83 FR 54140 - Certain Insulated Beverage Containers, Components, Labels, and Packaging Materials Thereof; Commission's Determination Not To Review an Initial Determination Finding Two Respondents in Default and Terminating the Investigation With Respect to Three Respondents; Request for Written Submissions on Remedy, the Public Interest, and Bonding

INTERNATIONAL TRADE COMMISSION

Federal Register Volume 83, Issue 208 (October 26, 2018)

Notice is hereby given that the U.S. International Trade Commission has determined not to review the presiding administrative law judge's (``ALJ'') initial determination (``ID'') (Order No. 29) finding two respondents in default and terminating the investigation with respect to the three remaining respondents. The Commission requests written submissions, under the schedule set forth below, on remedy, public interest, and bonding.

[Federal Register Volume 83, Number 208 (Friday, October 26, 2018)]
[Notices]
[Pages 54140-54141]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-23408]


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INTERNATIONAL TRADE COMMISSION

[Investigation No. 337-TA-1084]


Certain Insulated Beverage Containers, Components, Labels, and 
Packaging Materials Thereof; Commission's Determination Not To Review 
an Initial Determination Finding Two Respondents in Default and 
Terminating the Investigation With Respect to Three Respondents; 
Request for Written Submissions on Remedy, the Public Interest, and 
Bonding

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 not to review the presiding administrative 
law judge's (``ALJ'') initial determination (``ID'') (Order No. 29) 
finding two respondents in default and terminating the investigation 
with respect to the three remaining respondents. The Commission 
requests written submissions, under the schedule set forth below, on 
remedy, public interest, and bonding.

FOR FURTHER INFORMATION CONTACT: Robert Needham, Esq., Office of the 
General Counsel, U.S. International Trade Commission, 500 E Street SW, 
Washington, DC 20436, telephone (202) 708-5468. 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 November 24, 2017, based on a complaint and supplement, filed on 
behalf of YETI Coolers, LLC of Austin, Texas (``Yeti''). 82 FR 55860-61 
(Nov. 24, 2017). The amended complaint, as supplemented, alleges 
violations of section 337 based upon the importation into the United 
States, the sale for importation, and the sale within the United States 
after importation of certain insulated beverage containers, components, 
labels, and packaging materials thereof by reason of infringement of 
U.S. Trademark Registration Nos. 5,233,441 and 4,883,074; U.S. 
Copyright Registration Nos. VA 1-974-722, VA 1-974-732, VA 1-974-735; 
and U.S. Design Patent Nos. D752,397, D780,533, D781,146, and D784,775. 
The complaint further alleges that an industry in the United States 
exists as required by section 337. The Notice of Investigation named as 
respondents, inter alia, Huizhou Dashu Trading Co., Ltd. of Huizou 
City, China (``Huizhou Dashu Trading''); Huagong Trading Co., Ltd. of 
Wangshizhuang, China (``Huagong Trading''); Tan Er Pa Technology Co., 
Ltd. of Hong Kong, China (``Tan Er Pa''); Shenzhen Great Electronic 
Technology Co., Ltd. of Shenzhen, China (``Great Electronic''); and SZ 
Flowerfairy Ltd. of Shenzhen, China (``Flowerfairy''), which are the 
only five respondents remaining in this investigation. The Office of 
Unfair Import Investigations (``OUII'') was also named as a party.
    The Commission served the complaint and notice of investigation on 
Huizhou Dashu Trading and Huagong Trading. Neither party responded to 
the complaint, the notice of investigation, or discovery requests. On 
July 20, 2018, Yeti moved for an order for Huizhou Dashu Trading and 
Huagong Trading to show cause why they should not be found in default. 
On August 1, 2018, the ALJ ordered Huizhou Dashu Trading and Huagong 
Trading to show cause why they should not be held in default within 14 
days. Order No. 28.
    Neither Huizhou Dashu Trading nor Huagong Trading responded to the 
ALJ's order. On September 14, 2018, Yeti moved for an order finding 
Huizhou Dashu Trading and Huagong Trading in default for their failure 
to respond. Yeti also moved to terminate the investigation with respect 
to Tan Er Pa, Great Electronic, and Flowerfairy based on a withdrawal 
of the complaint because those respondents were not served with the 
complaint and notice of investigation. Yeti stated in its motion that 
it is not seeking a general exclusion order. On September 26, 2018, 
OUII supported the motion.
    On September 27, 2018, the ALJ issued the subject ID, finding 
Huizhou Dashu Trading and Huagong Trading in default, and terminating 
Tan Er Pa, Great Electronic, and Flowerfairy from the investigation 
based on a voluntary withdrawal of the complaint. No petitions for 
review were filed.
    The Commission has determined not to review the subject ID.
    Section 337(g)(1) and Commission Rule 210.16(c) authorize the 
Commission to order relief against a respondent found in default, 
unless, after considering the public interest, it finds that such 
relief should not issue.
    In connection with the final disposition of this investigation, the 
Commission may: (1) Issue an order that could result in the exclusion 
of articles manufactured or imported by the defaulting respondents; 
and/or (2) issue cease and desist orders that could result in the 
defaulting respondents being required to cease and desist from engaging 
in unfair acts in the importation and sale of such articles. 
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

[[Page 54141]]

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 (December 1994).
    In addition, if a party seeks issuance of any cease and desist 
orders, the written submissions should address that request in the 
context of recent Commission opinions, including those in Certain 
Arrowheads with Deploying Blades and Components Thereof and Packaging 
Therefor, Inv. No. 337-TA-977, Comm'n Op. (Apr. 28, 2017) and Certain 
Electric Skin Care Devices, Brushes and Chargers Therefor, and Kits 
Containing the Same, Inv. No. 337-TA-959, Comm'n Op. (Feb. 13, 2017). 
Specifically, if Complainants seek a cease and desist order against a 
defaulting respondent, the written submissions should respond to the 
following requests:

    1. Please identify with citations to the record any information 
regarding commercially significant inventory in the United States as 
to each respondent against whom a cease and desist order is sought. 
If Complainants also rely on other significant domestic operations 
that could undercut the remedy provided by an exclusion order, 
please identify with citations to the record such information as to 
each respondent against whom a cease and desist order is sought.
    2. In relation to the infringing products, please identify any 
information in the record, including allegations in the pleadings, 
that addresses the existence of any domestic inventory, any domestic 
operations, or any sales-related activity directed at the United 
States for each respondent against whom a cease and desist order is 
sought.

    If the Commission contemplates some form of remedy, it must 
consider the effects of that remedy upon the public interest. The 
factors that the Commission will consider include the effect that the 
exclusion order and/or cease and desists 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. Yeti and OUII are requested to submit proposed remedial 
orders for the Commission's consideration. Yeti is also requested to 
state the HTSUS numbers under which the accused products are imported, 
and to state the dates that the patents expire. Yeti is further 
requested to supply identification information on any known importers.
    Written submissions and proposed remedial orders must be filed no 
later than the close of business on November 5, 2018. Reply submissions 
must be filed no later than the close of business on November 12, 2018. 
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 deadline 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-1084'') in a prominent place on the cover page and/or the 
first page. (See Handbook for Electronic Filing Procedures, https://www.usitc.gov/secretary/fed_reg_notices/rules/handbook_on_electronic_filing.pdf). Persons with questions regarding 
filing should contact the Secretary (202-205-2000).
    Any person desiring to submit a document to the Commission in 
confidence must request confidential treatment. All such requests 
should be directed to the Secretary to the Commission and must include 
a full statement of the reasons why the Commission should grant such 
treatment. See 19 CFR 201.6. Documents for which confidential treatment 
by the Commission is properly sought will be treated accordingly. 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 nonconfidential 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: October 22, 2018.
Lisa Barton,
Secretary to the Commission.

[FR Doc. 2018-23408 Filed 10-25-18; 8:45 am]
 BILLING CODE 7020-02-P