Farm equipment giant John Deere has agreed to pay $99 million and provide equipment owners with access to "repair resources" to vehicle owners to settle a class-action lawsuit over the company's repair practices.
Under a proposed settlement filed in federal court in the Northern District of Illinois, Deere would give farmers the ability to "diagnose and repair problems without having to use the services of an authorized dealer," according to a brief filed Monday on behalf of farmer plaintiffs in the case. It called the action a "sea change" in the company's provision of repair tools.
Deere will make repair resources available to every owner, lessor and independent repair shop "on a license or subscription basis on fair and reasonable terms," the brief says. Once more than half of Deere dealer locations have access to those tools, the company will make future repair resources available to the same groups “on fair and reasonable terms,” it says.
Deere will also let equipment owners, lessors and independent repair shops report possible defects to the company through its Customer Contact Center, the brief says. The company also agreed to give them the ability to perform reprogramming and diagnostics in offline mode through the John Deere Operations Center PRO Service by the end of this year.
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The company agreed to put $99 million into a settlement fund for people who purchased repair services for large agricultural equipment from the company between Jan. 10, 2018, and the date the agreement is approved.
“As we continue to innovate industry leading equipment and technology solutions supported by our world-class dealer network, we are equally committed to providing customers and other service providers with access to repair resources,” John Deere Vice President of Aftermarket and Customer Support Denver Caldwell said in a press release. “We’re pleased that this resolution allows us to move forward and remain focused on what matters most – serving our customers.”
Beginning in 2022, several farmers filed lawsuits against John Deere, accusing it of monopolizing the repair market for Deere-branded machines with onboard central computers. These cases were consolidated into one proceeding in Illinois' Northern District.
Deere denies the allegations brought against it, according to the settlement agreement.
The settlement still needs approval from Iain Johnston, the judge overseeing the case.
