USA: Federal “Fair Repair Act” for Digital Electronic Equipment is Proposed

This blog was originally posted on 23rd July, 2024. Further regulatory developments may have occurred after publication. To keep up-to-date with the latest compliance news, sign up to our newsletter.

AUTHORED BY KELLY BUGIERA, SENIOR REGULATORY COMPLIANCE SPECIALIST, COMPLIANCE & RISKS

HR 8544: Introduction

The text for House Bill 8544 was made publicly available on July 16, 2024. HR 8544 was introduced by Rep. Joseph Morelle of New York and proposes to require original equipment manufacturers of digital electronic equipment to make available any documentation, parts, and tools (inclusive of any updates) needed for diagnosis, maintenance, or repair. This is to be made available to repair providers and owners of such equipment on fair and reasonable terms.

In this blog, we provide an overview of HR 8544, the Fair Repair Act, and its impact on electronics manufacturers.

Implications for Manufacturers

HR 8544 proposes to prohibit an original equipment manufacturer from using parts pairing or any other mechanism in an effort to:

• Prevent the installation or functioning of any part that would otherwise be functional, including a replacement part or component that has not been approved by the manufacturer;
• Inhibit or reduce the functioning of any part so that its replacement by either an independent repair provider or the owner of the device would cause it to operate with reduced functionality or performance;
• Create alerts or warnings about parts that are false, misleading, deceptive, or non-dismissible;
• Charge additional fees or higher prices for repairs in the future; or
• Limit those who can purchase parts or perform repair services on the device.

Per HR 8544, the following definitions apply:

• “Digital electronic equipment” refers to any product that depends, in whole or in part, on digital electronics embedded in or attached to the product, for its functioning.
• “Original equipment manufacturer” or “OEM” refers to any person who is engaged in selling, leasing, or otherwise supplying, new digital electronic equipment, or parts of equipment manufactured by, or on behalf of itself, to any person.

A violation of the requirements proposed in this Bill would be treated as a violation of a rule which defines an unfair or deceptive act or practice per the Federal Trade Commission Act.

What’s Next for HR 8544?

HR 8544 is similar to legislation that has been recently enacted in a number of states including New York, Minnesota and Oregon. If passed, it would take effect 60 days after the date of enactment and would apply to equipment sold or in use on or after the effective date.

Stay Ahead Of Regulatory Changes Like HR 8544, the Fair Repair Act

Want to stay ahead of regulatory developments like HR 8544?

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Prepare to Repair: Right-to-Repair Rules in the US and the EU

With new repair rules in the EU, this webinar clarifies manufacturers’ obligations to repair, access to spare parts for independent repairers, and more. It also provides an overview of the US state Right to Repair legislation, including enacted and proposed bills.

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