Anti-Steering Suit Filed Against Progressive to Continue in New York
by Penny Stacey
An anti-steering case filed by North State Custom vs. Progressive Insurance Inc. in Westchester Civil Supreme Court will continue through the New York court system, despite Progressive's motion to have the case dismissed. Judge Gerald E. Leohr dismissed Progressive's motion last week, according to Greg Coccaro, president of North State, a body shop in northern New York.
"What had happened was that [Progressive] based [its] motion to dismiss on Regulation 2610, which is an anti-steering regulation, and they said that we had no private right of action, and only a governmental agency has a right of action," Coccaro told glassBYTES.com™/AGRR magazine. "We had 8 clauses of action including tortuous interference and general business law 349, which is [about] deceptive business practices … [Progressive] said all of the causes of action were thinly veiled, based on steering, so the whole case should be thrown out, and the judge disagreed."
The suit, which was filed on March 16, 2007, alleges that Progressive has been steering customers away from North State, and into its Direct Repair Program and/or Concierge program by making "misleading and knowingly false and/or exaggerated statements" about the shop and other independent body shops (CLICK HERE to see related story).
North State Custom is represented by Anthony J. Mamo, Esq., of Sleepy Hollow, N.Y., and Progressive is represented by Michael R. Nelson, Esq., of Blue Bell, Pa. Neither Mamo nor Nelson was unavailable for comment today.
Penny Stacey is the editor of glassBYTEs.com/AGRR magazine.
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