Volume 15, Issue 2 - March/April 2013

AGR Reports
breaking news

LEGAL NEWS
Safelite Sued for Violation of Fair Labor Standards

In a class action complaint filed in the beginning of February before the United States District Court for the Northern District of Texas, Dallas Division, lead plaintiff David Trent alleges that while he worked for Safelite Fulfillment Inc. the company violated the Fair Labor Standards Act (FLSA).

In the complaint, Trent alleges that Safelite failed to pay him in accordance with the FLSA when Trent worked through his lunch break but was not compensated for the additional 30 minutes of work.

According to court documents, “despite defendant’s actual or constructive knowledge that plaintiff was working during his lunch periods, plaintiff was not paid for such lunch periods, and as a result, defendant failed to pay plaintiff at time and one half his regular rate of pay for hours worked in a workweek in excess of 40.”

Trent worked as an auto glass technician specialist at one of Safelite's Dallas/Fort Worth-area locations from June 9, 2004 to October 12, 2012. Counsel for Trent alleges that during this time he and any forthcoming class members were subjected to policies which had them “work ‘off-the-clock’ whereby plaintiff and the putative class members were not compensated in compliance with the FLSA for all hours worked over 40 in a workweek.”

According to the U.S. Department of Labor’s Wage and Hour division FLSA fact sheet, “An employer who requires or permits an employee to work overtime is generally required to pay the employee premium pay for such overtime work. Unless specifically exempted, employees covered by the Act must receive overtime pay for hours worked in excess of 40 in a workweek at a rate not less than time and one-half their regular rates of pay.”

Melina Metzger, spokesperson for Safelite, had not responded to a request for comment.

SAFETY NEWS
Winter 2013 NAGS Calculator Issued; Prices Remain Relatively Stable
The Winter 2013 National Auto Glass Specifications (NAGS) International Benchmark Calculator shows a relatively even number of increases and decreases from Fall 2012 numbers. AGRR™ magazine analyzed a list of the current top 20 popular part numbers and found that the benchmark prices for 12 of 20 parts have decreased since the Winter 2012 calculator while at nine of 20 have increased since Fall 2012. Eight of the most popular products have increased benchmark price over the year.

The steepest price decline occurred for part FW02734GBNN which dropped 6.0 percent from $265.95 in Winter 2012. The part previously had seen a 5.6 percent decrease from $266.90 in September 2011 to $251.95 in September 2012.

Two other notable price declines from Winter 2012 to Winter 2013 occurred for parts DW01265GBNN and DW01265GBNN which both saw decreases of 3.3 percent over the year.

The greatest increase came for part DW01256GBNN which increased 2.1 percent for the year and 0.8 percent from the Fall 2012 benchmark.

Part DW01504GBYN also saw a notable annual increase of 1.3 percent and 0.8 percent benchmark increase from September 2012. Part DW01658GBYN saw a year with little change; though the price increased 1 percent from the Fall 2012 benchmark, it only decreased 0.1 percent over the year from Winter 2012.

Allstate Seeks $726,000 from Washington Auto Glass Company
Allstate Insurance Co. has filed an application for garnishment in the United States District Court in and for the Western District of Washington in the amount of $726,700.53 against Auto Glass Express Inc., Premier Auto Glass LLC, owner Michael Perkins and co-owner Trena Perkins for restitution of insurance fraud.

According to the application, counsel for Allstate says, “Plaintiff has a judgment wholly or partially unsatisfied, against the defendant, in the court from which the writ is being sought. The amount alleged to be due is the balance of the judgment or amount of claim, $726,700.53, plus interest and estimated garnishment costs as indicated in the writ.”

The garnishment results from a default judgment handed down in Allstate’s civil suit against the Perkins in June 2011 ordering payment of $726,000 to Allstate and an August 2011 order calling for the plaintiffs to pay $1.6 million in restitution to State Farm Insurance, Allstate and Metropolitan Property & Casualty Insurance Co. Allstate is requesting garnishment in the amount of the ordered repayment.

Previously, the Washington state insurance commissioner’s office had filed criminal charges against Michael Perkins for related allegations involving Allstate, State Farm and MetLife in July 2010.

Perkins was sentenced to spend nine months in a work release program with 240 hours of community service in addition to the restitution payments in relation to the theft charges.

Allstate is being represented by Jennifer P. Dinning and Rick J. Wathen of Cole, Wathen, Leid & Hall P.C. based in Seattle.

Neither Allstate nor its counsel had responded to request for comment at press time.


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