ITC Issues Limited Exclusion Order, Etc. on Semiconductor Chips With Synchronous DRAM Controllers

(This investigation was based on a complaint filed by Rambus Inc. of Los Altos, California, which alleged violations of section 337 of the Tariff Act of 1930 in the importation into the U.S., the sale for importation, and the sale within the U.S. after importation of certain semiconductor chips having synchronous dynamic random access memory controllers and products containing same, including graphics cards and motherboards, that infringe certain claims of U.S. Patent Nos. 6,470,405 (the 405 patent); 6,591,353 (the 353 patent); and 7,287,109 (the 109 patent), among others.

The respondents are: (1) Hewlett-Packard Co. of Palo Alto, California; (2) NVIDIA Corporation of Santa Clara, California; (3) Asustek Computer, Inc. of Taipei, Taiwan; (4) ASUS Computer International, Inc. of Fremont, California; (5) BFG Technologies, Inc. of Lake Forest, Illinois; (6) Biostar Microtech (USA) Corp. of City of Industry, California; (7) Diablotek Inc. of Alhambra, California; (8) EVGA Corp. of Brea, California; (9) G.B.T. Inc. of City of Industry, California; (10) Giga-byte Technology Co., Ltd. of Taipei, Taiwan; (11) MSI Computer Corp. of City of Industry, California; (12) Micro-star International Co., Ltd. of Taipei, Taiwan; (13) Palit Multimedia Inc. of San Jose, California; (14) Palit Microsystems Ltd. of Taipei, Taiwan; (15) Pine Technology Holdings, Ltd. of Hong Kong; and (16) Sparkle Computer Co. of Taipei, Taiwan.)

LEO Excludes Infringing Articles from Entry

According to the limited exclusion order, memory controller products and products incorporating a memory controller that are covered by one or more of claims of 11-13, 15, and 18 of the 405 patent; 11-13 of the 353 patent; and/or 1,2, 4, 5, 12, 13, 20, 21, and 24 of the 10 patent and that are manufactured abroad by or on behalf of, or are imported by or on behalf of the respondents, or any of their affiliated companies, parents, subsidiaries, or other related business entities, or their successors or assigns, are excluded from entry for consumption into the U.S., entry for consumption from a foreign-trade zone, or withdrawal from a warehouse for consumption, for the remaining term of the patent, except under license of the patent owner or as provided by law.

Bond of 2.65% of Entered Value During 60-Day Review Period

The ITC also determined that the excluded products are entitled to entry for consumption into the U.S., entry for consumption from a foreign-trade zone, or withdrawal from a warehouse for consumption, under bond in the amount of 2.65% of the entered value, from the day after the order is received by the U.S. Trade Representative and until such time as the USTR notifies the ITC that the order is approved or disapproved, but, in any event, not later than 60 days after receipt of the order.

CBP May Require Certification that Imports are Not Subject to Order

At the discretion of U.S. Customs and Border Protection and pursuant to procedures it establishes, persons seeking to import product that are potentially subject to the order may be required to certify that they are familiar with the terms of the order, that they have made appropriate inquiry, and thereupon state that, to the best of their knowledge and belief, the products being imported are not excluded from entry under the order. At its discretion, CBP may require persons who have provided the certification to furnish such records or analyses as are necessary to substantiate the certification.

Cease and Desist Orders Issued Against 11 Respondents

The ITC has also issued cease and desist orders against Hewlett Packard; Micro-Star; MSI; NVIDIA: Palit Microsystems; Palit Multimedia; ASUS; BFG; Diablotek; Biostar; and EVGA, which prohibit the importing, selling, marketing, advertising, distributing, offering for sale, transferring (except for exportation), and soliciting U.S. agents or distributors for, the excluded memory controller products and products incorporating a memory controller.

The conduct prohibited under the cease and desist orders may be continued during the 60 day period in which the order is under review by the USTR, subject to the posting of a bond in the amount of 2.65% of the entered value of the covered products.

(See ITT’s Online Archives or 12/11/08 news, 08121130, for BP summary of the institution of this patent investigation.)

ITC contact -- Paul Bartkowski (202) 708-5432

(FR Pub 07/30/10, Inv. No. 337-TA-661)

The limited exclusion order and cease and desist orders are available by emailing documents@brokerpower.com.