Opinion ID: 757016
Heading Depth: 2
Heading Rank: 2

Heading: The ITC's Jurisdiction Under Section 337

Text: 13 Section 337 lists the requirements for the ITC's jurisdiction. In particular, section 337 requires an importation or a sale for importation before the ITC may exercise jurisdiction over any accused goods. The ITC found a long and well established course of conduct between Enercon and NWP that demonstrated that there had been a contract for sale of Enercon's model E-40 variable wind turbines to NWP for importation into the United States, thereby bringing the turbines within its jurisdiction under section 337. 14 In 1993, NWP wrote to Enercon to request a price quote for a specific number of model E-40 variable wind turbines in connection with a project planned in the state of Washington. Enercon responded on August 18, 1993 with a written offer to sell NWP the E-40 wind turbines at a specific price per turbine, to be delivered on the west coast of the United States. The offer stated that it would remain open until March 31, 1994 and was signed by several of Enercon's officers. The ITC found that while this particular offer was not accepted, it did establish a set price per turbine when sold in the stated quantity. Following several meetings between Enercon and NWP, Enercon sent NWP a letter on February 15, 1994 stating that [w]e once again would like to point out that we will be prepared to fulfill your requirements starting in 1995.... 15 On February 28, 1994, NWP submitted a bid on a project for Texas Utilities (TU) in Big Spring, Texas. In the bid, NWP stated an intention to use Enercon's E-40 variable wind turbines. In the ensuing months there were several meetings between NWP and Enercon, ostensibly to discuss the E-40 turbines and their use in the Big Spring project. On June 1, 1994, Enercon's U.S. affiliate reported in a faxed memorandum that the entire Big Spring project would likely be awarded to NWP and that Enercon needed to deliver the turbines. On June 3, 1994, an internal Enercon memorandum reported that the Big Spring project was indeed awarded to NWP and that Enercon was listed as providing the turbines for the project. 16 In September, 1994, NWP signed an energy purchase agreement with TU, the sponsor of the Big Springs project. The agreement specified that all wind turbines would be Enercon's model E-40 turbines. Near the end of 1994, Enercon investigated the cost involved in shipping the E-40 turbines from Germany to Big Spring, Texas. Finally, at the American Wind Energy Association conference, which took place in March 1995, the NWP booth at the conference displayed posters depicting Enercon's E-40 turbine and described its expected use in the forthcoming Big Spring project. 17 The ITC found that these activities, combined with the initial offer to provide the turbines at a specific price per machine, demonstrated that a contract had been formed between Enercon and NWP for the sale of the E-40 turbines. Having found a contract for sale and importation into the United States, the ITC consequently found that it had jurisdiction under section 337 to determine whether the Enercon E-40 turbines infringed the '039 patent as alleged by Kenetech. Based upon the claim construction and comparison to the accused device, the ITC found that Enercon's E-40 turbines, if imported into the United States, would infringe claim 131 of the '039 patent and accordingly ordered the exclusion of the E-40 and similar turbines from importation into the United States until the expiration of the '039 patent.