Sprague Electric Co. v. United States

488 F. Supp. 910, 84 Cust. Ct. 243, 1980 Cust. Ct. LEXIS 1209
CourtUnited States Customs Court
DecidedMarch 27, 1980
DocketC.R.D. 80-3; Court 77-9-03056
StatusPublished
Cited by12 cases

This text of 488 F. Supp. 910 (Sprague Electric Co. v. United States) is published on Counsel Stack Legal Research, covering United States Customs Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sprague Electric Co. v. United States, 488 F. Supp. 910, 84 Cust. Ct. 243, 1980 Cust. Ct. LEXIS 1209 (cusc 1980).

Opinion

NEWMAN, Judge:

INTRODUCTION

Plaintiff, an American manufacturer of tantalum electrolytic fixed capacitors, challenges the negative injury determination of the United States International Trade Commission (“Commission”) in Investigation No. AA1921-159 (41 FR 47604 (1976)), under the Antidumping Act of 1921, as amended (19 U.S.C. § 160 et seq. (1970)). That investigation involved tantalum electrolytic fixed capacitors imported from Japan which the Department of the Treasury (“Treasury”) had determined were being or were likely to be sold in the United States at less than fair value (“LTFV”) within the meaning of the Antidumping Act, as amended. This suit has been brought under the provisions of 28 U.S.C. § 1582(b) (1976), 28 U.S.C. § 2632(a) (1976) and 19 U.S.C. § 1516(c) (1976).

Capar Components Corp., the party in interest, is the consignee in New York seaport consumption entry No. K 429821-77 of August 5,1977 who imported tantalum electrolytic fixed capacitors from Japan without assessment of antidumping duties, and who has been made a party pursuant to 19 U.S.C. § 1516(c) (1976). Under 19 U.S.C. § 1516(f) (1976), the consignee or his agent has the right to appear and be heard as a party in interest in an action brought by an American manufacturer pursuant to section 1516. However, Capar Components Corp. has not participated in the defense of this case.

Presently before the Court are plaintiff’s motion and the Government’s cross-motion for summary judgment. For the reasons that follow, proceedings in this action shall be stayed pending reconsideration by the Commission of its negative determination in Investigation No. AA1921-159.

BACKGROUND

The pertinent facts concerning the administrative proceedings leading to the initiation of this action are undisputed, and may be summarized chronologically:

1. On September 24, 1975 plaintiff, through counsel, submitted a complaint to the Commissioner of Customs alleging that tantalum electrolytic fixed capacitors from Japan were being sold at LTFV within the meaning of the Antidumping Act of 1921, as amended.

2. On October 17,1975 Treasury issued a notice that an investigation had been instituted to determine whether tantalum electrolytic fixed capacitors from Japan were being or were likely to be sold at LTFV (40 FR 48702).

3. On April 23, 1976 a Withholding of Appraisement Notice covering tantalum electrolytic fixed capacitors from Japan issued by Treasury was published in the Federal Register (41 FR 16983).

4. On July 27, 1976 an affirmative Determination of Sales at LTFV covering tantalum electrolytic fixed capacitors from Japan (other than those produced and sold by Matsushita Electric Industrial Co., Ltd.) was issued by Treasury and published in the Federal Register (41 FR 31240).

5. On August 3, 1976 the Commission instituted Investigation No. AA1921 — 159 to determine whether an industry in the United States was being or was likely to be injured, or prevented from being established, by reason of the importation of tantalum electrolytic fixed capacitors from Japan at LTFV. Notice of the institution of the investigation and of the public hearing was published in the Federal Register on August 9, 1976 (41 FR 33337).

6. On October 22, 1976 the Commission, by a vote of 5 to 1, reached a negative determination, viz., the Commission majority determined that an industry in the United States was not being and was not likely to be injured, or prevented from being established by reason of the imports at LTFV. The decision, together with a Statement of Reasons, was published in the Federal Reg *912 ister on October 29, 1976 (41 FR 47604). The Commission stated that in arriving at its determination, it “gave due consideration to written submissions from interested parties, evidence adduced at the hearing, and all factual information obtained by the Commission’s staff from questionnaires, personal interviews and other sources” (id).

7. During the Commission’s investigation, counsel for plaintiff informed the Commission at the hearing held on September 8,1976 of the likelihood that the import statistics for tantalum electrolytic fixed capacitors from Japan were inaccurate and underrepresented the true volume of such imports. Document No. 52 at 30-31, hearing transcript (PUBLIC).

8. On June 13, 1977, after the Commission announced its negative determination in this case, the Commission was informed by its Director of Industries that the investigation was “yet another example of substantially erroneous official import statistics being used by the Commission and its staff during the course of public investigations”. The Foreign Trade Division of the Bureau of the Census conducted an investigation of the accuracy of import statistics for tantalum electrolytic fixed capacitors from Japan by calendar quarters for 1975 through mid-1977. The investigation showed that for 1975 the actual volume of such imports was 21,814,079 units, whereas the erroneously reported volume of such imports during 1975, upon which the Commission relied, was 14,948,243 units. This translates into an increase in market penetration from 4.6 percent to 6.6 percent. Further, the investigation showed that for the first half of 1976 the actual volume of such imports was 19,328,083 units, whereas the erroneously reported volume of such imports during this period upon which the Commission relied was 13,769,411 units.

9. On July 21, 1978 the Commission’s General Counsel raised with the Commission the possibility of reconsidering its determination in light of the erroneous import statistics relied upon by the Commission and its staff.

10. On August 22, 1978 the Commission published in the Federal Register notice of the erroneous import statistics and invited the public to comment upon “whether the Commission’s reliance on erroneous official statistics justifies further Commission action with respect to its determination in Investigation No. AA1921 — 159” (43 FR 37233).

11. On February 9,1979 the Commission published notice in the Federal Register that no further action would be taken with respect to its negative determination in Investigation No. AA1921-159 (44 FR 8359). No reason was given by the Commission for not taking further action.

No question is presented concerning plaintiff’s compliance with the administrative prerequisites to the initiation of a civil action prescribed by 19 U.S.C. § 1516(a) and (c).

During the discovery phase of this litigation, plaintiff sought, inter alia,

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

Related

Lincoln General Insurance v. United States
412 F. Supp. 2d 1320 (Court of International Trade, 2005)
Federal Deposit Insurance v. Modular Homes, Inc.
859 F. Supp. 117 (D. New Jersey, 1994)
Borlem v. United States
913 F.2d 933 (Federal Circuit, 1990)
Metallverken Nederland B v. v. United States
744 F. Supp. 281 (Court of International Trade, 1990)
Algoma Steel Corporation, Limited v. United States
865 F.2d 240 (Federal Circuit, 1989)
Algoma Steel Corp. v. United States
865 F.2d 240 (Federal Circuit, 1989)
Algoma Steel Corp., Ltd. v. United States
688 F. Supp. 639 (Court of International Trade, 1988)
Matsushita Electric Industrial Co. v. United States
569 F. Supp. 853 (Court of International Trade, 1983)
SCM Corp. v. United States
544 F. Supp. 194 (Court of International Trade, 1982)
Sprague Electric Co. v. United States
529 F. Supp. 676 (Court of International Trade, 1981)
Atlantic Sugar, Ltd. v. United States
511 F. Supp. 819 (Court of International Trade, 1981)

Cite This Page — Counsel Stack

Bluebook (online)
488 F. Supp. 910, 84 Cust. Ct. 243, 1980 Cust. Ct. LEXIS 1209, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sprague-electric-co-v-united-states-cusc-1980.