FTC finally investigates John Deere's creepy repair restriction scheme
Federal Trade Commission launches investigation into John Deere's controversial repair restrictions, marking a potential victory for farmers' right to repair
Deere caught in headlights — the US Federal Trade Commission is finally investigating farm equipment giant John Deere over its questionable repair policies. The company has made a habit of making it extremely difficult to outright impossible for its customers to repair the Deere products that they themselves own. This infringement on a customer's right to repair is now being scrutinized by the guys in charge. Oh happy day!
#johndeere #ftc #righttorepair #company #technology #farmers
Reuters reports that the probe "focuses on repair restrictions manufacturers place on hardware or software." According to Reuters, Deere "signed a memorandum of understanding with the American Farm Bureau Federation last year that would allow farmers to fix their equipment, or go to a third-party repair shop." The investigation will examine whether Deere violated the Federal Trade Act's section 5, which "prohibits unfair or deceptive practices affecting commerce."
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US FTC probing Deere over customers' 'right to repair' equipment
The U.S. Federal Trade Commission is probing farm equipment maker Deere (DE.N), opens new tab over the company's repair policies, according to a filing made public on Thursday.
The investigation, authorized on Sept. 2, 2021, focuses on repair restrictions manufacturers place on hardware or software, often referred to by regulators as impeding customers' "right to repair" the goods they purchase.
The probe was made public through a filing by data analytics company Hargrove & Associates Inc, which sought to quash an FTC subpoena seeking market data submitted to it by members of the Association of Equipment Manufacturers.
Neither HAI nor AEM is a target of the FTC probe, according to the filing.
A spokesperson for Deere said the company is cooperating with the FTC.
A spokesperson for the FTC declined to comment.
The FTC is probing whether Deere violated the Federal Trade Act's section 5, according to the filing. The law prohibits unfair or deceptive practices affecting commerce, and the FTC has recently used it in a broad array of cases, including against Amazon and pharmacy benefit managers.
Deere already faces lawsuits from U.S. farmers over whether its repair policies violate antitrust law.
The tractor maker signed a memorandum of understanding with the American Farm Bureau Federation last year that would allow farmers to fix their equipment, or go to a third-party repair shop.
Colorado passed a right to repair law last year. While federal right to repair bills have so far failed to pass, the Clean Air Act requires manufacturers to state in user manuals that equipment can be repaired by third parties.