Cayuga Biotech, an agribusiness specializing in the productionof genetically modified grapes, sells seeds for red grapevines towineries
Question:
Cayuga Biotech, an agribusiness specializing in the productionof genetically modified grapes, sells seeds for red grapevines towineries throughout the Finger Lakes area of central New York. Thered grapes produced by Cayuga Biotech grow very successfully aroundthe Finger Lakes and are thriving despite more extreme weatherconditions resulting from global climate change. The climate is sovital to a successful harvest that wineries purchase thesegenetically modified seeds to ensure against an unpredictablefuture. When a contract is signed between a winery and CayugaBiotech, the winery agrees to purchase seeds every year and notreplant any of the seeds the following year.
After three years of doing business with Cayuga Biotech, awinery along Seneca Lake called McCarty Vintners decides to endtheir contract and stop receiving seeds from the company. Over thepast five years, McCarty Vintners’ business has increased and thewinery is willing to risk crop failure with non-GM (traditional)grapes.
Later that year, Cayuga Biotech sues McCarty Vintners for breachof contract. The biotech claims that the winery is illegally usingtheir GM seeds after the contract ended. Attorneys for CayugaBiotech present evidence of some new GM grapevines growing in thefields of McCarty Vintners. The winery claims they did not activelyuse the genetically modified seeds and the few new GM grapevinesmust have been a result of natural processes, like grapes from lastyear falling to the ground and sprouting. Cayuga Biotech arguesthat the seeds belong to Cayuga Biotech and that because the seedshad not been properly licensed, a portion of the vineyard’s profitsshould now belong to Cayuga Biotech. McCarty Vintners counters thatthey do not have the technology to determine which plants in theirfield are GM and it is unreasonable to expect them to take extrememeasures to ensure that a few GM plants don’t grow on their own.Still, the contract signed by McCarty Vintners is very specificabout the reuse of Cayuga Biotech seeds.
If you were the judge on this case, which side would yourule in favor of?
**In favor of Cayuga Biotech
**In favor of McCarty Vintners
Expert Answer:
