[Federal Register Volume 85, Number 83 (Wednesday, April 29, 2020)]
[Notices]
[Pages 23843-23844]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-09043]


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INTERNATIONAL TRADE COMMISSION

[Investigation No. 337-TA-1103]


Certain Digital Video Receivers and Related Hardware and Software 
Components; Commission Decision Finding a Violation of Section 337; 
Issuance of a Limited Exclusion Order and Cease and Desist Orders; 
Termination of the Investigation

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 found a violation of section 337 of the Tariff Act of 
1930, as amended, in this investigation and has issued a limited 
exclusion order and cease and desist orders prohibiting importation of 
infringing digital video receivers and related hardware and software 
components.

FOR FURTHER INFORMATION CONTACT: Sidney A. Rosenzweig, Esq., Office of 
the General Counsel, U.S. International Trade Commission, 500 E Street 
SW, Washington, DC 20436, telephone (202) 708-2532. Copies of non-
confidential documents filed in connection with this investigation may 
be viewed on the Commission's electronic docket (EDIS) at https://edis.usitc.gov. For help accessing EDIS, please email 
[email protected]. General information concerning the Commission may 
also be obtained by accessing its internet server at http://www.usitc.gov. Hearing-impaired persons are advised that information on 
this matter can be obtained by contacting the Commission's TDD 
terminal, telephone (202) 205-1810.

SUPPLEMENTARY INFORMATION: On March 16, 2018, the Commission instituted 
this investigation based on a supplemented complaint filed on behalf of 
Rovi Corporation of San Jose, California; Rovi Guides, Inc. of San 
Jose, California; and Veveo, Inc. of Andover, Massachusetts 
(collectively, ``Rovi''); as well as Rovi Technologies Corporation of 
San Jose, CA. The supplemented complaint alleges violations of section 
337 of the Tariff Act of 1930, as amended, 19 U.S.C. 1337 (``section 
337''), based upon the importation into the United States, the sale for 
importation, and the sale within the United States after importation of 
certain digital video receivers and related hardware and software 
components by reason of infringement of one or more claims of U.S. 
Patent Nos. U.S. Patent No. 7,779,011 (``the '011 patent''); 7,937,394

[[Page 23844]]

(``the '394 patent''); 7,827,585 (``the '585 patent''); 9,294,799 
(``the '799 patent''); 9,396,741 (``the '741 patent''); 9,578,363 
(``the '363 patent''); 9,621,956 (``the '956 patent''); and 9,668,014 
(``the '014 patent''). 83 FR 11792 (Mar. 16, 2018). The Commission's 
notice of investigation named as respondents Comcast Corporation of 
Philadelphia, Pennsylvania; Comcast Cable Communications, LLC of 
Philadelphia, Pennsylvania; Comcast Cable Communications Management, 
LLC of Philadelphia, Pennsylvania; Comcast Business Communications, LLC 
of Philadelphia, Pennsylvania; Comcast Holdings Corporation of 
Philadelphia, Pennsylvania; and Comcast Shared Services, LLC of 
Chicago, Illinois (collectively, ``Comcast''). Id. The Office of Unfair 
Import Investigations was also named as a party in this investigation. 
Id.
    The Commission previously terminated the investigation as to 
complainant Rovi Technologies Corporation; as to the '956, '394, '014, 
'799, and '363 patents in their entirety; and as to certain claims of 
the '011, '585, and '741 patents. Order No. 12, unreviewed, Notice 
(July 24, 2018); Order No. 33, unreviewed, Notice (Sept. 19, 2018); 
Order 39, unreviewed, Notice (Oct. 25, 2018).
    On June 3, 2019, the presiding ALJ issued Order No. 47, a summary 
determination (``SD''), which, inter alia, granted Rovi's motions for 
summary determination as to importation and sale after importation. On 
June 11, 2019, Comcast filed a petition for review of the SD. On June 
18, 2019, Rovi responded to Comcast's petition. On June 25, 2019, the 
Commission investigative attorney (``IA'') responded to Comcast's 
petition.
    On June 4, 2019, the ALJ issued the final initial determination 
(``final ID''). On June 17, 2019, Comcast and Rovi each filed a 
petition for review of the final ID. On June 25, 2019, Comcast and Rovi 
responded to each other's petition, and the IA responded to both.
    In addition, the Commission received comments from Rovi on the 
public interest pursuant to Commission Rule 210.50(a)(4). The 
Commission also received comments from the following organizations in 
response to the Commission's notice soliciting public interest 
comments, 84 FR 27804 (June 14, 2019): Tea Party Patriots Action; 
Americans for Limited Government; Frontiers of Freedom Institute; 
Market Institute; and Conservatives for Property Rights (joined by 60 
Plus Association, and Americans for Limited Government). The Commission 
also received correspondence from Rep. Peter King (R-N.Y.) (Sept. 19, 
2019), Rep. Jackie Speier (D-Cal.) (Sept. 6, 2019), and Rep. Steve 
Stivers (R-Ohio) (Aug. 27, 2019).
    On August 15, 2019, the Commission determined to review in part the 
SD as to reimportation, and not to review the remainder of the SD. 
Notice at 3 (Aug. 15, 2019) (``Notice of Review''). As to the final ID, 
in relevant part the Commission terminated the investigation with a 
finding of no violation as to the '585 and '741 patents, but determined 
to review infringement of the '011 patent. Id. The Commission solicited 
briefing on certain questions pertaining to infringement of the '011 
patent. Id. at 4.
    On August 29, 2019, the parties filed responses to the Commission 
notice, and on September 10, 2019, Comcast and Rovi filed replies.
    Having examined the record of this investigation, including the 
final ID and the parties' submissions, the Commission has determined 
that Comcast's X1 set-top boxes are used by Comcast's users to directly 
infringe claim 9 of the '011 patent at Comcast's inducement. Thus, 
Comcast violated section 337 with regard to claim 9 of the '011 patent. 
The Commission declines to reach the issue of whether there has been a 
section 337 violation as to claim 1 of the '011 patent because of the 
delay and burden associated with deciding the issue and because such a 
finding would not afford any additional relief to Rovi. Thus, the 
Commission need not decide the issue. See Yingbin-Nature (Guangdong) 
Wood Indus. Co. v. Int'l Trade Comm'n, 535 F.3d 1322, 1331-32 (Fed. 
Cir. 2008).
    The Commission has further determined that the appropriate remedy 
is: (1) A limited exclusion order prohibiting the entry of infringing 
digital video receivers and related hardware and software components; 
and (2) cease and desist orders directed to respondents. The Commission 
has determined that the public interest factors enumerated in section 
337(d) and (f), 19 U.S.C. 1337(d), (f), do not preclude the issuance of 
the limited exclusion order or the cease and desist orders. The 
Commission has determined that a bond in the amount of zero percent of 
entered value is required during the period of Presidential review. 19 
U.S.C. 1337(j)(3).
    The investigation is terminated. The Commission's reasoning in 
support of its determinations is set forth more fully in its opinion. 
The Commission's orders and opinion were delivered to the President and 
the United States Trade Representative on the day of their issuance.
    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: April 23, 2020.
Lisa Barton,
Secretary to the Commission.
[FR Doc. 2020-09043 Filed 4-28-20; 8:45 am]
BILLING CODE 7020-02-P