John Deere Sued by the FTC Over Its Tractor Repair Monopoly

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John Deere Sued by the FTC Over Its Tractor Repair Monopoly

January 17, 2025

John Deere is facing down a lawsuit filed by the Federal Trade Commission (FTC) over its so-called “tractor repair monopoly.”

An official announcement from the federal agency revealed that farmers now pay higher fees and find it more challenging to acquire repairs during crucial planting and harvesting seasons as a result of the company’s anti-consumer maintenance policies. According to the lawsuit, John Deere controls a monopoly on the market for tractor repairs.

The Federal Trade Commission and the attorneys general of Minnesota and Illinois filed the action, the most recent and significant legal attack on John Deere’s monopoly on repairs. Additionally, the Department of Justice and other federal agencies have indicated they are interested in and supportive of a class-action lawsuit filed against the company by Illinois consumers regarding its repair procedures, according to 404 Media.

“The Federal Trade Commission today files suit against agricultural equipment manufacturer Deere & Company, stating that it has illegally restricted the ability of farmers and independent technicians to repair Deere equipment, including tractors and combines,” read a formal comment from Lina Khan, the current FTC commissioner, about the decision.

“We shouldn’t tolerate companies blocking repair,” Nathan Proctor, consumer rights group PIRG’s senior Right to Repair campaign director, said to 404 Media. “When you buy something, you should be able to do whatever you want with it. The FTC’s enforcement action will help farmers, and everyone else who believes people should be able to fix their stuff.”

The Latest John Deere Controversy

The FTC lawsuit against John Deere is the latest controversy facing the tractor company. Last month, the company faced a myriad of bad headlines when it announced additional layoffs that would take place in 2025.

According to Iowa Agribusiness Radio Network, John Deere’s largest plant, the Waterloo Works in Iowa, has experienced yet another round of layoffs. On Jan. 5, 2025, the company laid off 112 workers, according to the state’s Worker Adjustment and Retraining Notification (WARN) website. In Waterloo, a significant center for tractor manufacture, Deere is laying off workers for the sixth time. The drop in agricultural revenue projections for 2025 has reduced demand for new machinery, resulting in the layoff of over 1,000 people.

Over 2,700 of the 4,700 employees at Deere’s Waterloo factory work in production and maintenance, according to the agricultural behemoth.