Ethical Naturals Announces Settlement of Patent Dispute

8/14/2009 12:00:00 AM
ARTICLE TOOLS

SAN ANSELMO, Calif.— Ethical Naturals Inc. announced the company reached a final settlement with Minneapolis-based Cargill Inc. regarding the production and sale of glucosamine from vegetable sources. Both firms had filed actions in the International Trade Court (ITC) and U.S. federal court alleging patent infringement relating to the manufacture of glucosamine. Ethical Naturals owns and markets GreenGrown™ vegetable glucosamine; Cargill produces and markets the Regenasure™ brand of vegetable glucosamine.

The court actions have now been withdrawn, with no admission of infringement by Ethical Naturals. Under terms of the joint settlement and licensing agreement, Ethical Naturals will continue to market its GreenGrown ingredient for dietary supplements in the United States, but not into Canada, the European Union or Brazil; it can market the product for supplement, food and beverage uses in all other areas of the world. Other details of the settlement are confidential.

“We are pleased to have arrived at this settlement with Cargill,” said Cal Bewicke, president, Ethical Naturals. “Although there are some restrictions, we will be continuing to sell our high quality material to our many customers in the U.S. dietary supplement industry, as well as overseas.”

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Comments

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Bill Brady 08/20/2009 10:30

To clarify, Cargill and Ethical Naturals Inc. (ENI) have indeed agreed to a settlement their patent infringement dispute concerning Cargill’s Regenasure® shellfish-free glucosamine. Under terms of the agreement, Ethical Naturals has agreed that the patent is valid and enforceable, and Cargill has licensed ENI to sell a limited, agreed-upon amount in the United States in exchange for undisclosed considerations. ENI has agreed not to sell its shellfish-free glucosamine product in Europe, Canada and Brazil.

Cargill has invested heavily in developing and marketing shellfish-free glucosamine over many years, and we have a responsibility to protect our intellectual property. We are pleased that this settlement recognizes the validity of our current IP. We would add that we have additional pending patents and plan future filings on the Regenesure glucosamine product line. Cargill are committed to enforcing all such patents and will consider all legal options for pursuing manufacturers and traders who distribute vegan glucosamine in violation of those patent rights.
--Bill Brady, Cargill Corporate Affairs

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