NY State Senate Bill 2019-S5283

Senate Bill S5283

2019-2020 Legislative Session

Establishes the "right to repair farm equipment act"

download bill text pdf

Archive: Last Bill Status - In Senate Committee Consumer Protection Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 08, 2020	referred to consumer protection
Apr 23, 2019	referred to consumer protection

co-Sponsors

2019-S5283 (ACTIVE) - Details

Current Committee:: Senate Consumer Protection
Law Section:: General Business Law
Laws Affected:: Add Art 33-C §698, Gen Bus L
Versions Introduced in 2021-2022 Legislative Session:: S1512

2019-S5283 (ACTIVE) - Summary

Establishes the "right to repair farm equipment act" to protect the rights of consumers to diagnose, service, maintain, and repair farm equipment; requires original equipment manufacturers to make equipment available to independent repair providers under fair and reasonable terms.

2019-S5283 (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S5283

SPONSOR: MAY
 
TITLE OF BILL:  An act to amend the general business law, in relation
to establishing the "right to repair farm equipment act" to require
original equipment manufacturers to make certain equipment available to
independent repair providers under fair and reasonable terms

 
PURPOSE OR GENERAL IDEA OF BILL:

This bill will require original equipment manufacturers (OEM) of farm
equipment to make diagnostic and repair information for farm equipment
sold or used in this state available to consumers and independent repair
provider, and make available for purchase by the owner of such equip-
ment, authorized agents, or independent repair providers, the equipment
or service parts, including software updates, at fair and reasonable
terms.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1. Titled "Right to Repair Farm Equipment Act".

Section 2. Adds a new article 33-c of the General Business Law.

a. Definitions.

b.Requires OEMS of farm equipment sold or used in New York to make diag-
nostic and repair information and parts available for purchase by
consumer owners and independent repair providers of such products.  The
OEMS shall make available for purchase the diagnostics, tools, parts,
and software updates necessary to make repairs to consumers and inde-
pendent repair providers on fair and reasonable terms for purposes of
repair.

c. Nothing in this act requires an OEM or authorized repair provider to
divulge a trade secret. This act does not affect current agreements
between manufacturers and authorized repair providers that do not
attempt to waive, avoid, restrict, or limit an OEM's compliance with the
provisions of this act. This act does not compel an OEM or authorized
repair provider to provide an owner or independent repair provider
access to information, other than documentation that is provided by the
OEM to an authorized repair provider.

d. Violation of this act is enforceable by the Attorney General and may
be punishable by civil penalties.

Section 3. Effective date.

 
JUSTIFICATION:

This bill will protect farmers and agricultural communities with long
traditions of repairing and maintaining their own equipment from the
monopolistic repair practices of manufacturers. Farmers need to be able
to repair their own equipment, if they choose, and that option must be
restored to them. Repair is normal, legal, and necessary to keep our
homes and businesses running. Nowhere is this truer than in the agricul-
tural sector, where farmers have long assisted one another with repairs
or made their own as necessary.

Without fair and reasonable access to repair, farmers are limited to
expensive and time-consuming repairs at a handful of facilities.
Repairable equipment may be discarded and replaced with new equipment,
as manufacturers often intend. This is costly to farmers and consumers
alike, reducing the value of used equipment and increasing the cost of
doing business. Limitations on repair also create perverse incentives
for manufacturers to build the least durable products.

By pioviding fair and reasonable access to repair farm equipment, the
State will recognize the traditional self-reliance and ingenuity of its
farming communities. This bill restores the right to repair farm equip-
ment, ends the monopolistic repair practices of manufacturers, and opens
the repair market to broader competition and all its benefits.

 
PRIOR LEGISLATIVE HISTORY:

New bill.

 
FISCAL IMPLICATIONS:

None to the State.

 
EFFECTIVE DATE:
120 days after becoming law.

2019-S5283 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5283
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                              April 23, 2019
                                ___________
 
 Introduced  by  Sen.  MAY  --  read  twice and ordered printed, and when
   printed to be committed to the Committee on Consumer Protection
 
 AN ACT to amend the general business law, in  relation  to  establishing
   the "right to repair farm equipment act" to require original equipment
   manufacturers  to  make  certain  equipment  available  to independent
   repair providers under fair and reasonable terms
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  This act shall be known and may be cited as the "right to
 repair farm equipment act".
   § 2. The general business law is amended by adding a new article  33-C
 to read as follows:
                                ARTICLE 33-C
                      RIGHT TO REPAIR FARM EQUIPMENT
 SECTION 698. RIGHT  OF  CONSUMERS  TO  DIAGNOSE,  SERVICE,  MAINTAIN AND
                REPAIR FARM EQUIPMENT.
   § 698. RIGHT OF CONSUMERS TO DIAGNOSE, SERVICE,  MAINTAIN  AND  REPAIR
 FARM EQUIPMENT. (A) DEFINITIONS. AS USED IN THIS SECTION:
   (1)  "AUTHORIZED REPAIR PROVIDER" MEANS: (I) A PERSON OR BUSINESS THAT
 HAS AN ARRANGEMENT FOR A DEFINITE OR INDEFINITE PERIOD WITH AN  ORIGINAL
 EQUIPMENT  MANUFACTURER  IN  WHICH  THE  ORIGINAL EQUIPMENT MANUFACTURER
 GRANTS TO A PERSON OR BUSINESS LICENSE TO  USE  A  TRADE  NAME,  SERVICE
 MARK,  OR  RELATED  CHARACTERISTIC  FOR  THE PURPOSES OF OFFERING REPAIR
 SERVICES UNDER THE NAME OF THE ORIGINAL EQUIPMENT MANUFACTURER; OR  (II)
 A  PERSON OR BUSINESS RETAINED BY THE ORIGINAL EQUIPMENT MANUFACTURER TO
 PROVIDE REFURBISHING SERVICES FOR THE ORIGINAL EQUIPMENT  MANUFACTURER'S
 PRODUCT OR PRODUCTS.
   (2)  "EMBEDDED  SOFTWARE" MEANS ANY PROGRAMMABLE INSTRUCTIONS PROVIDED
 ON FIRMWARE DELIVERED WITH THE EQUIPMENT FOR THE PURPOSES  OF  EQUIPMENT
 OPERATION, INCLUDING ALL RELEVANT PATCHES AND FIXES MADE BY THE ORIGINAL
 EQUIPMENT  MANUFACTURER  FOR THIS PURPOSE, INCLUDING, BUT NOT LIMITED TO
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD11299-01-9

 S. 5283                             2
 
 SYNONYMS FOR "BASIC  INTERNAL  OPERATING  SYSTEM",  "INTERNAL  OPERATING
 SYSTEM", "MACHINE CODE", "ASSEMBLY CODE", "ROOT CODE", AND "MICROCODE".
   (3)  "EQUIPMENT" MEANS DIGITAL ELECTRONIC EQUIPMENT OR A PART FOR SUCH
 EQUIPMENT ORIGINALLY MANUFACTURED  FOR  DISTRIBUTION  AND  SALE  IN  THE
 UNITED STATES.
   (4)  "FAIR  AND REASONABLE TERMS" MEANS AN EQUITABLE PRICE IN LIGHT OF
 RELEVANT FACTORS, INCLUDING, BUT NOT LIMITED TO:
   (I) THE NET COST TO THE AUTHORIZED REPAIR PROVIDER FOR SIMILAR  INFOR-
 MATION  OBTAINED  FROM  AN  ORIGINAL  EQUIPMENT  MANUFACTURER,  LESS ANY
 DISCOUNTS, REBATES, OR OTHER INCENTIVE PROGRAMS;
   (II) THE COST TO THE ORIGINAL EQUIPMENT MANUFACTURER FOR PREPARING AND
 DISTRIBUTING THE INFORMATION, EXCLUDING  ANY  RESEARCH  AND  DEVELOPMENT
 COSTS INCURRED IN DESIGNING AND IMPLEMENTING, UPGRADING, OR ALTERING THE
 PRODUCT,  BUT  INCLUDING AMORTIZED CAPITAL COSTS FOR THE PREPARATION AND
 DISTRIBUTION OF THE INFORMATION;
   (III) THE PRICE CHARGED BY OTHER ORIGINAL EQUIPMENT MANUFACTURERS  FOR
 SIMILAR INFORMATION;
   (IV) THE PRICE CHARGED BY ORIGINAL EQUIPMENT MANUFACTURERS FOR SIMILAR
 INFORMATION  PRIOR  TO  THE  LAUNCH  OF  ORIGINAL EQUIPMENT MANUFACTURER
 WEBSITES;
   (V) THE ABILITY OF AFTERMARKET TECHNICIANS  OR  SHOPS  TO  AFFORD  THE
 INFORMATION;
   (VI) THE MEANS BY WHICH THE INFORMATION IS DISTRIBUTED;
   (VII)  THE  EXTENT  TO  WHICH  THE  INFORMATION IS USED, INCLUDING THE
 NUMBER OF USERS, AND THE FREQUENCY, DURATION, AND VOLUME OF USE; AND
   (VIII) INFLATION.
   (5) "FARM EQUIPMENT"  MEANS  ANY  SELF-PROPELLED  FARM  EQUIPMENT  AND
 IMPLEMENTS  OF  HUSBANDRY  AND THE ACCESSORIES AND PARTS INCLUDED IN THE
 SALE OR LEASE OF SAME DESIGNED AND MANUFACTURED PRIMARILY TO BE USED FOR
 AGRICULTURAL PURPOSES FOR WHICH THE PURCHASE OR  LEASE  PRICE  FOR  EACH
 PIECE OF FARM EQUIPMENT EXCEEDS ONE THOUSAND FIVE HUNDRED DOLLARS.
   (6)  "FARM  EQUIPMENT DEALER" MEANS ANY PERSON OR BUSINESS WHO, IN THE
 ORDINARY COURSE OF BUSINESS, IS ENGAGED IN THE BUSINESS  OF  SELLING  OR
 LEASING  NEW  FARM EQUIPMENT TO A PERSON OR BUSINESS PURSUANT TO A FRAN-
 CHISE AGREEMENT, WHO HAS OBTAINED A LICENSE AS A FARM EQUIPMENT  DEALER,
 AND  WHO IS ENGAGED IN THE DIAGNOSIS, SERVICE, MAINTENANCE, OR REPAIR OF
 FARM EQUIPMENT OR FARM EQUIPMENT  ENGINES  PURSUANT  TO  SUCH  FRANCHISE
 AGREEMENT.
   (7) "FARM EQUIPMENT MANUFACTURER" MEANS ANY PERSON OR BUSINESS ENGAGED
 IN THE BUSINESS OF MANUFACTURING OR ASSEMBLING NEW FARM EQUIPMENT.
   (8)  "FIRMWARE"  MEANS  A  SOFTWARE  PROGRAM  OR  SET  OF INSTRUCTIONS
 PROGRAMMED ON A HARDWARE DEVICE TO ALLOW THE DEVICE TO COMMUNICATE  WITH
 OTHER COMPUTER HARDWARE.
   (9) "INDEPENDENT REPAIR PROVIDER" MEANS A PERSON OR BUSINESS OPERATING
 IN  THIS STATE WHO IS NOT AFFILIATED WITH AN ORIGINAL EQUIPMENT MANUFAC-
 TURER OR AN ORIGINAL EQUIPMENT MANUFACTURER'S AUTHORIZED REPAIR PROVIDER
 AND WHO IS ENGAGED IN THE DIAGNOSIS, SERVICE, MAINTENANCE, OR REPAIR  OF
 EQUIPMENT;  PROVIDED, HOWEVER, THAT FOR THE PURPOSES OF THIS SECTION, AN
 ORIGINAL EQUIPMENT  MANUFACTURER  SHALL  BE  CONSIDERED  AN  INDEPENDENT
 REPAIR  PROVIDER  FOR  PURPOSES  OF  THOSE  INSTANCES WHEN SUCH ORIGINAL
 EQUIPMENT MANUFACTURER ENGAGES IN THE DIAGNOSIS,  SERVICE,  MAINTENANCE,
 OR  REPAIR  OF EQUIPMENT THAT IS NOT AFFILIATED WITH THE ORIGINAL EQUIP-
 MENT MANUFACTURER.
   (10) "ORIGINAL EQUIPMENT MANUFACTURER" MEANS ANY  PERSON  OR  BUSINESS
 WHO,  IN  THE  ORDINARY COURSE OF HIS OR HER BUSINESS, IS ENGAGED IN THE
 BUSINESS OF SELLING OR LEASING NEW EQUIPMENT TO ANY PERSON  OR  BUSINESS

 S. 5283                             3
 
 AND  IS  ENGAGED  IN  THE  DIAGNOSIS, SERVICE, MAINTENANCE, OR REPAIR OF
 EQUIPMENT.
   (11)  "OWNER"  MEANS A PERSON OR BUSINESS WHO OWNS OR LEASES A DIGITAL
 ELECTRONIC PRODUCT PURCHASED OR USED IN THIS STATE.
   (12) "PART" OR "SERVICE PART" MEANS ANY REPLACEMENT PART,  EITHER  NEW
 OR  USED,  MADE  AVAILABLE BY THE ORIGINAL EQUIPMENT MANUFACTURER TO THE
 AUTHORIZED REPAIR PROVIDER FOR PURPOSES OF EFFECTING REPAIR.
   (13) "REMOTE DIAGNOSTICS" MEANS  ANY  REMOTE  DATA  TRANSFER  FUNCTION
 BETWEEN  EQUIPMENT AND THE PROVIDER OF REPAIR SERVICES INCLUDING FOR THE
 PURPOSES OF REMOTE DIAGNOSTICS, SETTINGS CONTROLS, OR LOCATION IDENTIFI-
 CATION;
   (14) "SERVICE PARTS" OR "PARTS" MEANS ANY  REPLACEMENT  PARTS,  EITHER
 NEW  OR  USED,  MADE AVAILABLE BY THE ORIGINAL EQUIPMENT MANUFACTURER TO
 THE AUTHORIZED REPAIR PROVIDER FOR THE PURPOSES OF EFFECTING REPAIR.
   (B) REQUIREMENTS. (1) FOR EQUIPMENT AND PARTS SOLD AND  USED  IN  THIS
 STATE,  THE  ORIGINAL EQUIPMENT MANUFACTURER OF SUCH EQUIPMENT AND PARTS
 SHALL:
   (I) MAKE AVAILABLE TO INDEPENDENT REPAIR PROVIDERS OR OWNERS OF EQUIP-
 MENT MANUFACTURED BY SUCH ORIGINAL EQUIPMENT MANUFACTURER THE SAME DIAG-
 NOSTIC AND REPAIR INFORMATION, INCLUDING REPAIR TECHNICAL UPDATES, SCHE-
 MATIC DIAGRAMS, UPDATES, CORRECTIONS TO EMBEDDED SOFTWARE AND SAFETY AND
 SECURITY PATCHES TIMELY, AND FOR NO CHARGE OR FOR THE SAME CHARGE AND IN
 THE SAME FORMAT SUCH ORIGINAL EQUIPMENT MANUFACTURER MAKES AVAILABLE  TO
 ITS  AUTHORIZED  REPAIR PROVIDER AND SUBCONTRACT REPAIR OF REFURBISHMENT
 FACILITIES; AND
   (II) MAKE AVAILABLE FOR PURCHASE BY THE OWNER, HIS OR  HER  AUTHORIZED
 AGENT,  OR  INDEPENDENT  REPAIR  PROVIDER,  EQUIPMENT  OR SERVICE PARTS,
 INCLUSIVE OF ANY UPDATES TO THE EMBEDDED SOFTWARE OF  THE  EQUIPMENT  OR
 PARTS, UPON FAIR AND REASONABLE TERMS.
   NOTHING  IN THIS SECTION SHALL REQUIRE THE ORIGINAL EQUIPMENT MANUFAC-
 TURER TO SELL EQUIPMENT OR SERVICE PARTS IF  THE  PARTS  ARE  NO  LONGER
 AVAILABLE  TO  THE  ORIGINAL  EQUIPMENT  MANUFACTURER  OR THE AUTHORIZED
 REPAIR PROVIDER OF THE ORIGINAL EQUIPMENT MANUFACTURER.
   (2) ANY ORIGINAL EQUIPMENT MANUFACTURER  THAT  SELLS  ANY  DIAGNOSTIC,
 SERVICE,  OR  REPAIR DOCUMENTATION TO ANY INDEPENDENT REPAIR PROVIDER OR
 TO ANY OWNER IN A FORMAT THAT IS STANDARDIZED WITH OTHER ORIGINAL EQUIP-
 MENT MANUFACTURERS, AND ON TERMS AND CONDITIONS MORE FAVORABLE THAN  THE
 MANNER  AND  THE  TERMS  AND CONDITIONS PURSUANT TO WHICH THE AUTHORIZED
 REPAIR PROVIDER OBTAINS THE SAME DIAGNOSTIC, SERVICE, OR REPAIR DOCUMEN-
 TATION, SHALL BE PROHIBITED FROM REQUIRING ANY AUTHORIZED REPAIR PROVID-
 ER TO CONTINUE PURCHASING DIAGNOSTIC, SERVICE, OR  REPAIR  DOCUMENTATION
 IN  A  PROPRIETARY FORMAT, UNLESS SUCH PROPRIETARY FORMAT INCLUDES DIAG-
 NOSTIC, SERVICE, OR REPAIR DOCUMENTATION OR FUNCTIONALITY  THAT  IS  NOT
 AVAILABLE IN SUCH STANDARDIZED FORMAT.
   (3) (I) EACH ORIGINAL EQUIPMENT MANUFACTURER OF EQUIPMENT SOLD OR USED
 IN THE STATE SHALL MAKE AVAILABLE FOR PURCHASE BY OWNERS AND INDEPENDENT
 REPAIR  PROVIDERS  ALL  DIAGNOSTIC  REPAIR  TOOLS INCORPORATING THE SAME
 DIAGNOSTIC, REPAIR, AND REMOTE  COMMUNICATIONS  CAPABILITIES  THAT  SUCH
 ORIGINAL  EQUIPMENT  MANUFACTURER  MAKES  AVAILABLE TO ITS OWN REPAIR OR
 ENGINEERING STAFF OR ANY AUTHORIZED REPAIR PROVIDER.
   (II) EACH ORIGINAL EQUIPMENT MANUFACTURER SHALL OFFER SUCH  TOOLS  FOR
 SALE TO OWNERS AND INDEPENDENT REPAIR PROVIDERS UPON FAIR AND REASONABLE
 TERMS.  EACH  ORIGINAL  EQUIPMENT  MANUFACTURER THAT PROVIDES DIAGNOSTIC
 REPAIR DOCUMENTATION TO  AFTERMARKET  DIAGNOSTIC  TOOL,  DIAGNOSTIC,  OR
 THIRD  PARTY  SERVICE  INFORMATION  PUBLICATIONS  AND SYSTEMS SHALL HAVE
 FULLY SATISFIED ITS OBLIGATIONS UNDER THIS SECTION AND THEREAFTER NOT BE

 S. 5283                             4
 
 RESPONSIBLE FOR THE CONTENT AND FUNCTIONALITY OF SUCH AFTERMARKET  DIAG-
 NOSTIC TOOLS, DIAGNOSTICS, OR SERVICE INFORMATION SYSTEMS.
   (4) ORIGINAL EQUIPMENT MANUFACTURER EQUIPMENT OR PARTS SOLD OR USED IN
 THE  STATE  FOR  THE PURPOSE OF PROVIDING SECURITY-RELATED FUNCTIONS MAY
 NOT EXCLUDE DIAGNOSTIC, SERVICE, AND  REPAIR  INFORMATION  NECESSARY  TO
 RESET  A  SECURITY RELATED ELECTRONIC FUNCTION FROM INFORMATION PROVIDED
 TO OWNERS AND INDEPENDENT REPAIR  FACILITIES.  IF  EXCLUDED  UNDER  THIS
 PARAGRAPH,  THE  INFORMATION NECESSARY TO RESET AN IMMOBILIZER SYSTEM OR
 SECURITY RELATED ELECTRONIC MODULE SHALL BE OBTAINED BY OWNERS AND INDE-
 PENDENT REPAIR FACILITIES THROUGH THE APPROPRIATE  SECURE  DATA  RELEASE
 SYSTEMS.
   (C)  LIMITATIONS.  (1)  NOTWITHSTANDING ANY LAW, RULE OR REGULATION TO
 THE CONTRARY, NO PROVISION OF THIS SECTION SHALL BE  READ,  INTERPRETED,
 OR CONSTRUED TO ABROGATE, INTERFERE WITH, CONTRADICT, OR ALTER THE TERMS
 OF  ANY  AGREEMENT  EXECUTED  AND  IN FORCE BETWEEN AN AUTHORIZED REPAIR
 PROVIDER AND AN ORIGINAL  EQUIPMENT  MANUFACTURER,  INCLUDING,  BUT  NOT
 LIMITED  TO,  THE  PERFORMANCE OR PROVISION OF WARRANTY OR RECALL REPAIR
 WORK BY AN AUTHORIZED REPAIR PROVIDER ON BEHALF OF AN ORIGINAL EQUIPMENT
 MANUFACTURER PURSUANT TO SUCH AUTHORIZED REPAIR AGREEMENT,  EXCEPT  THAT
 ANY  PROVISION  IN  SUCH AN AUTHORIZED REPAIR AGREEMENT THAT PURPORTS TO
 WAIVE, AVOID, RESTRICT, OR LIMIT AN  ORIGINAL  EQUIPMENT  MANUFACTURER'S
 COMPLIANCE WITH THIS SECTION SHALL BE VOID AND UNENFORCEABLE.
   (2)  NOTHING  IN  THIS  SECTION SHALL BE CONSTRUED TO REQUIRE ORIGINAL
 EQUIPMENT MANUFACTURERS OR AUTHORIZED REPAIR  PROVIDERS  TO  PROVIDE  AN
 OWNER OR INDEPENDENT REPAIR PROVIDER ACCESS TO NON-DIAGNOSTIC AND REPAIR
 INFORMATION  BY  AN  ORIGINAL  EQUIPMENT  MANUFACTURER  TO AN AUTHORIZED
 REPAIR PROVIDER PURSUANT TO THE TERMS OF AN AUTHORIZING AGREEMENT.
   (D) ENFORCEMENT. A VIOLATION OF THIS SECTION SHALL BE  ENFORCEABLE  BY
 THE  ATTORNEY  GENERAL  AND  PUNISHABLE  BY  A FINE OF A MAXIMUM OF FIVE
 HUNDRED DOLLARS PER INCIDENT.
   § 3. This act shall take effect on the one hundred twentieth day after
 it shall have become a law. Effective immediately, the addition,  amend-
 ment  and/or repeal of any rules or regulations necessary for the imple-
 mentation of this act on its effective date are authorized  to  be  made
 and completed on or before such effective date.

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