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face "337 investigation" Why the balancing car won a series of lawsuits
date: 2023-03-03

2017 years 9 month, Hangzhou Biker Intelligent Technology Co. , Ltd. in the United States 337 Terms obtained in the survey "No infringement of plaintiff's patent rights" award. And not long ago, The company is on the other side "337 investigation" The court also won. So far, The Riders have won twice in a row in half a month. This has turned the corner for Chinese companies, which had been affected by patent lawsuits and the development of the balanced car industry.


  Complex relationship of rights protection


  Numerous related enterprises


   "337 investigation" , It has almost become a permanent pain for Chinese enterprises to enter the US market, And it's not just one business that's been shut out, It is often the industry that is hit. Many industries collapsed in the United States after being beaten down, Many businesses have disappeared. ZTE, Huawei used to be "337 investigation" Defendant of, Now the balance car.


  Since the 2014 After the equilibrium car entered the market, Many companies have followed suit. Up to 2015 End of the year, about 1000 Several companies sell balance cars, The market is valued in the billions of dollars. At the same time, Market competition has also led to legal disputes.


  Up to 2015 End of the year, Several lawsuits have been filed in connection with the balancing car, 2016 years, More lawsuits have been filed. Two years, Dozens of cases have been filed in U. S. district courts and the U. S. International Trade Commission, Dozens of companies are involved, All with the twist of the car (Immediate balancing car) Be the object of investigation. Most of these companies are defendants, And almost every plaintiff is also a defendant in another case.


  The American law firm Feihan filed two lawsuits on behalf of the company "337 investigation" case. In the first investigation, The plaintiff is Accenture Corporation ( "sharpness" ) And balance car inventor Chen Xing advocated "Chen Xing patent" , The patent is believed to be the first for a balanced vehicle, The most basic patent. In the second investigation, Narnbow, in collaboration with its US division Segway, is claiming two patents that focus on technology used in Narnbow's products. Both investigations involve a large number of defendants, Some of it also overlaps in the two investigations. In fact, The plaintiff in the first case is Accenture, Is one of the defendants in the second investigation.


  Participating in the defense of Feihan law firm lawyers in Qing Yu introduction, In both cases of investigation, Plaintiffs Ratchet and Nunbaugh both sought general exclusion orders from the International Trade Commission. "General exclusion orders do the most damage, Once issued, The products included are regardless of origin, place of origin, importer, seller, Are not allowed to be sold in the United States, And it's not limited to the companies involved in the survey. " To this, Ministry of Commerce trade remedy and Investigation deputy director Liu Danyang said, "United States '337 investigation' Aimed at the whole balance car industry" .


  5 Launch within a month 3 Start an investigation, A general exclusion order was sought each time, It's very rare, "337 investigation" The attitude towards the balance car appears to be menacing.


  Face difficulties head-on


  Improper ostrich


  face "337 investigation" , Most defendants chose to drop their pleas or sign consent decrees, The rider, however, chose to defend his interests, When Nunbaugh was not named as a defendant in his original complaint, The rider offered to join the investigation. But in both of these cases, Feihan's performance was nothing short of heroic, Lead other defendants to defend jointly, Took the case to trial.


  2017 years 7 month 28 day, The U. S. International Trade Commission decided not to review the administrative judge's ruling, The investigation ended in victory for the defendant. 8 month 10 day, In the case of the Nunbow investigation, The administrative judge ruled that the defendant had not infringed Nunnbo's patent, And the domestic industry associated with the patent does not exist.


  Yin Qing Yu lawyer introduced, In both cases, co-ownership 30 Multiple lawyers participated in the defense, It also includes each company's legal team, The lineup is formidable.


  There are riders all over the world 200 Additional patents and patent applications, It has a strong patent pool, Is considered to be the capital that can fight back first. Rider since 2015 It was an instant hit at the Consumer Electronics Show in the United States in 2005, After appearing on the global fashion products list of the exhibition, Orders are in short supply, More than half are from overseas. overseas "Water is too deep" , It was then taken down by Amazon, Overseas patent disputes and a series of incidents, There is a tendency to open high and move low, Even China's balanced car industry is in trouble.


  Riding limited company legal director Li Lu said, The patent in question is on 2014 A mandate that was just granted in 2000, It has at least one expiration date 18 years. If the ITC does issue a limited exclusion order to all or some of the Chinese companies involved, Or even a general exclusion order for all potential infringers, This is a Chinese company, In particular, it will be a heavy blow to many small and medium-sized enterprises in China, which basically have no resistance to patents.


  It's worth noting, It was started at Reggie "337 investigation" In the, The vast majority of the accused have chosen to give up the market or not answer the lawsuit, Finally hired lawyers actively respond to the Chinese enterprises, Just Alibaba and Hangzhou Biker.


  Judging from the result, Those who responded positively were eventually sentenced "No infringement" . Among the American companies responding to the lawsuit, 8 Among the companies responding to the lawsuit 7 Home adjudication "No infringement" , This shows that domestic enterprises voluntarily give up the market or refuse to answer the lawsuit is not the best policy.


  Yin Qing Yu lawyer introduced, Enterprise response "337 investigation" It takes a lot of money, Manpower and time, Multimillion-dollar legal fees are common, There will be no compensation for attorney's fees if the case is won, So some enterprises have taken the attitude of giving up responding to the lawsuit. add, According to "337 investigation" rule, Both collecting evidence and testifying under oath are huge and complex tasks for domestic enterprises, Unfamiliarity with American law, Let domestic enterprises fear, Thus adopting an ostrich attitude.


  Industry veteran pointed out, If you don't answer the lawsuit, It is extremely unfavorable to the enterprises under investigation, Could be found to be a defendant in absentia. The plaintiff's allegations against the absent defendant will be found to be true, It may file with the United States International Trade Commission for immediate relief against the absent defendant, Such as limited or general exclusion orders, Injunction, etc. Even without being a defendant, If the investigation involves self-interest, They should also participate in the investigation as interested parties, To prevent their own interests from being infringed upon. (journalist Korea ji)


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  Balancing car has been a defendant three times in the United States


  The first one is for Chinese balancing vehicles "337 investigation" Be in 2014 years. According to the U. S. International Trade Commission website, American local time 2014 years 9 month 9 day, The American Segway Corporation and DEKA The company filed a complaint with the U. S. International Trade Commission "337 investigation" Apply for, charge 12 Chinese and American companies export to the United States, The electric mobility balancing vehicle and its components and manual sold in the United States infringed its United States patent rights and Copyrights. In the same year 11 month 5 day, The United States International Trade Commission has decided to take action against some electric balance vehicles "337 investigation" . The investigation accuses China, American business exports to the United States, Some of the electric balance vehicles imported or sold in the United States infringed their valid patent rights registered in the United States, Request a general exclusion order or a limited exclusion order and an injunction from the United States International Trade Commission.


  2016 years 3 month 10 day, In response to the second investigation, the United States International Trade Commission issued a directive on balancing vehicle products "337 investigation" The final award, A general exclusion order was issued for unlicensed balance car products entering the U. S. market. The Rider promptly filed a motion with the U. S. International Trade Commission, The application requires Chinese companies to join, Right to petition.


  The third case involved a Chinese enterprise "337 investigation" The case begins with 2016 years 3 month 22 day. After Segway announced that the United States International Trade Commission 18 heliotropic 4 The general exclusion came on the same day that a Chinese electric balance vehicle company issued the order, Infanti, from the United States, is a plaintiff along with Rueger, Petitioning the U. S. International Trade Commission for patent infringement against a 28 Domestic enterprise (10 A Chinese company and 18 An American company) Import of, Or for import (United States) And sell, Or at import (United States) The subsequent sales infringe upon the plaintiff's intellectual property rights "Electric balancing vehicle" expansion "337 investigation" .


  Extended reading


  What is "Chen Xing patent"


  Although the balance car industry layout of nearly 1, 000 companies in the United States and China, But the key, The most controversial intellectual property is "Chen Xing patent" . What is "Chen Xing patent" ? What role does the patent play in the lawsuit?


  2010 years, Chen Xing invented the electric wheelbarrow Solowheel, And applied for a patent. 2012 At the end of, SoloWheel Enter the Chinese market, Once the product is launched, That is, many domestic manufacturers compete to imitate. Good quality but expensive SoloWheel Gradually marginalized in the market, Instead, the quality is not guaranteed, Cheap knock-offs are rife. 2012 years, Chen Xing also invented a two-wheeled electric skateboard——It's what we call a twister, It was just a concept at the time, But Chen soon applied for a patent with the United States Patent and Trademark Office, It includes a basic patent for the Twister. 2013 years, Before the patent was granted, Twister product finally takes shape, And to Hovertrax To market for a name.


  Rider founder, Inventor Ying Jiawei and his team added intelligent balancer technology to the scooter product, Make improvements. from 2006 Year to year 2009 years, After three years of product development period, Ying Jiawei balance car into the market stage, until 2014 years 8 month, The balance bike named after the rider is officially launched in cooperation with Suning, It was considered a world first at the time.


  It was started at Reggie "337 investigation" In the, The patent in question is "Chen Xing patent" . For the patent, Hangzhou had sought invalidation of the patent at the US Patent Office and the US International Trade Commission, But they were unsuccessful. The rider then promptly filed a motion, Recommend that the judge suspend or terminate the investigation, On the other hand, In the course of an investigation by the United States International Trade Commission, The differences between the claims of the patent involved and the products of Hangzhou Biker, Give positive evidence. Because it's an early patent, The formulation of technical concepts and claims did not meet the expectations of the actual design and implementation of industrial products. in "337 investigation" In the, The interpretation and scope of claims are also key issues. finally, The US International Trade Commission found that Hangzhou Riders did not infringe. (Korea ji)


  Actively respond to a lawsuit, Do not do "Silence of the Lambs"


  Cope with "337 investigation" , Get to the bottom of it first—— "337 investigation" It's how the US pushes out its competitors.


  Some people think "337 investigation" Have a misunderstanding: It is believed that companies are sued because they are not strong enough, Its intellectual property rights are defective. Not so much, The initiation of an investigation does not necessarily mean infringement or other wrongdoing on the part of the investigated party. That year HTC Being sued by Apple, Led to a ban on some products in the United States, Market development has been hit. Precisely because HTC Success in the American market, It took the top spot in the U. S. smartphone market. Many smartphones in China are in a similar situation, The early stages of development are often smooth, Once a bluff is made, Lawsuits followed.


   "337 investigation" They are mostly aimed at high-tech industries, It is the industrial highland of all countries, To maintain America's own competitive advantage, The US has often used this tactic against foreign companies.


  The economic development of China and the United States in recent years, Trade frictions are on the rise, According to data released by the U. S. International Trade Commission, 2016 First half of the year "337 investigation" And involving Chinese enterprises in the joint filing 14 since, The company involved, Gundam 77 home. The areas investigated include medicine, Medical instrument, IT electron, semiconductor, New energy products, E-commerce platforms and steel. in "337 investigation" In the dock, Existing Huawei, Well-known enterprises such as ZTE, There are also a number of start-ups.


  Transportation equipment is mainly involved in electric balancing vehicles. Data display, 2015 China's balanced car exports have reached this year 1200 Ten thousand, 6 Monthly export scale reached 400 Hundred million yuan, 60%Exports to the United States. It was sales like this that hit "337 investigation" Tolerance limit. In recent years, With the improvement of intellectual property operation capability of Chinese enterprises, And strengthen the ability to control the risk in overseas markets, right "337 investigation" No longer helpless, Some of them won. For example, Zte Continuous 4 Sub-acquired United States "337 investigation" The final decision was in favor of the suit.


  Face frequent "337 investigation" , Industry veteran pointed out, It is very important to respond positively. The litigation process consumes a lot of time and money, Bring a considerable cost to the respondent. In the long run, It's worth the effort. because "337 investigation" It strikes at the interests of the whole industry, There is no time limit for general exclusion orders like balancing cars, Not answering the lawsuit is like "Silence of the Lambs" , Be disposed of by person, Give up the entire industry on a silver spoon. (Rain level)


Article source: Economic Daily