If you disagree with the outcome of your submission, repairs. Certain state laws allow you to exclude this most statutes have a rebuttal process in place that type of work, as well as other non-retail repairs such allows a dealer to dispute a rejection or reduction as those paid for by service contracts/insurance of its rate-increase submission. Simply put, a facto- companies, or repairs for fleets or government agen- ry submission is controlled completely by the man- cies. All of these exclusions are placed in the law to ufacturer and ultimately gives them the upper hand. protect dealers from having to include non-warran- A statutory submission is controlled by state law to ty-like work in their labor rate calculation. help dealers obtain a fair market rate from their la3. The Resulting Numbers Are Often Higher with bor submissions. Statutory Submissions 2. States Exclude Certain Repairs As previously mentioned, you should be evaluating Many state laws have specific excluded repairs that both a statutory submission and a factory submis- are designed to eliminate non-repairs and non-warranty-like repairs from the sample to help you achieve your " true " retail rate. For example, the manufacturer's rules may require that you include battery replacements or wheel alignments in your labor submission. This type of competitive routine maintenance work typically has a low effective labor rate and does not represent what you charge your customers for warranty-like 50 Exclusions are placed in the law to sion every year when contemplating a labor-rate increase. In most states, a statutory submission will have different rules than your fac- protect dealers from tory protocol based on a number having to include have often had dealers ask why non-warranty-like work ry submission when their factory in their labor rate say a manufacturer requires 20 calculation. of specific nuances in the law. We they would complete a statutoprotocol required less work. Let's consecutive qualified ROs that have closed in the last 30 days,