The latest episode in the evolving soap opera that is the John Deere buyout of Precision Planting sees the high speed planting company, Kinze trying to stop John Deere accessing business information, according to a news report.
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The US government has blocked Monsanto’s Precision Planting sale to Deere saying it is anti-competitive.
John Deere subpoenaed Kinze last month seeking documents about the “company's planting equipment business, including marketing strategies, sales data, and research and development plans” in an attempt by Deere to prove it would not dominate the precision planting market.
The Des Moine Register report quoted Drake University Law School, Agricultural Law Centre associate director, Jennifer Zwagermen as saying “learning the potential capabilities and future plans for Kinze's precision planting business could help Deere defend itself against claims the acquisition of Precision Planting would squeeze competitors out of the market.”
Kinze sells high speed planters and retrofit planter products to suit a range of brands including John Deere planters.
The US Justice Department stopped Monsanto’s sale of Precision Planting to Deere saying it would create a merger that already sells 86 per cent of the high speed precision planting equipment in the US and that the deal could see prices rise and innovation slowed.
Kinze lawyers have argued against the subpoena saying turning over confidential documents would irreparably affect its ability to compete with Deere.
"Kinze should not be required to turn over its most sensitive confidential business information to Deere, simply because Deere holds the unsubstantiated belief that the information may be relevant to its litigation," the motion reads.
"Deere cannot be allowed to convert the Division's lawsuit into a license to rummage through the internal workings of Kinze."
Kinze is also resisting handing over any documents to the US government attorney which has also requested information regarding any communications with Deere or Monsanto about "actual, potential or contemplated business relationships" between the companies.
Ms Zwagerman told the paper "It’s hard to compete in the market and offer new technology if your competition has all your business plans right in front of them.”
http://www.desmoinesregister.com/story/news/crime-and-courts/2016/11/11/kinze-fights-deere-feds-block-release-company-secrets/93644940/
