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CADE puts conditions on Monsanto-Bayer agreement, labels it an associative contract

By Flavia Fortes ( January 23, 2014, 15:06 GMT | Insight) -- The Brazilian competition authority has approved with restrictions an agreement between Monsanto and Bayer for the licensing of soybean technology. Rather than characterizing the deal as a non-exclusive licensing agreement, the regulator said the deal is an 'associative contract' because Monsanto has the possibility to exercise external control over Bayer’s strategic activities. The companies will only be able to proceed with the agreement if clauses that represent a barrier to entry in the transgenic seed market are excluded from the contract.The Brazilian competition authority on Thursday approved, with restrictions, an agreement under which Bayer can license Monsanto soybean technology....

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