Since Bayer bought Monsanto last year, the company has lost about $60 billion (USD) in net worth. The huge loss was due to lawsuits litigated against Monsanto due to the weed killer known as RoundUp. One of the ingredients in RoundUp is called glyphosate, a substance that has been proven to cause non-Hodgkins lymphoma in those that choose to use the product over a long period of time.
Thousands of lawsuits are still being litigated in judicial systems around the world that have been postponed until 2020. In the meantime, Monsanto needed to find a way to recoup some of their losses. Well, Monsanto went down to Brazil to inflict more pain on their soybean farmers.
Normally, soybean farmers will pay the seed company a 2% royalty tax on all soybean seeds sold. However, Monsanto placed an extra 3% tax on their seeds. In 2012, Brazilian courts ruled that they could no longer charge this exorbitant tax to Brazilian farmers. Instead of letting sleeping dogs lie, Monsanto appealed the ruling to the appeals court in Brazil.
This past weekend, the appeals court in Brazil overturned the ruling. Plus, farmers had to pay Monsanto seven years of back pay on the tax. That total came out to $7.7 billion (USD).