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The landmark case, Diamond v. Chakrabarty (1980), involved the patenting of a genetically modified bacterium capable of breaking down crude oil, which was created by microbiologist Ananda Chakrabarty. The U.S. Supreme Court ruled in favor of Chakrabarty, stating that living organisms could be patented if they were the result of human ingenuity and not found in nature. This decision established a crucial legal precedent that allowed for the patenting of biological products, including cell lines and genetically engineered organisms, thus paving the way for biotechnological innovations and commercial applications in various fields.

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