LEOMINSTER — The city of Leominster has filed a federal class action lawsuit against a group of the industry’s leading fire apparatus manufacturers, alleging the manufacturers perpetrated a price-fixing scheme that stifled competition and kept prices high while forcing departments to keep “aging, unsafe” fire vehicles in service, according to a statement from Napoli Shkolnik, the law firm representing the city.
“Leominster’s firefighters answer thousands of calls a year, and they deserve equipment they can count on,” said Leominster Mayor Dean J. Mazzarella. “Instead, we have paid more than double what a fire truck should cost and waited years for delivery, all while keeping decades-old trucks on the road. This is taxpayer money and public safety on the line, and we’re taking action to hold these companies accountable.”
The city filed the lawsuit in the U.S. District Court of Massachusetts. The complaint names fire apparatus manufacturers Oshkosh Corporation, Pierce Manufacturing, Inc., REV Group, Inc., and Rosenbauer America LLC, which states that they control between 70-80% of the U.S. fire truck market. Town officials at the Leominster mayor’s office confirmed the lawsuit has been filed.
Another defendant named was the Fire Apparatus Manufacturers’ Association (FAMA), which the complaint alleges to have co-conspired with the manufacturers to “facilitate the exchange of confidential, proprietary, and competitively sensitive” data.
“These companies built a system designed to keep prices high and competition out while cities like Leominster and their taxpayers pay the price,” said Hunter J. Shkolnik, Partner at Napoli Shkolnik. “Fire departments were forced to overpay for the most essential public safety equipment they own, then wait years to receive it. This lawsuit is about restoring a fair market and recovering what municipalities across the country have lost to this conspiracy.”
The complaint stated that the manufacturers used FAMA as “a closed information-exchange system, submitting confidential pricing, cost, and production data,” which was circulated only among FAMA members but not to municipalities purchasing the equipment or the public. “Through this restricted exchange, the manufacturers monitored pricing and output decisions, coordinating price increases and production limits since January 1, 2016,” the statement read.
The statement said this caused a severe effect on municipal budgets and public safety, and caused the new fire trucks to rise in price from roughly $700,000 in 2020 to between $1-2 million in 2026.
“After nearly three decades working on public safety in Massachusetts, I understand the strain this puts on a community that cannot afford to replace an aging fire truck,” said Hank Naughton, Partner at Napoli Shkolnik and retired Massachusetts District Court judge. “This conspiracy inflated prices and forced firefighters to rely on outdated equipment, compromising the safety of the first responders and residents who depend on it.”
Due to supply problems, departments faced backlogs in delivery of new fire apparatus that stretched to three or four years, which forced departments like Leominster to operate trucks beyond the recommended service life according to the National Fire Protection Association.
“The lawsuit alleges violations of Section 1 of the Sherman Act for conspiracy to restrict production and conspiracy to exchange competitively sensitive information, as well as unjust enrichment. The complaint seeks damages and injunctive relief on behalf of the proposed class,” the statement said.
Napoli Shkolnik contributed to this article.
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