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You are not alone.

Warning letter to insurance company

Shop name: _________________________________________________________
Address:____________________________________________________________
City:__________________________State:______Zip: _______________
Phone: _____________Fax: _____________Contact person:___________________

DATE: ________________
INC CO: _____________________________________________________
CONSUMER: _________________________________________________
SHOP REPRESENTATIVE: _____________________________________

Based on our conversation of __________________ it is apparent ______________
Insurance Company, through their appraisal plan has indeed fixed the labor rate @
_________/hour. They have refused to negotiate the body repair rate upon request. They have further fixed the Paint Material allowance @ _________/hour.

The activity of setting prices or "price fixing" outside the business of insurance is illegal. It is a direct violation of the Sherman Act, Sections 1 and 3. Activity of this type is also in direct conflict with the attached Consent Decree.

In Section IV it states an prohibited from, placing in effect any plan which has the purpose of, "fixing or controlling the price to be charged by repair shops for repair of damage to automotive vehicles or the replacement of parts or labor in connection therewith, whether by coercion, boycott or intimidation."

The activity of refusing to pay the posted repair rate and further refusing to negotiate any other rate than the insurer promotes violates the spirit of the Consent Decree and Sherman Act per the sections state above.

At this time I am formally requesting you forward the amount shorted in the repair of this consumers vehicle amounting to _______________ or as attached. If payment is not received by ______________ a complaint will be filed with the;
United States Department of Justice
Anti-Trust Division (Communication & Finance Section)
Suite 9500, 600 East St. NW
Washington, DC 20530

The consumer reserves all rights to proceed against the carrier for bad faith.

Sincerely,

 

ARA of Syracuse. All rights reserved.