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ITC Institutes Patent Investigation of Electronic Paper Towel Dispensers Brought by Georgia-Pacific

The International Trade Commission has instituted a section 337 patent-based investigation of certain electronic paper towel dispensing devices and components thereof, pursuant to a complaint (Inv. No. 337-TA-718).

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(The products at issue in this investigation are hands-free paper towel dispensers commonly seen in commercial settings.)

Exclusion and Cease & Desist Orders Requested

The investigation is based on a complaint filed by Georgia-Pacific Consumer Products LP of Atlanta, GA, which alleges violations of section 337 of the Tariff Act of 1930 in the importation into the U.S. and sale of certain electronic paper towel dispensing devices and components thereof that infringe patents asserted by Georgia-Pacific.

The complainant requests that the ITC issue an exclusion order and a cease and desist order.

Respondents Alleged to Be in Violation of Section 337

The ITC has identified the following respondents alleged to be in violation of section 337 in this investigation:

Cellynne Corporation of Haines City, FL;

Draco Hygienic Products Inc. of Ontario, CA;

Kruger Products LP of Canada;

KTG USA LP of Memphis, TN;

NetPak Electronic Plastic and Cosmetic, Inc., of Chicago, IL;

NetPak Elektronik Plastik ve Kozmetik Sanayi Ve Ticaret Ltd. of Turkey;

New Choice (H.K.) Ltd. of Hong Kong;

Paradigm Marketing Consortium, Inc., of Syosset, NY;

Stefco Industries, Inc., of Haines City, FL;

United Sourcing Network Corp. Of Syosset, NY; and

Vida International Inc. of Taiwan.

ALJ to Determine if Violation Occurred

By instituting this investigation, the ITC has not yet made any decision on the merits of the case. The case will be referred to an ITC administrative law judge (ALJ), who will make an initial determination as to whether there is a violation of section 337, which is subject to review by the ITC.

(Within 45 days after institution of the investigation, the ITC will set a target date for completing the investigation. ITC remedial orders in section 337 cases are effective when issued and become final 60 days after issuance unless disapproved for policy reasons by the U.S. Trade Representative within that 60-day period.)

ITC press release (No. 10-053, dated 05/17/10) available at http://www.usitc.gov/press_room/news_release/2010/er0517hh2.htm