In a dispute between a humble bodyshop and a multimillion-dollar insurance company, you might think that there is only one winner. However, in a legal wrangle closely followed by the US collision repair market, the bodyshop has come out on top.

The dispute arose when one of America’s largest insurance companies, State Farm, refused to pay Gunder's Auto Centre for elements of certain repairs that it had carried out on vehicles for its customers, who were insured with State Farm. The lawsuits, in which Gunder is acting on behalf of his customers, include claims against State Farm regarding tortuous interference, breach of contract, bad faith and contempt of court.

After a protracted dispute, State Farm eventually offered to pay the extra charges, an offer which Gunder has refused as he looks to recover more costs. The repairer says he also has 30 further cases he is prepared to bring to court.

With the insurer having effectively admitted defeat by offering a settlement, it is thought the way could now be open for thousands of similar claims from other repairers, who believe they have not received a fair price for repair work done.