World Grain - January 2013 - 13

newsreview
Bunge ‘extremely pleased’
by court order
ST. LOUIS, MISSOURI, U.S. —
Bunge North America, Inc. largely has
prevailed in a lawsuit ﬁled against the
St. Louis, Missouri, U.S.-based business
by Syngenta Seeds, Inc.
In the lawsuit, Syngenta alleged
Bunge unjustly banned Agrisure Viptera, a Syngenta corn. Bunge declined
to take delivery of the product on the
grounds it had not yet received “necessary international approvals from major
export destinations of U.S. wheat.”
In September 2011, as the corn harvest
was getting under way, Mark W. Bennett, U.S. District Court judge, rejected a
Syngenta motion that essentially would
have required Bunge to accept the corn.
At the time, Bennett called Bunge’s actions a reasonable business decision.
In a strongly worded ruling issued in
late November, Bennett said he was not
swayed by Syngenta’s more recent arguments. At issue were claims by Syngenta that Bunge’s refusal to take the
corn represented a violation of the U.S.
Warehouse Act.
“Syngenta’s new argument on this issue is even more convoluted, relies on
even more strained readings of amendments to the statutes at issue, lacks
any support in case law or legislative
history, involves insupportable inferential leaps concerning the purpose of
amendments to the related regulations,
and still runs afoul of the principle that
regulations cannot create a private right
of action that Congress did not create,”
Bennett said.
While he summarily dismissed this
allegation by Syngenta, Bennett said
other claims by Syngenta regarding
Iowa warehousing laws did not qualify
for summary dismissal.
Bunge said the case is ongoing.
“The order dismisses Syngenta’s primary claims that Bunge violated the
Lanham Act and the U.S. Warehouse
Act,” Bunge said. “The Court also dismissed the claim related to the U.S.
Warehouse Act claim that Syngenta was
a third party beneﬁciary of Bunge’s Licensing Agreement for Grain and Rice
Warehouse Operators with the USDA
Farm Service Agency. While certain
claims still remain in the case, Bunge is
extremely pleased by the Court’s order
and is conﬁdent it will be successful on
Syngenta’s remaining claims.”

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World Grain - January 2013

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