The Federal Trade Commission has sued agricultural equipment giant Deere & Company , arguing it holds a monopoly on repair services that raises costs and creates delays for farmers, the agency announced Wednesday.
The lawsuit alleges Deere has for decades hindered customers' ability to repair their equipment, including tractors and combines, forcing them to rely on the company's network of authorized repair providers. A Deere software tool called "Service ADVISOR," which is only available to more expensive authorized dealers, is necessary to fully fix equipment, leaving farmers and independent repair providers unable to do it themselves, the FTC alleged.
The FTC said authorized dealers often use Deere-branded parts instead of less expensive generic ones for repair jobs, adding to Deere's profits.
"Illegal repair restrictions can be devastating for farmers, who rely on affordable and timely repairs to harvest their crops and earn their income," said FTC Chair Lina Khan in a news release. "The FTC's action today seeks to ensure that farmers across America are free to repair their own equipment or use repair shops of their choice—lowering costs, preventing ruinous delays, and promoting fair competition for independent repair shops."