Monsanto to resume soybean royalties collection in Brazil
Dec. 7, 2012
The Court of Justice of the State of Mato Grosso has also decided that Monsanto can resume its collection of royalties in the State of Mato Grosso. Monsanto will collect and temporarily place associated royalties for Mato Grosso into an escrow account, pending the outcome of the appeal process as well as full case which will be heard in due course. The company’s appeal will now continue as a part of the ongoing process at the state and federal levels.
Monsanto collections for first-generation Roundup Ready soybeans had been temporarily suspended by a prior state court ruling. For the time being, these collections will be maintained in escrow. In addition, royalty collection in other states will resume.
Monsanto said it continues to remain confident in the merits of its case.
"This action reinforces our confidence in our ongoing legal position and highlights that the company’s first-generation Roundup Ready soybean products are protected by various intellectual property rights under Brazilian law,” said Todd Rands, Legal Director for Latin America.
Roundup Ready soybeans are protected by intellectual property rights provided for in the Brazilian legislation. State and Federal Courts have upheld these rights in Brazil. Under Brazilian Law, Monsanto’s intellectual property rights on Roundup Ready soybeans are in place through 2014.
Monsanto also noted that the issues presented in this case do not relate to its next-generation products like INTACTA RR2 PRO™ soybeans.
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