The Commission is authorized under Section 337 to issue two types of remedial orders -- exclusion orders and cease and desist orders. Both types of orders may be issued in the same case. An award of money damages is not available as a remedy for violation of Section 337.
An exclusion order directs the U.S. Customs and Border Protection to exclude articles from entry into the United States. There are two types of exclusion orders -- general exclusion orders and limited exclusion orders. A general exclusion order directs the U.S. Customs and Border Protection to exclude all infringing articles, without regard to source. In contrast, a limited exclusion order directs U.S. Customs and Border Protection to exclude infringing articles that originate from a specified firm that was a respondent in the Commission investigation. If an entity has previously attempted to import an excluded article into the United States and the article was previously denied entry by the U.S. Customs and Border Protection, the Commission may order the seizure and forfeiture of subsequent shipments of the article. See 19 U.S.C. §
1337(i).20
A cease and desist order directs a respondent in the Commission investigation to cease its unfair acts, including selling infringing imported articles out of U.S. inventory. Unlike exclusion orders, cease and desist orders are enforced by the Commission, not by U.S. Customs and Border Protection.21 See 19 U.S.C. § 1337(f)(2) (which provides for civil penalties for violation of cease and desist orders).
20 U.S. Customs and Border Protection procedures for implementing Commission exclusion orders and Commission seizure orders are set forth at 19 C.F.R. § 12.39.
21 Questions about the administration of exclusion orders should be addressed to the Intellectual Property Rights and Restricted Merchandise Branch of the U.S. Customs and Border Protection at 202-325-0020. Although Customs administers exclusion orders, the Commission’s Assistant General Counsel for Section 337 Investigations, who can be reached at 202-205-3061, may also be able to respond to questions regarding exclusion orders, as well as to questions
regarding Commission cease and desist orders.