Certain LED Lighting Devices and Components Thereof; Commission Determination To Review-in-Part an Initial Determination Granting Complainant's Motion for Summary Determination on Violation by Defaulting Respondents; and, on Review, To Find a Violation of Section 337; Request for Written Submissions on Remedy, Bonding, and the Public Interest, 32218-32220 [2019-14269]

Agencies

• INTERNATIONAL TRADE COMMISSION

[Federal Register Volume 84, Number 129 (Friday, July 5, 2019)]
[Notices]
[Pages 32218-32220]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-14269]


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INTERNATIONAL TRADE COMMISSION

[Investigation No. 337-TA-1107]


Certain LED Lighting Devices and Components Thereof; Commission 
Determination To Review-in-Part an Initial Determination Granting 
Complainant's Motion for Summary Determination on Violation by 
Defaulting Respondents; and, on Review, To Find a Violation of Section 
337; Request for Written Submissions on Remedy, Bonding, and the Public 
Interest

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. 21) of the presiding administrative law judge 
(``ALJ'') granting summary determination on violation of section 337 of 
the Tariff Act of 1930, as amended, (``section 337'') by certain 
defaulting respondents. On review, the Commission has determined to 
find a violation of section 337. The Commission is requesting written 
submission on remedy, bonding, and the public interest.

FOR FURTHER INFORMATION CONTACT: Benjamin S. Richards, Esq., Office of 
the General Counsel, U.S. International Trade Commission, 500 E Street 
SW, Washington, DC 20436, telephone (202) 708-5453. 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: The Commission instituted this investigation 
on April 10, 2018, based on a complaint filed on behalf of Fraen 
Corporation (``Fraen'') of Reading, Massachusetts. 83 FR 15399-15400 
(Apr. 10, 2018). The complaint alleges violations of section 337 of the 
Tariff Act of 1930, as amended, 19 U.S.C. 1337, in the importation into 
the United States, the sale for importation, or the sale within the 
United States after importation of certain LED lighting devices and 
components thereof by reason of infringement of one or more claims of 
U.S. Patent No. 9,411,083 (``the '083 patent'') and U.S. Patent No. 
9,772,499 (``the '499 patent''). Id. The complaint further alleges that 
a domestic industry exists. Id. The Commission's notice of 
investigation named as respondents Chauvet & Sons, LLC of Sunrise, 
Florida; ADJ Products, LLC of Los Angeles, California; Elation 
Lighting, Inc. of Los Angeles, California; Golden Sea Professional 
Equipment Co., Ltd. of Guangdong, China; Artfox USA, Inc. of City of 
Industry, California; Artfox Electronics Co., Ltd. of Guangdong, China; 
Guangzhou Chaiyi Light Co., Ltd. d/b/a Fine Art Lighting Co., Ltd. of 
Guangdong, China; Guangzhou Xuanyi Lighting Co., Ltd. d/b/a XY E-Shine 
of Guangdong, China; Guangzhou Flystar Lighting Technology Co., Ltd. of 
Guangdong, China; and Wuxi Changsheng Special Lighting Apparatus 
Factory d/b/a Roccer of Jiangsu, China. Id. The Office of Unfair Import

[[Page 32219]]

Investigations (``OUII'') is also participating in the investigation. 
Id.
    On June 13, 2018, the ALJ issued an initial determination 
terminating Chauvet & Sons, LLC from the investigation on the basis of 
a license agreement. Order No. 14 at 1 (June 13, 2018), unreviewed, 
Notice (July 9, 2018).
    On July 12, 2018, the ALJ issued an initial determination 
terminating ADJ Products, LLC and Elation Lighting, Inc. from the 
investigation on the basis of a license agreement. Order No. 17 at 1 
(July 12, 2018), unreviewed, Notice (Aug. 8, 2018). In the same initial 
determination, the ALJ terminated Golden Sea Professional Equipment 
Co., Ltd. from the investigation based on the provisions of 19 CFR 
210.21(a). Id.
    On July 20, 2018, the ALJ issued an initial determination 
terminating Artfox USA, Inc. from the investigation on the basis of a 
license agreement. Order No. 18 at 1 (July 20, 2018), unreviewed, 
Notice (Aug. 14, 2018). In the same initial determination, the ALJ 
terminated Artfox Electronics Co., Ltd. from the investigation based on 
the provision of 19 CFR 210.21(a). Id.
    On August 28, 2018, the ALJ issued an initial determination finding 
the remaining respondents in default for failure to respond to the 
complaint, notice of investigation, and her order to show cause. Order 
No. 20 at 2 (Aug. 28, 2018), unreviewed, Notice (Sep. 17, 2018).
    On September 14, 2018, Fraen moved for summary determination of 
violation of section 337 by the defaulting respondents. In addition, 
Fraen requested a recommended determination for the Commission to issue 
a general exclusion order and set a bond in the amount of 100 percent 
of entered value. On September 28, 2018, OUII filed a response in 
support of Fraen's motion and requested remedy.
    On May 16, 2019, the ALJ issued the subject ID granting Fraen's 
motion for summary determination of violation of section 337 by the 
defaulting respondents. Specifically, the ALJ found, inter alia, that 
Fraen established infringement of claim 1 of the '083 patent and claim 
1 of the '499 patent; that Fraen established that the importation 
requirement is satisfied as to each defaulting respondent and each 
accused product; and that Fraen satisfied both the technical and 
economic prongs of the domestic industry requirement. The ALJ's ID also 
included her recommendation that the Commission issue a general 
exclusion order and impose a 100 percent bond during the period of 
presidential review.
    No petitions for review were filed.
    Having examined the record of this investigation, the Commission 
has determined to review the ID in part. Specifically, the Commission 
has determined to review the ID's findings that Fraen satisfies the 
economic prong of the domestic industry requirement under section 
337(a)(3)(A) and (C). On review, the Commission has determined to take 
no position on those issues.
    The Commission has further determined not to review the remainder 
of the ID, including the ID's findings that Fraen has established 
infringement of claim 1 of the '083 patent and claim 1 of the '499 
patent; that Fraen established that the importation requirement is 
satisfied as to each defaulting respondent and each accused product; 
that Fraen satisfied the technical prong of the domestic industry 
requirement; and that Fraen satisfied the economic prong of the 
domestic industry requirement under section 337(a)(3)(B). Accordingly, 
the Commission has determined to affirm with modifications the ID's 
finding of violation of section 337.
    In connection with the final disposition of this investigation, the 
Commission may issue an order that could result in the exclusion of the 
subject articles from entry into the United States. 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 likely to do so. For 
background, see Certain Devices for Connecting Computers via Telephone 
Lines, Inv. No. 337-TA-360, USITC Pub. No. 2843, Comm'n Op. at 7-10 
(Dec. 1994).
    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. See Presidential Memorandum of 
July 21, 2005, 70 FR 43251 (July 26, 2005). 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. Such submissions should address the recommended 
determination by the ALJ on remedy and bonding.
    Complainant and OUII are also requested to submit proposed remedial 
orders for the Commission's consideration. Complainant is also 
requested to state the date that the patents expire, the HTSUS numbers 
under which the accused products are imported, and to supply the names 
of known importers of the products at issue in this investigation. The 
written submissions and proposed remedial orders must be filed no later 
than close of business on July 15, 2019. Reply submissions must be 
filed no later than the close of business on July 22, 2019. 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 eight 
true paper copies to the Office of the Secretary 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-1107'') in a prominent place on the cover page and/or the 
first page. (See Handbook on Filing Procedures, https://www.usitc.gov/documents/handbook_on_filing_procedures.pdf). Persons with questions 
regarding filing should contact the Secretary at (202) 205-2000.
    Any person desiring to submit a document 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

[[Page 32220]]

treatment. See 19 CFR 210.6. Documents for which confidential treatment 
by the Commission is sought will be treated accordingly. A redacted 
non-confidential version of the document must also be filed 
simultaneously with any confidential filing. All information, including 
confidential business information and documents for which confidential 
treatment is properly sought, submitted to the Commission for purposes 
of this Investigation may be disclosed to and used: (i) By the 
Commission, its employees and Offices, and contract personnel (a) for 
developing or maintaining the records of this or a related proceeding, 
or (b) in internal investigations, audits, reviews, and evaluations 
relating to the programs, personnel, and operations of the Commission 
including under 5 U.S.C. Appendix 3; or (ii) by U.S. government 
employees and contract personnel,\1\ solely for cybersecurity purposes. 
All non-confidential written submissions will be available for public 
inspection at the Office of the Secretary and on EDIS.
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    \1\ All contract personnel will sign appropriate nondisclosure 
agreements.
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    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 28, 2019.
Lisa Barton,
Secretary to the Commission.
[FR Doc. 2019-14269 Filed 7-3-19; 8:45 am]
BILLING CODE 7020-02-P?>