Bayer says the updates are in line with other trait provider agreements.
Bayer recently announced the inclusion of a class action waiver in its Technology Use Agreement (TUG). The waiver requires customers to forego their right to participate in class action lawsuits against Bayer, opting instead for individual arbitration in case of disputes.
Bayer’s stewardship lead Jacob Prather says Bayer communicated the update to dealers and growers earlier this year. Bayer’s Canadian customers are unaffected, the company noted.
“As a company focused on agriculture, we understand that our success depends on our customers’ success,” Prather says. “These updates will help preserve the value of our technologies so that growers can count on them for generations to come.”
Prather said the class action waiver is only one of several updates to the TUG.
“Similar to technology agreements growers may have with other trait providers, the TSA, available in 2024, includes a class action waiver in Section 4(f), where both the grower and Bayer agree not to participate in class actions against the other and, in the case of grower, against authorized seed sellers,” he says. “To be clear, the class action waiver does not prevent growers from bringing a lawsuit against Bayer or authorized seed sellers.”
The introduction of the class action waiver has sparked debate among legal experts and consumer advocacy groups. Some argue that it could restrict customers’ ability to seek redress for legitimate grievances, while others see it as a practical solution to streamline dispute resolution.
Prather assures customers that they may still pursue individual arbitration even if they have agreed to the class action waiver. Growers should consult state agriculture laws or regulations to understand any prerequisites to maintaining a legal action, such as arbitration.
The complete terms of the agreement are available at AgCelerate.com and tug.bayer.com.