Category Archives European Courts

A European Court of Justice adviser has determined that Monsanto Co. cannot seek royalties from a company that imported from Argentina soy meal containing residues of Monsanto’s patented gene. Case C-428/08, Monsanto Tech. LLC v. Cefetra BV (Op. of Advocate Gen. Mengozzi, delivered March 9, 2010). Monsanto has no patent on its Roundup Ready® soybeans in Argentina. In 2005 and 2006, the company had shipments of soy meal from Argentina impounded in Amsterdam harbor, and testing showed that it contained some of the seed traits that Monsanto has patented in the European Union (EU). The company then sued the importers for infringement, and a Dutch court hearing the dispute sought guidance from the EU tribunal. Disagreeing with Monsanto, which argued that its EU patent covers the DNA sequence, the adviser opined that under Directive 98/44, “a DNA sequence must be regarded as protected, even as a self-standing product, only where it…

A court in Carcassonne, France, has reportedly found French winemakers and traders guilty of deliberately and repeatedly mislabeling wine as a more expensive grape variety to get a better price from E. & J. Gallo under its Red Bicyclette® brand. French customs officials apparently discovered the swindle when they found that the amount of “pinot noir” sold to Gallo far exceeded what the region produced. According to a news source, the scam more than doubled the miscreants’ profits, which totaled some €7 million for 18 million bottles. The fines imposed ranged from US$2,050 to US$247,050, and the suspended jail sentences ranged from one to six months. The judge was quoted as saying, “The scale of the fraud caused severe damage for the wines of the Languedoc for which the United States is an important outlet.” A defense attorney reportedly said that no American customers complained about the fraud. See BBC News,…

Responding to questions referred to it by an Italian court, the European Court of Justice (ECJ) has determined that (i) the term “Bavaria,” when used in conjunction with beer, is not a generic term, but rather is a protected geographical indication (PGI) recognized in valid proceedings by the European Commission in 2001; and (ii) beer makers outside the German region, using this designation for their products, may do so if they can prove their trademarks were registered in good faith before 2001 and will not likely confuse consumers as to product identity, “having regard to that mark’s reputation, renown and the length of time for which it has been used.”  Bavaria NV v. Bayerischer Brauerbund eV, No. C-343/07 (decided July 2, 2009). German brewers have apparently been challenging Dutch brewer Bavaria NV in courts throughout the continent, including in Italy where the case has been returned for the Dutch brewer to prove that…

The British Court of Appeal has determined that “Regular Pringles,” a snack food made by Procter and Gamble, are subject to the value-added tax under a provision that applies to “potato crisps, potato sticks, potato puffs and similar products made from the potato, or from potato flour, or from potato starch.” Revenue & Customs v. Procter & Gamble UK, [2009] EWCA Civ 407 (Eng. & Wales Ct. App. (Civ. Div.), decided May 20, 2009). Foods are generally not taxed in Britain, but an exception has been carved out for “food not normally bought primarily for nutrition but eaten as snacks.” The question before the court was whether the Pringles chips, with just 42 percent potato flour content, are “similar to potato crisps and made from the potato.” The company apparently argued that products subject to the tax should be made from 100 percent potato or near 100 percent, to give the…

According to a news source, Monsanto has filed a lawsuit challenging the German government’s decision to prohibit farmers from planting the company’s genetically modified (GM) corn. Designed to produce a substance toxic to the corn borer pest, the GM seed has been permitted in Germany since 2005, and the corn has been used in Europe for animal feed since 1998. Earlier in April 2009, Germany’s agriculture minister, saying she had “legitimate reasons” to believe the corn is an environmental hazard, put a halt to plans to use the GM seed on nearly 9,000 acres in eastern states this year. Monsanto contends that the ban is arbitrary and could only be imposed as to approved plants if new scientific evidence comes to light. Other European countries have banned the GM seed, although the European Food Safety Authority concluded that studies surfacing in 2008 did “not present new scientific evidence that would…

German courts in Bavaria have reportedly been considering issues raised in a lawsuit filed by an amateur beekeeper who was forced to destroy his honey after it was found to be contaminated with pollen from a nearby field trial of genetically modified (GM) corn. Beekeeper and handyman Karl Heinz Bablok, aware that his hives were near GM cornfields, apparently had samples of honey tested and found that 7 percent of the pollen was from the GM crops. An Augsburg court ordered him to stop selling or giving away his honey, so he sued the Bavarian State Research Center for Agriculture to recover his costs and lost sales of about US$12,900. Now before a third court, the case reportedly raises significant GM-related issues: if Bablok wins, the GM corn would be discredited; if the court decides that Bablok’s honey is not subject to licensing regulations under the European Union food law,…

An Italian magistrate has reportedly determined that Nestlé Italia and Tetra Pak International are liable for the “psychological prejudice” of parents who gave their daughters milk purportedly contaminated with chemicals from the carton. The milk was apparently withdrawn from sale in France, Spain, Portugal, and Italy in late 2005, over concerns about the leaching of IsopropilThioXantone, a chemical used in printing on the cartons, into the dairy product. Millions of liters of liquid baby milk were reportedly recalled, and a consumers’ organization indicates that the latest ruling is the first in Italy since the product was withdrawn from the market. See Agence France Presse, March 2, 2009.

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