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In a significant development for consumer rights, the Federal Trade Commission (FTC) has initiated legal action against agricultural equipment manufacturer John Deere, joining forces with Illinois and Minnesota in a lawsuit challenging the company’s restrictive repair policies.
The legal action addresses Deere’s practices that allegedly prevent farmers and independent mechanics from conducting repairs on their equipment. FTC Commissioner Lina Khan noted in her official statement that the company “has illegally restricted the ability of farmers and independent technicians to repair Deere equipment, including tractors and combines.”
The manufacturer’s control over equipment repairs has drawn criticism for implementing software restrictions that block unauthorized repairs on purchased machinery. Additionally, the company has made it challenging to acquire necessary repair components. Although Deere previously agreed to improve repair accessibility through a “Memorandum of Understanding” (MOU) with a farming organization, farmers report inconsistent implementation of these promises.
BREAKING: The FTC is suing John Deere for using unfair practices to drive up repair costs.
FTC Chair Lina Khan says the company has "illegally restricted the ability of farmers and independent technicians to repair Deere equipment" including tractors.
— More Perfect Union (@MorePerfectUS) January 15, 2025
According to the FTC’s complaint, the MOU served as a strategy to prevent right-to-repair legislation and regulation targeting the company. While Deere has released a public version of its repair software, “Service Advisor,” priced at $3,160 annually, this version offers limited functionality compared to the complete dealer version.
Agricultural producers continue to face obstacles when attempting repairs, often experiencing extended waiting periods for authorized technicians to service their equipment. These delays can be particularly devastating during critical farming periods, potentially resulting in failed harvests, delayed planting schedules, and crop losses.
This lawsuit represents the federal government’s strongest action to date against repair monopolies, marking the FTC’s first formal legal challenge despite previous reports on repair restrictions and manufacturer dominance in the repair market.
John Deere said it would defend itself "vigorously" in a new repair lawsuit filed by the Federal Trade Commission and two states this week.
The company said it was in the middle of settlement negotiations with the FTC when the lawsuit was filed: https://t.co/DQoQ4BhoY5 pic.twitter.com/pZEM8UssTD
— DTN/Progressive Farmer (@dtnpf) January 16, 2025
Nathan Proctor, senior right to repair campaign director at PIRG, said, “We shouldn’t tolerate companies blocking repair. When you buy something, you should be able to do whatever you want with it. The FTC’s enforcement action will help farmers, and everyone else who believes people should be able to fix their stuff.”
Deere’s repair restrictions rank among the most severe across industries, leading some farmers to resort to unauthorized software modifications, sometimes utilizing pirated programs from overseas sources, to maintain their equipment. The lawsuit seeks to address these challenges and establish consumers’ repair rights without manufacturer interference.
The company faces additional federal scrutiny under the Trump administration, with the President threatening substantial equipment tariffs if Deere proceeds with plans to relocate manufacturing operations to Mexico.