Holmes Products Corp. v. United States

17 Ct. Int'l Trade 356, 822 F. Supp. 754, 17 C.I.T. 356, 15 I.T.R.D. (BNA) 1490, 1993 Ct. Intl. Trade LEXIS 75
CourtUnited States Court of International Trade
DecidedMay 12, 1993
DocketCourt No. 91-12-00906
StatusPublished
Cited by4 cases

This text of 17 Ct. Int'l Trade 356 (Holmes Products Corp. 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
Holmes Products Corp. v. United States, 17 Ct. Int'l Trade 356, 822 F. Supp. 754, 17 C.I.T. 356, 15 I.T.R.D. (BNA) 1490, 1993 Ct. Intl. Trade LEXIS 75 (cit 1993).

Opinion

Opinion

Restani, Judge:

This matter is before the court on a motion for injunction, pursuant to 19 U.S.C. § 1516a(c)(2) (1988), of liquidations of entries subject to antidumping duties.1 Judgment has previously been entered for the plaintiffs and has become final for purposes of publication of notice of the court’s decision, in accordance with 19 U.S.C. § 1516a(e)2 and Timken Co. v. United States, 8 Fed. Cir. (T) 29, 33, 893 F.2d 337, 340 (1990). As a preliminary matter, the court notes it always has jurisdiction with respect to the effect of its judgments, contrary to defendant’s assertion that publication of the Federal Register notice pursuant to 19 U.S.C. § 1516a(e) cuts off jurisdiction. There is no support for defendant’s argument. The issues to be resolved are whether two of the four traditional factors for granting injunctive relief are met. Likelihood of success on the merits is no longer an issue, and defendant does not oppose the injunction on the grounds of lack of irreparable harm. The only remaining factors to be considered are the balance of hardships and the public interest.

As indicated, plaintiffs were successful on the merits of this action. Holmes Products Corp. v. United States, 16 CIT 628, 795 F. Supp. 1205 [357]*357(1992). On remand, after double counting was eliminated, a de minimis antidumping margin resulted. The remand determination was affirmed in Holmes Products Corp. v. United States, Slip Op. 92-203 (Nov. 12, 1992) and no appeal was taken. Notice of the final determination and resulting revocation of the antidumping order was published in the Federal Register. Oscillating and Ceiling Fans from the People s Republic of China, 58 Fed. Reg. 6,474 (Dep’t Comm. 1993) (notice of court decision and revoc. of antidumping duty order on oscillating fans). The published notice made clear that Commerce would not give retroactive effect to the determination because an injunction under 19 U.S.C. § 1516a(c)(2) had not been issued, and therefore the first administrative review would continue with the possibility of imposition of duties. Plaintiffs then moved for an injunction to give retroactive effect to the court’s judgment. Plaintiffs’ reason for not acting sooner was its assumption that the revocation of the antidumping order would apply retroactively, without the necessity of an injunction, based on the position taken by Commerce in Sonco Steel Tube Div. v. United States, 12 CIT 990, 698 F. Supp. 927 (1988).

The government’s position in Sonco was that an injunction is not needed to give full retroactive effect to a court order which totally negates an affirmative dumping finding, if the first administrative review of the antidumping order is not complete. Id. at 993, 698 F. Supp. at 929-30.3 At the time of the injunction it was unclear whether Sonco’s duty rate would be changed or whether it would be excluded from the order. Therefore, the court was not required to address directly defendant’s stated position. Id. at 995, 698 F. Supp. at 931. Nonetheless, defendant was well aware that the court considered and restated defendant’s position as to revocation prior to administrative reviews in the published opinion in Sonco. Defendant did not advise the court at that time that defendant’s position was incorrect. Defendant asserts now, however, that this was never Commerce’s position. As defendant’s attorneys in this action were not involved in Sonco, and the court has no reason to believe defendant misstated its true position at the time of the Sonco decision, the court assumes that at some time thereafter Commerce realized that the position taken in Sonco resulted in a conflict with the statute. In fact, plaintiffs here do not disagree that § 1516a(e) requires an injunction in order to give full retroactive effect to a court order negating a dumping finding.

In assessingboth the balance of hardships and the public interest, the court must consider the effects of a request for an injunction at this point in the proceedings and whether plaintiffs should bear the full brunt of the timing problem. For their part, plaintiffs assert that they should not be penalized because of defendant’s change in position. [358]*358Plaintiffs state they were in doubt as to what Commerce would do, but this indicates that the published notice was not a surprise, and plaintiffs could have sought clarification earlier.

Furthermore, the fact that suspension by operation of law was in effect does not entirely excuse the delay in filing the motion.4 Suspension resulted from the affirmative dumping finding and the fact that the time for requesting the first administrative review had not expired at the time of the judgment. See 19 U.S.C. § 1673d(c)(4) (1988). In actuality, plaintiffs do not rely on the fact of suspension inasmuch as they ask the court to terminate suspension and order immediate liquidation. Defendant, on the other hand, asserts that timing is everything and it would have assented to an injunction had it been sought prior to judgment in this court.5 In fact, an injunction after judgment, but prior to publication of notice of a final court decision in the Federal Register, has been granted in a case unrelated to the present action. See Asociacion Colombiana de Exportadores v. United States (“Asocolflores”), 13 CIT 858, 724 F. Supp. 969 (1989), aff’d, 9 Fed. Cir. (T) 20, 916 F.2d 1571 (1990). The court notes, however, the unsettled state of the law at the time of Asocolflores. The issuance of an injunction prior to judgment is preferred based on general principles of judicial economy and finality. Furthermore, as a practical matter, one cannot always count on an appeal to stave off finality for purposes of publication, as occurred in Asocolflores. See 13 CIT at 861 & n.3, 724 F. Supp. at 971 & n.3. Nonetheless, even though plaintiffs did not act as soon as they should have, there are mitigating circumstances stemming from prior case law. Given the circumstances, the delay will be taken into account under the traditional injunction analysis and is not a complete bar to relief.

As indicated, in deciding whether to grant the injunction, the court must weigh the prejudices and benefits to each of the parties resulting from issuance of the injunction. Plaintiffs would certainly gain the full benefit of their victory on the merits. They would avoid the first administrative review, a not inconsiderable burden, as well as duties on the goods already entered.6 No other party would benefit from the injunction. In addition, there is a certain incongruity in imposing duties based on a revoked order. The parties agree, however, that the statute permits this result in the absence of an injunction.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Navneet Publ'ns (India) Ltd. v. United States
2014 CIT 119 (Court of International Trade, 2014)
Laclede Steel Co. v. United States
20 Ct. Int'l Trade 712 (Court of International Trade, 1996)
Hosiden Corp. v. United States
861 F. Supp. 115 (Court of International Trade, 1994)
B.F. Goodrich Co. v. United States
17 Ct. Int'l Trade 558 (Court of International Trade, 1993)

Cite This Page — Counsel Stack

Bluebook (online)
17 Ct. Int'l Trade 356, 822 F. Supp. 754, 17 C.I.T. 356, 15 I.T.R.D. (BNA) 1490, 1993 Ct. Intl. Trade LEXIS 75, Counsel Stack Legal Research, https://law.counselstack.com/opinion/holmes-products-corp-v-united-states-cit-1993.