FTC Sues John Deere, Alleging Monopoly On Repair Services

The Federal Trade Commission and Illinois and Minnesota attorneys general have filed a lawsuit against John Deere. Justine Calma, reporting in The Verge, explains that the lawsuit (FTC and State of Minnesota v. Deere & Company) accuses Deere of a monopoly on repair services by limiting access to essential software, forcing farmers to rely on Deere’s authorized dealers for repairs.

The FTC argues that such restrictions harm independent repair shops and farmers who need timely and affordable equipment repairs. Deere maintains that it supports customers’ right to repair and has taken steps to provide access to repair tools.

The case stems from concerns about Deere’s use of proprietary software in its agricultural equipment. Farmers and independent repair shops have struggled to get necessary diagnostic and repair tools. Deere reserves the only fully functional repair software for its authorized network.

This leads to increased repair costs and delays, negatively impacting farmers’ ability to maintain their machinery during critical agricultural seasons.

In response to mounting pressure, Deere signed an agreement with the American Farm Bureau Federation (AFBF) in 2023, pledging to expand access to repair tools.

The FTC’s lawsuit contends that Deere’s actions constitute abuse of monopoly power in violation of antitrust laws. The agency seeks to eliminate Deere’s repair restrictions, arguing that these policies limit competition and inflate repair costs.

Deere disputes the claims, arguing that the lawsuit ignores ongoing negotiations to resolve these concerns.

Notably, the change in administration may affect the case. President Trump’s FTC chair, Andrew Ferguson, has voiced skepticism about the lawsuit’s timing, suggesting it may interfere with an ongoing investigation and negotiations.

For lawyers, the case underscores the growing regulatory scrutiny of repair restrictions across industries under former FTC chair Lina Khan. The present administration change may temper aggressive enforcement, although much of its base supports right-to-repair mandates.

Companies implementing similar repair limitations should be prepared for potential legal challenges under antitrust and consumer protection laws. Broadly, this litigation signals an aggressive shift in the right-to-repair movement. Whether that trend continues affects technology, automotive, and other equipment-dependent sectors.