Geico can’t pursue claims against windshield repair company

The Supreme Court of Florida unanimously ruled Wednesday that Geico is not a customer able to pursue a claim against a windshield repair company for allegedly violating a state consumer protection law.

In answering two certified questions from the 11th U.S. Circuit Court of Appeals, the justices said in Government Employees Insurance Co. v. Glassco Inc. et al. that the Florida Motor Vehicle Repair Act could not be construed to include insurance companies as customers and that alleged violations of the law could not void a repair shop’s invoices for completed work.

The justices said Geico “exaggerates the stakes” of a finding that it cannot pursue claims under the act, explaining the law allows for government enforcement actions through administrative proceedings and civil lawsuits and imposes penalties of up to $1,000 per violation.

The Florida Motor Vehicle Repair Act, enacted in 1980, requires repair shops to provide certain pre- and post-work disclosures to customers for work that will exceed $100.

From 2016 to 2019, roughly 1,800 Geico policyholders used Kissimmee, Florida-based Glassco for windshield repair or replacement. Their policies promised reimbursement at “a prevailing competitive price” and included a no-deductible provision for windshield repairs.

Geico sued Glassco in federal court in Tampa, Florida in August 2019 for alleged violations of the Motor Vehicle Repair Act after the repair company filed collection actions against Geico seeking payment for unpaid balances on invoices. The judge dismissed Geico’s claims, and the insurer appealed to the 11th Circuit.

Representatives for the parties did not respond to requests for comment.