PATRICIA SHORT
Monsanto and Bayer CropScience have resolved some of their long-pending lawsuits with a broad-reaching agreement to cross-license technologies. At issue have been patents covering herbicide tolerance and insect resistance.
There are four main points to the agreement, which covers cross-licenses and nonexclusive, royalty-bearing licenses for products made by the two companies.
Monsanto and Bayer will cross-license enabling technology for glufosinate- and glyphosate-tolerant crops. Bayer will provide Monsanto with a license for Bayer technology related to Monsanto's corn-rootworm product. Monsanto will amend Bayer's existing licenses for use of Monsanto technology on cotton. And Bayer will amend Monsanto's licenses for use of its Dual Bt insect-protected technology to provide better terms for all crops.
The deal ends at least five lawsuits between the two companies, although others are pending. Those cases involve herbicide-tolerant corn and other insect-resistant technologies.
"This is a win for farmers and a positive development for the agricultural industry," says Robert T. Fraley, chief technology officer for Monsanto. Bayer CropScience's chief technology officer, Bernward Garthoff, adds, "These agreements will enable us to focus on serving our customers, rather than spending our energy on lengthy legal disputes."
The agreement follows one reached in 2002 between Monsanto and DuPont, the parent of seed company Pioneer Hi-Bred (C&EN, April 8, 2002, page 9). In that situation, some 11 lawsuits were pending between Monsanto and DuPont. The agreement won Pioneer a license to glyphosate-resistance technology for its seeds.
