Certain Glass Substrates for Liquid Crystal Displays, Products Containing the Same, and Methods for Manufacturing the Same; Inv. No. 337-TA-1433 (Violation)

The ALJ recommends remedy after the Final ID found a section 337 violation by all remaining Respondents through misappropriation of trade secrets (TS 15.1, 16.1, 17.1, 22.1, 24.1, 30.1, 35.1, 35.2, 41.1, 51 and 68). She recommends a limited exclusion order against all remaining Respondents for about 5-6 years, a cease and desist order against TCL only, and a 9.8% bond, and no general exclusion order. The recommendation sets the practical scope of relief: a limited exclusion order covering products made using Corning's trade secrets, with a certification provision, but not downstream products of non-respondents. The 5-6 year term reflects an independent development time of 8-9 years as of 2007, reduced by about 3 years for Corning's delay. The Commission will review these recommendations when it decides remedy, the public interest and bonding. No GEO: under 337(d)(2)(A), Corning showed no likelihood of circumvention, since panels are generally incorporated into downstream products overseas before importation and TCL stipulated it is bound by the determinations. Under 337(d)(2)(B), no pattern of violation with difficulty identifying source was shown; Corning's settlements requiring policing of glass sources indicate such policing is possible. LEO scope: directed to products of the remaining Respondents that use or were made using Corning's trade secrets, with a certification provision; downstream products of non-respondents are excluded from the LEO's reach. Duration: Dr. Bocko's 25-year estimate was rejected, and the ALJ found an independent development time of about 8-9 years as of 2007, based on NEG's 11-year development and public patent publications. She suggests roughly a 3-year offset for Corning's delay, giving 5-6 years. CDO and bond: a CDO should issue against TCL only, because it stipulated to U.S. inventory. A 9.8% bond is recommended, based on the price differential.