Approves September settlement in class action lawsuit against auto insurer. U.S. District Judge David Herndon gave final approval of the $250 million settlement between plaintiffs and State Farm Mutual Automobile Insurance Company that was announced in September. The settlement in Hale et. al. v. State Farm Mutual Automobile Insurance Company et. al. brings to a […]
Boston Collision Repair Shop Owner Pleads Guilty to Tax Fraud
Massachusetts shop owner failed to report over $569,000 in income to the IRS. The owner of a Hyde Park auto body shop pleaded guilty October 15 in federal court in Boston in connection with preparing false tax returns for his company, Automotive Specialties Inc. Richard Poillucci, 62, of Easton, Mass., pleaded guilty to three counts […]
Elon Musk Settles SEC Fraud Charges
Settlement requires Musk to step down as Tesla’s Chairman; Tesla to appoint additional independent directors; Tesla and Musk agree to pay $40 Million in penalties. The Securities and Exchange Commission announced September 29 that Elon Musk, CEO and Chairman of Silicon Valley-based Tesla Inc., has agreed to settle the securities fraud charge brought by the […]
Elon Musk Charged with Securities Fraud for Misleading Tweets on Taking Tesla Private
The Securities and Exchange Commission yesterday charged Elon Musk, CEO and Chairman of Silicon Valley-based Tesla Inc., with securities fraud for a series of false and misleading tweets about a potential transaction to take Tesla private. On August 7, 2018, Musk tweeted to his 22 million Twitter followers that he could take Tesla private at […]
Former ASA President Sues Former ASA Board Member for Defamation
Ed Cushman, former ASA Chairman Elect, alleged to have slandered former ASA President Dan Risley at May Board Meeting. Dan Risley, former president and executive director of the Automotive Service Association (ASA), has filed suit in a Florida court alleging that the association’s former chairman elect knowingly made false, slanderous comments about him during an […]
Collision Repair Facility Paying Over $67,000 in Back Wages and Damages Following Department of Labor Investigation
Resolves overtime violations of Fair Labor Standards Act. After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Boehm Family Enterprises LLC – doing business as McElwain Brothers Paint and Collision in Ellwood City, Pennsylvania – has paid $33,731 in back wages and an equal amount in liquidated damages for a […]
AASP/NJ Executive Director Calls State Farm RICO Settlement “Travesty of Justice”
Alliance of Automotive Service Providers of New Jersey (AASP/NJ) President Jerry McNee and Executive Director Charles Bryant have spoken out about State Farm and Plaintiffs settlement announced last week on charges it conspired to elect an Illinois Supreme Court Justice to avoid a $1 billion settlement against the insurer over its specification of non-OEM parts […]
NY Mercedes Dealer and North State Custom Settle Second Lawsuit
In what might be the final chapter in the parties’ continuing legal saga, Celebrity Auto of Westchester LLC d/b/a Mercedes-Benz of Goldens Bridge and North State Autobahn Inc. d/b/a North State Custom announced that they have settled their second lawsuit against each other. In 2017, North State Custom filed a lawsuit against Mercedes-Benz of Goldens […]
Attorneys General in 17 States Sue to Block Changes to EPA Greenhouse Gas Emissions on MY 2022-2025 Vehicles
EPA had proposed revising standards last month A coalition of 17 Attorneys General is suing the U.S. Environmental Protection Agency (EPA) to preserve the greenhouse gas emission standards currently in place for model year 2022-2025 vehicles. The increasingly stringent emissions standards have been behind the adoption of lightweight materials in vehicle designs that have forced […]
U.S. Department of Labor Recovers $306,000 in Back Wages and Damages from New York Collision Repair Center
Settlement benefits 21 employees of Long Island shop with overtime and recordkeeping violations of Fair Labor Standard Act. After an investigation and litigation by the U.S. Department of Labor, Farmingdale Auto Collision Inc. and its owner and officers have paid $306,000 in back wages and liquidated damages to 21 employees to resolve violations of the […]