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USDOT Announces Additional Measures to Help States in Areas Affected by the Colonial Pipeline Incident - U.S. Department of Transportation

The U.S. DOT today (5/11/21) announced additional help for States in areas affected by the cyberattack on the Colonial Pipeline.  The White House and DOT have determined that previous declarations of “major disaster” issued by the President within the past 120 days allow States covered by those declarations to use Interstate highways in their State to transport overweight loads of gasoline and other fuels.  Each State must continue to follow its own procedures for issuance of special permits authorizing the loads, but the added flexibility announced today lawfully permits these trucks to run on the Interstate Highway System and other Federal highways.  This flexibility is in addition to preexisting authority for States to issue special permits allowing the trucks to run on State highways. 

The previous Presidential declarations created this authority for up to 120 days.  Given the declarations’ varied dates of issuance, that period will expire at different points for the affected States between now and early September.  The first State whose 120-day period will expire is Maryland, on June 4.  The last State is Virginia, on September 7. 

The ten States covered are Alabama, Georgia, Kentucky, Louisiana, Maryland, Mississippi, New Jersey, North Carolina, Tennessee and Virginia.  All these States are already covered under the separate Emergency Declaration that the Federal Motor Carrier Safety Administration issued on May 9, which grants truck drivers making emergency fuel deliveries in areas affected by the pipeline disruption relief from the Federal hours of service limits and certain other safety regulations.

Consistent with 23 U.S.C. 127(i) and applicable State laws, States that are currently operating under Federal Major Disaster Declarations may issue special permits to overweight vehicles carrying divisible loads on Interstate and Defense Highways that are delivering relief supplies, including gasoline, diesel, jet fuel, and other refined petroleum products.  States may exercise this authority for 120 days from the date of the declaration of the major disaster.


Federal Register Notices:

The U.S. International Trade Commission (USITC) has recommended that the President make certain modifications to the Harmonized Tariff Schedule of the United States (HTS) to conform it with World Customs Organization (WCO) amendments to the global Harmonized System.

The recommended HTS amendments relate to a wide range of products and product groups, including, for example: flat panel display modules; 3D printers; unmanned aerial vehicles (i.e., drones); electric vehicles; tobacco products intended for inhalation without combustion; edible insect products; virgin and extra virgin olive oil; cell therapy products; rapid diagnostic test kits for detecting the Zika virus and other mosquito-borne diseases; placebos and double-blinded clinical trial kits; electronic waste (e-waste) and other hazardous waste; amusement park equipment; and cultural articles (i.e., antiquities).

The USITC’s actions are the latest step in a process that began when WCO officials approved changes to the Harmonized System nomenclature in June 2019.  Countries around the world must incorporate the changes into their national nomenclature systems.  The USITC maintains and updates the HTS, which is the United States' product category system.   

Following expiration of a 60-day layover period before the Congress, the President is authorized to proclaim the modifications to the HTS.  The amendments enter into force on January 1, 2022.

The Commission’s report, Recommended Modifications in the Harmonized Tariff Schedule, 2021, Inv. No. 1205-13, USITC Publication 5171, March 2021, is available on the USITC web site at:
https://www.usitc.gov/publications/other/pub5171.pdf.


Cincinnati CBP Seizes $866K Worth of Fake Cartier, Van Cleef, Louis Vuitton Jewelry - U.S. Customs & Border Protection

CINCINNATI –- On May 5, U.S. Customs and Border Protection (CBP) officers in Cincinnati seized a shipment of jewelry deemed to be counterfeit by CBP’s Centers of Excellence and Expertise.

The package originated from Guangzhou, China, and was headed to a private residence in Akron, Ohio. Although it had a declared value of $80, the package held 383 items of jewelry bearing trademarks from Cartier, Van Cleef and Arpels, and Louis Vuitton. The jewelry would have been worth $866,120 had they been real.

Intellectual property is an important component of the U.S. economy, and Cincinnti Port Director Richard Gillespie emphasized the necessary role CBP plays in protecting the economy and consumer safety and health.

“We continue to enjoy unprecedented growth in e-commerce, and this growth serves as an ever-larger driving force behind the U.S. and world economies. It’s extremely important that as our trade avenues expand, our focus on enforcing intellectual property rights violations expands with it. Our officers are working hard day and night to guard our frontline against defrauders expecting to make money selling fake merchandise.”

There are several steps that consumers can take to protect themselves when shopping online. Purchase goods only from reputable retailers and be wary of third-party vendors. Check seller reviews and verify there is a working phone number and address for the seller, in case you have questions about the legitimacy of a product.

CBP has also established an educational initiative to raise consumer awareness about the consequences and dangers associated with purchasing counterfeit and pirated goods online or in stores. More information about that initiative is available at www.cbp.gov/fakegoodsrealdangers.

If you have any information regarding suspected fraud or illegal trade activity, please contact CBP through the e-Allegations Online Trade Violation Reporting System or by calling 1-800-BE-ALERT. Intellectual property rights violations can also be reported to the National Intellectual Property Rights Coordination Center at https://www.iprcenter.gov/referral/ or by telephone at 1-866-IPR-2060.

For more information about protecting yourself from counterfeit and pirated goods, visit https://www.stopfakes.gov/.


CBP Intercepts Live Beetle, Wood Boring Insects and Snails in Shipment of Terracotta Tiles - U.S. Customs & Border Protection

SAN FRANCISCO — U.S. Customs and Border Protection Agriculture Specialists (CBPAS) in San Francisco discovered an infestation of hitchhiking pests while examining a shipment of antique terracotta roof tiles from France.

Agriculture Specialists found fresh frass, a fine powdery sawdust-type material produced by the activity of boring insects, on the wood packaging material in the shipment. Upon closer inspection the team extracted a live beetle, later identified as Arhopalus sp. (Cerambycidae), or longhorn beetle.

“Untreated or improperly treated wood used as packaging for international shipments can carry a host of damaging pests and pathogens,” said Richard F. Di Nucci, CBP Director of Field Operations in San Francisco. “Wood boring pests have the potential to cause billions of dollars in damage to U.S. forestry and lumber industries.”

In addition to the beetle, CBPAS also found Psychidae (bagworm moth) larvae, and adult Xerotricha conspurcata, a species of land snails native to the Mediterranean. Both are pests that can be detrimental to U.S. agriculture.

CBP has issued an Emergency Action Notification to the importer/broker, requiring the entire shipment to be re-exported.

More information on Wood Packaging Materials and the pests it can carry can be found at https://www.cbp.gov/border-security/protecting-agriculture/wpm#


USITC Institutes Section 337 Investigation of Certain High=Potency Sweeteners, Processes for Making Same, and Products Containing Same - U.S. International Trade Commission

The U.S. International Trade Commission (USITC) has voted to institute an investigation of certain high-potency sweeteners, processes for making same, and products containing same.  The products at issue in the investigation are described in the Commission’s notice of investigation.

The investigation is based on a complaint filed by Celanese International Corporation of Irving, TX; Celanese (Malta) Company 2 Limited of Qormi, Malta; and Celanese Sales U.S. Ltd. of Irving, TX, on April 8, 2021.  The complaint alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain high-potency sweeteners, processes for making same, and products containing same that infringe patents asserted by the complainants.  The complainants request that the USITC issue a limited exclusion order and cease and desist orders. 

The USITC has identified the following as respondents in this investigation:

Anhui Jinhe Industrial Co., Ltd., of Chuzhou City, Anhui, China;
Jinhe USA LLC of Chicago, IL;
Agridient, Inc. of Farmington Hills, MI;
Apura Ingredients Inc. of Chino, CA;
Crossroad Ingredients of Fairfield, NJ;
Hhoya USA Inc. of New York, NY;
Ingredis US LLC of Plainsboro, NJ;
NiuSource Inc. of Chino, CA;
Prinova US LLC of Hanover Park, IL;
Prosweetz Ingredients Incorporated d/b/a Panasource Ingredients Inc. of Edison, NJ;
Suzhou-Chem Inc. of Wellesley, MA; and
UMC Ingredients, LLC fka JRS International LLC of Lyndhurst, NJ.

By instituting this investigation (337-TA-1264), the USITC has not yet made any decision on the merits of the case.  The USITC’s Chief Administrative Law Judge will assign the case to one of the USITC’s administrative law judges (ALJ), who will schedule and hold an evidentiary hearing.  The ALJ will make an initial determination as to whether there is a violation of section 337; that initial determination is subject to review by the Commission.

The USITC will make a final determination in the investigation at the earliest practicable time.  Within 45 days after institution of the investigation, the USITC will set a target date for completing the investigation. USITC remedial orders in section 337 cases are effective when issued and become final 60 days after issuance unless disapproved for policy reasons by the U.S. Trade Representative within that 60-day period.


FTC Returns Nearly $60 Million to Those Suffering from Opioid Addiction Who Were Allegedly Overcharged in Suboxone Film Scheme - Federal Trade Commission

Funds for these payments come from the FTC’s settlements with Reckitt Benckiser Group and Indivior, Inc. who took advantage of their unique market position to scare consumers away from generic Suboxone tablets

The Federal Trade Commission is sending 51,875 payments totaling more than $59 million to consumers who were victims of an allegedly deceptive scheme by Reckitt Benckiser Group and Indivior, Inc. to thwart lower-priced generic competition with the branded drug Suboxone. The average payment amount is $1,139. The payments will be mailed today.

Suboxone is a prescription oral medication used to minimize withdrawal symptoms in patients recovering from opioid addiction. The FTC alleged that Reckitt Benckiser and Indivior sought to deny consumers a lower-cost generic alternative to maintain their lucrative monopoly on the branded drug.   

“The FTC does not tolerate the kind of deceptive practices that make it harder or more expensive to get prescription medication. The Suboxone Film scheme put Americans’ health and safety at risk by using a unique market position to scare consumers,” said FTC Acting Chairwoman Slaughter. “Today the check is in the mail for over 50,000 people suffering from opioid addition – a pandemic in its own right still ravaging our communities – who were misled by these parties. While we trust the settlement has sent a strong warning to copycat companies, the FTC remains diligent in its work to promote a safe and competitive marketplace.”

According to the complaints, before the generic versions of Suboxone tablets became available, Reckitt and its former subsidiary Reckitt Benckiser Pharmaceuticals, now known as Indivior, Inc., developed a dissolvable oral film version of Suboxone and worked to shift prescriptions to this patent-protected film. Worried that doctors and patients would not want to switch to Suboxone Film, Reckitt and Indivior allegedly employed a “product hopping” scheme in which they misrepresented that the film version of Suboxone was safer than Suboxone tablets because children are less likely to be accidentally exposed to the film product. The complaints also alleged that, to buy more time to move patients to the film version of Suboxone, Indivior filed a meritless citizen petition with the FDA reciting the same unsupported safety claims and requesting that the agency reject any generic tablet application.

The FTC is mailing 37,212 checks totaling more than $42 million and 14,663 prepaid debit cards totaling more than $16 million. The checks will expire on Aug. 8, 2021, and the prepaid cards will expire on May 10, 2022.

In settlements reached with Reckitt and Indivior, the FTC required the companies to disgorge the money for these payments under Section 13(b) of the FTC Act. In 2020, FTC actions led to more than $482 million in refunds to consumers across the country, but recently the United States Supreme Court ruled the FTC lacks authority under Section 13(b) to seek monetary relief in federal court going forward. The Commission has urged Congress to restore the FTC’s ability to get money back for consumers.

The deadline to file a claim has passed. Recipients who have questions about these payments should contact the refund administrator, JND Legal Administration, at 1-877-545-0238.

The FTC’s interactive dashboards for refund data(link is external) provide a state-by-state breakdown of FTC refunds. FTC actions led to more than $483 million in refunds to consumers across the country in 2020.
 
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