Patent protection grants the patentee exclusive rights to his patent invention, prohibiting other parties from manufacturing, using, selling, or importing the invention in the United States. Any party found guilty of patent infringement can be held answerable by the patent owner in the Federal Courts.
The following blog discusses the right of importing patented products into the United States and the requirements set by the US Patent Law for a complainant to sue for patent infringement for imports. These rights can also be enforced by the International Trade Commission(ITC), which can stop the entry of imported goods at the United States border.
What are the Requirements for Establishing Patent Infringement Complaints for Import?
The ITC generally is the preferred choice to bring notice of patented goods because the processing times of such cases are shorter than those of the federal courts. But to make a complaint, the patentee must satisfy the “domestic industry” patent requirements of ITC.
According to 19 U.S.C. § 1337, list what the complainant must provide to meet the domestic industry requirements:
- Significant investment in the manufacturing of the patent, for example, equipment and factory
- Significant capital and labor investment
- Significant investment in the development process, such as research, engineering, and licensing
The above requirements show that a domestic industry for the patented good exists or is in the process of being established. Thus, providing the complainant with legal grounds to pursue his case.
The following case provides insight into how domestic industry is established in patent import cases.
Coaxial Cable Connectors, ITC investigation no. 337-TA-650
In the Coaxial Cable case, the petitioner tried to establish a “domestic industry” on the grounds of litigation expenses it incurred while obtaining its patent. The ITC held that even though the licensing fees meet the economic requirement of the domestic industry, this alone is not sufficient to prove an existing or establishing domestic industry.
To Conclude…
The significance of manufacturing, labor, capital, development and licensing investment for the domestic industry is examined by the courts to substantiate the authenticity of the complaint. Even if one requirement is being met, it is vital to establish a valid case with adequate evidence for the domestic industry requisites.