ESA Discusses Fair Repair Act and its Potential Consequences for Alarm System Companies

A federal bill was filed on March 14, 2022 that could alter the contracts and practices of electronic security and life safety companies across the country, if passed. S. 3830 is titled the “Fair Repair Act” and was filed with bipartisan sponsors (Senator Ben Ray Lujan (D-NM) and Senator Cynthia Lummis (R-WY).

As filed the bill would require original equipment manufacturers (OEM) of digital electronic equipment to make documentation, diagnostic and repair information available to independent repair providers and owners of such equipment under fair and reasonable terms. We have seen many similar bills filed in states across the country, but few have reached any level of success. This bill would set up a federal requirement with enforcement delegated to the Federal Trade Commission (FTC).

Language in this bill could force alarm companies to alter their practices and ultimately create problems with alarm contracts as well. Here’s why – “Digital electronic equipment” is defined as any product that depends for its functioning, in whole or in part, on digital electronics embedded in or attached to the product. That definition would tend to include alarm panels.

Next, security-related functions are NOT excluded from the requirements of this bill. As written, this language states:

For digital electronic equipment that contains an electronic security lock or other security-related function, the original equipment manufacturer shall make available to the owner and to independent repair providers, on fair and reasonable terms, any special documentation, tools, and parts needed to disable the lock or function, and to reset it when disabled in the course of diagnosis, maintenance, or repair of the equipment.

It is also important at this stage to determine how the OEM is defined in the bill. Here it is –

“The term “original equipment manufacturer” or “OEM” means any person who is engaged in the business of selling, leasing, or otherwise supplying new digital electronic equipment or parts of equipment manufactured by or on behalf of itself, to any person.”

When we combine the definition of OEM with other provisions in this bill, a number of questions and concerns are immediately raised. Are the proprietary lockout codes of alarm panels, their use and their need to maintain electronic security systems now subject to being “open” for use by end users and independent repair facilities? Will the OEM code be used, or could it be used to take over alarm systems under contract? Many more questions could follow.

What is not known and cannot be known until the bill is passed and enacted is how some of the terms and definitions within it would be interpreted by the FTC. This is always the case with federal legislation as Congress has an intended propensity to keep some things vague in bills and leave massive details to the regulatory agencies.

Featured

  • Smarter Access Starts with Flexibility

    Today’s workplaces are undergoing a rapid evolution, driven by hybrid work models, emerging smart technologies, and flexible work schedules. To keep pace with growing workplace demands, buildings are becoming more dynamic – capable of adapting to how people move, work, and interact in real-time. Read Now

  • Trends Keeping an Eye on Business Decisions

    Today, AI continues to transform the way data is used to make important business decisions. AI and the cloud together are redefining how video surveillance systems are being used to simulate human intelligence by combining data analysis, prediction, and process automation with minimal human intervention. Many organizations are upgrading their surveillance systems to reap the benefits of technologies like AI and cloud applications. Read Now

  • The Future is Happening Outside the Cloud

    For years, the cloud has captivated the physical security industry. And for good reason. Remote access, elastic scalability and simplified maintenance reshaped how we think about deploying and managing systems. But as the number of cameras grows and resolutions push from HD to 4K and beyond, the cloud’s limits are becoming unavoidable. Bandwidth bottlenecks. Latency lags. Rising storage costs. These are not abstract concerns. Read Now

  • Right-Wing Activist Charlie Kirk Dies After Utah Valley University Shooting

    Charlie Kirk, a popular conservative activist and founder of Turning Point USA, died Wednesday after being shot during an on-campus event at Utah Valley University in Orem, Utah Read Now

  • The Impact of Convergence Between IT and Physical Security

    For years, the worlds of physical security and information technology (IT) remained separate. While they shared common goals and interests, they often worked in silos. Read Now

New Products

  • Mobile Safe Shield

    Mobile Safe Shield

    SafeWood Designs, Inc., a manufacturer of patented bullet resistant products, is excited to announce the launch of the Mobile Safe Shield. The Mobile Safe Shield is a moveable bullet resistant shield that provides protection in the event of an assailant and supplies cover in the event of an active shooter. With a heavy-duty steel frame, quality castor wheels, and bullet resistant core, the Mobile Safe Shield is a perfect addition to any guard station, security desks, courthouses, police stations, schools, office spaces and more. The Mobile Safe Shield is incredibly customizable. Bullet resistant materials are available in UL 752 Levels 1 through 8 and include glass, white board, tack board, veneer, and plastic laminate. Flexibility in bullet resistant materials allows for the Mobile Safe Shield to blend more with current interior décor for a seamless design aesthetic. Optional custom paint colors are also available for the steel frame.

  • QCS7230 System-on-Chip (SoC)

    QCS7230 System-on-Chip (SoC)

    The latest Qualcomm® Vision Intelligence Platform offers next-generation smart camera IoT solutions to improve safety and security across enterprises, cities and spaces. The Vision Intelligence Platform was expanded in March 2022 with the introduction of the QCS7230 System-on-Chip (SoC), which delivers superior artificial intelligence (AI) inferencing at the edge.

  • AC Nio

    AC Nio

    Aiphone, a leading international manufacturer of intercom, access control, and emergency communication products, has introduced the AC Nio, its access control management software, an important addition to its new line of access control solutions.