In the Matter of Certain Playards and Strollers; Notice of a Final Determination Finding No Violation of Section 337; Termination of the Investigation
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Abstract
Notice is hereby given that the U.S. International Trade Commission has determined to affirm in part, modify in part, reverse in part, and take no position on certain portions of the Administrative Law Judge's ("ALJ") final initial determination ("ID"), issued on March 31, 2023, finding a violation of section 337 in the above- referenced investigation as to two of the three asserted patents. The Commission has determined that no violation of section 337 has occurred as to any of the asserted patents based on the importation of certain playards and strollers. This investigation is terminated.
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<title>Federal Register, Volume 88 Issue 169 (Friday, September 1, 2023)</title>
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[Federal Register Volume 88, Number 169 (Friday, September 1, 2023)]
[Notices]
[Pages 60494-60495]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-18953]
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INTERNATIONAL TRADE COMMISSION
[Investigation No. 337-TA-1288]
In the Matter of Certain Playards and Strollers; Notice of a
Final Determination Finding No Violation of Section 337; 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 determined to affirm in part, modify in part, reverse in
part, and take no position on certain portions of the Administrative
Law Judge's (``ALJ'') final initial determination (``ID''), issued on
March 31, 2023, finding a violation of section 337 in the above-
referenced investigation as to two of the three asserted patents. The
Commission has determined that no violation of section 337 has occurred
as to any of the asserted patents based on the importation of certain
playards and strollers. This investigation is terminated.
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 may
be viewed on the Commission's electronic docket (EDIS) at <a href="https://edis.usitc.gov">https://edis.usitc.gov</a>. For help accessing EDIS, please email
<a href="/cdn-cgi/l/email-protection#f8bdbcb1abcbb09d9488b88d8b918c9bd69f978e"><span class="__cf_email__" data-cfemail="7b3e3f322848331e170b3b0e08120f18551c140d">[email protected]</span></a>. General information concerning the Commission may
also be obtained by accessing its internet server at <a href="https://www.usitc.gov">https://www.usitc.gov</a>. 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
by publication in the Federal Register on December 27, 2021. 86 FR
73318 (Dec. 27, 2021). The complainants are Graco Children's Products
Inc., of Atlanta, GA (``Graco'') and Wonderland Nurserygoods Co., Ltd.
of Taipei, Taiwan (``Wonderland''). Graco and Wonderland's complaint,
as supplemented, alleged 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 playards and strollers by reason of
infringement of certain claims of U.S. Patent Nos. 9,706,855 (``the
'855 patent''); 9,414,694 (``the '694 patent''); RE43,919 (``the '919
patent''); and 6,979,017 (``the '017 patent''). Id. The complaint
further alleged that a domestic industry exists. Id. The Commission's
notice of investigation named as respondents Baby Trend, Inc. of
Fontana, CA (``Baby Trend''); Dongguan Golden Prosper Baby Products
Co., Ltd., of Guangdong, China (``Golden Prosper''); Sichuan Hobbies
Baby Products Co., Ltd., of Sichuan, China (``Sichuan Hobbies''); and
Anhui Chile Baby Products Co., Ltd. of Anhui Province, China (``Anhui
Chile''). Id. The Office of Unfair Import Investigations is not
participating in the investigation. Id.
On April 1, 2022, the Commission determined not to review an ID
terminating the investigation as to the '017 patent. Order No. 7 (Mar.
7, 2022), unreviewed by Comm'n Notice (Apr. 1, 2022). On April 12,
2022, the Commission determined not to review an ID terminating the
investigation as to respondent Golden Prosper based on withdrawal of
the complaint. Order No. 8 (Mar. 23, 2022), unreviewed by Comm'n Notice
(Apr. 12, 2022). And, on December 14, 2022, the Commission determined
not to review an ID terminating the investigation as to claims 3-9, 11-
12, 14, and 16-20 of the '855 patent, claims 2, 4-9, 11-17, and 19-20
of the '694 patent, and claims 8, 10-12, 14-19, and 27-28 of the '919
patent as to all respondents, and terminating the investigation as to
claim 20 of the '919 patent as to respondents Sichuan Hobbies and Anhui
Chile (but not Baby Trend). Order No. 21 (Nov. 15, 2022), unreviewed by
Comm'n Notice (Dec. 14, 2022).
The ALJ held an evidentiary hearing from December 12-15, 2022, at
which point, only claims 1, 2, 10, 13, and 15 of the '855 patent and
claims 1, 10, and 18 of the '694 patent remained as to all respondents
and claim 20 of the '919 patent remained as to respondent Baby Trend.
At the time of the evidentiary hearing, there were three remaining
respondents in this investigation: Baby Trend, Sichuan Hobbies, and
Anhui Chile (``Respondents'').
On March 31, 2023, the ALJ issued the final ID in this
investigation. The ID found that a violation of section 337 had
occurred based on the respondents' importation and sale of products
that infringe certain claims of the '855 patent and the '694 patent. By
contrast, the ID found that no violation had occurred in connection
with the '919 patent. The ALJ issued his recommended determination
(``RD'') on remedy and bond concurrently with the ID. The RD
recommended issuance of a limited exclusion order directed to accused
products that infringe the '855 or '694 patents. In addition, the RD
recommended the issuance of a cease and desist order. As to bond, the
RD recommended a bond rate of 4% for the product accused of infringing
only the '919 patent and a bond rate of 59% for the remaining accused
products.
The parties filed petitions for review of the ID on April 14, 2023,
and responses thereto on April 24, 2023.
On July 6, 2023, the Commission determined to review the ID in
part. Specifically, the Commission determined to review: (1) for the
'855
[[Page 60495]]
patent, whether claim 15 is anticipated by Gabriella, and whether
claims 1, 2, 10, and 13 are obvious based on Troutman and Song or Hsia
and Song; (2) for the '694 patent, whether claim 18 is anticipated by
Hsia and whether claims 1 and 10 are obvious based on Troutman and
Tharalson; (3) the '919 patent in its entirety; and (4) whether the
technical and economic prongs of the domestic industry requirement are
met for all three patents. In connection with its review of the ID, the
Commission sought briefing from the parties on several questions
germane to the issues on review. The Commission also requested briefing
from the parties, interested government agencies, and other interested
persons on remedy, bonding, and the public interest.
On July 20, 2023, the parties submitted briefs responding to the
questions posed in the Commission's Notice of Review and on remedy, the
public interest, and bond. Thereafter, on July 27, 2023, each submitted
a reply to the other's brief on review. No additional submissions were
received.
Having considered the parties' submissions, the ID, and the record
in this investigation, the Commission has determined that no violation
of section 337 has occurred based on Respondents' importation into the
United States, sale for importation, or sale within the United States
after importation of certain playards and strollers. The Commission has
further determined to affirm in part, modify in part, reverse in part,
and take no position on certain portions of the ID, as explained in the
Commission's opinion issued concurrently herewith. This investigation
is terminated.
The Commission vote for this determination took place on August 28,
2023.
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: August 28, 2023.
Lisa Barton,
Secretary to the Commission.
[FR Doc. 2023-18953 Filed 8-31-23; 8:45 am]
BILLING CODE 7020-02-P
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