USITC implements exclusion order against ‘knockoff’ mobile products
The US International Trade Commission (ITC) has implemented a general exclusion order (GEO) won by Nite Ize, a seller of technology products and accessories, to stop the import of “knockoff” mobile phone holders.
Haynes and Boone, the legal team representing Nite Ize, announced the news on Wednesday, April 25.
Colorado-based Nite Ize sells a range of phone holders. The Steelie line of products features magnetic-mounting technology, allowing users to mount and secure devices wherever they are.
Nite Ize owns US patent number 9,689,527, which covers the mobile-mounting device, as well as word mark ‘Steelie’ (trademark number 4,205,539) in relation to holders adapted for use with mobile devices.
According to the release, overseas manufacturers had been trying to “undercut” Nite Ize by selling fake Steelie products online and shipping them to customers in the US. Most of the culprits were based in China.
As it was “not realistic to sue hundreds of Chinese companies for infringement”, Nite Ize petitioned the ITC to investigate the matter in November 2016. It accused 32 companies of importing “an influx of knockoff” mobile device holders which infringe multiple patents.
Haynes and Boone said the ITC’s action is a result of a 15-month investigation and litigation process. In February the ITC published its order, and following a 60-day waiting period, it is now final.
The GEO prevents the importation of all products covered by the Nite Ize patents related to the Steelie line of products. The ITC also issued 16 specific exclusion orders against the companies, preventing them from importing the fake mobile device holders into the country.
As well as issuing cease and desist orders against the importers of the infringing products, the ITC directed the US Customs and Border Protection Agency to prevent the products from entering the country.
Online marketplaces will also be required to remove all fake Steelie products manufactured by 16 of the infringers.
Clint Todd, chief legal officer at Nite Ize, said the GEO will be a “powerful tool” in the fight against imported counterfeits. “When shipments are confiscated at customs, manufacturers may think twice before copying our products,” he added.
Robert Ziemian, partner at Haynes and Boone, led the team working on Nite Ize’s case. He said “an ITC order stopping the products at the border is a more effective solution than suing the infringers individually.”
Nite Ize said it will continue to work with customs agents to prevent the import of knockoff products, and will also be visiting ports where a high volume of fake Steelie products have arrived.
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