J. E. M. Ag Supply, Inc. v. Pioneer Hi-Bred International, Inc.

534 U.S. 124, 122 S. Ct. 593, 151 L. Ed. 2d 508, 15 Fla. L. Weekly Fed. S 29, 60 U.S.P.Q. 2d (BNA) 1865, 70 U.S.L.W. 4032, 2001 Daily Journal DAR 12749, 2001 Cal. Daily Op. Serv. 10239, 2001 U.S. LEXIS 10949
Supreme Court of the United States·Decided December 10, 2001·No. 99-1996·Published·Cited by 250 cases

Opinions

[127]*127Justice Thomas

delivered the opinion of the Court.

This case presents the question whether utility patents may be issued for plants under 35 U. S. C. § 101 (1994 ed.), or whether the Plant Variety Protection Act, 84 Stat. 1542, as amended, 7 U. S. C. § 2321 et seq., and the Plant Patent Act of 1930, 35 U. S. C. §§ 161-164 (1994 ed. and Supp. V), are the exclusive means of obtaining a federal statutory right to exclude others from reproducing, selling, or using plants or plant varieties. We hold that utility patents may be issued for plants.

I

The United States Patent and Trademark Office (PTO) has issued some 1,800 utility patents for plants, plant parts, and seeds pursuant to 35 U. S. C. § 101. Seventeen of these patents are held by respondent Pioneer Hi-Bred International, Inc. (Pioneer). Pioneer’s patents cover the manufacture, use, sale, and offer for sale of the company’s inbred and hybrid corn seed products. A patent for an inbred corn line protects both the seeds and plants of the inbred line and the hybrids produced by crossing the protected inbred line with another corn line. See, e. g., U. S. Patent No. 5,506,367, col. 3, App. 42. A hybrid plant patent protects the plant, its seeds, variants, mutants, and trivial modifications of the hybrid. See U. S. Patent No. 5,491,295, cols. 2-3, id., at 29-30.

Pedigree inbred corn plants are developed by crossing corn plants with desirable characteristics and then inbreeding the resulting plants for several generations until the resulting plant line is homogenous. Inbreds are often weak [128]*128and have a low yield; their value lies primarily in their use for making hybrids. See, e. g., U. S. Patent No. 5,506,367, col. 6, id., at 43 (describing the traits and applications of the inbred corn line PHP38 by reference to the qualities exhibited in hybrid plants created with PHP38).

Hybrid seeds are produced by crossing two inbred corn plants and are especially valuable because they produce strong and vibrant hybrid plants with selected highly desirable characteristics. For instance, Pioneer’s hybrid corn plant 3394 is “characterized by superior yield for maturity, excellent seedling vigor, very good roots and stalks, and exceptional stay green.” U. S. Patent No. 5,491,295, cols. 2-3, id., at 29-30. Hybrid plants, however, generally do not reproduce true-to-type, i. e., seeds produced by a hybrid plant do not reliably yield plants with the same hybrid characteristics. Thus, a farmer who wishes to continue growing hybrid plants generally needs to buy more hybrid seed.

Pioneer sells its patented hybrid seeds under a limited label license that provides: “License is granted solely to produce grain and/or forage.” Id., at 51. The license “does not extend to the use of seed from such crop or the progeny thereof for propagation or seed multiplication.” Ibid. It strictly prohibits “the use of such seed or the progeny thereof for propagation or seed multiplication or for production or development of a hybrid or different variety of seed.” Ibid.

Petitioner J. E. M. Ag Supply, Inc., doing business as Farm Advantage, Inc., purchased patented hybrid seeds from Pioneer in bags bearing this license agreement. Although not a licensed sales representative of Pioneer, Farm Advantage resold these bags. Pioneer subsequently brought a complaint for patent infringement against Farm Advantage and several other corporations and residents of the State of Iowa who are distributors and customers for Farm Advantage (referred to collectively as Farm Advantage or petitioners). Pioneer alleged that Farm Advantage has “for a long-time [129]*129past been and still [is] infringing one or more [Pioneer patents] by making, using, selling, or offering for sale corn seed of the . . . hybrids in infringement of these patents-in-suit.” Id., at 10.

Farm Advantage answered with a general denial of patent infringement and entered a counterclaim of patent invalidity, arguing that patents that purport to confer protection for corn plants are invalid because sexually reproducing plants are not patentable subject matter within the scope of 35 U. S. C. § 101 (1994 ed.). App. 12-13,17. Farm Advantage maintained that the Plant Patent Act of 1930 (PPA) and the Plant Variety Protection Act (PVPA) set forth the exclusive statutory means for the protection of plant life because these statutes are more specific than § 101, and thus each carves out subject matter from § 101 for special treatment.1

The District Court granted summary judgment to Pioneer. Relying on this Court’s broad construction of § 101 in Diamond v. Chakrabarty, 447 U. S. 303 (1980), the District Court held that the subject matter covered by § 101 clearly includes plant life. 49 USPQ 2d 1813, 1817 (ND Iowa 1998). It further concluded that in enacting the PPA and the PVPA Congress neither expressly nor implicitly removed plaints from § 101’s subject matter. Id., at 1819. In particular, the District Court noted that Congress did not implicitly repeal § 101 by passing the more specific PVPA because there was no irreconcilable conflict between the PVPA and § 101. Id., at 1821.

The United States Court of Appeals for the Federal Circuit affirmed the judgment and reasoning of the District [130]*130Court. 200 F. 3d 1374 (2000). We granted certiorari, 531 U. S. 1143 (2001), and now affirm.

II

The question before us is whether utility patents may be issued for plants pursuant to 35 U. S. C. § 101 (1994 ed.). The text of § 101 provides:

“Whoever invents or discovers any new and useful process, machine, manufacture, or composition of matter, or any new and useful improvement thereof, may obtain a patent therefor, subject to the conditions and requirements of this title.”

As this Court recognized over 20 years ago in Chakrabarty, 447 U. S., at 308, the language of § 101 is extremely broad. “In choosing such expansive terms as ‘manufacture’ and ‘composition of matter,’ modified by the comprehensive ‘any,’ Congress plainly contemplated that the patent laws would be given wide scope.” Ibid. This Court thus concluded in Chakrabarty that living things were patentable under § 101, and held that a manmade micro-organism fell within the scope of the statute. As Congress recognized, “the relevant distinction was not between living and inanimate things, but between products of nature, whether living or not, and human-made inventions.” Id., at 313.

In Chakrabarty, the Court also rejected the argument that Congress must expressly authorize protection for new patentable subject matter:

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J. E. M. Ag Supply, Inc. v. Pioneer Hi-Bred International, Inc., 534 U.S. 124, 122 S. Ct. 593, 151 L. Ed. 2d 508, 15 Fla. L. Weekly Fed. S 29, 60 U.S.P.Q. 2d (BNA) 1865, 70 U.S.L.W. 4032, 2001 Daily Journal DAR 12749, 2001 Cal. Daily Op. Serv. 10239, 2001 U.S. LEXIS 10949 (2001).

534 U.S. 124 (J. E. M. Ag Supply, Inc. v. Pioneer Hi-Bred International, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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