ITC denies Epistar's motion in patent dispute with Lumileds

Aug. 29, 2007

*** Company press release ***

The United States International Trade Commission (ITC) has denied Epistar's motion to stay the ITC's Exclusion Order barring importation of Epistar's OMA, MB and GB LEDs.

After the ITC ruled that Epistar's current AlInGaP LEDs infringe Philips Lumileds' patent rights and issued an exclusion order banning importation of those LEDs, Epistar filed motions before both the ITC and the U.S. Court of Appeals for the Federal Circuit to stay enforcement of the exclusion order. The ITC has denied Epistar's motion.

In its Opinion, the ITC ruled that "Epistar has not made a showing of likelihood of success on the merits" of its appeal of the decision to issue an exclusion order. In making this ruling, the ITC admonished Epistar for relying "on quotes from the [Administrative Law Judge] ALJ that are presented out of order and without context in an attempt to convey a meaning that is in contrast with that actually expressed by the ALJ," who made the initial determination in the investigation.

The ITC also noted Epistar's "tardy arguments made in circumvention of the Commission's rules." The Commission opinion concluded that "we properly considered and ruled on all issues raised by Epistar in its stay motion, and a substantial factual record, along with Federal Circuit precedent, supports our determinations."

This ruling should clear the way for the Federal Circuit to deny Epistar's other motion to stay, leading to enforcement of the Exclusion Order barring importation of the infringing products.