SB2669 103RD GENERAL ASSEMBLY

LRB103 34219 RLC 64547 b

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB2669

Introduced 1/10/2024, by Sen. Jil Tracy

SYNOPSIS AS INTRODUCED:

New Act

Creates the Agricultural Equipment Repair Bill of Rights Act. Provides that, for the purpose of providing services for agricultural equipment in the State, an original equipment manufacturer shall, with fair and reasonable terms and costs, make available to an independent repair provider or owner of the manufacturer's equipment any documentation, parts, embedded software, firmware, or tools that are intended for use with the equipment or any part, including updates to documentation, parts, embedded software, firmware, or tools. Provides that, with respect to agricultural equipment that contains an electronic security lock or other security-related function, a manufacturer shall, with fair and reasonable terms and costs, make available to independent repair providers and owners any documentation, parts, embedded software, firmware, or tools needed to reset the lock or function when disabled in the course of providing services. Provides that the manufacturer may make the documentation, parts, embedded software, firmware, or tools available to independent repair providers and owners through appropriate secure release systems. Provides that these provisions do not apply to a part that is no longer available to the original equipment manufacturer or conduct that would require the manufacturer to divulge a trade secret. Provides that a manufacturer shall not refuse to make available to an independent repair provider or owner any documentation, part, embedded software, firmware, or tool necessary to provide services on grounds that the documentation, part, embedded software, firmware, or tool itself is a trade secret, except that information necessary to repair agricultural equipment may not be redacted. Provides exceptions. Defines terms.

A BILL FOR

AN ACT concerning agriculture.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Agricultural Equipment Repair Bill of Rights Act.

Section 5. Definitions. In this Act:

(1) "Agricultural equipment" includes:

(A) a tractor, trailer, combine, sprayer, tillage implement, baler, and other equipment used to plant, cultivate, or harvest agricultural products or to ranch; and

(B) attachments to and repair parts for equipment described in paragraph (A).

"Agricultural equipment" does not include:

(i) a self-propelled vehicle designed primarily for the transportation of individuals or property on a street or highway, including, but not limited to, a powersports vehicle, an all terrain vehicle, or a side-by-side vehicle; or

(ii) any aircraft used in an agricultural aircraft operation, as defined in 14 CFR 137.3.

(1.1) Off-highway vehicle" means a motorcycle, dirt bike, three-wheeler, all-terrain vehicle, surplus military vehicle, or dune buggy that is operated on public lands and trails.

(1.2) "Original equipment manufacturer" or "manufacturer" means a person doing business in this State and engaged in the business of selling, leasing, or otherwise supplying new equipment or parts manufactured by or on behalf of itself to any individual, business, or other entity.

(1.3) "Owner" means a person that owns equipment or an agent of the owner.

(1.4) "Part" means a new or used replacement part for equipment that a manufacturer offers for sale or otherwise makes available for the purpose of providing services.

(1.5) "Powersports vehicle" means any of the following:

(A) an off-highway vehicle;

(B) a personal watercraft; or

(C) a snowmobile.

(2) "Authorized repair provider" means a person that is unaffiliated with a manufacturer other than through an arrangement with the manufacturer, whether for a definite or an indefinite period, in which the manufacturer, for the purpose of offering to provide services to an equipment owner regarding the owner's equipment or a part, grants to the person:

(A) a license to use a trade name, service mark, or other proprietary identifier; or

(B) an authorization under any other arrangement to act on behalf of the manufacturer.

"Authorized repair provider" includes a manufacturer that offers to provide services to an owner of the manufacturer's equipment regarding the owner's equipment or a part if the manufacturer does not have an arrangement with an unaffiliated person as provided in this paragraph (2).

(3) "Data" means information that, with the consent of an owner, is transmitted or compiled and that arises from the operation of an owner's agricultural equipment or its parts.

(4) "Documentation" means a manual; diagram, including a schematic diagram; reporting output; service code description; security code or password; or similar type of guidance or information, whether in an electronic or tangible format, that a manufacturer provides to an authorized repair provider to assist the authorized repair provider with services performed on the manufacturer's equipment or a part.

(5) "Embedded software for agricultural equipment" means any programmable instructions that concern agricultural equipment operation and that are provided on firmware delivered with or loaded to the agricultural equipment.

(6) "Embedded software for agricultural equipment" includes all relevant patches and fixes that the manufacturer makes, including, but not limited to, items described as "basic internal operating system", "internal operating system", "machine code", "assembly code", "root code", or "microcode".

(7) "Equipment" means agricultural equipment.

(8) "Equipment dealer" means any person, partnership, corporation, association, or other form of business enterprise that is primarily engaged in the retail sale of agricultural equipment.

(9) "Fair and reasonable terms and costs", with respect to obtaining parts, embedded software, firmware, or tools from a manufacturer to provide services, means terms that are equivalent to the most favorable terms that the manufacturer offers to an authorized repair provider and costs that are no greater than the manufacturer's suggested retail price. Costs of agricultural equipment shall be calculated using net costs incurred, accounting for any discounts, rebates, or incentives offered. With respect to documentation, "fair and reasonable terms and costs" means that the manufacturer provides the documentation, including any relevant updates to the documentation, at no charge, except that the manufacturer may charge a fee for a printed copy of the documentation if the amount of the fee covers only the manufacturer's actual cost to prepare and send the printed copy of the documentation. With respect to tools that are software programs, "fair and reasonable terms and costs" means that the manufacturer provides the tools that are software programs:

(A) at no charge and without requiring authorization or Internet access or otherwise imposing impediments to access or use;

(B) in the course of effectuating the diagnosis, maintenance, or repair and enabling the full functionality of the equipment or part; and

(C) in a manner that does not impair the efficient and cost-effective performance of the equipment or part.

(10) "Firmware" means a software program or set of instructions programmed on equipment or a part to allow the equipment or part to communicate with itself or with other computer hardware.

(11) "Independent repair provider", except as otherwise provided in this paragraph (11), means a person in this State that is:

(A) either a manufacturer's authorized repair provider or affiliated with a manufacturer's authorized repair provider; and

(B) engaged in offering or providing services.

"Independent repair provider" includes:

(i) an authorized repair provider if the authorized repair provider is offering or providing services for a manufacturer other than a manufacturer with which the authorized repair provider has an arrangement described in subparagraph (B) of paragraph (2); and

(ii) a manufacturer with respect to offering or providing services for another manufacturer's equipment or part.

(12) "Tools" means any software program, hardware implement, or other apparatus used for diagnosis, maintenance, or repair of equipment or parts, including software or any other mechanism that provides, programs, or pairs a new part; calibrates functionality; or performs any other function required to return the equipment or part to fully functional condition.

(13) "Trade secret" means the whole or any portion or phase of any scientific or technical information, design, process, procedure, formula, improvement, confidential business or financial information, listing of names, addresses, or telephone numbers, or other information relating to any business or profession which is secret and of value. To be a "trade secret", the owner thereof must have taken measures to prevent the secret from becoming available to persons other than those selected by the owner to have access thereto for limited purposes.

Section 10. Services for agricultural equipment; documentation.

(a)(1) Except as provided in subsection (b), for the purpose of providing services for equipment in this State, an original equipment manufacturer shall, with fair and reasonable terms and costs, make available to an independent repair provider or owner of the manufacturer's equipment any documentation, parts, embedded software, firmware, or tools that are intended for use with the equipment or any part, including updates to documentation, parts, embedded software, firmware, or tools.

(2) With respect to equipment that contains an electronic security lock or other security-related function, a manufacturer shall, with fair and reasonable terms and costs, make available to independent repair providers and owners any documentation, parts, embedded software, firmware, or tools needed to reset the lock or function when disabled in the course of providing services. The manufacturer may make the documentation, parts, embedded software, firmware, or tools available to independent repair providers and owners through appropriate secure release systems.

(b) Subsection (a) does not apply to a part that is no longer available to the original equipment manufacturer or conduct that would require the manufacturer to divulge a trade secret. Notwithstanding the provisions of this subsection (b) a manufacturer shall not refuse to make available to an independent repair provider or owner any documentation, part, embedded software, firmware, or tool necessary to provide services on grounds that the documentation, part, embedded software, firmware, or tool itself is a trade secret.

(c) A manufacturer may redact documentation to remove trade secrets from the documentation before providing access to the documentation if the usability of the redacted documentation for the purpose of providing services is not diminished, except that information necessary to repair agricultural equipment may not be redacted.

(d) A manufacturer may withhold information regarding a component of, design of, functionality of, or process of developing a part, embedded software, firmware, or a tool if the information is a trade secret and the usability of the part, embedded software, firmware, or tool for the purpose of providing services is not diminished.

(e) An original equipment manufacturer is not liable for faulty or otherwise improper repairs provided by independent repair providers or owners, including faulty or otherwise improper repairs that cause any indirect, incidental, special, or consequential damages.

Section 15. Exceptions.

(a) Subject to subsection (b), nothing in this Act:

(1) alters the terms of any contract or other arrangement in force between an original equipment manufacturer and an authorized repair provider, including the performance or provision of warranty or recall repair work and any exclusivity or noncompete clause in a contract;

(2) authorizes an independent repair provider or owner to:

(A) make any modification to agricultural equipment that deactivates a safety notification system, except as necessary to provide services;

(B) access any function of a tool that enables the independent repair provider or owner to change the settings for a piece of agricultural equipment in a manner that brings the equipment out of compliance with any applicable federal, State, or local safety or emissions law, except as necessary to provide services;

(C) evade emissions, copyright, trademark, or patent laws; or

(D) engage in any other illegal equipment modification activities;

(3) requires a manufacturer to provide an independent repair provider or owner access to information, other than documentation, that the manufacturer provides to an authorized repair provider pursuant to a contract or other arrangement with the authorized repair provider except as necessary to comply with subsection (a) of Section 10; or

(4) exempts a manufacturer from a products liability claim that is otherwise authorized by law.

(b) With respect to a contract or other arrangement, or renewal of a contract or existing arrangement, that an original equipment manufacturer enters into on or after the effective date of this Act, any contract term, provision, agreement, or language in the contract or arrangement that waives, avoids, restricts, or limits the manufacturer's obligations under this Act is void and unenforceable.

(c) If an agricultural equipment manufacturer enters into, or is covered under, a nationwide memorandum of understanding regarding a right to repair agricultural equipment, the memorandum of understanding governs an owner's right to provide services, or to engage the services of an independent repair provider, for that manufacturer's brand of agricultural equipment. If compliance with the memorandum of understanding would deny the owner any rights afforded to the owner in this Act, including any rights to documentation, data, tools, or embedded software for agricultural equipment necessary for the diagnosis, maintenance, or repair of the owner's agricultural equipment, the owner is entitled to the documentation, data, tools, or embedded software for agricultural equipment in accordance with this Act. An agricultural equipment manufacturer that enters into a memorandum of understanding shall meet the requirements established in this Act.