Shawnee Sues Fire Truck Manufacturers Over Price Fixing & Delays
- The City of Shawnee, Oklahoma, March 16, filed a federal lawsuit against several major fire truck manufacturers, alleging a conspiracy to inflate prices and extend delivery times.
- Named as defendants in the Shawnee lawsuit are Oshkosh Corporation, Pierce Manufacturing, REV Group, Rosenbauer America, and the Fire Apparatus Manufacturers’ Association.
- The lawsuits come after years of increasing concerns about the fire apparatus market.
Fire Truck Price Fixing Lawsuits Spread Across the US
The City of Shawnee, Oklahoma, , filed a federal lawsuit against several major fire truck manufacturers, alleging a conspiracy to inflate prices and extend delivery times. This action adds to a growing wave of legal challenges facing the fire apparatus industry, with similar lawsuits already underway in Wyandotte County, Kansas, and potentially spreading to other Oklahoma municipalities. The core allegation centers on manufacturers deliberately limiting competition to drive up costs, with prices for fire trucks reportedly doubling from around $500,000 to over $1 million.
Named as defendants in the Shawnee lawsuit are Oshkosh Corporation, Pierce Manufacturing, REV Group, Rosenbauer America, and the Fire Apparatus Manufacturers’ Association. The suit claims these companies engaged in a pattern of anti-competitive behavior, impacting fire departments nationwide. The Unified Government of Wyandotte County and Kansas City, Kansas, filed a similar class action lawsuit on , making comparable accusations. That suit specifically alleges REV Group’s acquisition of independent manufacturers forced reliance on the company for critical components, effectively stifling competition.
The lawsuits come after years of increasing concerns about the fire apparatus market. The International Association of Fire Fighters (IAFF) called for federal scrutiny of manufacturers over a year ago, citing soaring prices and delays. These concerns were amplified by testimony before the Senate Subcommittee on Disaster Management in , where executives from REV Group and Pierce Manufacturing defended their companies’ practices. Mike Virnig of REV Group stated the company was “taking significant steps to boost our production and bring innovative products to the market,” while Dan Meyer of Pierce Manufacturing claimed price increases had “slowed significantly.”
However, the lawsuits paint a different picture. The City of Shawnee, for example, cited a order for a custom pumper truck from Pierce Manufacturing, priced at $855,880.08. The city ultimately canceled the order in due to failure to meet the promised delivery deadline. Court documents from the Wyandotte County case detail how delivery times have ballooned from seven to twelve months before industry consolidation to over four years in some instances. The lawsuits allege the use of “floating price” clauses, allowing manufacturers to increase costs after orders are placed, with some departments reportedly facing surcharges of nearly $150,000.
The consequences of these delays and price increases are significant for fire departments. Aging fleets are being forced to operate beyond their recommended retirement age, and departments are struggling to secure necessary repair parts. The Wyandotte County lawsuit highlighted that the Kansas City, Kansas, Fire Department was without five of its fifteen pumper trucks in the summer of due to repair needs and parts delays. The situation became critical enough that during the Los Angeles wildfires, dozens of fire trucks were reportedly sidelined due to age and lack of available parts.
Oshkosh Corporation responded to the Shawnee lawsuit, stating the allegations are “without merit” and that the company is “defending ourselves in court.” A spokesperson added that Oshkosh remains “focused on delivering safe, high-quality fire trucks while continuing to reinvest in our U.S. Operations to meet record demand.” The other defendants have not yet publicly commented on the Shawnee lawsuit, though they have previously defended their practices. The Fire Apparatus Manufacturers’ Association data, cited in the Shawnee lawsuit, acknowledges a decline in fulfillment rates over the past decade, attributing a sharper drop to the COVID-19 pandemic, but also notes a rebound since .
As these lawsuits progress, fire departments and municipalities across the country will be watching closely. The outcome could have significant implications for the future of the fire apparatus market and the ability of communities to maintain adequate fire protection services. The potential for a class action lawsuit to expand, as suggested by officials in Shawnee, could further amplify the pressure on the manufacturers and potentially lead to broader industry reforms.