Brattle Domestic Industry Analyses Upheld in ITC Patent Infringement Matter
In a recent patent infringement matter, Polsinelli and Susman Godfrey retained a Brattle team to provide economic analyses on behalf of Vicor Corporation. The case centered on Vicor’s allegations that imports from several companies – many based in Asia – infringed three of its patents for power converter modules and computing systems. Brattle Principal Dr. Pallavi Seth testified on behalf of Vicor before the US International Trade Commission (ITC), which issued an Initial Determination in the fall of 2024, finding that the importation and sale of several technologies infringed certain Vicor patents and violated Section 337 of the Tariff Act of 1930.
This investigation launched in 2023 following a complaint filed by Vicor that imports of certain power converter modules – used in data center servers, artificial intelligence and cloud computing systems, and processing units – by various Delta, Quanta, Foxconn, and Ingrasys entities infringed three of Vicor’s US patents.
In ITC Section 337 investigations, the complainant must show they’ve made significant investments in the United States to satisfy a domestic industry requirement. Dr. Seth submitted expert reports and provided deposition and trial testimony analyzing Vicor’s domestic investments in its facilities and employees related to its US-based manufacturing, engineering, and research and development (R&D) activities. Using a rigorous allocation approach, she quantified the Massachusetts-based company’s US investments specific to certain Vicor products and also provided a detailed apportionment of the investments to each of the patents-in-suit.
ITC Administrative Law Judge (ALJ) Cameron Elliot cited Dr. Seth’s testimony extensively in his Initial Determination. He noted that Dr. Seth’s methodology was “reasonable based on this record,” affirmed that Vicor had an economic domestic industry for each asserted patent, and concluded that respondents infringed two of the three Vicor patents. In addition, ALJ Elliot relied directly on Dr. Seth’s analysis and testimony to recommend a bond amount during the 60-day presidential review period.
In early December, the full Commission determined to review portions of Judge Elliot’s Initial Determination. The Commission’s final determination is scheduled to issue in February 2025.
For more information about Brattle’s expert involvement in ITC Section 337 investigations, please visit our website.