[Federal Register Volume 67, Number 209 (Tuesday, October 29, 2002)]
[Notices]
[Pages 66002-66003]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-27435]


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INTERNATIONAL TRADE COMMISSION

[Inv. No. 337-TA-473]


Certain Video Game Games Systems and Components Thereof; Notice 
of Commission Decision Not to Review an Initial Determination Finding 
the Sole Respondent in Default, and Request for 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 (``the Commission'') has determined not to review the 
presiding administrative law judge's (``ALJ's'') initial determination 
(``ID'') finding respondent Ultimate Game Club (``UGC'') in default. In 
connection with final disposition of the investigation, the Commission 
is requesting briefing on remedy, the public interest, and the 
appropriate bond during the period of Presidential review.

FOR FURTHER INFORMATION CONTACT: Andrea C. Casson, Esq., Office of the 
General Counsel, U.S. International Trade Commission, 500 E Street, 
SW., Washington, DC 20436, telephone (202) 205-3012. Copies of the 
ALJ's ID and all other 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. 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 this matter can be obtained by 
contacting the Commission's TDD terminal on 202-205-1810.

SUPPLEMENTARY INFORMATION: The Commission voted to institute this 
investigation on July 19, 2002, based on a complaint against UGC filed 
by Microsoft Corporation of Redmond, Washington. 67 FR 48949 (July 26, 
2002). The complaint alleged violations of section 337 of the Tariff 
Act of 1930 in the importation into the United States, sale for 
importation, and sale within the United States after importation of 
certain video game systems, accessories, or components by reason of 
infringement of the claims of U.S. Design Patent No. D452,282 and U.S. 
Design Patent No. D452,534.
    UGC did not file responses to the complaint, the notice of 
investigation, or Microsoft's discovery requests. On August 24, 2002, 
Microsoft moved pursuant to section 337(g) and Commission rule 
210.16(b) for issuance of an order directing UGC to show cause why it 
should not be found in default. Microsoft's motion also requested that, 
upon UGC's failure to show cause, an ID be issued finding UGC in 
default, and that a limited exclusion order and cease and desist order 
be issued immediately against UGC. On August 23, 2002, the Commission 
investigative attorney (IA) filed a response supporting the request for 
a show cause order. On September 5, 2002, the presiding ALJ issued 
Order No. 4, which ordered UGC to show cause by September 18, 2002, why 
it should not be found in default. UGC did not respond to the order to 
show cause.
    On September 27, 2002, the IA filed a letter supporting a finding 
of default against UGC. On October 9, 2002, the ALJ issued an ID (Order 
No. 5) finding UGC in default. No petitions for review of the ID were 
filed. Under Commission rule 210.16(b)(3), 19 CFR 210.16(b)(3), UGC is 
deemed to have waived its right to appear, to be served with documents, 
and to contest the allegations at issue in this investigation. Section 
337(g)(1), 19 USC 1337(g)(1) and Commission rule 210.16 (c), 19 CFR 
210.16(c), authorize the Commission to order limited relief against a 
respondent found in default unless, after consideration of public 
interest factors, it finds that such relief should not issue. In this 
investigation, UGC has been found in default and Microsoft has 
requested issuance of a limited exclusion order that would deny entry 
to certain video game systems, accessories, or components imported by 
UGC. Microsoft also requests issuance of a cease and desist order. If 
the Commission decides to issue remedial orders against UGC, 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 potential remedies are a cease and desist order and 
a limited exclusion order that could result in the exclusion from entry 
into the United States of certain video game systems, accessories, or 
components imported by UGC. Accordingly, the Commission is interested 
in receiving written submissions that address whether either or both 
such orders should be issued. 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 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 remedial orders 
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

[[Page 66003]]

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 remedial orders for the Commission's 
consideration. The written submissions and proposed limited exclusion 
orders must be filed no later than close of business on [the date that 
is two weeks after issuance of this notice]. Reply submissions, if any, 
must be filed no later than the close of business on [the date that is 
three weeks after issuance of this notice]. 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 section 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 sections 210.16 and 210.42 of the Commission's rules of practice 
and procedure, 19 CFR 210.16 and 210.42.

    By order of the Commission.
    Issued: October 23, 2002.

Marilyn R. Abbott,
Secretary to the Commission.
[FR Doc. 02-27435 Filed 10-28-02; 8:45 am]
BILLING CODE 7020-02-P