[Federal Register Volume 89, Number 149 (Friday, August 2, 2024)]
[Notices]
[Pages 63221-63222]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-17039]
=======================================================================
-----------------------------------------------------------------------
INTERNATIONAL TRADE COMMISSION
[Investigation No. 337-TA-1318 (Rescission (III))]
Certain Graphics Systems, Components Thereof, and Digital
Televisions Containing the Same; Notice of Commission Determination To
Institute a Rescission Proceeding and To Rescind a Limited Exclusion
Order; Termination of the Rescission Proceeding
AGENCY: International Trade Commission.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: Notice is hereby given that the U.S. International Trade
Commission has determined to institute a rescission proceeding and to
rescind, based on a settlement agreement, a modified limited exclusion
order (``LEO'') issued in the underlying investigation. The rescission
proceeding is terminated.
FOR FURTHER INFORMATION CONTACT: Richard P. Hadorn, Esq., Office of the
General Counsel, U.S. International Trade Commission, 500 E Street SW,
Washington, DC 20436, telephone (202) 205-3179. Copies of non-
confidential documents filed in connection with this investigation may
be viewed on the Commission's electronic docket (EDIS) at https://edis.usitc.gov. For help accessing EDIS, please email
[email protected]. General information concerning the Commission may
also be obtained by accessing its internet server at https://www.usitc.gov. Hearing-impaired persons are advised that information on
this matter can be obtained by contacting the
[[Page 63222]]
Commission's TDD terminal, telephone (202) 205-1810.
SUPPLEMENTARY INFORMATION: The Commission instituted this investigation
on June 7, 2022, based on a complaint filed by Advanced Micro Devices,
Inc. of Santa Clara, California and ATI Technologies ULC of Ontario,
Canada (together, ``AMD''). 87 FR 34718-19 (June 7, 2022). The
complaint, as supplemented, alleges violations of section 337 of the
Tariff Act of 1930, as amended, 19 U.S.C. 1337 (``section 337''), based
on certain graphics systems, components thereof, and digital
televisions containing the same by reason of infringement of certain
claims of U.S. Patent Nos. 7,742,053; 8,760,454; 11,184,628; 8,468,547;
and 8,854,381 (``the '381 patent''). Id. at 34718. The complaint
further alleges that a domestic industry exists. Id. The notice of
institution named 14 respondents: (1) TCL Industries Holdings Co., Ltd.
of Guangdong, China; (2) TCL Industries Holdings (H.K.) Co. Limited of
Hong Kong, China; (3) TCL Electronics Holdings Ltd. f/k/a TCL
Multimedia Technology Holdings, Ltd. of Hong Kong, China; (4) TCL
Technology Group Corporation of Guangdong, China; (5) TTE Corporation
of Hong Kong, China; (6) TCL Holdings (BVI) Ltd. of Hong Kong, China;
(7) TCL King Electrical Appliances (Huizhou) Co. Ltd. of Guangdong,
China; (8) Shenzhen TCL New Technology Co., Ltd. of Guangdong, China;
(9) TCL MOKA International Ltd. of Hong Kong, China; (10) TCL Smart
Device (Vietnam) Co., Ltd. of Binh Duong Province, Vietnam; (11)
Manufacturas Avanzadas SA de CV of Chihuahua, Mexico; (12) TCL
Electronics Mexico, S de RL de CV of Benito Juarez, Mexico; (13) TCL
Overseas Marketing Ltd. of Hong Kong, China; and (14) Realtek
Semiconductor Corporation (``Realtek'') of Hsinchu, Taiwan. Id. at
34719, as amended, 87 FR 62452-53 (Oct. 14, 2022). The Office of Unfair
Import Investigations was not named as a party to this investigation.
87 FR at 34719.
On September 26, 2022, the Commission allowed TTE Technology, Inc.
of Corona, California to intervene in this investigation as an
additional respondent (collectively, with all named respondents except
for Realtek, ``TCL''). See Order No. 17 (Aug. 30, 2022), unreviewed by
Comm'n Notice (Sept. 26, 2022).
On January 24, 2024, the Commission issued a final determination
finding a violation of section 337 by TCL and Realtek with respect to
claims 19 and 20 of the '381 patent. 89 FR 5934-35 (Jan. 30, 2024); see
Comm'n Opinion (Jan. 24, 2024). The Commission determined that the
appropriate remedy is: (i) an LEO against TCL's and Realtek's
infringing products and (ii) cease and desist orders (``CDOs'') against
each of the TCL entities, but not against Realtek. 89 FR at 5935. The
Commission also set the bond during the period of Presidential review
at zero (0) percent of the entered value of the infringing articles.
Id.
On March 28, 2024, Realtek filed an appeal from the Commission's
final determination with the U.S. Court of Appeals for the Federal
Circuit. See Realtek Semiconductor Corp. v. ITC, Appeal Nos. 24-1613.
On July 1, 2024, the Federal Circuit granted Realtek's voluntary
dismissal of the appeal. See id., ECF No. 28.
On June 7, 2024, the Commission issued a modified LEO, which is
directed only to Realtek's infringing products, and rescinded the CDOs
against TCL based on a settlement agreement between AMD and TCL. See
Modified LEO at 1 (June 7, 2024); Comm'n Order at 6 (June 7, 2024).
On May 21, 2024, the Commission instituted a modification
proceeding as to the LEO based on a changed condition of fact alleged
by Realtek. 89 FR 46158-59 (May 28, 2024). On June 27, 2024, AMD and
Realtek filed a joint motion to terminate the modification proceeding
based on a settlement agreement between AMD and Realtek dated June 17,
2024, attaching thereto the same Exhibits A and B attached to the
present petition. On July 5, 2024, the ALJ issued Order No. 78, which
(i) ordered AMD and Realtek to ``revise and refile the non-confidential
version of the agreement required by Commission Rules 210.21(a)(2) and
210.21(b)(1) [19 CFR 210.21(a)(2) and (b)(1)], and in accordance with
Commission Rule 201.6 [19 CFR 201.6],'' and (ii) stated that the motion
to terminate will be ruled upon after the revised non-confidential
version of the agreement is refiled. Order No. 78 at 2 (July 5, 2024).
On July 12, 2024, in response to Order No. 78, Realtek filed a
revised non-confidential version of the subject agreement (Ex. B). On
July 15, 2024, the ALJ issued an initial determination (Order No. 79)
granting the joint motion to terminate the modification proceeding. The
ALJ found that the motion complies with the requirements of Commission
Rule 210.21(b)(1) (19 CFR 210.21(b)(1)), including the submission of
confidential and public versions of the subject agreement in compliance
with Commission Rule 201.6 (19 CFR 201.6), and that there is no
evidence that terminating the proceeding would be contrary to the
public interest in accordance with Commission Rule 210.50(b)(2) (19 CFR
210.50(b)(2)). Order No. 79 at 2 (July 15, 2024).
On June 27, 2024, AMD and Realtek (together, ``Petitioners'') filed
a joint petition (``Pet.'') to rescind the modified LEO based on the
settlement agreement between the Petitioners. Attached to the petition
is the same redacted copy of a ``binding settlement term sheet''
between the Petitioners (Ex. B) dated June 17, 2024, as was filed with
the motion to terminate the modification proceeding. Pet. at 1, Ex. B.
On June 28, 2024, AMD filed a separate correspondence to the Secretary
requesting confidential treatment of business information contained in
Exhibit A attached thereto (the unredacted version of Exhibit B
attached to the petition). On July 22, 2024, Petitioners filed a
corrected joint petition to rescind the modified LEO, and attached
thereto the same revised, non-confidential version of the subject
agreement (Ex. B) as was filed by Realtek in response to Order No. 78.
The Commission, having reviewed the record in this investigation,
including Petitioners' petition, AMD's request for confidential
treatment of business information contained in Exhibit A, Petitioners'
corrected petition, and revised Exhibit B, has determined that the
conditions justifying the modified LEO against Realtek no longer exist,
and, therefore, granting the corrected joint petition is warranted
under section 337(k), 19 U.S.C. 1337(k), and Commission Rule
210.76(a)(3), 19 CFR 210.76(a)(3). Accordingly, the Commission has
determined to institute a rescission proceeding and to rescind the
modified LEO based on the settlement agreement between Petitioners. The
rescission proceeding is terminated. The Commission issues an order
herewith setting forth its determinations.
The Commission vote for this determination took place on July 29,
2024.
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: July 29, 2024.
Lisa Barton,
Secretary to the Commission.
[FR Doc. 2024-17039 Filed 8-1-24; 8:45 am]
BILLING CODE 7020-02-P