1/16/2025
Business

FTC Sues John Deere Over Repair Monopoly, Backing Farmers' Right to Repair

The Biden administration, alongside the Federal Trade Commission (FTC) and the attorneys general of Illinois and Minnesota, has filed a landmark lawsuit against John Deere, accusing the agricultural giant of monopolizing the repair market for its equipment. This lawsuit is a culmination of years of frustration among farmers who have been unable to repair their own equipment due to Deere’s restrictive practices.

Allegations of Monopoly and Anti-Consumer Practices

The FTC’s complaint states that John Deere has illegally restricted farmers’ access to critical repair tools, such as fully functional repair software, and limited the availability of necessary parts. By leveraging software locks and offering only a downgraded version of its repair tool to the public, Deere has ensured that only its dealers can perform comprehensive repairs, maintaining a 100% market share in the repair market.

This monopoly forces farmers to endure costly and time-consuming delays, often during crucial planting or harvesting seasons. "Months of hard work and much-needed income vanish," FTC Chair Lina Khan explained, emphasizing the devastating impact on farmers and rural communities.

Broken Promises on Repair Access

In response to mounting criticism, Deere previously signed a Memorandum of Understanding (MOU) with farming organizations, promising to ease repair restrictions. However, the FTC alleges that Deere used the MOU to stall "right to repair" legislation without delivering on its commitments.

Farmers report that even with the release of Deere’s Customer Service Advisor software—priced at $3,160 annually—many repairs remain out of reach due to its limited functionality. By comparison, the fully functional repair tool is exclusively available to Deere’s authorized dealers.

Global Impact and Farmer Pushback

Farmers frustrated with Deere's restrictions have resorted to extreme measures, including hacking their own tractors using pirated software sourced from countries like Ukraine. These actions highlight the lengths to which farmers must go to avoid downtime that could lead to significant financial losses.

Nathan Proctor, Senior Right to Repair Campaign Director at PIRG, praised the FTC’s action, stating, “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.”

A Historic Legal Challenge

This lawsuit marks the most serious punitive action the federal government has taken against repair monopolies. While the FTC has issued reports and small fines in the past, this legal move signals a broader commitment to challenging anti-repair practices across industries.

As the lawsuit unfolds, it could set a precedent for ensuring consumers’ right to repair, leveling the playing field for farmers and independent technicians, and dismantling monopolistic practices that have long hindered the agricultural sector.

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