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Faust settlements: Settlements proceed for maritime vehicle damages

ALEXANDRIA, Va. (USTCNS) --- Settlements have been made with a majority of service members who had vehicles damaged on the Faust.

American Auto Logistics, Inc., has settled claims with 135 of 165 owners.

The vehicles were damaged Nov. 5 aboard the M/V Faust when contaminated with diesel oil during an English Channel storm.

"We are working resolutely to settle the claims with the service members affected," said Bill Antonelli, vice-president of the Monroe, N.Y. firm.

"We know this situation is a great hardship on them."

Due to safety considerations, the company has judged all vehicles a total loss.

The company believes the approximately 30 outstanding claim cases will be resolved in the next few days, said Antonelli.

With most claims settled, the firm has moved two adjusters from Germany back to their home office.

"We've decided to have our adjuster return to the states to complete the remaining settlement and follow-up work," said Greg Wellstead, manager, vehicle processing center logistics.

The rapid compensation has drawn praise from the Military Traffic Management Command.

"Not many companies would volunteer to pay for 165 vehicles," said Charlie Helfrich, MTMC's coordinator for privately owned vehicle movement.

"This was American Auto Logistics' call."

The compensation price offered or the desire to physically retain their vehicle has led to some settlement delays.

"We had two members refuse to turn in their vehicles," said Antonelli.

"(One owner) took his vehicle on a long trip. The vehicle started to smell to the point he had to get out for fear that the car would catch on fire."

"This is exactly the type of situation that we don't want," said Helfrich.

Antonelli agreed.

"This sort of example supports our decision to total the vehicles," said Antonelli. "If we err on this issue, we would much rather err on the side of safety."

American Auto Logistics has exceeded contractual obligations repeatedly in order to assist service members who lost their vehicles. Assistance includes: Payment of the vehicles' U.S. Blue Book value, payments in excess of $20,000 limitation and free use of a rental car for 30 days.

Yet another compensation to service members was a special break negotiated through the Overseas Military Car Sales offices.

Affected service members who have not yet settled their claims should contact:

Rich Holland-Moritz, (201) 505-4091, e-mail: rmoritz@wlhinet.com, or Jim Nicholson, (201) 505-4062, e-mail: jnicholson@wlhinet.com.

The adjusters are located at 85 Chestnut Ridge Road, Suite #119, Montvale, N.J., 07645. The facsimile number is (201) 307-0634. (FROM MILITARY TRAFFIC MANAGEMENT COMMAND PUBLIC AFFAIRS).

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