FMC Corporation wins patent infringement case against Udragon

Rhea-AI Summary

FMC Corporation (NYSE: FMC) secured a significant legal victory when the Hangzhou Intermediate People's Court in China granted a permanent injunction against Udragon for patent infringement regarding an intermediate chemical used in chlorantraniliprole production. This ruling prohibits Udragon from manufacturing, using, or selling products containing this patented chemical and requires compensation for damages. FMC views this decision as a reinforcement of intellectual property rights, essential for innovation in the agrochemical market. The company continues to invest in the development of chlorantraniliprole, a key insect control solution.

Positive

• FMC secured a permanent injunction against Udragon for patent infringement, strengthening its intellectual property rights.
• The court ordered Udragon to compensate FMC for damages, providing potential financial benefit.
• The ruling reinforces FMC's commitment to innovation in the crop protection market.

Negative

• None.

PHILADELPHIA, April 26, 2022 /PRNewswire/ --

FMC Corporation (NYSE: FMC), a leading global agricultural sciences company, announced the Hangzhou Intermediate People's Court in Zhejiang Province, China, granted FMC a permanent injunction against Hangzhou Udragon Chemical Co., Ltd and Zhejiang Udragon Bioscience Co., Ltd (collectively "Udragon"). The Court found Udragon infringed on FMC's patent for a key intermediate chemical used in the manufacturing of chlorantraniliprole by conducting field trials, attending trade fairs and distributing samples of products manufactured using FMC's patented intermediate.

The permanent injunction restrains Udragon from manufacturing, using and selling any product which contains a specific patented intermediate chemical used to make chlorantraniliprole, FMC's leading insect control active ingredient. The court also ordered the China-based crop protection manufacturer to compensate FMC for related damages.

"We are pleased with the Court's decision, which reflects its understanding of the issues impacting the crop protection market and the importance of respect for patents – including patents covering intermediate chemicals – in China," said Michael Reilly, FMC executive vice president, general counsel and secretary. "The principles decided by the Court are also significant for future infringement actions where defendants attempt to rely on the so-called 'Bolar exemption,' a legal exemption in the pharmaceutical industry, to avoid infringement of valid intellectual property in the agrochemical segment." 

FMC has invested heavily in the research, development and commercialization of chlorantraniliprole, a proprietary, breakthrough technology designed to control a wide variety of destructive insects that can destroy a farmer's crops and dramatically lower food production. The company maintains an extensive patent estate for its proprietary chlorantraniliprole technology, including patents that cover active ingredient composition of matter, manufacturing processes, intermediate chemicals, formulations and other areas protected by intellectual property laws in the U.S., China, India, and other important agricultural markets throughout the world. FMC markets its products that contain chlorantraniliprole under several brand names around the world, including Rynaxypyr^® active, Altacor^® insect control, Coragen^® insect control, Ferterra^® insect control, Premio^® insect control and Prevathon^® insect control.

"Intellectual property rights are an essential tool for continued innovation in the crop protection market and thus serve the interest of growers, customers, investors, employees, suppliers and partners," said Pramod Thota, interim president for FMC's Asia Pacific Region and president of FMC U.S.A. "This decision reinforces the value of our commitment to bring innovation to growers in China and around the world."

About FMC

FMC Corporation is a global agricultural sciences company dedicated to helping growers produce food, feed, fiber and fuel for an expanding world population while adapting to a changing environment. FMC's innovative crop protection solutions – including biologicals, crop nutrition, digital and precision agriculture – enable growers, crop advisers and turf and pest management professionals to address their toughest challenges economically while protecting the environment. With approximately 6,400 employees at more than 100 sites worldwide, FMC is committed to discovering new herbicide, insecticide and fungicide active ingredients, product formulations and pioneering technologies that are consistently better for the planet. Visit fmc.com to learn more and follow us on LinkedIn® and Twitter®.

Rynaxypyr, Altacor, Coragen, Ferterra, Premio and Prevathon are trademarks of FMC Corporation or an affiliate. Always read and follow all label directions, restrictions and precautions for use. Products listed may not be registered for sale or use in all states, countries or jurisdictions.

Statement under the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995:  This release contains forward-looking statements, which are based on management's current views and assumptions regarding future events, future business conditions and the outlook for the company based on currently available information. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any results, levels of activity, performance or achievements expressed or implied by any forward-looking statement. These factors include, among other things, the risk factors and other cautionary statements included within FMC's 2021 Form 10-K filed with the SEC as well as other SEC filings and public communications. FMC cautions readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Forward-looking statements are qualified in their entirety by the above cautionary statement. FMC undertakes no obligation, and specifically disclaims any duty, to update or revise any forward-looking statements to reflect events or circumstances arising after the date on which they were made, except as otherwise required by law.

 

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SOURCE FMC CORPORATION

FAQ

What was the outcome of FMC's patent infringement case against Udragon on April 26, 2022?

FMC won a permanent injunction against Udragon, barring them from producing or selling products using FMC's patented chemical.

What does the court's decision mean for FMC Corporation's operations in China?

The decision enhances FMC's intellectual property protection, crucial for sustaining innovation in the agrochemical sector.

What financial impact does the ruling against Udragon have for FMC?

Udragon has been ordered to compensate FMC for damages, which could positively affect FMC's financials.

How does the ruling on patent rights influence FMC's future business strategies?

The ruling reinforces FMC's strategy to invest in and protect its proprietary technologies in the crop protection market.

What is chlorantraniliprole and why is it important to FMC Corporation?

Chlorantraniliprole is a key insect control product for FMC, critical for agricultural production and driving the company's innovation.