Today the California Court of Appeals issued a ruling reversing a 1998 jury verdict in favor of Mycogen Plant Science, Inc., a subsidiary of The Dow Chemical Company, against Monsanto Company in the amount of $174.9 million. The basis for the court's ruling was that Mycogen had pursued two separate suits against Monsanto seeking to enforce a 1989 license agreement. In reversing the jury's verdict, the Court of Appeals ruled that Mycogen's original suit against Monsanto, which sought only to enforce the license agreement and obtain commercial licenses to Monsanto's Yieldgard corn and Roundup Ready corn, cotton and canola seed products, should also have included any claim which Mycogen had to monetary damages. As such, Mycogen should not have been allowed to pursue a second action for damages.

"While we're disappointed with the Court of Appeals' ruling, we are confident that the Supreme Court of California will review this case in order to set aside a very unfair and inequitable result,'' stated William W. Wales, General Counsel for Dow AgroSciences LLC. "It's indisputable that Monsanto breached its agreement with Mycogen, and that Mycogen suffered significant commercial damages as a result. Monsanto should be held accountable for those damages.''

Mycogen Plant Science, Inc., a technological leader in developing genetically enhanced crops, is an affiliate of Mycogen Corporation and of Indianapolis-based Dow AgroSciences LLC, a wholly-owned subsidiary of The Dow Chemical Company. A global leader in providing pest management and biotechnology products that improve the quality and quantity of the earth's food supply and contribute to the safety, health and quality of life of the world's growing population, Dow AgroSciences employs more than 3,000 people in 53 countries and has worldwide sales of approximately $2.5 billion. 

Company news release
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