Pioneer Hi-Bred (“Pioneer”) is one of Monsanto’s licensed seed producers. In 2002, Pioneer sold Pioneer HiBred® brand seeds containing the Roundup Ready® technology to Bowman, a grower in Knox County, Indiana. In
making the sale, Pioneer required Bowman to execute the
“Pioneer Hi-Bred Technology Agreement,” which contains
language and restrictions identical to the Technology
Agreements discussed above. See J.A. 673. Bowman
purchased from Pioneer and planted seeds containing the
Roundup Ready® technology each year, beginning as early
as 1999. Bowman planted Roundup Ready® seeds as his
first-crop in each growing season during the years 1999
through 2007. Consistent with the terms of the Technology Agreement, Bowman did not save seed from his firstcrop during any of those years.
In 1999, Bowman also purchased commodity seed
from a local grain elevator, Huey Soil Service, for a lateseason planting, or “second-crop.” Because Bowman
considered the second-crop to be a riskier planting, he
purchased the commodity seed to avoid paying the significantly higher price for Pioneer’s Roundup Ready® seed.
That same year, Bowman applied glyphosate-based
herbicide to the fields in which he had planted the commodity seeds to control weeds and to determine whether
the plants would exhibit glyphosate resistance. He confirmed that many of the plants were, indeed, resistant. In
each subsequent year, from 2000 through 2007, Bowman
treated his second-crop with glyphosate-based herbicide.
Unlike his first-crop, Bowman saved the seed harvested
from his second-crop for replanting additional secondcrops in later years. He also supplemented his secondcrop planting supply with periodic additional purchases of
commodity seed from the grain elevator. Bowman did not
attempt to hide his activities, and he candidly explained
his practices with respect to his second-crop soybeans in
various correspondence with Monsanto’s representatives.
In winter 2006, Monsanto contacted Bowman, seeking
to investigate his planting activities. On October 12,
2007, Monsanto sued Bowman in the Southern District of
Indiana alleging infringement of the ’605 and ’247E
Patents. On November 2, 2007, Monsanto investigated
eight of Bowman’s fields, totaling 299.1 acres, and confirmed that Bowman’s second-crop soybean seeds (the progeny of the commodity seeds) contained the patented
Roundup Ready® technology. The Technology Agreement
signed by Bowman extended only to seeds purchased from
Monsanto or a licensed dealer; thus, Bowman’s use of the
commodity seeds was not within the scope of the agreement. Monsanto did not allege infringement or breach of
the Technology Agreement with respect to Bowman’s
planting of first-generation seeds purchased from Pioneer.