Growers can sue USDA
US (CA): Supreme Court stays out of patents battle
This means the fight will continue in the US District Court in Fresno, as the growers attempt to sue the USDA.
Lawrence Hadley, an attorney for the growers who are challenging the patents, said, "Our clients believe the grape commission has overextended its authority, to really insert itself into private industry and become more of a regulatory body instead of a promotions program."
The implications are that this could extend beyond the boundary of California, as federal agencies are in control of many patents.
Under the current licensing agreement, the Agriculture Department receives 60 percent of the revenues and the California Table Grape Commission keeps the remaining 40 percent. But some grapevines have circulated outside of the licensing controls.
In May 2004, the table grape commission wrote to table grape growers and shippers, informing those who were in possession of the Sweet Scarlet variety that they could keep their vines and avoid a lawsuit if they paid the commission $2 per vine reproduced and $2 per box of Sweet Scarlet grapes previously shipped.
Seventeen California growers subsequently advised the commission that they had legally obtained the grapevine variety more than a year before the patent application was filed. Delano Farms and its allies contend this prior public use invalidated the subsequent patents, which means the table grape commission cannot command license payments.
The USDA has since given the Sweet Scarlet patent over to public use, Hadley said, while the legal battle continues over the Scarlet Royal and Autumn King patents.
Previously legal battles have not been possible as the federal government can not be sued with a waiver of immunity from Congress.
Source: kansascity.com
