Certain Optoelectronic Devices for Fiber Optic Communications, Components Thereof, and Products Containing the Same; Commission Final Determination of Violation of Section 337; Issuance of Remedial Orders; Termination of Investigation, 22702-22703 [2014-09242]

Agencies

• INTERNATIONAL TRADE COMMISSION

[Federal Register Volume 79, Number 78 (Wednesday, April 23, 2014)]
[Notices]
[Pages 22702-22703]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-09242]



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INTERNATIONAL TRADE COMMISSION

[Investigation No. 337-TA-860]


Certain Optoelectronic Devices for Fiber Optic Communications, 
Components Thereof, and Products Containing the Same; Commission Final 
Determination of Violation of Section 337; Issuance of Remedial Orders; 
Termination of 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 determined that there is a violation of section 337 of 
the Tariff Act of 1930, as amended (19 U.S.C. 1337) by respondents 
IPtronics A/S of Roskilde, Denmark; IPtronics Inc. of Menlo Park, 
California; FCI USA, LLC, of Etters, Pennsylvania; FCI Deutschland GmbH 
of Berlin, Germany; FCI SA of Guyancourt, France; Mellanox 
Technologies, Inc. of Sunnyvale, California; and Mellanox Technologies 
Ltd. of Yokneam, Israel (collectively, ``Respondents'') in the above-
captioned investigation. The Commission has issued remedial orders 
directed to the Respondents' infringing products and has terminated the 
investigation.

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 https://www.usitc.gov. The public record for this investigation may be viewed 
on the Commission's electronic docket (EDIS) at https://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: This investigation was instituted on October 
30, 2012, based upon a complaint filed by Avago Technologies Fiber IP 
(Singapore) Pte. Ltd. of Singapore; Avago Technologies General IP 
(Singapore) Pte. Ltd. of Singapore; and Avago Technologies U.S. Inc. of 
San Jose, California (collectively, ``Complainants''), alleging a 
violation of section 337 of the Tariff Act of 1930, as amended, (19 
U.S.C. 1337) in the importation, sale for importation, or sale within 
the United States after importation of certain optoelectronic devices 
for fiber optic communications, components thereof, and products 
containing the same by reason of infringement of certain claims of U.S. 
Patent Nos. 6,947,456 (``the '456 patent'') and 5,596,595 (``the '595 
patent''). 77 FR 65713 (Oct. 30, 2012). In addition to the private 
parties named as respondents, the Commission named the Office of Unfair 
Import Investigations as a party in this investigation.
    The final Initial Determination (``ID'') on violation was issued on 
December 13, 2013. The ALJ issued his recommended determination on 
remedy, the public interest and bonding on the same day. The ALJ found 
that a violation of section 337 has occurred in the importation into 
the United States, the sale for importation, or the sale within the 
United States after importation of certain optoelectronic devices for 
fiber optic communications, components thereof, and products containing 
the same by reason of infringement of certain claims of the '595 
patent. All the parties to this investigation filed timely petitions 
for review of various portions of the final ID, as well as timely 
responses to the petitions. The ALJ recommended that the Commission 
issue a limited exclusion order directed to Respondents' accused 
products that infringe the '595 patent. The ALJ also recommended that 
the Commission issue cease and desist orders against the Mellanox and 
FCI respondents.
    On January 15, 2014, Complainants filed a post-RD statement on the 
public interest pursuant to Commission Rule 201.50(a)(4). On the same 
day, respondents Mellanox Technologies, Inc. and Mellanox Technologies, 
Ltd. also filed a submission pursuant to the rule. No responses from 
the public were received in response to the post-RD Commission Notice 
issued on December 16, 2013. See Notice of Request for Statements on 
the Public Interest (Dec. 16, 2013).
    On February 12, 2014, the Commission issued notice of its 
determination to review the final ID in part (``the Commission 
Notice''). 79 FR 9764-65 (Feb. 20, 2014). In the Notice, the Commission 
also set a schedule for the filing of written submissions on the issues 
under review, including certain questions posed by the Commission, and 
on remedy, the public interest, and bonding. The Commission also 
invited briefing from the parties, interested government agencies, and 
other interested parties with respect to the issues of remedy, the 
public interest, and bonding. The parties have briefed, with initial 
and reply submissions, the issues under review and the issues of 
remedy, the public interest, and bonding. No other submissions were 
received regarding remedy, the public interest, or bonding.
    Having examined the record in this investigation, including the 
parties' submissions filed in response to the Commission's Notice, the 
Commission has determined as follows:
    (I) With respect to the '595 patent:
    (a) To affirm the ALJ's claim construction of the limitation 
``current-spreading layer'' and infringement and domestic industry 
(technical prong) determinations relating to that limitation with 
certain modifications; and
    (b) to affirm the ALJ's finding that the Complainants met the 
economic prong under 19.
    U.S.C. 1337(a)(3)(C), and thus not reach the issue of whether the 
economic prong was met under 19 U.S.C. 1337(a)(3)(A) and (B).
    (II) With respect to the '456 patent:
    (a) To affirm the ALJ's infringement and domestic industry 
(technical prong) determinations with certain modifications in his 
rationale; and
    (b) to affirm the ALJ's finding that the Complainants met the 
economic prong under 19.
    U.S.C. 1337(a)(3)(C), and thus not reach the issue of whether the 
economic prong was met under 19 U.S.C. 1337(a)(3)(A) and (B).
    The Commission has determined that the appropriate relief in this 
investigation includes:
    (1) A limited exclusion order prohibiting the unlicensed entry of 
certain optoelectronic devices for fiber optic communications, 
components thereof, and products containing the same covered by one or 
more of claims 14 and 19 of U.S. Patent No. 5,596,595 and that are 
manufactured abroad by or on behalf of, or imported by or on behalf of, 
respondents IPtronics A/S; IPtronics Inc.; FCI SA; FCI Deutschland 
GmbH; FCI USA, LLC; Mellanox Technologies, Ltd.; and Mellanox 
Technologies, Inc.; and (2) cease and desist orders prohibiting 
importing, selling, marketing, advertising, distributing, transferring 
(except for exportation), and soliciting U.S. agents or distributors 
for, optoelectronic devices for fiber optic communications, components 
thereof, and products containing the same covered by one or more of 
claims 14 and

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19 of U.S. Patent No. 5,596,595 and that are manufactured abroad by or 
on behalf of, or imported by or on behalf of, respondents FCI USA, LLC 
and Mellanox Technologies, Inc.
    The Commission has further determined that the public interest 
factors enumerated in section 337(d)(l) and (f)(1) (19 U.S.C. 
1337(d)(l), (f)(1)) do not preclude issuance of the limited exclusion 
order. Finally, the Commission determined that Respondents are required 
to post a bond in the amount of 3 percent of the entered value of the 
products covered by the exclusion order and cease and desist orders 
during the period of Presidential review. The Commission's orders were 
delivered to the President and the United States Trade Representative 
on the day of their issuance.
    The Commission has therefore terminated this investigation. 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 Part 
210 of the Commission's Rules of Practice and Procedure (19 CFR Part 
210).

    By order of the Commission.

    Issued: April 17, 2014.
Lisa R. Barton,
Acting Secretary to the Commission.
[FR Doc. 2014-09242 Filed 4-22-14; 8:45 am]
BILLING CODE 7020-02-P