The Delhi High Court has restrained Hyderabad-based Nuziveedu Seeds from selling Bt cotton seeds using the trademark of US-based agro major Monsanto’s Indian arm Mahyco Monsanto Biotech. The HC also asked the Hyderabad firm to pay royalty to Mahyco Monsanto after selling the old stock manufactured before November 2015.

Mahyco said it was compelled to terminate the license agreements of Nuziveedu and its group companies owing to the latter’s refusal to pay trait fees (royalty) of Rs 165 crores on specious grounds, despite having collected the maximum retail price from farmers.

The court restrained Nuziveedu Seeds from selling seeds manufactured after November 2015. The license agreement between the two parties was terminated. It also appointed local commissioners to make an inventory of stocks available with Nuziveedu. The court’s order came on a lawsuit moved by Mahyco.

Lawyers appearing for the agro major submitted the domestic company was selling the product by infringing the Monsanto trade mark. Monsanto said Nuziveedu was selling Bt cotton seeds manufactured using the US firm’s patented Bollgard-II gene technology.

Mahyco has also approached the Bombay High Court over non-payment of about Rs 400 crores of royalty fees by some Bt cotton seed manufacturers including Nuziveedu.

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