ...............$_____

Check or Cash Credit Card: Visa MasterCard Amex

Card Number: __________________________________________CID Number: ____________Expiration Date: ________________________________________Name on Card: __________________________________________Billing Address of Credit Card: ____________________________________________________________________________________________________________________________________________Signature: ______________________________________________Date: __________________________________________________Name: ____________________________________________________

Email: ____________________________________________________

PlEASE COMPlEtE tHIS MEMBERSHIP APPlICAtION AND REtURN It WItH PAYMENt tO AASP-MA OFFICE.

Personal Contributions Only

Attorney James Castlemanis a managing member

of Paster, Rice &Castleman,LLC in Quincy, MA. He can be reached at

(617) 472-3424 orat jcastleman@

prclawoffice.com.


Allen Mello Chrysler Dodge Jeep Ram ......19AP Media ........................................................53Audi Group ....................................................37Audi Shrewsbury ..........................................18Axalta Coating Systems ..................................4Bald Hill Chrysler Jeep Dodge Ram..............8Balise Wholesale Parts Express ....................29Baystate Chrysler/Jeep/Dodge ..................25Bernardi Group ........................................30-31Best Chevrolet/Best CDJR..........................IFCBMW Group ..............................................22-23BMW/Mini of Warwick ................................17Clay Subaru ....................................................46Colonial Auto Group ......................................6Empire Auto Parts..........................................27Enterprise ........................................................10First Chrysler-Dodge-Jeep-Ram ..................53First Ford ........................................................53First Hyundai..................................................53Ford Group ....................................................35Honda Group..................................................43Hyundai Group..............................................47Imperial Ford..................................................43Infiniti of Norwood........................................34Ira Group....................................................12-13Kelly Automotive Group............................IBCKia Group........................................................57Linders, Inc. ..................................................58Long Automotive Group ..........................OBCMazda Group..................................................56Mercedes-Benz of Shrewsbury ....................18Mopar Group..................................................44Mr. Pothole Man ..............................................7Nissan Group..................................................45PPG ....................................................................3Robertsons GMC Truck ................................28Sarat Ford Lincoln..........................................46Sentry Group ..................................................55Subaru Group............................................38-39Tasca Group ......................................................9Toyota Group..................................................51Village Auto Group........................................16VW Group ......................................................52Wagner BMW of Shrewsbury ......................18Wagner Kia of Shrewsbury ..........................18Wellesley Toyota/Scion ................................27

AD INDEX


continued from pg. 33

persons actions. If the rules arefollowed (and the limitationsunderstood), it certainly can bedone, usually without having tohire a lawyer and invest anenormous amount of time oreffort.

MASSACHUSETTS


LEGAL PERSPECTIVE

Date post:	25-Jul-2016
Category:	Documents
Upload:	thomas-greco-publishing-inc
View:	214 times
Download:	0 times

New England Automotive Report Janaury 2016

Documents