Aldrich Chemical Co. v. United States

2 Ct. Int'l Trade 192
CourtUnited States Court of International Trade
DecidedNovember 9, 1981
DocketCourt No. 78-6-01082
StatusPublished

This text of 2 Ct. Int'l Trade 192 (Aldrich Chemical Co. v. United States) is published on Counsel Stack Legal Research, covering United States Court of International Trade primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Aldrich Chemical Co. v. United States, 2 Ct. Int'l Trade 192 (cit 1981).

Opinion

Watson, Judge:

In this test case the Court is faced with a dispute regarding classification of 13 entries of an organic chemical compound named Cytochalasin B, which were imported imported during the years 1977, 1978 and 1979. The compound was classified under the [193]*193provision for other nitrogenous compounds of Item 425.52 of the Tariff Schedules of the United States (TSUS) and assessed with duty at the rate of 1.5^ per lb. plus 7.5 percent ad valorem. The plaintiff claims that the proper classification should be as other natural alkaloids and their compounds not artificially mixed under Item 437.22, dutiable at the rate of 2 percent ad valorem.

There is no dispute that this compound is nitrogenous. However, because alkaloids are one of many groups of nitrogenous compounds, classification as an alkaloid, if proven, would be more specific. Attention must therefore be focused on the question of whether Cy-tochalasin B is an alkaloid. On this question the parties offered conflicting expert testimony and a plethora of scientific treatises.1

The Court found the expert testimony and evidence offered by plaintiff to be the more impressive. This included the testimony of Dr. James Cook, a professor of Chemistry at the University of Wisconsin and a specialist in alkaloidal chemistry, and Dr. Alfred Bader, president of plaintiff and a distinguished chemist with long experience in the sale of chemicals.

From the testimony and evidence, the Court finds that Cytochalasin B is a metabolite of a fungus, that is to say, it is a product of the normal metabolic functioning of a fungus. Its name is a compound of the Greek words for “cell” and “relaxation,” a reference to its ability to inhibit the normal division of cells. As a consequence, it is used in cytological research, in the study of genetics or biological processes.

To obtain Cytochalasin B the fungus is grown on a medium and then extracted with chloroform. The extract is subjected to silica gel chromatography which, by a process of selective adsorbtion in a column, yields first Cytochalasin A, then A mixed with B. Cytochalasin B is separated off and crystallized. In structure it has several rings, one of which is a heterocyclic ring containing a nitrogen atom bonded to a carbonyl.

Plaintiff’s argument was threefold: First, it argued that the best modern authority includes Cytochalasin B among the alkaloids. Second, it argued that even the “classical” definition of alkaloids adopted by the government would properly include Cytochalasin B. Third, it argued that the proliferation of discoveries in the field of alkaloidal chemistry required a new and more accurate definition [194]*194of the term “alkaloid.” It offered such a definition, under which Cytochalasin B would undoubtedly be an alkaloid.

Defendant responded to these arguments by citing what it considered to be contrary authority on the scientific recognition of Cytochalasin B as an alkaloid, by arguing that Cytochalasin B departed from the classical definition in a number of respects, and by offering criticisms of plaintiff’s new definition.

On plaintiff’s first point it stressed the discussion of Cytochalasin B in the section on miscellaneous alkaloids in Specialist Periodical Reports, The Alkaloids, Vol. 6 [Exhibit 23] and the inclusion of other Cytochalasin compounds in Vols. 5 and 7 [Exhibits 21 and 22]. It characterized the Specialist Periodical Reports, published by the Chemical Society of London, as the most up-to-date and comprehensive work on the subject of alkaloids, a characterization which was not effectively challenged.

Defendant countered with the inclusion of phomin (another name for Cytochalasin B) in a chapter on non-alkaloidal nitrogen compounds in Nakanishi, Natural Products Chemistry, Vol. 2 (1975) [Exhibit A], Defendant also sought to lessen the authority of the Specialist Periodical Reports by arguing that it lists many compounds which as-sertedly are not alkaloids such as penicillin, and maytansine.

However, when the Court considers that Nakanishi is a general work on natural compounds, only a portion of which is devoted to alkaloids, and further, that Nakanishi refers readers to Specialist Periodical Reports for additional information on alkaloids, the primacy of the latter is sufficiently established. Furthermore, the inclusion of compounds such as penicillin in Specialist Periodical Reports does not discredit it. While it may be better known as an antibiotic, from a structural standpoint, penicillin and certain other antibiotics can be properly placed in the family of alkaloids.

The weight of plaintiff’s evidence was not diminished by proof that Cytochalasin B was not listed in other publications such as Glasby, Encyclopedia of the Alkaloids 2 (Vols. I — III, 1975-1977) and Manske, The Alkaloids. First, considering the magnitude of the field, the absence of a listing does not permit the inference that the author had considered the question and second, the authors acknowledge the inevitability of omissions in a work covering a field as large as that of alkaloidal chemistry. In addition, Manske was proven to be somewhat dated.

Finally, on this first point, defendant’s proof that the cytochalasins are also referred to in scientific literature as microbial or active [195]*195metabolites,3 mold metabolites4 of fungal metabolites5 is not inconsistent with proper denomination as an alkaloid. It cannot be expected that writers in a field in which there are acceptable alternative ways to describe a given compound will use a single term and it is certainly understandable that they may wish to use a term which emphasizes the source or function of the compound rather than its membership in a general class of chemical compounds.

In sum then, as regards usage in the scientific community, the Court is satisfied that Cytochalasin B is considered an alkaloid.

On the second point of conformity to the traditional definition of alkaloids the Court agrees with plaintiff. The Court finds that even assuming the correctness of the definition of alkaloids advocated by the defendant, it would not exclude Cytochalasin B.

The traditional definition appears with varying degrees of reservation in a number of texts. A good example is the definition given in G.A. Swan, An Introduction to the Alkaloids, (1967) p. 1 [Exhibit 24].

It is not easy to give an exact definition of what is meant by an alkaloid. In a broad sense, alkaloids are nitrogenous bases which occur naturally in plants. They nearly always contain their nitrogen as a part of a heterocyclic system and are often quite complex in structure. A particular alkaloid is usually restricted to certain genera and families of the plant kingdom, rarely being present in large groups of plants. In addition, the alkaloids usually show specific pharmacological activity. However there is no very sharp distinction between alkaloids and many other naturally occurring nitrogenous compounds. For example, colchicine is regarded as an alkaloid because, although it is not heterocyclic and is scarcely basic (it is, in fact, an amide), it is active pharmacologically and is of restricted botanical distribution.

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2 Ct. Int'l Trade 192, Counsel Stack Legal Research, https://law.counselstack.com/opinion/aldrich-chemical-co-v-united-states-cit-1981.