The Syngenta Group provides agricultural science and technology, including seeds and pesticides, with its headquarters in Basel, Switzerland, as well as locations in Chicago, Tel Aviv, and Shanghai. ChemChina, a Chinese state-owned enterprise, owns the company.
China National Chemical Corporation (ChemChina) acquired Syngenta AG in 2015 after merging Novartis and AstraZeneca’s agrochemical businesses.
The Syngenta Group was formed in 2020, combining Syngenta AG, Adama, and Sinochem’s agricultural business.
This group consists of Syngenta Crop Protection, Syngenta Seeds, Adama, and Syngenta Group China.
Some of Syngenta’s primary products include pesticides, selective herbicides, non-selective herbicides, fungicides, insecticides, corn, soya, and biofuel. Actara ( Thiamethoxam), Agrisure (corn with the Viptera trait), Alto ( Cyproconazole ), Amistar ( azoxystrobin ), Avicta, Axial, Bravo, Callisto, Celest, Cruiser (TMX, Thiamethoxam), Dividend, Dual, Durivo, Elatus, Fusilade, Force, Golden Harvest, Gramoxone, Karate, Northrup-King (N.K.), Proclaim, Revus, Ridomil, Rogers, Score, Seguris, S&G, Tilt, Topik, Touchdown, Vertimec, and Vibrance are some of the Syngenta brands.
In 2011, the Dow Jones Sustainability Index named Syngenta one of the world’s best-performing chemical companies. Due to its main business – selling toxic chemicals and their environmental impact – as well as its investment in lobbying, the company has been controversial. The company was nominated for the “Public Eye Award” in 2012, which denounces companies with questionable human rights practices.
Among Syngenta’s eight primary product lines are selective herbicides, non-selective herbicides, fungicides, insecticides, and seed care. There are three product lines for seed products: corn and soya, other field crops, and vegetables. Crop protection products accounted for 75% of total sales in 2014. Hybrid seeds and genetically engineered seeds can enter the food chain and become part of genetically modified foods. According to Syngenta, around 25 percent of corn seeds sold in the U.S. are their proprietary triple stack seeds.
In 2010, the US EPA approved insecticidal trait stacks, including Syngenta’s AGRISURE VIPTERATM gene, which offers resistance to certain corn pests. By cross-licensing its proprietary genes with Dow AgroSciences, Syngenta is able to incorporate Dow’s Herculex I and Herculex RW insect resistance traits into its seeds. The company sells a glyphosate-resistant soybean called VMAX.
Negligent misrepresentation refers to negligently making a false statement of fact that causes another party to make a contract. Companies can be accused of negligently making misleading statements to induce another party into making a contract. One example of such an accusation is the lawsuit being brought against Syngenta.
What Is Syngenta and Why Is It Being Sued?
Syngenta, a biotechnology company, sells genetically modified seeds. Farmers from various states filed a lawsuit against Syngenta. Plaintiffs accuse Syngenta of destroying U.S. corn exports to China in the lawsuit. Moreover, they accuse the defendant of lowering corn prices domestically.
As a result of a suit filed by Syngenta against Bayer for patent infringement on a class of neonicotinoid insecticides, the U.S. Patent and Trademark Office ruled in Syngenta’s favor in 2001. In the following year, Syngenta sued Monsanto and other companies for infringing its U.S. biotechnology patents. Monsanto countersued, alleging antitrust violations in the U.S. biotech corn seed market. All litigation between Monsanto and Syngenta was settled in 2008.
Syngenta was sued by the city of Greenville, Illinois, over the adverse effects of atrazine on human water supplies. In May 2012, the lawsuit was settled for $105 million.
Since 2010, a similar case involving six states has been pending in federal court.
Farmers and shipping companies are suing Syngenta over Viptera genetically modified corn in the U.S. They claim Syngenta’s introduction of Viptera lowered grain prices, causing financial harm, and that Syngenta acted irresponsibly by not enabling shipping companies to export the grain.
Syngenta secured all U.S. and NCGA export approvals before the introduction of Viptera in 2010, but none from China. In 2010, China dramatically increased its imports of U.S. grains after importing little or no U.S. grain prior to 2010. Three years ago, China imported U.S. Viptera grain without formal approval. After destroying a U.S. grain shipment containing Viptera grain in November 2013, Chinese officials began rejecting all U.S. shipments containing the G.M. grain but continued to accept it from all other countries.
In the same year, U.S. corn prices dropped $4 per bushel, causing over $2.9 billion in losses, just over half of which occurred before China rejected the G.M. corn in November 2014. On 23 June 2017, Syngenta lost the first lawsuit to reach trial in Kansas and was ordered to pay $217 million to farmers. However, Syngenta has stated that it will appeal the verdict.
Why Is the U.S. Prevented from Shipping Corn to China?
Syngenta is responsible for creating Agrisure Viptera and Agrisure Duracade, which are strains of genetically modified (GMO) corn. The corn was engineered to make it resistant to certain insects that are known for ruining corn crops. These strains are approved in the U.S. but have not yet been approved in China because the two strains of genetically modified corn contain MIR 162. Thus, China has refused to accept any corn from the U.S. that tests positive for MIR 162 starting in 2013.
What Is MIR 162?
MIR 162 is a genetic modification designed to protect corn plants from being destroyed by insects. It has Viptera, which is a toxin that originates from bacteria. The Viptera toxin kills the insects that attack the corn.
Can I Sue Syngenta If I Can No Longer Sell My Corn Crop to China?
Exporters, farmers, and distributors can sue the company if:
- They are unable to export corn to China because of the MIR 162 found in corn
- They have seen prices drop in their domestic market because of the excess of corn as a result of China’s refusal to accept American-grown corn
This is because Syngenta allegedly claimed that the Agrisure Viptera and Agrisure Duracade strains would be sellable in major export markets for American farmers. The average American farmer cannot sell corn to China, so they can’t sell it in all major markets.
What Remedies are Available for Victims of Negligent Misrepresentation?
A victim of negligent misrepresentation in a contract may sue in court to recover money damages caused by the misrepresentation. The damages in a breach of contract case involving negligent misrepresentation are generally limited to financial losses. In these cases, courts do not award damages for personal injury, emotional injury, or pain and suffering.
An equitable remedy may also be available to the victim. An equitable remedy is a non-monetary remedy available to a prevailing party. One type of equitable remedy is known as contract rescission.
When a court revokes a contract, it is called a contract rescission. By canceling the contract, the contract is terminated. During a rescission, a buyer receives a refund, and the seller gets back the property. Rescission is intended to restore each party to their pre-contractual state.
Do I Need a Lawyer to File a Syngenta Lawsuit?
As a businessperson, it is frustrating when you buy a product that you cannot resell as planned, despite assurances that you will have no problem reselling it in your major markets. Contact a contract lawyer if you are a farmer, distributor, or exporter possibly harmed by the export corn problem that has allegedly been caused by Syngenta.
