Posts Tagged: "Section 337"

Apple Loses at ITC with Apple Watch Import Ban

On Thursday, October 26, the U.S. International Trade Commission (ITC) issued a limited exclusion order (LEO) and cease and desist order against Apple, potentially barring the technology company from importing Apple Watches into the United States. The ITC found Apple violated section 337 by importing Apple Watches that infringed on two Masimo patents that covered technology related to reading blood-oxygen levels.

Planning for Success in Section 337 Investigations

Famously, section 337 investigations before the U.S. International Trade Commission (ITC) are fast. By statute, the ITC must conclude section 337 investigations “at the earliest practicable time . . .” 19 U.S.C. § 1337(b)(1). Investigations institute within 30 days after the Commission receives a complaint, evidentiary hearings (akin to trial) regularly occur within 8–9 months, and the ITC’s target dates for completing investigations routinely land at 14–16 months.

Opening Moves in the ITC: Strategic Considerations for Pre-Institution Filings in Section 337 Investigations

The period following the filing of a section 337 complaint with the U.S. International Trade Commission (ITC) can be chaotic. During this period, the Commission “examine[s] the complaint for sufficiency and compliance with” its rules, 19 C.F.R. § 210.9(a), routinely asks the complainant to provide additional information, and typically decides whether to institute an investigation within 30 days after the complaint is filed, see 19 C.F.R. § 210.10(a)(1). The complainant must address the Commission’s requests for additional information while preparing for the coming investigation. The named respondents must scramble to find counsel, assess the allegations, and ready for battle. And all section 337 litigants confront a series of strategic decisions that can send them on the path to success or failure in the investigation.

The Importance of Auditing Components to Avoid ITC Jurisdiction

Your company (or your client’s company) is an American company. All your offices and employees are here in the United States, likely in the same location. You assemble your products or devices here. You purchase all the parts and components that you don’t make yourself from other American companies, probably by calling or emailing their American salespeople that you have a longtime relationship with. And you sell your products to other American companies. Surely your company thus cannot be sued for patent infringement in the International Trade Commission (ITC), whose mission is to “investigate and make determinations in proceedings involving imports claimed to injure a domestic industry or violate U.S. intellectual property rights.” Not so fast.

CAFC Affirms ITC Enablement Ruling Under ‘Infrequently Applied’ Anderson Test

On April 20, the U.S. Court of Appeals for the Federal Circuit (CAFC) issued a precedential opinion in FS.com v. International Trade Commission affirming the ITC’s determination that fiber optic cable distributor FS.com violated 19 U.S.C. § 1337 by importing goods infringing upon patent claims owned by Corning Optical Communications. This relatively short Federal Circuit decision dealt mainly with FS.com’s enablement arguments on appeal, which the appellate court nixed after finding that skilled artisans would understand an inherent upper limit to allegedly open-ended claims on fiber optic connection densities.