Justia International Trade Opinion Summaries
Articles Posted in U.S. Court of Appeals for the Federal Circuit
Diamond Sawblades Mfr. Coal. v. United States
In 2006, the Department of Commerce announced that it was changing a method it used to calculate whether imported goods are being sold in the United States at less than fair value, i.e., being dumped. Previously, Commerce employed “zeroing” in that calculation: for goods sold above fair value, Commerce treated the sale price as being at (rather than above) fair value—it zeroed out margins above fair value and permitted no offset against below-fair-value sales in calculation of the average, resulting in larger average dumping margins than if offsetting had been allowed. The new policy generally made it more difficult to find dumping. Commerce stated that the change would apply “in all current and future antidumping investigations as of the effective date” and that it would apply the final modification to all investigations pending as of the effective date. There were seven such investigations, all initiated by petitions filed after March 6, 2006, when the new no-zeroing policy was proposed. Two companies found to have engaged in dumping argued that their cases were governed by the new policy. The Federal Circuit upheld Commerce’s determination that they were not. Commerce spoke ambiguously on timing in adopting its new policy and reasonably resolved the ambiguity to exclude the cases. View "Diamond Sawblades Mfr. Coal. v. United States" on Justia Law
DeLorme Publ’g Co., Inc. v. Int’l Trade Comm’n
The International Trade Commission investigated DeLorme for violating the Tariff Act, 19 U.S.C. 1337, by importing, selling for importation, or selling after importation “two-way global satellite communication devices, system and components thereof” that allegedly infringed BriarTek’s patent, directed to emergency monitoring and reporting systems comprising a user unit and a monitoring system that communicate through a satellite network. The accused products included DeLorme’s InReach satellite-communication devices and software used with the devices. The Commission terminated the investigation based on entry of a consent order, in which DeLorme agreed not to import, sell for importation, or sell or offer for sale within the U.S. after importation any two-way global satellite communication devices, system, and components thereof, that infringe the Patent until the expiration, invalidation, or unenforceability of the Patent. In 2013, the Commission instituted an enforcement proceeding based on BriarTek’s allegations that DeLorme sold InReach devices containing imported components. DeLorme sought declaratory judgment of noninfringement and invalidity of the patent. While DeLorme’s action was pending, the Commission found that DeLorme violated the Order and imposed a civil penalty of $6,242,500. The Federal Circuit affirmed, rejecting an argument that the Consent Order instead prohibited DeLorme from using imported components only if the components themselves infringed the patent. View "DeLorme Publ'g Co., Inc. v. Int'l Trade Comm'n" on Justia Law
ClearCorrect Operating, LLC v. Int’l Trade Comm’n
The Tariff Act of 1930 gives the International Trade Commission authority to remedy only those unfair acts that involve the importation of “articles” as described in 19 U.S.C. 1337(a). The Commission instituted an investigation based on a complaint filed by Align, concerning violation of 19 U.S.C. 1337 by reason of infringement of various claims of seven different patents concerning orthodontic devices. The accused “articles” were the transmission of the “digital models, digital data and treatment plans, expressed as digital data sets, which are virtual three-dimensional models of the desired positions of the patients’ teeth at various stages of orthodontic treatment” from Pakistan to the United States. The Federal Circuit reversed, holding that the Commission lacked jurisdiction. The Commission’s decision to expand the scope of its jurisdiction to include electronic transmissions of digital data runs counter to the “unambiguously expressed intent of Congress.” View "ClearCorrect Operating, LLC v. Int'l Trade Comm'n" on Justia Law