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John Deere Class Action Overview:
- Who: A North Dakota farm is suing agricultural machinery company John Deere.
- Why: The farm says John Deere has made it impossible for farmers to get some of their equipment repaired by anyone but John Deere, monopolizing the market to ramp up repair prices.
- Where: The class action lawsuit was filed in an Illinois federal court.
Agricultural machinery company John Deere has unfairly monopolized the market for repairs of some of its equipment, allowing it to charge supracompetitive prices to farmers to have crucial software repaired, a new class action lawsuit alleges.
North Dakota’s Forest River Farms filed the antitrust class action lawsuit against Deere & Co. Jan. 12 in an Illinois federal court, alleging multiple violations of the Sherman Act, promissory estoppel and unjust enrichment.
The farm is suing due to John Deere’s alleged monopolization of the repair service market for John Deere brand agricultural equipment with onboard central computers (ECUs), the class action states.
Farmers have traditionally had the ability to repair and maintain their own tractors as needed, or else have had the option to bring their tractors to an independent mechanic.
“However, in newer generations of its agricultural equipment, Deere has deliberately monopolized the market for repair and maintenance services of its agricultural equipment with ECUs by making crucial software and repair tools inaccessible to farmers and independent repair shops,” the complaint states.
John Deere Does Not Allow Independent Repair Shops Access to Software, Class Action Claims
The farm says independent dealerships are also prevented, through their agreements with Deere, to provide farmers or repair shops with access to the same software and repair tools the Deere dealerships have.
As a result of shutting out farmers and independent repair shops from accessing the necessary resources for repairs, Deere has cornered the repair market and “derived supracompetitive profits from the sale of repair and maintenance services,” the lawsuit states.
It is seeking to represent anyone who purchased repair services from John Deere and Deere- affiliated independent dealerships and technicians for Deere agricultural equipment from Jan. 12, 2018 to now.
The farm states that John Deere is “indisputably” the biggest player in agricultural machinery markets in the United States. Its advantage has been increased by its alleged behavior, the class action alleges.
“By making the Software, for all practical purposes, unavailable, Deere has succeeded in foreclosing competition in the multi-billion dollar Deere Repair Services Market,” the lawsuit states. “Deere’s business for its Repair Services is three to six times more profitable than its sales of original equipment.”
Meanwhile, in 2016, John Deere faced a class action lawsuit alleging certain John Deere planters failed to provide even fertilizer distribution as represented in the company’s advertisements.
What do you think of the allegations against John Deere? Let us know in the comments!
Forest River Farms and the proposed class are represented by Kenneth A. Wexler, Justin N. Boley and Tyler J. Story of Wexler Boley & Elgersma LLP, Daniel E. Gustafson, Daniel C. Hedlund, Michelle J. Looby and Kaitlyn L. Dennis of Gustafson Gluek PLLC, and Adam J. Zapala, Elizabeth T. Castillo, James G. Dallal and Reid W. Gaa of Cotchett Pitre & McCarthy LLP.
The John Deere Repairs Class Action Lawsuit is Forest River Farms et al. v. Deere & Co., Case No. 1:22-cv-00188, in the U.S. District Court for the Northern District of Illinois.
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2 thoughts onJohn Deere Class Action Claims Company Illegally Monopolized Repair Market for Agricultural Equipment
we have owned a JD tractor since 2013 it currently has 1500 hrs and the computer has gone out 3 times costing 2500 each and every time.
they have definitely cornered
the market. There is no other option for us farmers in Central CA. I have neighbors
around me that have faced the same exact problem.
so wrong on so many levels.
Ca farmers are in need of assistance to make this wrong right.
Thank you for.your consideration
Rene Cavasoz
I own 3 John Deeres and cant work on the newest one. $500.00 for a $35.00 mechanical fuel pump replacement. People wonder where $5.00 loaf of bread comes from, wait 2 years!???