Brazilian farmers are suing Monsanto for allegedly collecting royalties illegally and for forcing farmers to sign "abusive" purchase contracts.
In Brazil, farmer-led court actions are piling up against Monsanto for collecting royalties on RR1 soybeans regarded as illegal and for conditioning the sale of new GM seed Intacta RR2 to the signing of a contract seen as abusive, according to an article for Valor Online (Brazil). Lawyers for the farmers and representative bodies estimate the value of the claims against Monsanto at 1.9 billion Brazilian real (about USD 1 billion). Processes have not been completed, but preliminary estimates say the claims may affect the company's profits.
According to Orlando Julius Caesar, lawyer for the Sinop Rural Union, a settlement reached in a previous lawsuit against Monsanto has resulted in many farmers refusing to buy Monsanto's seed. "Monsanto is trying to create market rules that do not exist for any other product," he said.
Article in Portuguese from the Brazilian press: