**Before the**

**Federal Communications Commission**

**Washington, D.C. 20554**

In the Matter of )

)

Samson Technologies, Inc. ) File No. EB-02-TS-607

) NAL/Acct. No. 200432100008

) FRN 0009-9962-73

)

## NOTICE OF APPARENT LIABILITY FOR FORFEITURE 

**Adopted: February 25, 2004 Released: March 3, 2004**

By the Commission:

**I.** **INTRODUCTION**

1.  In this *Notice of Apparent Liability for Forfeiture* ("*NAL*"), we
    find Samson Technologies, Inc. ("Samson") apparently liable for a
    forfeiture in the amount of thirty-five thousand dollars (\$35,000)
    for willful and repeated apparent violation of Section 302(b) of the
    Communications Act of 1934, as amended ("Act"),[^1] and Section
    2.803(a) of the Commission's Rules ("Rules").[^2] The noted apparent
    violations involve Samson's importing and marketing of five models
    of multi-track music recording devices that do not comply with the
    radiated emission limits set forth in Part 15 of the Rules.

#### BACKGROUND

2.  Zoom Corporation ("Zoom"), a Japanese company, manufactured the
    recording equipment involved in this case and Samson imported that
    equipment and marketed it in the United States. The recording
    devices involved in this case are classified as digital devices.[^3]
    Digital devices such as those involved in this case are classified
    as either Class A or Class B digital devices. A Class A digital
    device is defined as "\[a\] digital device that is marketed for use
    in a commercial, industrial or business environment, exclusive of a
    device which is marketed for use by the general public or is
    intended to be used in the home."[^4] A Class B digital device is
    defined as "\[a\] digital device that is marketed for use in a
    residential environment notwithstanding use in commercial, business
    and industrial environments."[^5] Class A digital devices must
    comply with the radiated emission limits specified by Section
    15.109(b) of the Rules.[^6] Class B digital devices are required to
    comply with the more stringent radiated emission limits specified by
    Section 15.109(a) of the Rules. [^7]

3.  During February 2002, the Commission's Office of Engineering and
    Technology ("OET") received a complaint about recording equipment
    manufactured by Zoom and designated as the Model MRS-1044 Zoom
    MultiTrak Recording Studio ("MRS-1044").[^8] The complaint alleges
    that the MRS-1044 was being marketed in the United States but did
    not comply with the radiated emission limits prescribed by Section
    15.109(a) of the Rules for Class B digital devices. In October 2002,
    OET referred the complaint against Zoom to the Enforcement Bureau
    ("EB"). On January 15, 2003, EB sent Samson a letter of inquiry
    ("LOI").[^9] In its response, submitted February 13, 2003, Samson
    states that Zoom had replaced the MRS-1044 and MRS-1044CD (a version
    of the MRS-1044 which includes a built-in compact disc recorder)
    with new models designated as MRS-1266 and MRS-1266CD and that
    Samson was importing and marketing those models.[^10]

4.  On July 7, 2003, EB sent Samson an additional LOI.[^11] In its
    responses, submitted July 28 and August 6, 2003, Samson states that,
    in addition to the MRS-1266 and the MRS-1266CD, it was importing and
    marketing similar recording devices designated as the MRS-802,
    MRS-802CD and MRS-4.[^12] Samson also states that it is the sole
    importer of the MRS-1266, MRS-1266CD, MRS-802, MRS-802CD and MRS-4.
    Additionally, Samson reports that, as of July 28, 2003, it had
    acquired 3,180 MRS-1266 and MRS-1266CD units for sale and sold 2,596
    and had acquired 1,250 MRS-802 and MRS-802CD units for sale and sold
    1,092; and that, as of August 6, 2003, it had acquired for sale
    10,030 MRS-4 units and sold 8,330. With respect to each of the five
    models of Zoom recording devices, Samson states that the devices
    "are not Class B digital devices and therefore do not comply with
    radiated limits of Section 15.109(a)." According to Samson, these
    devices are Class A digital devices and, as such, comply with the
    less stringent radiated emission limits of Section 15.109(b) of the
    Rules. Samson further indicates that the Zoom recording devices were
    authorized for marketing[^13] in the United States through the
    "verification" procedure.[^14] Samson provides copies of the
    verification test reports for the MRS-1266 and MRS-4, which indicate
    that these devices comply with the radiated emission limits
    prescribed for Class A digital devices but not with the limits
    prescribed for Class B digital devices.[^15]

5.  On September 4, 2003, EB sent Samson a third LOI.[^16] In its
    response, received September 24, 2003, Samson concedes that the
    MRS-1266, MRS-1266CD, MRS-802, MRS-802CD and MRS-4 were being
    marketed to the general public for residential use and were,
    therefore, Class B digital devices.[^17] Samson states that it has
    taken the following steps to address the marketing issue: notifying
    retailers that they should not sell the MRS-1266, MRS-1266CD,
    MRS-802, MRS-802CD and MRS-4 for residential use; discontinuing
    importation of these devices; repacking its inventory of these
    devices for shipment back to the manufacturer; and replacing the
    Zoom recording devices with new models that comply with the Class B
    radiated emission limits.[^18] Samson also states that it will no
    longer import or market any Class A digital devices. Rather, it will
    only import and market devices that comply with the Class B
    technical standards.

    **III. DISCUSSION**

6.  Section 302(b) of the Act provides that "\[n\]o person shall
    manufacture, import, sell, offer for sale, or ship devices or home
    electronic equipment and systems, or use devices, which fail to
    comply with regulations promulgated pursuant to this section."
    Section 2.803(a)(2) of the Rules provides that:

> Except as provided elsewhere in this section, no person shall sell or
> lease, or offer for sale or lease (including advertising for sale or
> lease), or import, ship, or distribute for the purpose of selling or
> leasing or offering for sale or lease, any radio frequency device
> unless ... \[i\]n the case of a device that is not required to have a
> grant of equipment authorization issued by the Commission, but which
> must comply with the specified technical standards prior to use, such
> device also complies with all applicable administrative (including
> verification of the equipment or authorization under a Declaration of
> Conformity, where required), technical, labelling and identification
> requirements specified in this chapter.

7.  Samson admits that it imported and marketed the MRS-4, MRS-802,
    MRS-802CD, MRS-1266 and MRS-1266CD. These devices are subject to
    self-verification pursuant to our Rules.[^19] Thus, as the importer
    and seller, Samson is the party responsible under Section 2.909(b)
    of the Rules[^20] for the compliance of these devices with the
    applicable technical standards. Samson now admits that the MRS-4,
    MRS-802, MRS-802CD, MRS-1266 and MRS-1266CD were marketed for use in
    residential environments and are, therefore, Class B digital
    devices, which must comply with the radiated emission limits set
    forth in Section 15.109(a) of the Rules. This is consistent with the
    record evidence. Language in Samson's marketing materials clearly
    indicates that these devices were marketed for home use. For
    example, Samson advertised the MRS-802 as "the most affordable
    complete home recording studio ever" and the MRS-802CD as
    "everything you need to make incredible sound recordings at home"
    and bringing "professional grade recording tools to your living
    room, bedroom, garage or where ever inspiration might strike."
    Samson also admits that the MRS-1266, MRS-1266CD, MRS-802, MRS-802CD
    and MRS-4 do not comply with the Class B radiated emission limits.
    We conclude that, by importing and marketing noncompliant devices,
    Samson apparently violated Section 302(b) of the Act and Section
    2.803(a)(2) of the Rules willfully[^21] and repeatedly. [^22]

8.  Section 503(b) of the Act authorizes the Commission to assess a
    forfeiture for each willful or repeated violation of the Act or of
    any rule, regulation, or order issued by the Commission under the
    Act.[^23] In exercising such authority, we are required to take into
    account "the nature, circumstances, extent, and gravity of the
    violation and, with respect to the violator, the degree of
    culpability, any history of prior offenses, ability to pay, and such
    other matters as justice may require."[^24]

9.  Pursuant to *The Commission's Forfeiture Policy Statement and
    Amendment of Section 1.80 of the Rules to Incorporate the Forfeiture
    Guidelines* ("*Forfeiture Policy Statement*")[^25] and Section 1.80
    of the Rules,[^26] the base forfeiture amount for the importation or
    marketing of noncompliant equipment is \$7,000. In this case, Samson
    imported and sold five distinct models. We find that a forfeiture
    amount of \$7,000 is apparently warranted for each model.
    Accordingly, applying the *Forfeiture Policy Statement* and
    statutory factors to the instant case, we conclude that Samson is
    apparently liable for a \$35,000 forfeiture.

####  IV. ORDERING CLAUSES

10. Accordingly, **IT IS ORDERED** that, pursuant to pursuant to Section
    503(b) of the Act and Section 1.80 of the Rules, Samson Products,
    Inc. d/b/a Samson Manufacturing, Ltd., **IS** hereby **NOTIFIED** of
    its **APPARENT LIABILITY FOR A FORFEITURE** in the amount of
    thirty-five thousand dollars (\$35,000) for willfully and repeatedly
    violating Section 302(b) of the Act and Section 2.803(a) of the
    Rules.

11. **IT IS FURTHER ORDERED THAT**, pursuant to Section 1.80 of the
    Rules, within thirty days of the release date of this *Notice of
    Apparent Liability for Forfeiture*, Samson Technologies, Inc.,
    **SHALL PAY** the full amount of the proposed forfeiture or **SHALL
    FILE** a written statement seeking reduction or cancellation of the
    proposed forfeiture.

12. Payment of the forfeiture may be made by mailing a check or similar
    instrument, payable to the order of the Federal Communications
    Commission, to the Forfeiture Collection Section, Finance Branch,
    Federal Communications Commission, P.O. Box 73482, Chicago, Illinois
    60673-7482. The payment must include the FCC Registration Number
    (FRN) and the NAL/Acct. No. referenced in the caption.

13. The response, if any, must be mailed to the Office of the Secretary,
    Federal Communications Commission, 445 12th Street, S.W.,
    Washington, D.C. 20554, ATTN: Enforcement Bureau -- Spectrum
    Enforcement Division, and must include the NAL/Acct. No. referenced
    in the caption.

14. The Commission will not consider reducing or canceling a forfeiture
    in response to a claim of inability to pay unless the petitioner
    submits: (1) federal tax returns for the most recent three-year
    period; (2) financial statements prepared according to generally
    accepted accounting; or (3) some other reliable and objective
    documentation that accurately reflects the petitioner's current
    financial status. Any claim of inability to pay must specifically
    identify the basis for the claim by reference to the financial
    documentation submitted.

15. Requests for payment of the full amount of this *Notice of Apparent
    Liability for Forfeiture* under an installment plan should be sent
    to: Chief, Revenue and Receivable Operations Group, 445 12th Street,
    S.W., Washington, D.C. 20554.[^27]

16. Under the Small Business Paperwork Relief Act of 2002, Pub L. No.
    107-198, 116 Stat. 729 (June 28, 2002), the FCC is engaged in a
    two-year tracking process regarding the size of entities involved in
    forfeitures. If you qualify as a small entity and if you wish to be
    treated as a small entity for tracking purposes, please so certify
    to us within thirty (30) days of this NAL, either in your response
    to the NAL or in a separate filing to be sent to the Enforcement
    Bureau -- Spectrum Enforcement Division. Your certification should
    indicate whether you, including your parent entity and its
    subsidiaries, meet one of the definitions set forth in the list
    provided by the FCC's Office of Communications Business
    Opportunities ("OCBO") set forth in Attachment A of this Notice of
    Apparent Liability. This information will be used for tracking
    purposes only. Your response or failure to respond to this question
    will have no effect on your rights and responsibilities pursuant to
    Section 503(b) of the Act. If you have questions regarding any of
    the information contained in Attachment A, please contact OCBO
    at (202) 418-0990.

17. **IT IS FURTHER ORDERED** that a copy of this *Notice of Apparent
    Liability for Forfeiture* shall be sent by first class mail and
    certified mail return receipt requested to counsel for Samson
    Technologies, Inc., Robert J. Ungar, Esq., Fish & Richardson, PC,
    1445 K Street, N.W., 11^th^ Floor, Washington, D.C. 20005.

FEDERAL COMMUNICATIONS COMMISSION

Marlene H. Dortch

Secretary

Attachment A

+--------------------------------+-------------------------------------+
| **FCC List of Small Entities** |                                     |
|                                |                                     |
| **As described below, a "small |                                     |
| entity" may be a small         |                                     |
| organization,**                |                                     |
|                                |                                     |
| **a small governmental         |                                     |
| jurisdiction, or a small       |                                     |
| business.**                    |                                     |
+--------------------------------+-------------------------------------+
| **(1) Small Organization**     |                                     |
+--------------------------------+-------------------------------------+
| **Any not-for-profit           |                                     |
| enterprise that is             |                                     |
| independently owned and        |                                     |
| operated and**                 |                                     |
|                                |                                     |
| **is not dominant in its       |                                     |
| field.**                       |                                     |
+--------------------------------+-------------------------------------+
| **(2) Small Governmental       |                                     |
| Jurisdiction**                 |                                     |
+--------------------------------+-------------------------------------+
| **Governments of cities,       |                                     |
| counties, towns, townships,    |                                     |
| villages, school districts,    |                                     |
| or**                           |                                     |
|                                |                                     |
| **special districts, with a    |                                     |
| population of less than fifty  |                                     |
| thousand.**                    |                                     |
+--------------------------------+-------------------------------------+
| **(3) Small Business**         |                                     |
+--------------------------------+-------------------------------------+
| **Any business concern that is |                                     |
| independently owned and        |                                     |
| operated and**                 |                                     |
|                                |                                     |
| **is not dominant in its       |                                     |
| field, *and* meets the         |                                     |
| pertinent size criterion       |                                     |
| described below.**             |                                     |
+--------------------------------+-------------------------------------+
| **Industry Type**              | **Description of Small Business     |
|                                | Size Standards**                    |
+--------------------------------+-------------------------------------+
| ***Cable Services or           |                                     |
| Systems***                     |                                     |
+--------------------------------+-------------------------------------+
| Cable Systems                  | Special Size Standard --            |
|                                |                                     |
|                                | **Small Cable Company** has 400,000 |
|                                | Subscribers Nationwide or Fewer     |
+--------------------------------+-------------------------------------+
| Cable and Other Program        | \$12.5 Million in Annual Receipts   |
| Distribution                   | or Less                             |
+--------------------------------+-------------------------------------+
| Open Video Systems             |                                     |
+--------------------------------+-------------------------------------+
| ***Common Carrier Services and |                                     |
| Related Entities***            |                                     |
+--------------------------------+-------------------------------------+
| Wireline Carriers and Service  | 1,500 Employees or Fewer            |
| providers                      |                                     |
+--------------------------------+-------------------------------------+
| Local Exchange Carriers,       |                                     |
| Competitive Access Providers,  |                                     |
| Interexchange Carriers,        |                                     |
| Operator Service Providers,    |                                     |
| Payphone Providers, and        |                                     |
| Resellers                      |                                     |
+--------------------------------+-------------------------------------+
| **Note:** With the exception   |                                     |
| of Cable Systems, all size     |                                     |
| standards are expressed in     |                                     |
| either millions of dollars or  |                                     |
| number of employees and are    |                                     |
| generally the average annual   |                                     |
| receipts or the average        |                                     |
| employment of a firm.          |                                     |
| Directions for calculating     |                                     |
| average annual receipts and    |                                     |
| average employment of a firm   |                                     |
| can be found in                |                                     |
|                                |                                     |
| 13 CFR 121.104 and 13 CFR      |                                     |
| 121.106, respectively.         |                                     |
+--------------------------------+-------------------------------------+
| ***International Services***   |                                     |
+--------------------------------+-------------------------------------+
| International Broadcast        | \$12.5 Million in Annual Receipts   |
| Stations                       | or Less                             |
+--------------------------------+-------------------------------------+
| International Public Fixed     |                                     |
| Radio (Public and Control      |                                     |
| Stations)                      |                                     |
+--------------------------------+-------------------------------------+
| Fixed Satellite                |                                     |
| Transmit/Receive Earth         |                                     |
| Stations                       |                                     |
+--------------------------------+-------------------------------------+
| Fixed Satellite Very Small     |                                     |
| Aperture Terminal Systems      |                                     |
+--------------------------------+-------------------------------------+
| Mobile Satellite Earth         |                                     |
| Stations                       |                                     |
+--------------------------------+-------------------------------------+
| Radio Determination Satellite  |                                     |
| Earth Stations                 |                                     |
+--------------------------------+-------------------------------------+
| Geostationary Space Stations   |                                     |
+--------------------------------+-------------------------------------+
| Non-Geostationary Space        |                                     |
| Stations                       |                                     |
+--------------------------------+-------------------------------------+
| Direct Broadcast Satellites    |                                     |
+--------------------------------+-------------------------------------+
| Home Satellite Dish Service    |                                     |
+--------------------------------+-------------------------------------+
| ***Mass Media Services***      |                                     |
+--------------------------------+-------------------------------------+
| Television Services            | \$12 Million in Annual Receipts or  |
|                                | Less                                |
+--------------------------------+-------------------------------------+
| Low Power Television Services  |                                     |
| and Television Translator      |                                     |
| Stations                       |                                     |
+--------------------------------+-------------------------------------+
| TV Auxiliary, Special          |                                     |
| Broadcast and Other Program    |                                     |
| Distribution Services          |                                     |
+--------------------------------+-------------------------------------+
| Radio Services                 | \$6 Million in Annual Receipts or   |
|                                | Less                                |
+--------------------------------+-------------------------------------+
| Radio Auxiliary, Special       |                                     |
| Broadcast and Other Program    |                                     |
| Distribution Services          |                                     |
+--------------------------------+-------------------------------------+
| Multipoint Distribution        | Auction Special Size Standard --    |
| Service                        |                                     |
|                                | **Small Business** is less than     |
|                                | \$40M in annual gross revenues for  |
|                                | three preceding years               |
+--------------------------------+-------------------------------------+
| ***Wireless and Commercial     |                                     |
| Mobile Services***             |                                     |
+--------------------------------+-------------------------------------+
| Cellular Licensees             | 1,500 Employees or Fewer            |
+--------------------------------+-------------------------------------+
| 220 MHz Radio Service -- Phase |                                     |
| I Licensees                    |                                     |
+--------------------------------+-------------------------------------+
| 220 MHz Radio Service -- Phase | Auction special size standard -     |
| II Licensees                   |                                     |
|                                | **Small Business** is average gross |
|                                | revenues of \$15M or less for the   |
|                                | preceding three years (includes     |
|                                | affiliates and controlling          |
|                                | principals)                         |
|                                |                                     |
|                                | **Very Small Business** is average  |
|                                | gross revenues of \$3M or less for  |
|                                | the preceding three years (includes |
|                                | affiliates and controlling          |
|                                | principals)                         |
+--------------------------------+-------------------------------------+
| 700 MHZ Guard Band Licensees   |                                     |
+--------------------------------+-------------------------------------+
| Private and Common Carrier     |                                     |
| Paging                         |                                     |
+--------------------------------+-------------------------------------+
| Broadband Personal             | 1,500 Employees or Fewer            |
| Communications Services        |                                     |
| (Blocks A, B, D, and E)        |                                     |
+--------------------------------+-------------------------------------+
| Broadband Personal             | Auction special size standard -     |
| Communications Services (Block |                                     |
| C)                             | **Small Business** is \$40M or less |
|                                | in annual gross revenues for three  |
|                                | previous calendar years             |
|                                |                                     |
|                                | **Very Small Business** is average  |
|                                | gross revenues of \$15M or less for |
|                                | the preceding three calendar years  |
|                                | (includes affiliates and persons or |
|                                | entities that hold interest in such |
|                                | entity and their affiliates)        |
+--------------------------------+-------------------------------------+
| Broadband Personal             |                                     |
| Communications Services (Block |                                     |
| F)                             |                                     |
+--------------------------------+-------------------------------------+
| Narrowband Personal            |                                     |
| Communications Services        |                                     |
+--------------------------------+-------------------------------------+
| Rural Radiotelephone Service   | 1,500 Employees or Fewer            |
+--------------------------------+-------------------------------------+
| Air-Ground Radiotelephone      |                                     |
| Service                        |                                     |
+--------------------------------+-------------------------------------+
| 800 MHz Specialized Mobile     | Auction special size standard -     |
| Radio                          |                                     |
|                                | **Small Business** is \$15M or less |
|                                | average annual gross revenues for   |
|                                | three preceding calendar years      |
+--------------------------------+-------------------------------------+
| 900 MHz Specialized Mobile     |                                     |
| Radio                          |                                     |
+--------------------------------+-------------------------------------+
| Private Land Mobile Radio      | 1,500 Employees or Fewer            |
+--------------------------------+-------------------------------------+
| Amateur Radio Service          | N/A                                 |
+--------------------------------+-------------------------------------+
| Aviation and Marine Radio      | 1,500 Employees or Fewer            |
| Service                        |                                     |
+--------------------------------+-------------------------------------+
| Fixed Microwave Services       |                                     |
+--------------------------------+-------------------------------------+
| Public Safety Radio Services   | **Small Business** is 1,500         |
|                                | employees or less                   |
|                                |                                     |
|                                | **Small Government Entities** has   |
|                                | population of less than 50,000      |
|                                | persons                             |
+--------------------------------+-------------------------------------+
| Wireless Telephony and Paging  | 1,500 Employees or Fewer            |
| and Messaging                  |                                     |
+--------------------------------+-------------------------------------+
| Personal Radio Services        | N/A                                 |
+--------------------------------+-------------------------------------+
| Offshore Radiotelephone        | 1,500 Employees or Fewer            |
| Service                        |                                     |
+--------------------------------+-------------------------------------+
| Wireless Communications        | **Small Business** is \$40M or less |
| Services                       | average annual gross revenues for   |
|                                | three preceding years               |
|                                |                                     |
|                                | **Very Small Business** is average  |
|                                | gross revenues of \$15M or less for |
|                                | the preceding three years           |
+--------------------------------+-------------------------------------+
| 39 GHz Service                 |                                     |
+--------------------------------+-------------------------------------+
| Multipoint Distribution        | Auction special size standard       |
| Service                        | (1996) --                           |
|                                |                                     |
|                                | **Small Business** is \$40M or less |
|                                | average annual gross revenues for   |
|                                | three preceding calendar years      |
|                                |                                     |
|                                | Prior to Auction --                 |
|                                |                                     |
|                                | **Small Business** has annual       |
|                                | revenue of \$12.5M or less          |
+--------------------------------+-------------------------------------+
| Multichannel Multipoint        | \$12.5 Million in Annual Receipts   |
| Distribution Service           | or Less                             |
+--------------------------------+-------------------------------------+
| Instructional Television Fixed |                                     |
| Service                        |                                     |
+--------------------------------+-------------------------------------+
| Local Multipoint Distribution  | Auction special size standard       |
| Service                        | (1998) --                           |
|                                |                                     |
|                                | **Small Business** is \$40M or less |
|                                | average annual gross revenues for   |
|                                | three preceding years               |
|                                |                                     |
|                                | **Very Small Business** is average  |
|                                | gross revenues of \$15M or less for |
|                                | the preceding three years           |
+--------------------------------+-------------------------------------+
| 218-219 MHZ Service            | First Auction special size standard |
|                                | (1994) --                           |
|                                |                                     |
|                                | **Small Business** is an entity     |
|                                | that, together with its affiliates, |
|                                | has no more than a \$6M net worth   |
|                                | and, after federal income taxes     |
|                                | (excluding carryover losses) has no |
|                                | more than \$2M in annual profits    |
|                                | each year for the previous two      |
|                                | years                               |
|                                |                                     |
|                                | New Standard --                     |
|                                |                                     |
|                                | **Small Business** is average gross |
|                                | revenues of \$15M or less for the   |
|                                | preceding three years (includes     |
|                                | affiliates and persons or entities  |
|                                | that hold interest in such entity   |
|                                | and their affiliates)               |
|                                |                                     |
|                                | **Very Small Business** is average  |
|                                | gross revenues of \$3M or less for  |
|                                | the preceding three years (includes |
|                                | affiliates and persons or entities  |
|                                | that hold interest in such entity   |
|                                | and their affiliates)               |
+--------------------------------+-------------------------------------+
| Satellite Master Antenna       | \$12.5 Million in Annual Receipts   |
| Television Systems             | or Less                             |
+--------------------------------+-------------------------------------+
| 24 GHz -- Incumbent Licensees  | 1,500 Employees or Fewer            |
+--------------------------------+-------------------------------------+
| 24 GHz -- Future Licensees     | **Small Business** is average gross |
|                                | revenues of \$15M or less for the   |
|                                | preceding three years (includes     |
|                                | affiliates and persons or entities  |
|                                | that hold interest in such entity   |
|                                | and their affiliates)               |
|                                |                                     |
|                                | **Very Small Business** is average  |
|                                | gross revenues of \$3M or less for  |
|                                | the preceding three years (includes |
|                                | affiliates and persons or entities  |
|                                | that hold interest in such entity   |
|                                | and their affiliates)               |
+--------------------------------+-------------------------------------+
| ***Miscellaneous***            |                                     |
+--------------------------------+-------------------------------------+
| On-Line Information Services   | \$18 Million in Annual Receipts or  |
|                                | Less                                |
+--------------------------------+-------------------------------------+
| Radio and Television           | 750 Employees or Fewer              |
| Broadcasting and Wireless      |                                     |
| Communications Equipment       |                                     |
| Manufacturers                  |                                     |
+--------------------------------+-------------------------------------+
| Audio and Video Equipment      |                                     |
| Manufacturers                  |                                     |
+--------------------------------+-------------------------------------+
| Telephone Apparatus            | 1,000 Employees or Fewer            |
| Manufacturers (Except          |                                     |
| Cellular)                      |                                     |
+--------------------------------+-------------------------------------+
| Medical Implant Device         | 500 Employees or Fewer              |
| Manufacturers                  |                                     |
+--------------------------------+-------------------------------------+
| Hospitals                      | \$29 Million in Annual Receipts or  |
|                                | Less                                |
+--------------------------------+-------------------------------------+
| Nursing Homes                  | \$11.5 Million in Annual Receipts   |
|                                | or Less                             |
+--------------------------------+-------------------------------------+
| Hotels and Motels              | \$6 Million in Annual Receipts or   |
|                                | Less                                |
+--------------------------------+-------------------------------------+
| Tower Owners                   | (See Lessee's Type of Business)     |
+--------------------------------+-------------------------------------+

[^1]: 47 U.S.C. § 302a(b).

[^2]: 47 C.F.R. § 2.803(a).

[^3]: Section 15.3(k) of the Rules, 47 C.F.R. § 15.3(k), defines a
    digital device as "\[a\]n unintentional radiator (device or system)
    that generates and uses timing signals or pulses at a rate in excess
    of 9,000 pulses (cycles) per second and uses digital techniques;
    inclusive of telephone equipment that uses digital techniques or any
    device or system that generates and uses radio frequency energy for
    the purpose of performing data processing functions, such as
    electronic computations, operations, transformations, recording,
    filing, sorting, storage, retrieval, or transfer."

[^4]: 47 C.F.R. § 15.3(h).

[^5]: 47 C.F.R. § 15.3(i).

[^6]: 47 C.F.R. § 15.109(b).

[^7]: 47 C.F.R. § 15.109(a).

[^8]: Letter from Sharon A. Hoffman, Timco Engineering, Inc., to Raymond
    LaForge, Chief Measurements and Calibration Branch, Office of
    Engineering and Technology (February 28, 2002).

[^9]: Letter from Dan S. Emrick, Spectrum Enforcement Division,
    Enforcement Bureau, to Samson Technologies, Inc. (January 15, 2003).

[^10]: Letter from Robert J. Ungar, Esq., to Dan S. Emrick, Spectrum
    Enforcement Division, Enforcement Bureau (February 13, 2003).

[^11]: Letter from Joseph P. Casey, Chief, Spectrum Enforcement
    Division, Enforcement Bureau, to Robert J. Ungar, Esq. (July 7,
    2003).

[^12]: Letters from Robert J. Ungar, Esq., to Thomas Fitz-Gibbon,
    Spectrum Enforcement Division, Enforcement Bureau (July 28 and
    August 6, 2003).

[^13]: Section 15.101(a) of the Rules, 47 C.F.R. § 15.101(a), requires
    that unintentional radiators, such as the Zoom recording devices, be
    authorized by the Commission prior to the initiation of marketing in
    the United States.

[^14]: Verification is a self-authorization procedure where the
    manufacturer or the importer, in the case of imported equipment,
    makes measurements or takes the necessary steps to insure that the
    equipment complies with the appropriate technical standards. See 47
    C.F.R. §§ 2.902 and 2.909(b).

[^15]: The verification test reports provided by Samson for the
    MRS-802CD only included tests of the conducted emission limits
    (prescribed by 47 C.F.R. § 15.107), not the radiated emission
    limits.

[^16]: Letter from Joseph P. Casey, Chief, Spectrum Enforcement
    Division, Enforcement Bureau, to Robert J. Ungar, Esq. (September 4,
    2003).

[^17]: Letter from Robert J. Ungar, Esq., to Thomas D. Fitz-Gibbon,
    Spectrum Enforcement Division, Enforcement Bureau (September 24,
    2003).

[^18]: On December 4, 2003, EB received a report from Samson indicating
    that it has begun marketing replacement models for the MRS-802 and
    MRS-802CD and that the replacement models comply with the Class B
    radiated emission limits. Letter from Terry G. Mann, Esq., and
    Robert J. Ungar, Esq., to Joseph P. Casey, Kathryn Berthot and
    Thomas D. Fitz-Gibbon, Spectrum Enforcement Division, Enforcement
    Bureau, and Bruce Romano, Office of Engineering and Technology (
    December 4, 2003).

[^19]: 47 C.F.R. § 15.101(a).

[^20]: 47 C.F.R. § 2.909(b).

[^21]: Section 312(f)(1) of the Act, 47 U.S.C. § 312(f)(1), which
    applies to violations for which forfeitures are assessed under
    Section 503(b) of the Act, provides that "\[t\]he term 'willful,'
    ... means the conscious and deliberate commission or omission of
    such act, irrespective of any intent to violate any provision of
    this Act or any rule or regulation of the Commission authorized by
    this Act ...." *See Southern California Broadcasting Co.*, 6 FCC Rcd
    4387 (1991).

[^22]: Section 312(f)(2) of the Act provides that "\[t\]he term
    'repeated,' ... means the commission or omission of such act more
    than once or, if such commission or omission is continuous, for more
    than one day." 47 U.S.C. § 312(f)(2).

[^23]: 47 U.S.C. § 503(b).

[^24]: 47 U.S.C. § 503(b)(2)(D).

[^25]: 12 FCC Rcd 17087 (1997), *recon. denied* 15 FCC Rcd 303 (1999).

[^26]: 47 C.F.R. § 1.80.

[^27]: *See* 47 C.F.R. § 1.1914.