Creates the" Digital Fair Repair Act" that allows authorized individuals or businesses access to information, parts, and tools to perform independent repairs on equipment

SECOND REGULAR SESSION HOUSE BILL NO. 1618 102ND GENERAL ASSEMBL Y INTRODUCED BY REPRESENT A TIVE SEITZ. 3883H.01I DANA RADEMAN MILLER, Chief Clerk AN ACT T o amend chapter 407, RSMo, by adding thereto two new sections relating to the sale of digital electronic equipment. Be it enacted by the General Assembly of the state of Missouri, as follows: Section A. Chapter 407, RSMo, is amended by adding thereto two new sections, to be 2 known as sections 407.3000 and 407.3002, to read as follows: 407.3000. 1. The provi sions of sections 407.3000 to 407.3002 shall be known and 2 may be cited as the "Digital Fair Repair Act". 3 2. As used in sections 407.3000 to 407.3002, the following terms mean: 4 (1) "Authorized r epair pr ovider", an individual or business that is unaffiliated 5 with an original equipment manufactur er and that has an arrangement with the 6 original equipment manufactur er , for a definite or indefinite period, under which the 7 original equipment manufactur er grants to the individual or business a license to use a 8 trade name, service mark, or other pro prietary identifier for the purposes of offering 9 the services of diagnosis, maintenance, or re pair of digital electr onic equipment under 10 the name of the original equipment manufactur er , or other arrangement with the 11 original equipment manufactur er to offer such services on behalf of the original 12 equipment manufactur er . An original equipment manufactur er that offers the services 13 of diagnosis, maintenance, or repa ir of its own digital electr onic equipment but that does 14 not have an arrangement described in this subdivision with an unaffiliated individual or 15 business shall be consider ed an authorized r epair pr ovider with res pect to such 16 equipment; EXPLANA TION — Matter enclosed in bold-faced brackets [thus] in the above bill is not enacted and is intended to be omitted from the law . Matter in bold-face type in the above bill is proposed language. 17 (2) "Digital electr onic equipment" or "equipment", any prod uct that depends 18 for its functioning, in whole or in part, on digital electr onics embedded in or attached to 19 the pro duct; 20 (3) "Documentation", any manual, diagram, reporting output, service code 21 description, schematic diagram, or similar kinds of information pr ovided to an 22 authorized repa ir pr ovider for purposes of its effecting the services of diagnosis, 23 maintenance, or r epair of digital electr onic equipment; 24 (4) "Embedded softwar e", any pro grammable instructions pr ovided on 25 firmwar e deliver ed with digital electro nic equipment, or with a part for such 26 equipment, for purposes of equipment operation, including all rel evant patches and 27 fixes made by the manufactur er of such equipment or part for these purposes; 28 (5) "Fair and rea sonable terms" for obtaining a part, tool, or documentation; at 29 costs and terms including convenience of delivery and of enabling functionality , and 30 including rights of use, equivalent to the most favorable costs and terms offered by the 31 original equipment manufactur er to an authorized re pair pr ovider , using the net costs 32 that would be incurr ed by the authorized r epair provi der in obtaining an equivalent 33 part or tool or documentation fr om the original equipment manufactur er , accounting 34 for any discounts, reb ates, or other incentive pr ograms in arriving at the actual net 35 costs. For documentation, including any releva nt updates, "fair and reas onable terms" 36 additionally means at no charge; except that, when the documentation is r equested in 37 physical printed form, a charge may be included for the reas onable actual costs of 38 pr eparing and sending the copy; 39 (6) "Firmwar e", a software prog ram or set of instructions progr ammed on 40 digital electr onic equipment, or on a part for such equipment, to allow the equipment or 41 part to communicate with other computer hardware; 42 (7) "Independent repair pr ovider", an individual or business operating in this 43 state that does not have an arrangement described in subdivision 1 of this subsection 44 with an original equipment manufactur er , and that is not affiliated with any individual 45 or business who has such an arrangement, and that is engaged in the services of 46 diagnosis, maintenance, or rep air of digital electr onic equipment; except that, an 47 original equipment manufactur er or , with r espect to that original equipment 4 8 manufactur er , an individual or business that has such an arrangement with that 49 original equipment manufactur er or that is affiliated with an individual or business that 50 has such an arrangement with that original equipment manufactur er , shall be 51 consider ed an independent repai r provi der for purposes of those instances in which it 52 engages in the services of diagnosis, maintenance, or r epair of digital electr onic HB 1618 2 53 equipment that is not manufactur ed by or sold under the name of that original 54 equipment manufactur er; 55 (8) "Manufacturer of motor vehicle equipment", a business engaged in the 56 business of manufacturing or supplying components that ar e used in the manufactur e, 57 maintenance, or r epair of a motor vehicle; 58 (9) "Motor vehicle", a vehicle that is designed for transporting persons or 59 pr operty on a street or highway and is certified by the manufactur er under all 60 applicable federal safety and emissions standards and requ irem ents for distribution and 61 sale in the United States. The term "motor vehicle" does not include a motor cycle or a 62 r ecreat ional vehicle; 63 (10) "Motor vehicle dealer", an individual or business that, in the ordinary 64 course of business, is engaged in the business of selling or leasing new motor vehicles to 65 an individual or business pursuant to a franchise agr eement, has obtained a license 66 under section 301.550, and is engaged in the services of diagnosis, maintenance, or 67 r epair of motor vehicles or motor vehicle engines pursuant to that franchise agr eement; 68 (1 1) "Motor vehicle manufactur er", a business engaged in the business of 69 manufacturing or assembling new motor vehicles; 70 (12) "Original equipment manufactur er", a business engaged in the business of 71 selling or leasing new digital electr onic equipment manufactur ed by or on behalf of 72 itself, to any individual or business; 73 (13) "Owner", an individual or business who owns or leases digital electr onic 74 equipment purch ased or used in this state; 75 (14) "Part", any replac ement part, either new or used, made available by an 76 original equipment manufactur er for purposes of effecting the services of maintenance 77 or rep air of digital electr onic equipment manufactur ed or sold by the original 78 equipment manufactur er; 79 (15) "T rade secr et", the same meaning as such term is defined in section 417.453. 407.3002. 1. (1) For digital electr onic equipment and parts for such equipment 2 that ar e sold or used in this state, the original equipment manufactur er shall, on fair and 3 r easonable terms, make available to: 4 (a) Any independent repai r pr ovider; or 5 (b) The owner of digital electr onic equipment manufactur ed by or on behalf of, 6 or sold by , the original equipment manufactur er , 7 8 any documentation, parts, and tools, inclusive of any updates to information or 9 embedded software, for purposes of diagnosis, maintenance, or r epair . Nothing in this HB 1618 3 10 section req uires an original equipment manufactur er to make available a part if the part 11 is no longer available to the original equipment manager . 12 (2) For equipment that contains an electr onic security lock or other security- 13 r elated function, the original equipment manufactur er shall, on fair and reas onable 14 terms, make available to: 15 (a) Any independent repai r pr ovider; or 16 (b) The owner of digital electr onic equipment manufactur ed by or on behalf of, 17 or sold by , the original equipment manufactur er , 18 19 any special documentation, parts, and tools needed to re set the lock or security-r elated 20 function when disabled in the course of diagnosis, maintenance, or rep air of the 21 equipment. Such documentation, parts, and tools may be made available thr ough 22 appr opriate secur e rel ease systems. 23 2. V iolation of any of the pr ovisions of sections 407.3000 to 407.3002 is an 24 unlawful practice under the Mercha ndising Practices Act, sections 407.010 to 407.130. 25 All r emedies, penalties, and authority granted to the attorney general under sections 26 407.010 to 407.130 shall be available for the enfor cement of sections 407.3000 to 27 407.3002. 28 3. (1) Nothing in sections 407.3000 to 407.3002 shall be construed to req uire an 29 original equipment manufactur er to divulge a trade secr et to an owner or an 30 independent repa ir pr ovider except as necessary to pr ovide documentation, parts, and 31 tools on fair and rea sonable terms. 32 (2) Nothing in sections 407.3000 to 407.3002 shall be construed to alter the terms 33 of any arrangement described in subdivision 1 of subsection 2 of section 407.3000 that is 34 in forc e between an authorized r epair pr ovider and an original equipment 3 5 manufactur er including, but not limited to, the performance or prov ision of warranty 36 or re call repai r work by an authorized repa ir pr ovider on behalf of an original 37 equipment manufactur er pursuant to such arrangement; except that, any pro vision in 38 such terms that purports to waive, avoid, res trict, or limit the original equipment 39 manufactur er's obligations to comply with sections 407.3000 to 407.3002 shall be void 40 and unenfor ceable. 41 (3) Nothing in sections 407.3000 to 407.3002 shall be construed to requ ire an 42 original equipment manufactur er or an authorized repai r prov ider to pr ovide to an 43 owner or independent repai r pro vider access to information, other than documentation, 44 that is pro vided by the original equipment manufactur er to an authorized rep air 45 pr ovider pursuant to the terms of an arrangement described in subdivision 1 of 46 subsection 2 of section 407.3000. HB 1618 4 47 4. Nothing in sections 407.3000 to 407.3002 applies to a motor vehicle 48 manufactur er , manufactur er of motor vehicle equipment, or motor vehicle dealer acting 49 in that capacity , or to any pr oduct or service of a motor vehicle manufactur er , 50 manufactur er of motor vehicle equipment, or motor vehicle dealer acting in that 51 capacity . 52 5. The pr ovisions of sections 407.3000 to 407.3002 shall apply to any digital 53 electr onic equipment sold or in use on or after August 28, 2024. ✔ HB 1618 5