SAO PAULO, March 12 (Reuters) - Bayer

rejected on Tuesday a claim by a Brazilian farmers' lobby group

that the country's top court had ordered the diversified German

company to return about $2 billion in royalties to soybean

farmers.

The case, which is related to a law dispute in Brazil about

extensions of patents for more than 20 years, is the latest

chapter of a protracted battle between Bayer and Brazilian

farmers, who have launched multiple legal challenges against the

company.

Mato Grosso state farmer lobby Aprosoja-MT said in a

statement the Supreme Court ordered Bayer on Tuesday to return

to farmers royalties they have paid since 2018 related to two

patents of genetically modified organism known as Intacta RR2

PRO.

The technology was created by Monsanto, which was later

acquired by Bayer.

Aprosoja-MT calculated the amount to be paid at 10 billion

reais ($2 billion), as it sees an average of 2 billion reais per

year since 2018, Sidney Pereira, Aprosoja-MT's lawyer in the

case, told Reuters. Part of it had already been deposited as a

legal guarantee by Bayer after a court decision last year, he

added.

Bayer, on the other hand, interpreted the court's ruling

differently.

The firm said in a statement that the decision just affirms

its obligation to continue to present a procedural guarantee in

the legal action in case it loses the case in future.

It said Tuesday's decision does not relate to the dispute's

merit, which it added is still to be ruled upon.

Aprosoja-MT's lawyer Pereira disagreed with Bayer, saying

the farmers' lobby group will now seek enforcement of the

payment order.

The Supreme Court did not respond to a request for comment

outside normal working hours.

($1 = 4.9695 reais)

(Reporting by Andre Romani and Patricia Vilas Boas; Additional

reporting by Ana Mano and Roberto Samora; Editing by Muralikumar

Anantharaman)