Brazilian Judge issues injunction declaring Monsanto’s contract with farmers illegal

intactarr2proJustice Alex Nunes Figueiredo issued a preliminary injunction, on the 11th of October, prohibiting that forces to sign a contract in order to purchase newly produced Intacta soybean from .

The contract is the same contract that applies to American which prohibits from their old age practice of saving and replanting and allows to police their farms. The multitude of litigation in the American court system including the case of Bowman vs. , illustrates the severe consequences of signing this contract.

had announced that it was entering the Brazilian market with the Intacta genetically modified after a $ 249 million profit loss in the last quarter.

The injunction is as a result of a lawsuit filed by Sinop Rural Union and currently only applies to the State of Mato Grosso. The court’s opinion in Portugese can be accessed here.

The attorney for the organization, Orlando Caesar, reiterated that the justice was implementing precautionary measures to protect from restrictive contracts and possible illegal actions.

In a backlash against ’s business practices the Brazilian Supreme Court last year ruled that had collected royalties from illegally for their RR1 soybean product and issued a ruling that the company has to compensate the .

As a result of the ruling attempted to implement a coercive agreement with Brazilian farmer unions, where any farmer who wanted to plant RR2 Intacta had to sign an agreement with waiving their rights to a refund of the illegally collected royalties and agreeing to allow the right to enter and inspect his/her property at any time and not to sue for any reason.

The farmer would also agree to “the declaration of principles that recognize the intellectual property rights on agricultural technologies”. A concept that violates Brazilian seed law, which protects ’ rights to save seed and to use or sell the products of their own cultivation.

Needless to say the Brazilian court system appears to recognize the unenforceable nature of ’s contracts, in contrast to the American justice system.


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