Enacts provisions relating to the repair of certain devices. (BDR 52-50)

- 83rd Session (2025) Assembly Bill No. 407–Assemblymember Brown-May CHAPTER.......... AN ACT relating to trade practices; requiring an original equipment manufacturer of certain equipment designed for a person with a physical disability to make available certain documentation, parts and tools for the diagnosis, maintenance or repair of the equipment; prohibiting an original equipment manufacturer from engaging in certain acts; exempting an original equipment manufacturer from liability for certain damage or injuries under certain circumstances; providing penalties; and providing other matters properly relating thereto. Legislative Counsel’s Digest: Existing law regulates trade practices and other commercial activities. (Title 52 of NRS) Section 26 of this bill: (1) requires an original equipment manufacturer of equipment, which is defined by section 7.5 of this bill to mean a mobility device designed for a person with a physical disability, including, without limitation, a powered wheelchair, manual wheelchair, mobility scooter or power assist device for a manual wheelchair , to make available to any independent repair provider or owner of the equipment, on fair and reasonable terms, certain documentation, parts and tools required for the diagnosis, maintenance or repair of the equipment; and (2) sets forth the circumstances under which documentation, parts and tools are made available on fair and reasonable terms . Section 3 of this bill defin es “authorized repair provider” to mean a person operating in this State who is not affiliated with an original equipment manufacturer and who has an arrangement with an original equipment manufacturer to use a proprietary identifier of the original equipment manufacturer to offer the services of diagnosis, maintenance or repair of the manufacturer’s equipment. Section 8 of this bill defines “independent repair provider” to mean: (1) a person operating in this State who is engaged in the services of diagnos is, maintenance or repair of equipment and who does not have an arrangement with an original equipment manufacturer as an authorized repair provider; or (2) an original equipment manufacturer or an authorized repair provider of such a manufacturer who enga ges in the services of diagnosis, maintenance or repair of equipment that is not manufactured, sold or supplied by the manufacturer. Section 25 of this bill provides that an original equipment manufacturer is considered an authorized repair provider if, i n the regular course of business, the original equipment manufacturer offers to an owner the services of diagnosis, maintenance or repair of its own equipment. Section 28 of this bill prohibits an original equipment manufacturer from: (1) retaliating agai nst an authorized repair provider for providing or selling, or hindering the ability of an authorized repair provider to provide or sell, documentation, parts or tools pursuant to the provisions of this bill; or (2) conditioning or imposing an obligation o r restriction that is not reasonably necessary to enable an independent repair provider or owner of equipment to diagnose, maintain or repair equipment. Section 28 also prohibits an original equipment manufacturer from using certain mechanisms to: (1) prev ent an independent repair provider or an owner from installing or enabling the function of an otherwise functional replacement part or component of equipment; (2) reduce the functionality or performance of equipment; or (3) cause equipment to display – 2 – - 83rd Session (2025) misleading alerts or warnings about unidentified parts which the owner cannot immediately dismiss. Section 30 of this bill sets forth certain limitations on the construction of the provisions of this bill. Section 31 of this bill exempts an original equipment manufacturer and authorized repair provider from liability for damage or injury caused to any equipment, person or property which occurs as a result of the diagnosis, maintenance, repair or modification of equipment performed by an owner or independent repair provider. Section 32.5 of this bill provides that a violation of the provisions of this bill constitutes a deceptive trade practice , thereby subjecting a person who commits such a violation to certain civil and criminal penalties. Sections 3-22 of this bill define various terms for the purposes of this bill. EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. Chapter 597 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 32.5, inclusive, of this act. Sec. 2. As used in sections 2 to 32.5, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 3 to 22, inclusive, of this act have the meanings ascribed to them in those sections. Sec. 3. “Authorized repair provider” means: 1. A person operati ng in this State who is not affiliated with an original equipment manufacturer and who has an arrangement with an original equipment manufacturer under which the original equipment manufacturer grants to the person a license to use a trade name, service ma rk or other proprietary identifier for the purposes of offering the services of diagnosis, maintenance or repair of equipment under the name of the original equipment manufacturer or other arrangement with the original equipment manufacturer to offer such services on behalf of the original equipment manufacturer; or 2. An original equipment manufacturer who is considered an authorized repair provider pursuant to section 25 of this act. Sec. 4. “Authorized third -party provider” means a person who is not affiliated with an original equipment manufacturer and who has an arrangement with an original equipment manufacturer under which the original equipment manufacturer grants to the person a license to use a trade name, service mark or other proprietary iden tifier for the purposes of distributing documentation, parts, embedded software, firmware or tools. – 3 – - 83rd Session (2025) Sec. 5. “Diagnosis” means the process of attempting to identify the issue or issues that cause equipment not to be in fully working order. Sec. 6. (Deleted by amendment.) Sec. 7. “Documentation” means any manual, diagram, procedure for the performance of maintenance, functional diagram, wiring diagram, reporting of output, description of a code for required service , schematic for a circuit board, s ecurity code, password, training material, information for troubleshooting, list of parts, list of tools or other guidance or information that enables a person to diagnose, maintain, repair or update equipment. Sec. 7.2. “Embedded software” means program mable instructions provided on firmware delivered with an electronic component of equipment or with any part for the purpose of restoring or improving the operation of the equipment or part and includes, without limitation, all relevant patches and fixes that the original equipment manufacturer makes to equipment or to any part for the purpose of restoring or improving the equipment or part. Sec. 7.5. “Equipment” means a mobility device designed for a person with a physical disability, including, without limitation, a powered wheelchair, manual wheelchair, mobility scooter or power assist device for a manual wheelchair. Sec. 7.8. “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. Sec. 8. “Independent repair provider” means: 1. A person operating in this State who: (a) Is engaged in the business of providing the services of diagnosis, maintenance or repair of equipment; (b) Does not have an arrangement described in subsection 1 of section 3 of this act; and (c) Is not affiliated with an authorized repair provider. 2. An original equipment manufacturer or an authorized repair provider who has an arrangement described in subsection 1 of section 3 of this act with an original equipment manufacturer who engages in the services of diagnosis, maintenance or repair of equipment that is not manufactured by or on behalf of or sold or supplied by the original equipment manufacturer. Sec. 9. “Maintenance” means any act necessary to keep equipment that is currently working in fully working order. – 4 – - 83rd Session (2025) Sec. 10. “Manual wheelchair” means a wheeled mobility device that is a chair than can eith er be propelled by the user or pushed by another person. Sec. 11. “Mobility scooter” means an electric personal transporter that is used as a mobility aid for a person who needs assistance with walking or moving from one place to another. Sec. 12. “Modification” or “modify” means any alteration to equipment that is not maintenance or a repair. Secs. 13-15. (Deleted by amendment.) Sec. 16. “Original equipment manufacturer” means a person who, in the normal course of business, is engaged in the sel ling or leasing of equipment manufactured by or on behalf of the person to any other person in this State. Sec. 17. “Owner” means a person who owns or leases equipment purchased or used in this State. Sec. 17.5. “Pair a part” or “parts pairing” means the practice by a manufacturer of using software to identify component parts through a unique identifier. Sec. 18. “Part” means any replacement part or assembly of parts, either new or used, made available by an original equipment manufacturer for the pu rposes of effecting the diagnosis, maintenance or repair of equipment manufactured or sold by the original equipment manufacturer. Sec. 18.5. “Power assist device” means a device which is attached to a manual wheelchair to enable the user to propel the wheelchair with the expenditure of less effort. Sec. 19. “Powered wheelchair” means a self -propelled vehicle, including a three -wheeled vehicle, designed for and used by a person with a disability or a barrier to personal mobility. Sec. 20. “Repair” means any act necessary to restore equipment to fully working order. Sec. 21. “Tool” means any software program, hardware implement or other apparatus used for the diagnosis, maintenance or repair of equipment, including, without limitation, software or other mechanism that provides or calibrates functionality, program, pair a part or perform any other function required to diagnose, maintain, repair or update the original equipment or part to keep the equipment or part in, or return the equipment or part to, fully functional condition. Sec. 22. “Trade secret” has the meaning ascribed to it in NRS 600A.030. Secs. 23 and 24. (Deleted by amendment.) – 5 – - 83rd Session (2025) Sec. 25. For the purposes of sections 2 to 32.5, inclusive, of this act, an original equipment manufacturer who, in the regular course of business, offers to an owner the services of diagnosis, maintenance or repair of its own equipment shall be considered an authorized repair provider with respect to such equipment. Sec. 26. 1. An original equip ment manufacturer shall make available to any independent repair provider or owner of equipment manufactured by the original equipment manufacturer, on fair and reasonable terms, a ny documentation, parts and tools that are intended for use with the equipme nt or any part, including, without limitation, updates to embedded software, firmware or other documentation, parts and tools. The documentation, parts and tools described in this subsection must be made available to an independent repair provider or owner of equipment manufactured by the original equipment manufacturer, either: (a) Directly by the original equipment manufacturer; or (b) Indirectly, through an authorized repair provider or authorized third-party provider. 2. For the purposes of subsection 1 , with respect to an original equipment manufacturer who has an arrangement with an authorized repair provider described in subsection 1 of section 3 of this act: (a) Documentation is made available by the original equipment manufacturer on fa ir and reasonable terms if the documentation, including, without limitation, any relevant updates, is made available free of charge, except that, if the documentation is requested in physical printed form, a charge may be imposed for the reasonable, actual costs of preparing and sending the documentation. (b) A part is made available by the original equipment manufacturer on fair and reasonable terms if: (1) The part is made available at a cost and on terms that are equivalent to the most fair and reasonable costs and terms under which the original equipment manufacturer offers the part to an authorized repair provider, accounting for any discount, rebate, convenient and timely means of delivery, means of enabling fully restored and updated functionality, rights of use or any other incentive or preference the original equipment manufacturer offers to an authorized repair provider; and (2) The availability of the part is not conditioned on and does not impose a substantial obligation to use or restrict t he use of the part to diagnose, maintain or repair the equipment sold, – 6 – - 83rd Session (2025) leased or otherwise supplied by the original equipment manufacturer. (c) A tool is made available by the original equipment manufacturer on fair and reasonable terms if the tool is ma de available: (1) Without imposing impediments to access to or the use of the tools to diagnose, maintain or repair the equipment and enable full functionality of the equipment; (2) In a manner that does not impair the efficient and cost - effective performance of diagnosis, maintenance or repair of the equipment; and (3) Free of charge , except that, if the tool is requested in physical form, a charge may be imposed for the reasonable, actual costs of preparing and sending the tool. 3. For the pur poses of subsection 1, with respect to an original equipment manufacturer who does not have an arrangement with an authorized repair provider described in subsection 1 of section 3 of this act, documentation, a part or a tool is made available by the original equipment manufacturer on fair and reasonable terms if the documentation, part or a tool is made available at a price that reflects the actual cost incurred by the original equipment manufacturer to prepare and delive r the documentation, part or tool, not including any research or development costs. Sec. 27. (Deleted by amendment.) Sec. 28. An original equipment manufacturer shall not: 1. Retaliate against an authorized repair provider for providing or selling, o r hinder the ability of an authorized repair provider to provide or sell, as applicable, documentation, parts or tools pursuant to sections 2 to 32.5, inclusive, of this act through any means, including, without limitation, by imposing a restriction on advertising or a limitation on an allocation of a product that is not related to a legitimate shortage of that product; 2. Condition or impose an obligation or restriction that is not reasonably necessary to enable an independent repair provider or owner to diagnose, maintain or repair equipment made by or on behalf of the original equipment manufacturer; or 3. Use parts pairing or any other mechanism to: (a) Prevent or inhibit an independent repair provider or an owner from installing or enabling the fu nction of an otherwise functional replacement part or a component of equipment, including, without limitation, a replacement part or a component that the original equipment manufacturer has not approved; – 7 – - 83rd Session (2025) (b) Reduce the functionality or performance of equipment; or (c) Cause equipment to display misleading alerts or warnings about unidentified parts which the owner cannot immediately dismiss. Sec. 29. (Deleted by amendment.) Sec. 30. Nothing in sections 2 to 32.5, inclusive, of this act shall be construed to: 1. Require an original equipment manufacturer to divulge any trade secret to any independent repair provider or owner except as necessary to provide documentation, parts or tools on fair and reasonable terms and costs. 2. Alter the terms of any arrangement described in subsection 1 of section 3 of this act in force between an original equipment manufacturer and an authorized repair provider, including, without limitation, the performance or provision of work in the form of repairs pursuant to warranty or recall by an authorized repair provider on behalf of an original equipment manufacturer pursuant to the arrangement, except that any provision in such terms that purports to waive, avoid, restrict or limit the obligations of the original eq uipment manufacturer to comply with sections 2 to 32.5, inclusive, of this act is void and unenforceable. 3. Require an original equipment manufacturer or an authorized repair provider to provide to an independent repair provider or owner access to infor mation, other than documentation, that is provided by the original equipment manufacturer to an authorized repair provider pursuant to the terms of an arrangement described in subsection 1 of section 3 of this act. 4. Require an original equipment manufa cturer to sell a part that is required or used to service equipment if the part is no longer made available to an authorized service provider by the original equipment manufacturer. 5. Prevent an original equipment manufacturer from establishing reasonable programs for the training or certification of independent repair providers, except that an original equipment manufacturer shall not require an independent repair provider to complete any such program for training or certification as a condition to be entitled to any of the rights granted under sections 2 to 32.5, inclusive, of this act. Sec. 31. An original equipment manufacturer or authorized repair provider is not liable for any damage or injury caused to any equipment, person or property, including, without limitation, any: – 8 – - 83rd Session (2025) 1. Indirect, incidental, special or consequential damages; 2. Loss of data, privacy or profits; or 3. Inability to use or reduced functionality of equipment,  which occurs as a result of the diagnosis, maintenance , repair or modification of equipment performed by an independent repair provider or owner. Sec. 32. (Deleted by amendment.) Sec. 32.5. A violation of the provisions of sections 2 to 32.5, inclusive, of this act constitutes a deceptive trade practice for the purposes of NRS 598.0903 to 598.0999, inclusive. Sec. 33. This act becomes effective upon passage and approval. 20 ~~~~~ 25