A legal issue between UK-based Innovia Films and Frito-Lay North America Inc., a subsidiary of PepsiCo, concerning patent rights for bio-based multi-layer films, has been resolved out of court.
Both companies are said to have collaborated in order to achieve a mutually agreeable outcome, ensuring a strong patent position for Frito-Lay and the ability for Innovia Films to practice under the patents, including the use or resale of Innovia’s products by their global customers for bio-based multi-layer films.
David Beeby, Innovia Films CEO, stated: “We are very pleased that we have been able to resolve this issue in an open and constructive manner.”
The case stretches back to an original agreement made when the two companies began working together in 2005 to develop biodegradable films for crisp and snack bags, whereupon Innovia had shared specialist information on biodegradable films with Frito-Lay.
As reported on website foodproductiondaily.com, in a court action in the UK in 2011, Innovia – seeking to halt patent applications by Frito-Lay in Europe – claimed that the US company had infringed a confidentiality agreement by conducting research and developing flexible film packaging made up of several film layers including a biodegradable, bio-based layer.
Denying all the allegations, in November 2011 Frito-Lay had filed a civil suit in the US against Innovia, stating that it had developed its own films developed through research it had begun itself in 2004.
“[The settlement] also means that Innovia is able to accelerate our product development and supply of NatureFlex renewable and compostable films for bio-based multi-layer applications,” added Innovia’s Beeby.
