Bayer rejects Brazilian farmers’ claim that court finds it liable for $2 billion in royalties By Reuters
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© Reuters. FILE PHOTO: The main plant and headquarters of German pharmaceutical and chemical maker Bayer AG is pictured along western Europe’s most important waterway in Leverkusen, Germany, May 14, 2019. REUTERS/Wolfgang Rattay/File Photo
SAO PAULO (Reuters) – Bayer (OTC:) rejected on Tuesday a claim by a Brazilian farmers’ lobby group that the country’s top court had ordered the diversified German company to return about $2 billion in royalties to soybean farmers.
The case, which is related to a law dispute in Brazil about extensions of patents for more than 20 years, is the latest chapter of a protracted battle between Bayer and Brazilian farmers, who have launched multiple legal challenges against the company.
Mato Grosso state farmer lobby Aprosoja-MT said in a statement the Supreme Court ordered Bayer on Tuesday to return to farmers royalties they have paid since 2018 related to two patents of genetically modified organism known as Intacta RR2 PRO.
The technology was created by Monsanto (NYSE:), which was later acquired by Bayer.
Aprosoja-MT calculated the amount to be paid at 10 billion reais ($2 billion), as it sees an average of 2 billion reais per year since 2018, Sidney Pereira, Aprosoja-MT’s lawyer in the case, told Reuters. Part of it had already been deposited as a legal guarantee by Bayer after a court decision last year, he added.
Bayer, on the other hand, interpreted the court’s ruling differently.
The firm said in a statement that the decision just affirms its obligation to continue to present a procedural guarantee in the legal action in case it loses the case in future.
It said Tuesday’s decision does not relate to the dispute’s merit, which it added is still to be ruled upon.
Aprosoja-MT’s lawyer Pereira disagreed with Bayer, saying the farmers’ lobby group will now seek enforcement of the payment order.
The Supreme Court did not respond to a request for comment outside normal working hours.
($1 = 4.9695 reais)
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© Reuters. FILE PHOTO: The main plant and headquarters of German pharmaceutical and chemical maker Bayer AG is pictured along western Europe’s most important waterway in Leverkusen, Germany, May 14, 2019. REUTERS/Wolfgang Rattay/File Photo
SAO PAULO (Reuters) – Bayer (OTC:) rejected on Tuesday a claim by a Brazilian farmers’ lobby group that the country’s top court had ordered the diversified German company to return about $2 billion in royalties to soybean farmers.
The case, which is related to a law dispute in Brazil about extensions of patents for more than 20 years, is the latest chapter of a protracted battle between Bayer and Brazilian farmers, who have launched multiple legal challenges against the company.
Mato Grosso state farmer lobby Aprosoja-MT said in a statement the Supreme Court ordered Bayer on Tuesday to return to farmers royalties they have paid since 2018 related to two patents of genetically modified organism known as Intacta RR2 PRO.
The technology was created by Monsanto (NYSE:), which was later acquired by Bayer.
Aprosoja-MT calculated the amount to be paid at 10 billion reais ($2 billion), as it sees an average of 2 billion reais per year since 2018, Sidney Pereira, Aprosoja-MT’s lawyer in the case, told Reuters. Part of it had already been deposited as a legal guarantee by Bayer after a court decision last year, he added.
Bayer, on the other hand, interpreted the court’s ruling differently.
The firm said in a statement that the decision just affirms its obligation to continue to present a procedural guarantee in the legal action in case it loses the case in future.
It said Tuesday’s decision does not relate to the dispute’s merit, which it added is still to be ruled upon.
Aprosoja-MT’s lawyer Pereira disagreed with Bayer, saying the farmers’ lobby group will now seek enforcement of the payment order.
The Supreme Court did not respond to a request for comment outside normal working hours.
($1 = 4.9695 reais)
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