H.F. 2709 Section 1. NEW SECTION . 322E.1 Definitions. 1 As used in this chapter, unless the context otherwise 2 requires: 3 1. a. “Agricultural equipment” means equipment that is 4 primarily designed for use in a farming operation. 5 b. “Agricultural equipment” includes any of the following: 6 (1) A tractor, trailer, combine, sprayer, tillage 7 implement, baler, and other equipment used to plant, cultivate, 8 or harvest agricultural products. 9 (2) An attachment to and repair part for equipment described 10 in subparagraph (1). 11 (3) “Agricultural equipment” does not include any of the 12 following: 13 (a) A self-propelled vehicle designed primarily for the 14 transportation of individuals or property on a street or 15 highway. 16 (b) A powersports vehicle, including any of the following: 17 (i) A vehicle for off-road operation. 18 (ii) A personal watercraft that is a motorboat that is 19 designed to be operated by a person sitting, standing, or 20 kneeling on the vessel, rather than the conventional manner of 21 sitting or standing inside the vessel, and that is designed 22 primarily for use off of the public highways, and that uses 23 either an inboard motor powering a water jet pump or an 24 outboard motor-driven propeller. 25 (iii) A snowmobile. 26 (c) Any aircraft used in an agricultural aircraft 27 operation, as defined in 14 C.F.R. §137.3. 28 (d) Any equipment designed and used primarily for 29 irrigation purposes. 30 2. a. “Authorized repair provider” means a person that 31 is unaffiliated with a manufacturer other than through an 32 arrangement with the manufacturer, whether for a definite or an 33 indefinite period, in which the manufacturer, for the purpose 34 of offering to provide services to an equipment owner regarding 35 -1- LSB 6914HV (4) 91 da/js 1/ 7

H.F. 2709 the owner’s equipment or a part, grants the person any of the 1 following: 2 (1) A license to use a trade name, service mark, or other 3 proprietary identifier. 4 (2) Authorization under any other arrangement to act on 5 behalf of the manufacturer. 6 b. “Authorized repair provider” includes a manufacturer that 7 offers to provide services to an owner of the manufacturer’s 8 agricultural equipment regarding the owner’s agricultural 9 equipment or a part if the manufacturer does not have an 10 arrangement with an unaffiliated person, as described in 11 paragraph “a” . 12 3. “Data” means, with the consent of an owner, transmitted 13 or compiled information arising from the operation of an 14 owner’s agricultural equipment or its parts. 15 4. “Documentation” means a manual; diagram, including a 16 schematic diagram; reporting output; service code description; 17 security code or password; or similar type of guidance or 18 information, whether in an electronic or tangible format, that 19 a manufacturer provides to an authorized repair provider to 20 assist the authorized repair provider with services performed 21 on the manufacturer’s agricultural equipment or a part. 22 5. a. “Embedded software for agricultural equipment” means 23 any programmable instructions provided on firmware delivered 24 with or loaded to the agricultural equipment, with respect to 25 agricultural equipment operation. 26 b. “Embedded software for agricultural equipment” includes 27 all relevant patches and fixes that the manufacturer makes, 28 including but not limited to items described as a basic 29 internal operating system, internal operating system, machine 30 code, assembly code, root code, and microcode. 31 6. “Equipment dealer” means any person primarily engaged in 32 the retail sale of agricultural equipment. 33 7. “Fair and reasonable terms and costs” means the following: 34 a. With respect to obtaining documentation, embedded 35 -2- LSB 6914HV (4) 91 da/js 2/ 7

H.F. 2709 software, firmware, or tools from a manufacturer to provide 1 services. 2 b. With respect to documentation, the manufacturer provides 3 the documentation, including any relevant updates to the 4 documentation, at no charge, except that the manufacturer may 5 charge a fee for a printed copy of the documentation if the 6 amount of the fee covers only the manufacturer’s actual cost to 7 prepare and send the printed copy of the documentation. 8 c. With respect to tools that are software programs, the 9 manufacturer provides the tools that are software programs 10 subject to all of the following: 11 (1) At no charge and without requiring authorization or 12 internet access or otherwise imposing impediments to access or 13 use. 14 (2) In the course of effectuating the diagnosis, 15 maintenance, or repair and enabling the full functionality of 16 the agricultural equipment or part. 17 (3) In a manner that does not impair the efficient and 18 cost-effective performance of the agricultural equipment or 19 part. 20 d. Notwithstanding paragraph “a” , parts shall be sold to an 21 owner or an independent repair provider under equitable terms 22 for access to or receipt of any part pertaining to agricultural 23 equipment and in a manner that is any of the following: 24 (1) Is fair to both parties in light of any agreed-upon 25 conditions, the promised quality, and the timeliness of the 26 delivery. 27 (2) Does not discourage or disincentivize repairs to be made 28 by an owner or an independent repair provider. 29 e. Terms are fair if the terms do not impose on an owner or 30 independent repair provider any of the following: 31 (1) Substantial obligation to use, or any restriction 32 on the use of, a part, embedded software, embedded software 33 for agricultural equipment, firmware, or tool, including a 34 condition that the owner or independent repair provider become 35 -3- LSB 6914HV (4) 91 da/js 3/ 7

H.F. 2709 an authorized repair provider of the manufacturer. 1 (2) A requirement that a part, embedded software, embedded 2 software for agricultural equipment, firmware, or tool be 3 registered or paired with or approved by the manufacturer or an 4 authorized repair provider before the part, embedded software, 5 embedded software for agricultural equipment, firmware, or tool 6 is operational. 7 8. “Firmware” means a software program or set of 8 instructions programmed on equipment or a part to allow the 9 equipment or part to function or communicate with itself or 10 with other computer hardware. 11 9. a. “Independent repair provider” , except as otherwise 12 provided in paragraph “b” , means a person in the state that is 13 all of the following: 14 (1) Neither a manufacturer’s authorized repair provider nor 15 affiliated with a manufacturer’s authorized repair provider. 16 (2) Engaged in offering or providing services. 17 b. “Independent repair provider” includes all of the 18 following: 19 (1) An authorized repair provider if the authorized repair 20 provider is offering or providing services for a manufacturer 21 other than a manufacturer with which the authorized repair 22 provider has an arrangement described in subsection 2. 23 (2) A manufacturer with respect to offering or providing 24 services for another manufacturer’s agricultural equipment or 25 part. 26 10. “Original equipment manufacturer” or “manufacturer” 27 means a person doing business in the state and engaged in 28 the business of selling, leasing, or otherwise supplying 29 agricultural equipment or parts manufactured by or on behalf of 30 itself to any individual, business, or other entity. 31 11. “Owner” means a person that owns agricultural equipment, 32 or an agent of the owner. 33 12. “Part” means a new or used replacement part for 34 agricultural equipment that a manufacturer offers for sale 35 -4- LSB 6914HV (4) 91 da/js 4/ 7

H.F. 2709 or otherwise makes available for the purpose of providing 1 services. 2 13. “Services” means diagnostic, maintenance, or repair 3 services performed on agricultural equipment. 4 14. “Tools” means any software program, hardware implement, 5 or other apparatus used for diagnosis, maintenance, or repair 6 of agricultural equipment or parts, including software or 7 another mechanism that provides, programs, or pairs a new 8 part, calibrates functionality, or performs any other function 9 required to return the agricultural equipment or part to a 10 fully functional condition. 11 15. a. “Trade secret” means the whole or any portion or 12 phase of any scientific or technical information, design, 13 process, procedure, formula, improvement, or confidential 14 business or financial information; a listing of names, 15 addresses, or telephone numbers; or other information relating 16 to any business or profession that is secret and of value. 17 b. To be a trade secret, the owner thereof must have taken 18 measures to prevent the secret from becoming available to 19 persons other than those selected by the owner to have access 20 thereto for limited purposes. 21 Sec. 2. NEW SECTION . 322E.2 Agricultural equipment —— 22 obligations regarding services —— exemption. 23 1. Except as provided in subsection 2, all of the following 24 apply: 25 a. For the purpose of providing services for agricultural 26 equipment in the state, an original equipment manufacturer 27 shall, with fair and reasonable terms and costs, make 28 available to an independent repair provider or owner of the 29 manufacturer’s equipment any documentation, parts, embedded 30 software, embedded software for agricultural equipment, 31 firmware, tools, or, with owner authorization, data that are 32 intended for use with the equipment or any part, including 33 updates to documentation, parts, embedded software, embedded 34 software for agricultural equipment, firmware, tools, or, with 35 -5- LSB 6914HV (4) 91 da/js 5/ 7

H.F. 2709 owner authorization, data. 1 b. With respect to agricultural equipment that contains an 2 electronic security lock or other security-related function, a 3 manufacturer shall, with fair and reasonable terms and costs, 4 make available to independent repair providers and owners any 5 documentation, parts, embedded software, embedded software 6 for agricultural equipment, firmware, tools, or, with owner 7 authorization, data needed to reset the lock or function when 8 disabled in the course of providing services. The manufacturer 9 may make the documentation, parts, embedded software, embedded 10 software for agricultural equipment, firmware, tools, or, 11 with owner authorization, data available to independent 12 repair providers and owners through appropriate secure release 13 systems. 14 2. Subsection 1 does not apply to any of the following: 15 a. A part that is no longer available to the original 16 equipment manufacturer. 17 b. Conduct that would require the manufacturer to divulge 18 a trade secret, except that a manufacturer shall not refuse 19 to make available to an independent repair provider or owner 20 any documentation, part, embedded software, embedded software 21 for agricultural equipment, firmware, tool, or, with owner 22 authorization, data necessary to provide services on grounds 23 that the documentation, part, embedded software, embedded 24 software for agricultural equipment, firmware, tool, or, with 25 owner authorization, data itself is a trade secret. 26 3. Neither an original equipment manufacturer nor an 27 agricultural equipment dealer is liable for faulty or otherwise 28 improper repairs provided by an independent repair provider 29 or owner, including faulty or otherwise improper repairs that 30 cause any of the following: 31 a. Damage to agricultural equipment that occurs during such 32 repairs. 33 b. Any indirect, incidental, special, or consequential 34 damages. 35 -6- LSB 6914HV (4) 91 da/js 6/ 7

H.F. 2709 c. An inability to use, or a reduced functionality of, a 1 piece of agricultural equipment resulting from the faulty or 2 otherwise improper repair. 3 4. A manufacturer that provides data to an independent 4 repair provider in compliance with this chapter is neither 5 responsible nor liable to the owner, the independent repair 6 provider, or another party for any action that the independent 7 repair provider or another party takes while using or relying 8 on the data. 9 EXPLANATION 10 The inclusion of this explanation does not constitute agreement with 11 the explanation’s substance by the members of the general assembly. 12 This bill regulates practices by an original farm 13 equipment manufacturer (manufacturer). For the purpose of 14 providing services for agricultural equipment in the state, a 15 manufacturer must, with fair and reasonable terms and costs, 16 make available to an independent repair provider or owner of 17 the manufacturer’s equipment any documentation, parts, embedded 18 software, embedded software for agricultural equipment, 19 firmware, tools, or, with owner authorization, data that are 20 intended for use with the equipment or any part, including 21 updates to documentation, parts, embedded software, embedded 22 software for agricultural equipment, firmware, tools, or, with 23 owner authorization, data. 24 -7- LSB 6914HV (4) 91 da/js 7/ 7