Patent Protection Provides Long and Short Term Growth Opportunities
Here in Florida, elsewhere in the U.S., and abroad patents give businesses the platform they need for secure, profitable growth. Recently, this was seen clearly in Kansas by MGP Ingredients, which settled a patent infringement suit against Mars, Inc. in the amount of $8MM. MGP holds a patent for ingredients used to make a widely popular dog treat called Greenies.
According to CNN Money (January 2, 2008, CNN Money) Mars purchased the company who make Greenies and subsequently tried to end long term supply agreements with MGP, claiming they had "developed a new formula for the dog treats." MGP disagreed and took Mars to court, winning their $8 Million settlement. They’ve agreed to give Mars and the makers of Greenies a non-exclusive license to their patent, which provides an opportunity for ongoing growth for MGP. And, as news of the settlement hit the media, their stock prices rose 3.1%, a nice short term win as well.