- 16 - actually grow into superior plants that then could be sold to other growers. However, none of the work done in the laboratory or greenhouse was specifically designated for Utah I. U.S. Agri did not allocate any of its losses from its laboratory and greenhouse operations to Utah I. U.S. Agri's failure to develop a successful technique for hardening off the jojoba plants cultured in the laboratory and passage of the Tax Reform Act of 1986 forced Pace to close U.S. Agri's laboratory and greenhouse in October or November 1987. As a result, the 400 acres of land that U.S. Agri allegedly had allocated to research and development, including the land allocated to Utah I, was added to the 906 acres that U.S. Agri already was operating as a commercial jojoba farming operation. By 1991, U.S. Agri serviced 37 different limited partnerships that eventually merged into Jojoba Plantation Ltd. Twelve of these limited partnerships were being serviced pursuant to agreements similar to the agreement between Utah I and U.S. Agri. c. The Research and Development Agreement U.S. Agri executed an exclusive R&D agreement with Utah I on December 31, 1982, for the stated purpose of "conducting research and experimentation on the jojoba plant and developing the technology resulting in the commercial cultivation of the jojoba plant." No other bids were considered for the role of primePage: Previous 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Next
Last modified: May 25, 2011