The ITC is an independent, quasi-judicial federal agency with broad investigative responsibilities on matters of trade. The ITC adjudicates, among other things, cases involving imports that allegedly infringe intellectual property rights. Most often, ITC investigations involve claims regarding IP rights including allegations of patent and/or trade mark infringement by imported goods. Other forms of unfair competition may include misappropriation of trade secrets, trade dress infringement, passing off, false advertising and violations of antitrust.
The primary remedy is an exclusion order that directs US Customs and Border Protection (CBP) to prevent infringing imports from entering the US. Investigations are conducted pursuant to 19 USC Section 1337 and the Administrative Procedure Act. And trial proceedings are conducted before administrative law judges and reviewed by the Commission.
The ITC does not need to have personal jurisdiction over any party. The importation itself, or the expected importation of a product, forms the basis for jurisdiction. Moreover, because jurisdiction is not based on the actions of any particular party, all claims involving a particular product can be consolidated into a single ITC proceeding.
At the same time, the CBP is responsible for preventing the entry into the US of goods that are subject to exclusion orders. And when actual seizure and forfeitures occur, the CBP posts such orders online as public documents.
Benefits of the ITC include no personal jurisdiction requirement, fast relief and a powerful remedy of exclusion which is easier to get than in the court system which requires a party to meet the four-factor test for injunctive relief. Other ITC benefits are that a single proceeding can involve multiple entities, which is both efficient and cost-effective.
It should also be noted that if a parallel suit is filed in federal court, the suit is stayed pending completion of the ITC proceeding.
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| Edward M Weisz and Mher Hartoonian |
Cohen Pontani Lieberman & Pavane LLP
551 Fifth Avenue
New York, NY 10176
United States
Tel: +1 212 687 2770
Fax: +1 212 972 5487
eweisz@cplplaw.com
www.cplplaw.com