[Federal Register Volume 66, Number 241 (Friday, December 14, 2001)]
[Notices]
[Pages 64856-64857]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-30924]


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INTERNATIONAL TRADE COMMISSION

[Investigation No. 337-TA-448]


In the Matter of Certain Oscillating Sprinklers, Sprinkler 
Components, and Nozzles; Request for Written Submissions on Remedy, the 
Public Interest, and Bonding

AGENCY: International Trade Commission.

ACTION: Notice.

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SUMMARY: Notice is hereby given that the U.S. International Trade 
Commission is requesting briefing on remedy, the public interest, and 
bonding in the above-captioned investigation. The Commission previously 
found the only remaining respondent in the investigation to be in 
default.

FOR FURTHER INFORMATION CONTACT: Laurent de Winter, Esq., Office of the 
General Counsel, U.S. International Trade Commission, 500 E Street, 
SW., Washington, DC 20436, telephone 202-708-5452. General information 
concerning the Commission may also be obtained by accessing its 
Internet server (http://www.usitc.gov). The public record for this 
investigation may be viewed on the Commission's electronic docket 
(EDIS-ON-Line) at http://dockets.usitc.gov/eol.public. Hearing-impaired 
persons are advised that information on the matter can be obtained by 
contacting the Commission's TDD terminal on 202-205-1810. Copies of all 
nonconfidential documents filed in connection with this investigation 
are or will be available for inspection during official business hours 
(8:45 a.m. to 5:15 p.m.) in the Office of the Secretary, U.S. 
International Trade Commission, 500 E Street, SW., Washington, DC 
20436, telephone 202-205-2000.

SUPPLEMENTARY INFORMATION: The Commission instituted this 
investigation, which concerns allegations of unfair acts in violation 
of section 337 of the Tariff Act of 1930 in the importation and sale of 
certain oscillating sprinklers, sprinkler components, and nozzles, on 
February 9, 2001. 66 FR 9721.
    On June 12, 2001, the Commission determined not to review the 
presiding administrative law judge's (``ALJ'') initial determination 
(``ID'') (Order No. 7) finding respondent Watex International Co. Ltd., 
(``Watex'') to be in default for claims pending against it relating to 
U.S. Letters Patent 5,645,218, (``the `218 patent'') and U.S. Letters 
Patent 5,511,727 (``the `727 patent''). On October 1, 2001, complainant 
L.R. Nelson Corp. (``Nelson'') filed a declaration seeking, pursuant to 
section 337(g)(1) and rule 210.16(c)(1), entry of a limited exclusion 
order against Watex barring importation into the United States of Watex 
sprinklers infringing the claims in issue of the `218 and `727 patents. 
In its declaration, Nelson did not seek issuance of a cease and desist 
order against Watex.
    On September 13, 2001, Nelson moved to withdraw all allegations 
related to U.S. Letters Patent 6,036,117 (``the `117 patent'') from the 
investigation. On September 25, 2001, the ALJ issued an ID (Order No. 
26) granting the motion to withdraw the allegations relating to the 
`117 patent, and on October 26, 2001, the Commission determined not to 
review that ID. This withdrawal terminated the investigation with 
respect to all respondents except Watex, which still has claims 
relating to the `218 and `727 patents pending against it.
    Section 337(g)(1), 19 U.S.C. (g)(1), authorizes the Commission to 
order

[[Page 64857]]

limited relief against a respondent found in default unless, after 
consideration of public interest factors, it finds that such relief 
should not issue. If the Commission decides to issue a limited 
exclusion order, it must consider what the amount of the bond should be 
during the Presidential review period.
    In connection with the final disposition of this investigation, the 
only potential remedy is a limited exclusion order that would result in 
the exclusion of sprinklers manufactured by Watex from entry into the 
United States. Accordingly, the Commission is interested in receiving 
written submissions that address the scope of such an order. If a party 
seeks exclusion of an article from entry into the United States for 
purposes other than entry for consumption, it should so indicate and 
provide information establishing that activities involving other types 
of entry either are adversely affecting it or likely to do so. For 
background, see In the Matter of Certain Devices for Connecting 
Computers via Telephone Lines, Inv. No. 337-TA-360, USITC Pub. No. 2843 
(December 1994) (Commission Opinion).
    If the Commission contemplates a remedy, it must consider the 
effects of that remedy upon the public interest. The factors the 
Commission will consider in this investigation include the effect that 
a limited exclusion order would have on (1) the public health and 
welfare, (2) competitive conditions in the U.S. economy, (3) U.S. 
production of articles that are like or directly competitive with those 
that are subject to investigation, and (4) U.S. consumers. The 
Commission is therefore interested in receiving written submissions 
that address the aforementioned public interest factors in the context 
of this investigation.
    If the Commission issues a limited exclusion order, the President 
has 60 days to approve or disapprove the Commission's action. During 
this period, the subject articles would be entitled to enter the United 
States under a bond, in an amount determined by the Commission and 
prescribed by the Secretary of the Treasury. The Commission is 
therefore interested in receiving submissions concerning the amount of 
the bond that should be imposed.

Written Submissions

    The parties to the investigation, interested government agencies, 
and any other interested parties are encouraged to file written 
submissions on remedy, the public interest, and bonding. Complainant 
and the Commission investigative attorney are also requested to submit 
proposed limited exclusion orders for the Commission's consideration. 
The written submissions and proposed remedial orders must be filed no 
later than close of business on January 11, 2002. Reply submissions, if 
any, must be filed no later than the close of business on January 18, 
2002. No further submissions on these issues will be permitted unless 
otherwise ordered by the Commission.
    Persons filing written submissions must file with the Office of the 
Secretary the original document and 14 true copies thereof on or before 
the deadlines stated above. Any person desiring to submit a document 
(or portion thereof) to the Commission in confidence must request 
confidential treatment unless the information has already been granted 
such treatment during the proceedings. All such requests should be 
directed to the Secretary of the Commission and must include a full 
statement of the reasons why the Commission should grant such 
treatment. See Sec. 201.6 of the Commission's rules of practice and 
procedure, 19 CFR 201.6. Documents for which confidential treatment by 
the Commission is sought will be treated accordingly. All 
nonconfidential written submissions will be available for public 
inspection at the Office of the Secretary.
    This action is taken under the authority of section 337 of the 
Tariff Act of 1930, 19 U.S.C. 1337, and Sec. 210.16 of the Commission's 
rules of practice and procedure, 19 CFR 210.16.

    Issued: December 11, 2001.

    By order of the Commission.
Donna R. Koehnke,
Secretary.
[FR Doc. 01-30924 Filed 12-13-01; 8:45 am]
BILLING CODE 7020-02-P