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January 19, 2006
Bumper Crop
Biotechnology
giants Dow Chemical and
Monsanto have inked a wide-ranging patent
cross-licensing agreement, and withdrawing from their meddling with each
other's patents. The corporate Hatfield-McCoy feud is finally settled;
thar's peace on the farm at last.
As part of the deal, Dow's Mycogen Plant Sciences unit and Monsanto will withdraw their respective carping to the patent office about who invented which genes first (synthetic Bt (bacillus thuringiensis) and Cry1F), genes which have been heavily litigated for years, and have a promising future. The deal also resolves all the lawsuits between Dow AgroSciences and Monsanto, ongoing litigation that covered a wide range of products, including corn, soybeans, and cotton. Business synergies arise from the deal, allowing creation of hybrids from lines which each company had rights to.
Both Monsanto and Dow have both had a string of recent successes in patent matters. Last November, Monsanto invalidated a insect-protected corn patent of Bayer CropScience, a rival. Last April, Monsanto got the European Patent Office to okay its herbicide-resistant seed, a decision with significant impact for farmers worldwide. Dow just denied Shell Oil's bid for an en banc rehearing on a chemical catalyst patent case, where Dow was awarded $150 million for infringement. Dow dodged a bullet last month when four Cargill patents asserted against Dow were shot down because of Cargill's inequitable conduct in prosecuting the patents.
Posted by Patent Hawk at January 19, 2006 12:01 AM | Patents In Business