Mississippi Auto Body Shops Ask Court to Halt State Farm’s Parts-Finder System

By Emily Wagster Pettus | August 30, 2013
Auto Parts Car repair

More than two dozen body shops are asking a Mississippi court to block an insurance company’s program that would change the way they find auto parts.

The Mississippi Collision Repair Association and the body shops filed a lawsuit Wednesday in Hinds County Chancery Court against State Farm Mutual Automobile Insurance Co. and PartsTrader LLC.

The lawsuit, which represents only one side of a legal argument, claims consumers would be at risk if State Farm requires body shops to use PartsTrader, an online marketplace, to find the least expensive parts available to do repairs. It also claims parts might have to be shipped longer distances, extending the time for repairs and damaging body shops’ relationships with their customers.

State Farm spokesman Roszell Gadson said in a statement: “We were unaware of any complaint and will have to limit what we can say until there is an opportunity to review it.”

John Eaves Jr., the plaintiffs’ attorney, said State Farm has been requiring body shops in a few states to use PartsTrader, with a plan to eventually extend that requirement to all states. The lawsuit seeks an injunction to block State Farm from requiring Mississippi body shops to use PartsTrader.

“It really is a race to the bottom because they will have to buy the cheapest parts,” Eaves said.

The plaintiffs in the case are from numerous Mississippi cities: Brandon, Brookhaven, Canton, Clinton, Crystal Springs, Flowood, Jackson, Lakeshore, Laurel, Natchez, Ocean Springs, Pearl, Philadelphia, Picayune, Richland, Ridgeland, Ruleville, Vicksburg and Yazoo City.

 

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Latest Comments

  • April 8, 2014 at 6:19 pm
    TONY says:
    PEOPLE ARE DEFINETLY STUPID AS THEY DONT READ THEIR POLICY AND THINK THEY WILL GET THE SAME COVERAGE WHEN BUYING 7.5 OR 15 MIN INSURANCE ! WAKE UP INS CO HAVE BRAINS AND THE B... read more
  • April 8, 2014 at 5:43 pm
    TONY says:
    WOW HOW STUPID ARE YOU DID YOU BUY 7.5 MINUTE INSURANCE TOO? THE PARTS DONT FIT AND DO NOT HAVE THE SAME RUST PROTECTION AS FACTORY! HOW MUCH DID YOU PAY FORE YOUR CAR? AND YO... read more
  • April 8, 2014 at 5:40 pm
    TONY says:
    STATE FARM IS 1 OF THE ONLY CO LEFT THAT ACTUALLY USE OEM PARTS EXCEPT FOR BUMPERS! BY INSURANCE IN 15 MIN AND SEE WHAT KIND OF COVERAGE YOU GET OH WAIT NOW ITS 1.5 MIN. READ ... read more
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