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26 January 2024Marisa Woutersen

Envy apples wins landmark plant variety case in China

New Zealand-based EnzaFruit secures victory following revisions to China’s Seed Law | Company’s 10-month legal action results in successful all damages claim for its popular apple variety.

EnzaFruit New Zealand International has won a landmark vegetative plant variety rights (PVR) infringement case, concerning its Envy apple variety in China.

The New Zealand-based operator of exotic fruits and vegetables, won the infringement civil case in the Lanzhou Intermediate Court of Gansu Province, on January 25, 2024.

The victory secured EnzaFruit its full claim for substantial damages following a 10-month dispute from the initial filing in September 2022.

The dispute centred around the protection of Scilate apples, an apple variety from New Zealand, branded as Envy and also grown legitimately in China through EnzaFruit's partner, Joy Wing Mau—which was granted a licence in 2018 to grow and sell the Envy apple.

Morgan Rogers, general manager at EnzaFruit, said substantial investments in research, development, marketing, and sales have been dedicated to creating the variety and establishing the Envy brand.

This is “why we strongly protect and defend our IP to ensure its value flows through to consumers, customers, licensed growers and communities,” he added.

Seed Law boon for fruit growers

China’s Seed Law underwent a revision in March 2022. Previously, the Seed Law did not protect any harvested fruit but now extends to both the fruit and the propagation material of any protected variety.

Jerry Zhao, senior associate in dispute resolution at Lusheng, representing EnzaFruit, explained the new Seed Law allows lawyers to “comprehensively” protect their client's PVR.

“Importantly, the application of punitive compensation, in addition to statutory damages, also demonstrates the Chinese court's determination to discourage PVR infringement through high-level PVR protection,” added Zhao.

He emphasised the importance of protecting agriculture businesses IP amidst a rising demand for quality fruit and vegetables, especially within China and the Asia-Pacific region.

“The plant breeding process can be extremely complex, requiring a significant amount of time, financial investment and human resource to create any new plant, fruit or vegetable variety,” he explained.

Sunny Su, principal at Lusheng, said the Chinese court’s decision will be “well-received” by the wider agriculture sector and any food business that is importing or exporting goods to China.

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