On September 9, 2024, the Commission instituted this investigation based on a complaint filed by JBS Hair of Atlanta, GA. 89 FR 73123-24 (Sept. 9, 2024). The complaint alleges violations of section 337 of the Tariff Act of 1930, as amended, 19 U.S.C. 1337, based upon the importation into the United States, the sale for importation, and the sale within the United States after importation of certain pre-stretched synthetic braiding hair and packaging therefor by reason of the infringement of certain claims of U.S. Patent Nos. 10,786,026; 10,945,478; and 10,980,301. The Commission's notice of investigation (“NOI”) named the following respondents: Zugoo Import Inc. (“Zugoo”) of Norcross, GA; Crown Pacific Group Inc. (“Crown Pacific”) of Doraville, GA; Vivace, Inc. d/b/a Dae Do Inc. of Levittown, NY (“Dae Do”); A-Hair Import Inc. of Norcross, GA (“A-Hair”); Loc N Products, LLC of Atlanta, GA (“Loc N”); Sun Taiyang Co., Ltd. d/b/a Outre® of Moonachie, NJ; Beauty Elements Corporation d/b/a Bijouz® of Miami Gardens, FL; Hair Zone, Inc. d/b/a Sensationnel® of Moonachie, NJ; Beauty Essence, Inc. d/b/a SupremeTM Hair US of Moonachie, NJ; SLI Production Corp. d/b/a It's a Wig! of Moonachie, NJ; Royal Imex, Inc. d/b/a Zury® Hollywood of Santa Fe Springs, CA; GS Imports, Inc. d/b/a Golden State Imports, Inc. of Paramount, CA; Eve Hair, Inc. of Lakewood, CA; Kum Kang Trading USA, Inc. d/b/a BNGHAIR of Paramount, CA (“Kum Kang”); Midway International, Inc. d/b/a BOBBI BOSS of Cerritos, CA; Mayde Beauty Inc. of Port Washington, NY; Hair Plus Trading Co., Inc. d/b/a Femi Collection of Suwanee, GA; Optimum Solution Group LLC d/b/a Oh Yes Hair of Duluth, GA; Chois International, Inc. of Norcross, GA; Twin Peak International, Inc. d/b/a Dejavu Hair of Atlanta, GA; Chade Fashions, Inc. of Niles, IL; Mink Hair, Ltd. d/b/a Sensual® Collection of Wayne, NJ (“Mink Hair”); Mane Concept Inc. of Moonachie, NJ; Oradell International Corp. d/b/a MOTOWN TRESS of Manalapan, NJ (“Oradell”); Beauty Plus Trading Co., Inc. d/b/a Janet CollectionTM of Moonachie, NJ; Model Model Hair Fashion, Inc. of Port Washington, NY; New Jigu Trading Corp. d/b/a Harlem 125® of Port Washington, NY; Shake N Go Fashion, Inc. of Port Washington, NY; Amekor Industries, Inc. d/b/a Vivica A. Fox® Hair Collection of Conshohocken, PA; I & I Hair of Dallas, TX. Id. The Office of Unfair Import Investigations (“OUII”) was also named as a party in this investigation. Id. at 73124.
On December 2, 2024, the Commission granted JBS Hair's motion to amend the complaint and NOI to add JMS Trading Corp. (“JMS Trading”) of Buena Park, CA as a respondent to this investigation and to make several ministerial updates to the complaint. See Order No. 15 (Nov. 4, 2024), unreviewed by Comm'n Notice, 89 FR 97068-69 (Dec. 6, 2024).
The Commission previously terminated several respondents based on consent order stipulations and ( printed page 18992) consent orders. See Order No. 10 (Oct. 18, 2024), unreviewed by Comm'n Notice (Nov. 15, 2024) (Kum Kang, Mink Hair, and Oradell); Order No. 16 (Nov. 14, 2024), unreviewed by Comm'n Notice (Dec. 11, 2024) (I & I Hair); Order No. 28 (Dec. 23, 2024), unreviewed by Comm'n Notice (Jan. 21, 2025) (JMS Trading).
The Commission has also found several respondents to be in default. See Order No. 26 (Dec. 19, 2024), unreviewed by Comm'n Notice (January 17, 2025) (Loc N); Order No. 31 (Feb. 4, 2025), unreviewed by Comm'n Notice (February 24, 2025) (Dae Do and A-Hair); Order No. 32 (Feb. 14, 2025), unreviewed by Comm'n Notice (March 11, 2025) (Crown Pacific); Order No. 34 (Feb. 24, 2025), unreviewed by Comm'n Notice (March 24, 2025) (Zugoo).
On April 1, 2025, JBS Hair filed a motion to terminate the investigation as to the remaining active respondents based on withdrawal of the Complaint.
On April 10, 2025, the presiding ALJ issued the subject ID (Order No. 44) terminating the investigation pursuant to Commission Rule 210.21(a) (19 CFR 210.21(a)). ID at 3. The ID finds that “no extraordinary circumstances exist that would prevent the requested partial termination of this Investigation” and that JBS Hair “has complied with the requirements of Commission Rule 210.21(a).” Id. at 3.
On April 15, 2025, JBS Hair filed a document entitled “Written Submission on Remedy, Bonding and Public Interest with Respect to Defaulting Respondents” (“Remedy Submission”).
No party filed a petition for review of the subject ID.
The Commission has determined not to review the subject ID. The investigation is terminated with respect to the remaining active respondents. The Commission considers JBS Hair's Remedy Submission to be a declaration seeking relief against defaulting respondents pursuant to Commission Rule 210.16(c)(1) (19 CFR 210.16(c)(1)).
In connection with the final disposition of this investigation, the statute authorizes issuance of, inter alia, (1) an exclusion order that could result in the exclusion of the subject articles from entry into the United States; and/or (2) cease and desist orders that could result in the respondents being required to cease and desist from engaging in unfair acts in the importation and sale of such articles. Accordingly, the Commission is interested in receiving written submissions that address the form of remedy, if any, that should be ordered. If a party seeks exclusion of an article from entry into the United States for purposes other than entry for consumption, the party should so indicate and provide information establishing that activities involving other types of entry either are adversely affecting it or likely to do so. For background, see Certain Devices for Connecting Computers via Telephone Lines, Inv. No. 337-TA-360, USITC Pub. No. 2843, Comm'n Op. at 7-10 (Dec. 1994).
The statute requires the Commission to consider the effects of that remedy upon the public interest. The public interest factors the Commission will consider include the effect that an exclusion order and cease and desist orders would have on: (1) the public health and welfare, (2) competitive conditions in the U.S. economy, (3) U.S. production of articles that are like or directly competitive with those that are subject to investigation, and (4) U.S. consumers. The Commission is therefore interested in receiving written submissions that address the aforementioned public interest factors in the context of this investigation.
If the Commission orders some form of remedy, the U.S. Trade Representative, as delegated by the President, has 60 days to approve, disapprove, or take no action on the Commission's determination. See Presidential Memorandum of July 21, 2005, 70 FR 43251 (July 26, 2005). During this period, the subject articles would be entitled to enter the United States under bond, in an amount determined by the Commission and prescribed by the Secretary of the Treasury. The Commission is therefore interested in receiving submissions concerning the amount of the bond that should be imposed if a remedy is ordered.
Written Submissions: Parties to the investigation, interested government agencies, and any other interested parties are encouraged to file written submissions on the issues of remedy, the public interest, and bonding. In their initial submission, Complainants are also requested to identify the remedy sought and Complainants are requested to submit proposed remedial orders for the Commission's consideration. Complainants are further requested to state the dates that the Asserted Patents expire, to provide the HTSUS subheadings under which the accused products are imported, and to supply the identification information for all known importers of the products at issue in this investigation. The initial written submissions and proposed remedial orders must be filed no later than close of business on May 14, 2025. Reply submissions must be filed no later than the close of business on May 21, 2025. No further submissions on any of these issues will be permitted unless otherwise ordered by the Commission.
Persons filing written submissions must file the original document electronically on or before the deadlines stated above pursuant to 19 CFR 210.4(f). Submissions should refer to the investigation number (“Inv. No. 337-TA-1415”) in a prominent place on the cover page and/or the first page. ( See Handbook for Electronic Filing Procedures, https://www.usitc.gov/documents/handbook_on_filing_procedures.pdf). Persons with questions regarding filing should contact the Secretary, (202) 205-2000.
Any person desiring to submit a document to the Commission in confidence must request confidential treatment by marking each document with a header indicating that the document contains confidential information. This marking will be deemed to satisfy the request procedure set forth in Rules 201.6(b) and 210.5(e)(2) (19 CFR 201.6(b) & 210.5(e)(2)). Documents for which confidential treatment by the Commission is properly sought will be treated accordingly. Any non-party wishing to submit comments containing confidential information must serve those comments on the parties to the investigation pursuant to the applicable Administrative Protective Order. A redacted non-confidential version of the document must also be filed with the Commission and served on any parties to the investigation within two business days of any confidential filing. All information, including confidential business information and documents for which confidential treatment is properly sought, submitted to the Commission for purposes of this investigation may be disclosed to and used: (i) by the Commission, its employees and Offices, and contract personnel (a) for developing or maintaining the records of this or a related proceeding, or (b) in internal investigations, audits, reviews, and evaluations relating to the programs, personnel, and operations of the Commission including under 5 U.S.C. Appendix 3; or (ii) by U.S. government employees and contract personnel, solely for cybersecurity purposes. All contract personnel will sign appropriate nondisclosure agreements. All nonconfidential written submissions will be available for public inspection on EDIS.
The Commission's vote for this determination took place on April 29, 2025.
The authority for the Commission's determination is contained in section 337 of the Tariff Act of 1930, as ( printed page 18993) amended (19 U.S.C. 1337), and in part 210 of the Commission's Rules of Practice and Procedure (19 CFR part 210).
By order of the Commission.
Issued: April 29, 2025.
Lisa Barton,
Secretary to the Commission.
