AASPI Supports MSCRA in Lawsuit Against State Farm
Sept. 27, 2013—The Alliance of Automotive Service Providers of Illinois (AASPI) announced Wednesday that it has joined a growing list of supporters for the lawsuit filed last month by the Mississippi Collision Repair Association (MSCRA) against State Farm Insurance.
The MSCRA, along with more than two-dozen area body shops, filed the suit in late August, asking a Mississippi court to block State Farm from mandating the use of the PartsTrader electronic parts procurement system in all of its Mississippi direct-repair program shops.
AASPI’s announcement Wednesday comes on the heels of a recent expansion of the State Farm PartsTrader mandate throughout the state of Illinois.
“PartsTrader and its mandated use by State Farm proves beyond a shadow of a doubt the overwhelming purpose of this program is to minimize the shop’s control of their business and expand the profitability of State Farm,” AASPI president Jeff Kallemeyn said. “PartsTrader is crippling the business relationship between shops and suppliers, and, ultimately, the vehicle owner will receive inferior repairs due to mandated usage of PartsTrader.”
AASPI will host a statewide meeting on Nov. 23 at Pheasant Run Resort in St Charles, Ill. The meeting will feature a presentation from the MSCRA and its lead attorneys regarding their lawsuit against State Farm, as well as shop owner Ray Gunder from Florida who successfully settled a lawsuit with State Farm for underpayments of labor rates, paints and material.