Corus Group PLC v. Bush

217 F. Supp. 2d 1347, 26 Ct. Int'l Trade 937, 26 C.I.T. 937, 24 I.T.R.D. (BNA) 1843, 2002 Ct. Intl. Trade LEXIS 84
CourtUnited States Court of International Trade
DecidedAugust 9, 2002
Docket00-00253
StatusPublished
Cited by29 cases

This text of 217 F. Supp. 2d 1347 (Corus Group PLC v. Bush) 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
Corus Group PLC v. Bush, 217 F. Supp. 2d 1347, 26 Ct. Int'l Trade 937, 26 C.I.T. 937, 24 I.T.R.D. (BNA) 1843, 2002 Ct. Intl. Trade LEXIS 84 (cit 2002).

Opinion

OPINION

RESTANI, Judge.

This matter is before the court on Plaintiffs’ motion for preliminary injunctive relief pursuant to USCIT R. 65(a). Plaintiffs Corus Group PLC, Corus UK Ltd., Corus Staal BV, Corus Packaging Plus Norway AS, Corus Steel USA Inc., and Corus America Inc. (collectively “Corus”) seek preliminary injunctive relief to enjoin Defendant United States Customs Service (“Customs”) from (1) collecting additional duties imposed on Plaintiffs’ tin mill product imports, as of March 20, 2002, pursuant to the President’s" March 5, 2002 Steel Products Proclamation; (2) liquidating any and all unliquidated entries of Plaintiffs’ tin mill products that have entered and will continue to enter the United States; and (3) taking any other action regarding Plaintiffs’ tin mill products. The International Trade Commission (“ITC” or “Commission”) moves to dismiss for lack of jurisdiction pursuant to USCIT R. 12(b)(2) and for failure to state a claim pursuant to USCIT R. 12(b)(5). Defendants George W. Bush, President of the United States, and Robert C. Bonner, Customs Commissioner (collectively the “Administration”) filed a separate motion to dismiss for failure to state a claim or, in the alternative, a Rule 56 motion for summary judgment. 1 Corus filed a cross-motion for summary judgment.

BACKGROUND

On March 7, 2002, the President of the United States issued a proclamation pursuant to Section 201, et seq., of the Trade Act of 1974 (“Act”). Proclamation No. 7529— To Facilitate Positive Adjustment to Competition From Imports of Certain Steel *1350 Products, 67 Fed.Reg. 10553 (March 7, 2002) (“ § 201 Proclamation ”). The President imposed safeguard measures to counteract serious injury, or the threat of serious injury, found by the ITC. With respect to certain tin mill products, the President imposed an ad valorem duty increase of thirty (30) percent for the first year of the § 201 remedies. 2 Corus is, among other things, a foreign producer of tin mill products.

Corus challenges the invocation of § 201 safeguard provisions on three grounds: (1) that the ITC votes supporting an affirmative injury determination were improperly counted with respect to tin mill products (“Count I”); (2) that Commissioner Dennis M. Devaney was not a legal member of the ITC at the time of his vote because there was not an ITC vacancy at the time of his appointment (“Count II”); and (3) that Commissioner Devaney was not a legal member of the ITC at the time of his vote because he was not lawfully appointed by then President William Jefferson Clinton (“Count III”). Corus seeks a preliminary injunction to enjoin enforcement of the resulting duty increase and to prevent liquidation of all present and future unliqui-dated entries of Corus’s tin mill products. Defendants collectively oppose injunctive relief.

For the purposes of this opinion, the court has consolidated Plaintiffs’ Motion for Preliminary Judgment with the ITC’s motion to dismiss for lack of jurisdiction and Count I on the merits (ITC’s method of counting votes).

DISCUSSION

I. Jurisdiction

As an initial matter, the ITC moves to dismiss on grounds that the court lacks jurisdiction to review Counts II and III. 3 Section 1581(i) provides in relevant part that the court:

shall have exclusive jurisdiction of any civil action commenced against the United States, its agencies, or its officers, that arises out of any law of the United States providing for—
(2) tariffs, duties, fees, or other taxes on the importation of merchandise for reasons other than the raising of revenue.
(4)administration and enforcement with respect to the matters referred to in paragraphs (l)-(3) of this subsection and subsections (a)-(h) of this section.

28 U.S.C. § 1581 (i) (2000). The ITC argues that the issue of whether Commissioner Devaney was properly appointed involves questions of Presidential power and, therefore, falls outside the jurisdiction of the court. 4 The Commission’s position ignores the fact that this claim arises in the context of a suit challenging the imposition of tariffs. 5 Plaintiffs’ claim that § 201 *1351 safeguards are invalid because of an improperly seated Commissioner clearly raises issues regarding whether the ITC properly carried out the laws providing for tariffs, duties, fees, or other taxes on the importation of merchandise and whether such laws are properly administered. Accordingly, the court has jurisdiction pursuant to 28 U.S.C. § 1581®.

II. ITC’s Method of Counting Votes

Corns argues that, although the ITC presented an “equally divided” affirmative injury determination to the President, the ITC vote was neither affirmative nor divided with respect to tin mill products. Under Section 202(b) of the Act, the Commission must determine “whether an article is being imported into the United States in such increased quantities as to be a substantial cause of serious injury, or the threat thereof, to the domestic industry producing an article like or directly competitive with the imported article.” 19 U.S.C. § 2252(b)(1)(A) (2000). 6 In order to render its injury determination, the Commission undertakes an investigation upon the filing of: (1) a domestic injury petition; (2) an executive branch referral; (3) a resolution of either the Committee on Ways and Means of the House of Representatives or the Committee on Finance of the Senate; or (4) on its own motion. Id. In this case, both the United States Trade Representative and Senate Committee on Finance requested an investigation of certain steel products. 7 USTR Request to Initiate Section 202 Investigation, (June 22, 2001), http:// www.usite.gov/steel/ER0622Yl.pdf (last visited August 9, 2002); Resolution directing the International Trade Commission to make an investigation into certain steel imports under section 201 of the Trade Act of 197k (July 26, 2001), http://www.senate.gov/~finance/steelresolution.pdf (last visited August 9, 2002).

Six Commissioners participated in the underlying investigation at issue here. Commissioners Koplan, Okun, Hillman, and Miller determined that the U.S. tin mill producers constitute the industry producing articles “like or directly competitive with the imported article, tin mill steel.” Steel, Inv. No. TA-201-73, USITC Pub. 3479 Vol. I, at 48^9 & 71 n. 367 (Dec. 2001) (hereinafter

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Bluebook (online)
217 F. Supp. 2d 1347, 26 Ct. Int'l Trade 937, 26 C.I.T. 937, 24 I.T.R.D. (BNA) 1843, 2002 Ct. Intl. Trade LEXIS 84, Counsel Stack Legal Research, https://law.counselstack.com/opinion/corus-group-plc-v-bush-cit-2002.