Industry NewsAntitrust LitigationState-by-State Eligibility

    Filed April 20, 2026 / Case 2:26-cv-11294 / E.D. Mich.

    HVAC Lawsuit State List: The 30 States Rule for Contractor Price-Fixing Recovery

    The April 20, 2026 filing of Richard Isom v. Trane Technologies PLC changed the game for the HVAC trades. But your ability to collect a check depends on a 50-year-old legal barrier called the Illinois Brick Doctrine, and whether your state is on the Green List.

    Mark Cantrell, founder of Upward Bound MediaBy Mark Cantrell
    April 23, 2026
    9 min read
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    This guide sits between the two active HVAC price-fixing cases: the homeowner class action Berg v. Bosch and the contractor / distributor case Isom v. Trane Technologies. Read those for the underlying conspiracy. Read this to figure out whether your shop can actually collect.

    Section 01

    The Illinois Brick Wall: Direct vs. Indirect Purchasers

    In federal antitrust law, the Illinois Brick Co. v. Illinois, 431 U.S. 720 (1977)U.S. Supreme Court doctrine states that only the person who bought directly from the price-fixing manufacturer can sue for federal damages. Everyone further down the supply chain is, in the eyes of the Sherman Act, invisible.

    1. The Federal Path (Direct Purchasers)

    You are a direct purchaser if you buy equipment from manufacturer-owned stores or controlled joint ventures. These shops have standing to sue under the federal Sherman Act for treble damages regardless of what state they operate in.

    • Lennox Stores Lennox International
    • Trane Supply Trane Technologies
    • Carrier Enterprise Carrier Global (controlled JV)
    • Goodman / Daikin / ABCO / Universal Supply Daikin Industries
    • York / Johnson Controls / Bosch outlets Johnson Controls / Bosch

    2. The State Path (Indirect Purchasers)

    If you buy from a truly independent, mom-and-pop supply house, you are an indirect purchaser. Under federal law you are technically invisible.

    Your only path to recovery is your state's antitrust statute, and only if your state has passed an Illinois Brick repealer law (the Green List below).

    Decision Tree

    Direct vs. Indirect Purchaser Pathways

    Start

    Where did you buy your HVAC equipment?

    Path A

    Manufacturer-Owned Store

    Lennox Stores, Trane Supply, Carrier Enterprise, Goodman/Daikin, Johnson Controls/York/Bosch

    You are a Direct Purchaser

    Federal Path

    Sue under the Sherman Act

    Treble damages available in ALL 50 states. State law does not matter.

    Path B

    Independent Wholesaler

    Truly unaffiliated, mom-and-pop supply house not owned by a Big Seven manufacturer

    You are an Indirect Purchaser

    Is your state on the Green List?

    Yes — Green List

    State Path Open

    30 states + DC: AZ, CA, HI, ID, NV, NM, OR, UT, IL, IA, KS, MI, MN, MO, NE, ND, SD, WI, ME, MD, NH, NY, RI, VT, AR, FL, MS, NC, TN, WV, DC.

    No — Red List

    Currently Blocked

    Includes TX, OK, and ~19 other non-repealer states. Only path is to qualify as a direct purchaser.

    Decision tree based on the Illinois Brick Doctrine (431 U.S. 720) and state Illinois Brick repealer statutes. Informational only — confirm standing with qualified antitrust counsel.
    Section 02

    The Green List: 30 States with Repealer Laws

    Roughly 30 states (and Washington, D.C.) have passed Illinois Brick repealer statutes. These laws allow small business owners to seek damages under state law even if they are one step removed from the manufacturer.

    RegionRepealer States (You CAN sue as an indirect purchaser)
    West
    • Arizona
    • California
    • Hawaii
    • Idaho
    • Nevada
    • New Mexico
    • Oregon
    • Utah
    Midwest
    • Illinois
    • Iowa
    • Kansas
    • Michigan
    • Minnesota
    • Missouri
    • Nebraska
    • North Dakota
    • South Dakota
    • Wisconsin
    Northeast
    • Maine
    • Maryland
    • New Hampshire
    • New York
    • Rhode Island
    • Vermont
    • District of Columbia
    South
    • Arkansas
    • Florida
    • Mississippi
    • North Carolina
    • Tennessee
    • West Virginia

    Instant State Eligibility Checker

    Click your state to see if you can recover as an indirect purchaser under your state's antitrust law.

    Green List (Repealer)Red List (Blocked)
    Pick your state above to see your eligibility status.

    Informational tool only. Antitrust standing is fact-specific. Confirm your status with qualified counsel before relying on it.

    The Red List (Texas, Oklahoma, and others)

    In states like Texas and Oklahoma, the law typically favors big business over the people they harm. In these jurisdictions, if you bought from an independent wholesaler, you are currently blocked from recovery. Your only path is to prove you are a direct purchaser from a manufacturer-owned store.

    Section 03

    The Math: Why This Is a Must-File for Contractors

    Manufacturers have consistently used the A2L tax and SEER2 regulations as a smokescreen to hike prices roughly 56% while actual component costs only rose by approximately $165 per unit. For the underlying audit, see our SEER2 and A2L price-increase fact check.

    Federal Treble Damages Formula

    Available under the Sherman Act and in most Repealer States.

    Potential Recovery = (Annual Equipment Spend × 8% Overcharge) × 3

    Worked Example: $1,000,000 Annual Equipment Spend

    Hidden 8% Overcharge

    $80,000

    Sherman Act Multiplier

    × 3

    Potential Recovery

    $240,000

    For a mid-sized shop, that 8% hidden tax is not an $80k loss. It is a quarter-million-dollar potential payday once trebled.

    Section 04

    Universal Checklist: What to Do Now

    1. Reject the Pass-On Myth

      Do not believe the lie that you cannot sue because you raised your prices to the homeowner. Under Hanover Shoe, Inc. v. United Shoe Machinery Corp., 392 U.S. 481 (1968)U.S. Supreme Court, the pass-on defense is illegal in federal antitrust cases. You were harmed the moment you paid that inflated invoice.

    2. Organize Your Data

      Manufacturers are betting you will not have your receipts. Save every invoice from January 1, 2020 to the present. Capture brand, model, serial number, distributor, date, and price paid. Our contractor survival guide walks through the exact tracking template.

    3. Stop the Clock

      The Sherman Act statute of limitations is generally four years. Acting now protects your right to recover overcharges from the massive 2022 price hikes before they fall outside the window.

    4. Engage Class Counsel

      Patrick McGahan and the team at Scott+Scott Attorneys at Law LLP are auditing contractor records to make sure shops are not left behind by the Illinois Brick wall. They operate on full contingency, meaning you pay nothing out-of-pocket unless they win for you.

    Section 05

    Frequently Asked Questions

    It comes from Illinois Brick Co. v. Illinois, 431 U.S. 720 (1977)U.S. Supreme Court, where the U.S. Supreme Court held that only direct purchasers from a price-fixing manufacturer can recover damages under federal antitrust law. Everyone further down the supply chain is barred from federal recovery.

    Direct: you buy from a manufacturer-owned store or controlled JV (Lennox Stores, Trane Supply, Carrier Enterprise, Goodman/Daikin distribution, Johnson Controls/York/Bosch outlets). Indirect: you buy from a truly independent, unaffiliated supply house.

    Roughly 30 states plus D.C. have passed Illinois Brick repealer statutes. See the Green List table above for the full regional breakdown.

    Only if you qualify as a direct purchaser. Texas and Oklahoma do not have repealer statutes, so contractors who bought from independent wholesalers are currently blocked. Buying directly from manufacturer-owned stores preserves federal Sherman Act standing regardless of state law.

    The pass-on defense argues you were not harmed because you raised prices to homeowners. Under Hanover Shoe, Inc. v. United Shoe Machinery Corp., 392 U.S. 481 (1968)U.S. Supreme Court, that defense is illegal in federal antitrust cases. You are legally harmed the moment you pay an inflated invoice.

    Three times your actual losses. The Isom complaint alleges a roughly 8% overcharge. A $1M annual spend implies an $80,000 overcharge and a $240,000 potential recovery once trebled.

    The Sherman Act limit is generally four years from the last overt act. Because the alleged conspiracy is ongoing and the class period starts January 1, 2020, contractors should preserve invoices and engage counsel now to protect 2020-2022 era overcharges.

    Every equipment invoice from January 1, 2020 to today. Capture distributor name, invoice date and number, brand, model, serial number, equipment type, SEER/SEER2 rating, refrigerant type (R-410A or A2L like R-32 or R-454B), unit price, discounts, freight, and total paid. Also keep distributor price sheets, rebate statements, and any letters about A2L or SEER2 surcharges.

    One folder per year (2020 through 2026). Inside each, save a clean PDF of every invoice plus one master spreadsheet with date, distributor, brand, model, serial, quantity, unit price, and total. Use consistent file names like 2024-03-15_TraneSupply_INV-12345.pdf. Send copies, never your only original.

    Never email sensitive financial records as plain attachments. Use the secure intake portal class counsel provides (Scott+Scott uses an encrypted upload link), or transfer via SFTP or an encrypted service like Tresorit or Sync.com. Redact employee SSNs and customer payment data before sending, and confirm the recipient address by phone before uploading.

    Digital copies are accepted for class intake and federal court, as long as they are clear, complete, and unaltered. Save scans as PDF at 300 DPI minimum and keep the originals in a fireproof box or off-site backup until the case resolves. For electronic invoices, export originals from QuickBooks, ServiceTitan, or Housecall Pro along with the audit trail. Do not retype.

    You are not disqualified. Distributors must keep transactional records for at least seven years, so most invoices can be re-pulled. Send each distributor's AR department a written request for your full purchase history from January 1, 2020 to present. Class counsel can also subpoena records during discovery. Keep a written log of every request you make.
    Disclaimer: This article is for informational purposes only and is not legal advice. Consult with qualified antitrust counsel like Patrick McGahan at Scott+Scott to determine your specific rights.

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