Auto Shops Hit State Farm With Antitrust Suit

Law360, Los Angeles (February 25, 2014, 4:20 PM EST) -- A group of car repair shops on Monday slapped State Farm Automobile Insurance Co., Allstate Insurance Co. and other insurers with an antitrust suit in Florida federal court alleging they conspired to drive down repair costs by demanding unreasonable concessions in exchange for steering business to the shops.

The plaintiffs claim the insurers, led by State Farm, have utilized business agreements with the shops to exert control over their operations and artificially depress car repair costs. The suit names more than two dozen insurers as defendants....
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