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ITC to Review in Part ALJ's Finding of Patent Violations by Cellphone & Tablet Case Companies

The International Trade Commission said it will review part of an administrative law judge’s finding of violation of Section 337 by imports of certain companies’ cellphone and tablet protective cases. In the ITC’s patent investigation of certain protective cases and components thereof (337-TA-780), the ALJ found that cellphone and tablet protective cases made by Griffin and 18 defaulting respondents1 infringed patents and trademarks held by Otter Products, and that the infringement constituted violations of Section 337. With respect to Tennessee-based Griffin, the ALJ said its “survivor” cases for the iPhone 2 and “explorer” cases for the iPhone 4 infringe an Otter patent, but Griffin’s “survivor” cases for the iPhone 4 and iPod Touch do not literally infringe. The ITC said it will review only the ALJ’s determination that Griffin’s “survivor” case for the iPod Touch doesn’t literally infringe an Otter patent.

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In its final initial determination, the ALJ recommended that the ITC issue a general exclusion order directed to infringing articles, because “there has been a widespread pattern of unauthorized use of the asserted patents and…certain business conditions exist that warrant a general exclusion order.” The ALJ also recommended cease and desist orders against Griffin and the defaulting companies that would also cover the defaulting companies’ internet activities. Finally, the ALJ recommended that bond be set at 331.80 percent of entered value for tablet cases and 195.12 percent for non-tablet cases for the defaulting companies’ infringing products during the period of Presidential review.2 For Griffin’s infringing products, the ALJ recommended setting a bond of 12.45 percent for tablet cases and no bond for non-tablet cases imported during the period of Presidential review.

(See the ITC’s notice for details on its review and deadlines for written submissions of the issues under review, and from the parties and the public on the issues of remedy, the public interest, and bonding should exclusion orders or cease and desist orders be issued. See ITT’s Online Archives 11062707 for summary of the institution of this investigation. All respondents except for Griffin and the defaulting respondents have since been terminated from the investigation.)

1The following respondents were found in default: Anbess, Guangzhou Evotech, Hoffco, HJJ, Sinatech, Suntel, Trait Technology, Papaya, Quanyun, Topter, Cellet, TheCaseSpace, MegaWatts, Hypercel, Star & Way, SmileCase, TheCaseInpoint.com, and National Cellular.

2If the ITC orders some form of remedy, the U.S. Trade Representative, as delegated by the President, has 60 days to approve or disapprove the ITC’s action. During this period, the subject articles would be entitled to enter the U.S. under bond, in an amount determined by the ITC.