Regional News

Keep up with the latest collision repair industry news in your area.

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Regional News

Keep up with the latest collision repair industry news in your area.

map of united states

Read about significant lawsuits involving the collision industry, covering legal battles, outcomes, and their implications for repair shops and stakeholders.

  • NY Officials Announce Convictions of Long Island Auto Repair Shops for Tax Evasion

    NY Officials Announce Convictions of Long Island Auto Repair Shops for Tax Evasion

    New York Attorney General Letitia James and New York Commissioner of Taxation and Finance Michael Schmidt on March 26 announced the guilty pleas of two Long Island auto repair shops and their owner for tax evasion.

    Broadway Towing, Inc. and Broadway Auto & Towing, Inc. pleaded guilty to criminal tax fraud for underreporting more than $8 million in taxable sales over a 10-year period. The owner of both shops---Luis Crespo, 53 of Freeport---additionally pleaded guilty to petit larceny.

    As part of their pleas, the defendants agreed to repay the state of New York more than $900,000 in restitution,

    ...
  • GM Pays $121M Over Ignition Switches, Power Steering, Airbags

    GM Pays $121M Over Ignition Switches, Power Steering, Airbags

    General Motors has agreed to settle class action claims for economic losses suffered by owners and lessees of vehicles that were recalled in 2014 for problems related to the ignition switches, power steering, key rotations and side airbag wiring.

    The plaintiffs claim they overpaid for their vehicles, allegations denied by GM which decided to settle the lawsuit because of the continued expense of litigation.

    The General Motors settlement fund will be $121.1 million, and although the lawyers who sued are expected to receive $34.5 million, no estimates have been reached about what vehicle owners may receive because much depends on how many owners and lessees file

    ...
  • Toyota Soy Wiring Class Action Lawsuit Resurrected

    Toyota Soy Wiring Class Action Lawsuit Resurrected

    PublishedSept. 21, 2020

    A Toyota soy wiring class action lawsuit is partly alive on appeal after a district court dismissed the case in 2018.

    According to the Toyota soy wiring class action lawsuit, rodents are more attracted to the wiring because Toyota switched its wiring harness from vinyl chloride to a soy-based material.

    This allegedly causes rats, mice and other creatures to chew the wiring, leaving vehicle owners without safe transportation.

    The plaintiffs had four opportunities to refile the class action, but the judge dismissed the lawsuit for failure to plead with particularity under Federal Rule of Civil Procedure 9(b) and ruled the

    ...
  • Chevy Shake Class Action Says Driveshaft is the Problem

    Chevy Shake Class Action Says Driveshaft is the Problem

    A so-called "Chevy Shake" class-action lawsuit alleges GM vehicles suffer severe vibrations because the automaker uses aluminum driveshafts.

    The GM class action includes all consumers in the U.S., except Florida, who purchased or leased any of these GM vehicles.

    • 2015-2020 Cadillac Escalade
    • 2014-2019 Chevrolet Silverado
    • 2015-2020 Chevrolet Suburban
    • 2015-2020 Chevrolet Tahoe
    • 2014-2019 GMC Sierra
    • 2015-2020 GMC Yukon / Yukon XL

    Florida consumers are not included because a separate Chevy Shake lawsuit (Weiss v. General Motors) was denied nationwide class action certification, but the judge said

    ...
  • Chrysler Lawsuit Involving Leaky Sunroofs Seeks Settlement

    Chrysler Lawsuit Involving Leaky Sunroofs Seeks Settlement

    The ongoing lawsuit between David Cox and Chrysler could be settled soon.

    According to court documents, the 2014 class-action lawsuit could reach a settlement agreement of $350,000 for attorneys’ fees and $4,000 that would be awarded to Cox, the plaintiff in this case, as an incentive award.

    The lawsuit against Chrysler, which was first filed in 2014 by Cox, alleged the manufacturer was negligent in disclosing to owners that regular maintenance is needed on affected vehicles’ sunroof drain tubes. The Jeep Patriot, Jeep Liberty, Jeep Compass, Jeep Commander, Jeep Cherokee, Jeep Grand Cherokee, Chrysler Town and Country and Chrysler 300, from model years 2009 to

    ...
  • Mercedes-Benz Mars Red Paint Defect Lawsuit Filed

    Mercedes-Benz Mars Red Paint Defect Lawsuit Filed

    PublishedAug. 21, 2018

    A Mercedes-Benz Mars Red paint defect lawsuit alleges the clear coat is prone to peeling, bubbling and flaking in models built between 2004 and 2017.

    Mars Red, also known as Fire Opal, is a paint manufactured by PPG Industries that identifies the color by paint code 905264, while Mercedes identifies the color by paint code 590.

    Vehicles included in the proposed class-action lawsuit include any Mercedes-Benz vehicle with a label on the driver-side door jamb that references Mars Red paint code 590.

    The lawsuit alleges Mercedes knew the paint was prone to peel and bubble but continued to paint vehicles with the PPG product.

    The

    ...
  • Delaware Man Gets Jail for $85K Insurance Scam in Darby

    Delaware Man Gets Jail for $85K Insurance Scam in Darby

    The former owner of a Darby Borough auto body shop was sentenced to 23 months of intermediate punishment Thursday, September 1 after pleading guilty to insurance fraud and receiving stolen property.

    Franklin Thomas Wilson, who owned Transformer Collision Specialist at 1006 Summit St., was among 11 people arrested in March 2015 for an alleged $85,000 insurance fraud scheme that included damaging vehicles with a forklift to falsely inflate claims.

    Wilson would meet with customers seeking body work on their vehicles and provide them with an estimate, according to a 30-page criminal complaint and affidavit of probable cause written by County Detective Lawrence

    ...

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