SAO PAULO (Reuters) – Germany’s Bayer AG , which completed the takeover of U.S.-based Monsanto last year, has been dealt a legal blow in Brazil as more farmers joined a lawsuit challenging the protection of a key soy seed patent.
A Brasília appeals court authorized producers from another 10 states to join Mato Grosso state farmers as plaintiffs in a case challenging the validity of Monsanto’s Intacta RR2 PRO patent, according to court filings.
Bayer - Royalties - Mato - Grosso - Growers
That means Bayer, which had been ordered to deposit royalties received from the Mato Grosso growers in an escrow account, will have to do the same with royalties from the new plaintiffs, said Sidney Pereira de Souza Jr, an attorney representing the soy growers who cited court decisions granted in July 26 and on Feb. 25.
The Mato Grosso farmers sued Monsanto, now Bayer, in late 2017 aiming to cancel the Intacta patent, which they claim lacks any real technological innovations.
Dispute - Operating - Risks - Firms - Bayer
The legal dispute underscores the operating risks for firms like Bayer in Brazil, where companies face the prospect of more such lawsuits, Souza said.
Recently, Brazilian cotton growers challenged Bayer’s patent protection...
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