[Federal Register Volume 80, Number 125 (Tuesday, June 30, 2015)]
[Notices]
[Pages 37299-37301]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-15970]


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INTERNATIONAL TRADE COMMISSION

[Investigation No. 337-TA-918]


Certain Toner Cartridges and Components; Commission Determination 
To Review in Part an Initial Determination Granting Complainant's 
Motion for Summary Determination of Violation of Section 337 and, on 
Review, To Modify Certain Portions of the Initial Determination; 
Request for Written Submissions on Remedy, the Public Interest, and 
Bonding

AGENCY: U.S. International Trade Commission.

ACTION: Notice.

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SUMMARY: Notice is hereby given that the U.S. International Trade 
Commission has determined to review in part an initial determination 
(``ID'') (Order No. 34) of the presiding administrative law judge 
(``ALJ'') granting complainants' motion for summary determination of 
violation of section 337 and, on review, to modify certain portions of 
the ID. The Commission also requests written submissions on remedy, 
public interest,

[[Page 37300]]

and bonding in accordance with the schedule provided below.

FOR FURTHER INFORMATION CONTACT: Michael Liberman, Esq., Office of the 
General Counsel, U.S. International Trade Commission, 500 E Street, 
SW., Washington, DC 20436, telephone (202) 205-3115. Copies of non-
confidential 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 at 
http://www.usitc.gov . The public record for this investigation may be 
viewed on the Commission's electronic docket (EDIS) at http://edis.usitc.gov. 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 instituted this investigation 
under section 337 of the Tariff Act of 1930, as amended, 19 U.S.C. 1337 
(``Section 337''), on June 12, 2014, based on a complaint filed by 
Canon Inc. of Tokyo, Japan; Canon U.S.A., Inc. of Melville, New York; 
and Canon Virginia, Inc. of Newport News, Virginia (collectively, 
``Canon''). 79 FR 33777-78 (Jun. 12, 2014). The complaint alleges a 
violation of section 337 by reason of infringement of certain claims of 
U.S. Patent Nos. 8,280,278 (``the `278 patent''); 8,630,564 (``the `564 
patent''); 8,682,215 (``the `215 patent''); 8,676,090 (``the `090 
patent''); 8,369,744 (``the `744 patent''); 8,565,640 (``the `640 
patent''); 8,676,085 (``the `085 patent''); 8,135,304 (``the `304 
patent''); and 8,688,008 (``the `008 patent''). Id. The notice of 
investigation named thirty-three companies as respondents. Id. The 
Commission's Office of Unfair Import Investigations was also named as a 
party. Subsequently, the investigation was partially terminated based 
on withdrawal of the complaint as to all asserted claims of four 
patents, specifically: (1) Claim 1 of the `744 patent; (2) claim 1 of 
the `640 patent; (3) claims 1, 2, 3, and 4 of the `085 patent; and (4) 
claim 1 of the `304 patent.
    The ALJ issued initial determinations terminating the investigation 
based on consent orders as to fifteen respondents: Print-Rite Holdings 
Ltd.; Print-Rite N.A., Inc.; Union Technology Int'I (M.C.O.) Co. Ltd.; 
Print-Rite Unicorn Image Products Co. Ltd.; Innotex Precision Ltd.; 
Ninestar Image Tech Limited; Zhuhai Seine Technology Co., Ltd.; 
Ninestar Technology Company, Ltd.; Seine Tech (USA) Co., Ltd.; Nano 
Pacific Corporation; International Laser Group, Inc.; Ink Technologies 
Printer Supplies, LLC; LD Products, Inc.; Linkyo Corporation; and Katun 
Corporation. See ALJ Order Nos. 13 (not reviewed Nov. 4, 2014), 16 (not 
reviewed Nov. 24, 2014), 28 (not reviewed Apr. 3, 2015), 29 (not 
reviewed Apr. 3, 2015), 30 (not reviewed Apr. 3, 2015), 31 (not 
reviewed Apr. 3, 2015), and 32 (not reviewed Apr. 3, 2015). The ALJ 
also issued an ID terminating the investigation based on Canon's 
withdrawal of allegations as to two respondents, Seine Image Int'l Co., 
Ltd. and Ninestar Image Tech, Ltd. See ALJ Order No. 4 (not reviewed 
Aug. 1, 2014). Likewise, the ALJ issued an ID terminating the 
investigation as to respondent Seine Image (USA) Co., Ltd. due to the 
corporate dissolution of the respondent. See ALJ Order No. 27 (not 
reviewed Apr. 1, 2015). These eighteen respondents are collectively 
referred to as the ``Terminated Respondents.''
    The ALJ also issued IDs finding the following ten respondents in 
default: Acecom, Inc.-San Antonio; ACM Technologies, Inc.; Shenzhen 
ASTA Official Consumable Co., Ltd.; Do It Wiser LLC; Grand Image Inc.; 
Green Project, Inc.; Nectron International, Inc.; Online Tech Stores, 
LLC; Printronic Corporation; and Zinyaw LLC. See Order Nos. 6 (not 
reviewed Aug. 25, 2014), 12 (not reviewed Oct. 1, 2014), 15 (not 
reviewed Nov. 17, 2014). These ten respondents are collectively 
referred to as the ``Defaulting Respondents.''
    The remaining five named respondents are Aster Graphics, Inc.; 
Jiangxi Yibo E-Tech Co., Ltd.; Aster Graphics Co., Ltd.; The Supplies 
Guys, LLC; and American Internet Holdings, LLC. These respondents are 
no longer actively participating in the investigation, but have neither 
been terminated from the investigation nor found to be in default. Each 
of them has acknowledged and stipulated that it has failed to act 
within the meaning of Commission Rule 210.17, at least because it 
failed to file a prehearing statement and brief in accordance with the 
Procedural Schedule (Order No. 9), and that it therefore has no 
standing to contest Canon's evidence and arguments that it has violated 
section 337 of the Tariff Act of 1930, as amended, 19 U.S.C. 1337. See 
Stipulation Regarding the Status of the Aster and Supplies Guys 
Respondents (Feb. 26, 2015). These five respondents are collectively 
referred to as the ``Non-Participating Respondents.''
    On March 10, 2015, Canon filed a Motion for Summary Determination 
of Violations by the Defaulting Respondents and Non-Participating 
Respondents and Recommended Determination on Remedy and Bonding. The 
Commission investigative attorney filed a response in support of the 
motion. The Non-Participating Respondents filed a response (``Aster 
Resp.'') to the motion in which they state, inter alia, that they ``do 
not oppose the motion for summary determination.'' Aster Resp. at 1.
    On May 12, 2015, the ALJ issued an ID (Order No. 34) granting 
Canon's motion for summary determination of violation and recommending 
the issuance of a general exclusion order and several cease and desist 
orders. No party petitioned for review of the ID.
    The Commission has determined to review the portion of the ID 
titled ``Establishing Violations Of Section 337 Through Uncontested 
Allegations'' on pages 46-50 of the ID and, on review, to strike the 
above-referenced portion of the ID, as well as any language referring 
to that stricken portion (e.g., ``The uncontested allegations and 
adverse inferences aside,'' in the first sentence of the last paragraph 
on page 50), as irrelevant in reaching the ALJ's violation 
determination. See ID at 46-50. The Commission has also determined to 
strike any references to uncontested allegations as submitted evidence 
on violation (e.g., ``; see also Complaint ]] 160-161 (uncontested 
allegations)'' in the third line of page 56). The finding of violation 
as to these respondents is based on substantial, reliable, and 
probative evidence. See 19 U.S.C. 1337(g)(2). The Commission has also 
determined to correct a typographical error in the second sentence on 
page 33 of the ID by substituting ``four'' instead of ``three'' in the 
above-referenced sentence. The Commission has further determined to 
modify the citation in the first full paragraph on page 42 of the ID by 
striking an incorrect citation to Certain Flooring Products, Inv. No. 
337-TA-443, Comm'n Notice of Final Determination of No Violation of 
Section 337, 2002 WL 448690, at*59, (Mar. 22, 2002). This document has 
only three pages. The Commission has also determined to supplement an 
incomplete citation to Enercon GmbH v. Int'l Trade Comm'n, 151 F.3d 
1376 (Fed. Cir. 1998) with the relevant page number, i.e., Enercon GmbH 
v. Int'l Trade Comm'n, 151 F.3d 1376, 1384 (Fed. Cir. 1998). The 
Commission has determined not to review the remainder of the ID.

[[Page 37301]]

    In connection with the final disposition of this investigation, the 
Commission may (1) issue an order that could result in the exclusion of 
the subject articles from entry into the United States, and/or (2) 
issue one or more cease and desist orders that could result in the 
respondent being required to cease and desist from engaging in unfair 
acts in the importation and sale of such articles. Accordingly, the 
Commission is interested in receiving written submissions that address 
the form of remedy, if any, that should be ordered. If a party seeks 
exclusion of an article from entry into the United States for purposes 
other than entry for consumption, the party should so indicate and 
provide information establishing that activities involving other types 
of entry either are adversely affecting it or are likely to do so. For 
background, see Certain Devices for Connecting Computers via Telephone 
Lines, Inv. No. 337-TA-360, USITC Pub. No. 2843 (Dec. 1994) (Commission 
Opinion).
    If the Commission contemplates some form of remedy, it must 
consider the effects of that remedy upon the public interest. The 
factors the Commission will consider include the effect that an 
exclusion order and/or cease and desist 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 orders some form of remedy, the U.S. Trade 
Representative, as delegated by 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 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 if 
a remedy is ordered.
    Written Submissions: Parties to the investigation, interested 
government agencies, and any other interested parties are encouraged to 
file written submissions on the issues of remedy, the public interest, 
and bonding. Canon and the IA are also requested to submit proposed 
remedial orders for the Commission's consideration. Canon is further 
requested to provide the expiration dates of the `278 patent, the `564 
patent, the `215 patent, the `090 patent, and the `008 patent, and 
state the HTSUS subheadings under which the accused articles are 
imported. Canon is also requested to supply the names of known 
importers. The written submissions and proposed remedial orders must be 
filed no later than the close of business on July 13, 2015. Reply 
submissions must be filed no later than the close of business on July 
20, 2015. Such submissions should address the ALJ's recommended 
determinations on remedy and bonding which were made in Order No. 34. 
No further submissions on these issues will be permitted unless 
otherwise ordered by the Commission.
    Persons filing written submissions must file the original document 
electronically on or before the deadlines stated above and submit 8 
true paper copies to the Office of the Secretary by noon the next day 
pursuant to section 210.4(f) of the Commission's Rules of Practice and 
Procedure (19 CFR 210.4(f)). Submissions should refer to the 
investigation number (``Inv. No. 337-TA-918'') in a prominent place on 
the cover page and/or the first page. (See Handbook for Electronic 
Filing Procedures, http://www.usitc.gov/secretary/fed_reg_notices/rules/handbook_on_electronic_filing.pdf). Persons with questions 
regarding filing should contact the Secretary (202-205-2000).
    Any person desiring to submit a document to the Commission in 
confidence must request confidential treatment. All such requests 
should be directed to the Secretary to the Commission and must include 
a full statement of the reasons why the Commission should grant such 
treatment. See 19 CFR 201.6. Documents for which confidential treatment 
by the Commission is properly sought will be treated accordingly. A 
redacted non-confidential version of the document must also be filed 
simultaneously with any confidential filing. All non-confidential 
written submissions will be available for public inspection at the 
Office of the Secretary and on EDIS.
    The authority for the Commission's determination is contained in 
section 337 of the Tariff Act of 1930, as amended (19 U.S.C. 1337), and 
in part 210 of the Commission's Rules of Practice and Procedure (19 CFR 
part 210).

    By order of the Commission.
    Issued: June 24, 2015.
Lisa R. Barton,
Secretary to the Commission.

[FR Doc. 2015-15970 Filed 6-29-15; 8:45 am]
 BILLING CODE 7020-02-P