FTC sues John Deere over farmers' right to repair tractorsExBulletin

John Deere is accused of illegally restricting farmers' ability to repair their tractors and other equipment in a lawsuit filed by the Federal Trade Commission and two states. Seth Perlman/AP .

rock legend Seth Perlman/AP

Tractor maker John Deere faces a federal lawsuit that accuses the company of illegally forcing farmers to use authorized dealers only for critical repairs, boosting its profits by billions of dollars.

The Federal Trade Commission's lawsuit filed Wednesday with Illinois and Minnesota escalates a long-running battle over farmers' rights to repair their own farm equipment and parts.

As tractors and combines became more computerized, farmers complained that Deere limited access to its software and made it difficult, if not nearly impossible, for owners to diagnose and fix problems themselves. themselves or with the help of independent mechanics. Instead, farmers must use authorized dealers, who tend to charge more and can take longer.

The lawsuit, which Deere called “baseless,” accuses the company of denying access to its technology and best repair tools and maintaining monopoly power over many repairs. Deere also reaps additional profits from selling parts, the complaint claims, because authorized dealers tend to sell expensive Deere-branded parts for their repairs rather than generic alternatives.

“Unfair relief restrictions can mean farmers face unnecessary delays during tight planting and harvest windows,” FTC Chair Lina Khan wrote in a statement. “In rural communities, restrictions can sometimes mean farmers have to drive hours just to get their equipment repaired. For those who have long repaired their own equipment, these artificial restrictions can seem particularly ineffective, with tractors needlessly idled as farmers and self-employed workers. mechanics cannot use their skills and talent.

Deere & Company, for its part, says the FTC's complaint is “based on blatant statements of fact and fatally flawed legal theories, and punishes innovation and pro-competitive product design.” The manufacturer says it was actively negotiating with the government about a possible settlement before the filing, which was filed just days before President-elect Donald Trump was sworn in.

Indeed, Republican Commissioner Andrew Ferguson, chosen by Trump to become the new chairman of the FTC, voted against Deere's lawsuit. In a dissenting statement, he and fellow Republican Melissa Holyoak wrote that they were pleased that the FTC was “taking up the farmers' cause” but that the timing of the case gave it “the whiff of motivation partisan.”

They also wrote that the FTC had not gathered enough evidence to have “real confidence in our ultimate chances of success” in the litigation. It is unclear how or if the suit against Deere could be filed under Ferguson.

Earlier this week, Deere announced it was expanding a pilot program allowing farmers to repair equipment either on their own or through independent technicians. The company claims, among other things, that the drivers allow people to reprogram Deere electronic controllers.

“Deere remains fully committed,” the company said in a statement, “to ensuring that its customers have the highest quality equipment, reliable customer service and that they, along with independent repair technicians, have access to tools and resources that can help them diagnose and maintain. and repair our customers' machines.

The FTC previously filed similar right-to-repair lawsuits against motorcycle giant Harley-Davidson and grill maker Weber.

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