UNITED STATES INTERNATIONAL TRADE COMMISSION
`WASHINGTON, D.C.
`
`Before the Honorable Clark S. Cheney
`Chief Administrative Law Judge
`
`
`
`
`
`
`
`
`
`Investigation No. 337-TA-1426
`
`
`
`
`
`
`
`In the matter of:
`
`CERTAIN CRAFTING MACHINES
`AND COMPONENTS THEREOF
`
`
`
`
`
`COMPLAINANT’S MOTION FOR ORDER TO SHOW CAUSE WHY CERTAIN
`RESPONDENTS SHOULD NOT BE FOUND IN DEFAULT
`
`Pursuant to Commission Rule 210.16(b)(1)(i), Complainant Cricut, Inc. (“Cricut”) hereby:
`
`(1) moves for an order directing Respondents Bozhou Wanxingyu Technology Co., Ltd. (“Bozhou
`
`Wanxingyu”), Bozhou Zhongdaxiang Technology Co., Ltd. (“Bozhou Zhongdaxiang”), Shanghai
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`Sishun E-Commerce Co., Ltd., and Liping Zhan (collectively, the “Defaulting Respondents”) to
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`show cause why they should not be found in default for failing to respond to the Complaint and
`
`Notice of Institution of Investigation; and (2) requests that the Chief Administrative Law Judge,
`
`upon the failure of the Defaulting Respondents to show cause, issue an initial determination finding
`
`each of the Defaulting Respondents in default.
`
`Ground Rule 5.1 Certification
`
`Pursuant to Ground Rule 5.1, Cricut certifies that, before filing this motion, it contacted
`
`the Commission Investigative Staff (“Staff”) and counsel for the participating respondents that
`
`have appeared to date––Hunan Sijiu Technology, Co., Ltd., HK Sijiu International Share Co., Ltd.,
`
`Guangdong Rongtu Technology Co., Ltd. (collectively, the “HTVRONT Respondents”)––about
`
`Cricut’s intent to file this motion. Staff indicated that it will take a position on the papers. The
`
`HTVRONT Respondents indicated that they do not oppose the motion.
`
`1
`
`
`WASHINGTON, D.C.
`
`Before the Honorable Clark S. Cheney
`Chief Administrative Law Judge
`
`
`
`
`
`
`
`
`
`Investigation No. 337-TA-1426
`
`
`
`
`
`
`
`In the matter of:
`
`CERTAIN CRAFTING MACHINES
`AND COMPONENTS THEREOF
`
`
`
`
`
`COMPLAINANT’S MOTION FOR ORDER TO SHOW CAUSE WHY CERTAIN
`RESPONDENTS SHOULD NOT BE FOUND IN DEFAULT
`
`Pursuant to Commission Rule 210.16(b)(1)(i), Complainant Cricut, Inc. (“Cricut”) hereby:
`
`(1) moves for an order directing Respondents Bozhou Wanxingyu Technology Co., Ltd. (“Bozhou
`
`Wanxingyu”), Bozhou Zhongdaxiang Technology Co., Ltd. (“Bozhou Zhongdaxiang”), Shanghai
`
`Sishun E-Commerce Co., Ltd., and Liping Zhan (collectively, the “Defaulting Respondents”) to
`
`show cause why they should not be found in default for failing to respond to the Complaint and
`
`Notice of Institution of Investigation; and (2) requests that the Chief Administrative Law Judge,
`
`upon the failure of the Defaulting Respondents to show cause, issue an initial determination finding
`
`each of the Defaulting Respondents in default.
`
`Ground Rule 5.1 Certification
`
`Pursuant to Ground Rule 5.1, Cricut certifies that, before filing this motion, it contacted
`
`the Commission Investigative Staff (“Staff”) and counsel for the participating respondents that
`
`have appeared to date––Hunan Sijiu Technology, Co., Ltd., HK Sijiu International Share Co., Ltd.,
`
`Guangdong Rongtu Technology Co., Ltd. (collectively, the “HTVRONT Respondents”)––about
`
`Cricut’s intent to file this motion. Staff indicated that it will take a position on the papers. The
`
`HTVRONT Respondents indicated that they do not oppose the motion.
`
`1
`
`
`
`I.
`
`INTRODUCTION
`
`On February 12, 2025, the Chief Administrative Law Judge issued Order No. 9 denying
`
`Cricut’s Motion to Leave to Effect Personal Service Through Alternative Means on three of the
`
`Defaulting Respondents, Bozhou Wanxingyu, Bozhou Zhongdaxiang and Liping Zhan. EDIS Doc.
`
`ID. 843305. Order No. 9 acknowledges that Liping Zhan refused delivery of the complaint and
`
`notice of institution of Investigation sent by Cricut via Federal Express. Id. at 3. Such refusal is a
`
`“sufficient indication of receipt” of the complaint and notice of investigation “to justify the
`
`issuance of a show-cause order under Commission Rule 210.16(a)(1). Id. Order No. 9 further
`
`indicates that “it appears that [Shanghai Sishun E-Commerce Co., Ltd.] has been successfully
`
`served following Cricut’s receipt of a January 2, 2025 email response from Mr. Alan Tan, “a
`
`Chinese counsel engaged by Vevor.com in response to [Cricut’s] 337 claim.” Id. at 6-7. On
`
`February 12, 2025, Mr. Tan emailed Cricut’s counsel indicating that he is authorized to accept,
`
`and accepts, service of the complaint and notice of investigation sent on January 7, 2025 on behalf
`
`of Bozhou Wanxingyu and Bozhou Zhongdaxiang. Ex. A. Based on the above, each of the
`
`Defaulting Respondents have been sufficiently served with the Complaint and Notice of
`
`Investigation to be ordered to show cause why the Commission should not find them in default.
`
`Upon the Defaulting Respondents’ failure to respond to such an order, Cricut respectfully requests
`
`entry of default against them.
`
`II.
`
`APPLICABLE RULES
`
`Under 19 C.F.R. § 210.16(a)(1), “[a] party shall be found in default if it fails to respond to
`
`the Complaint and Notice of Investigation in the manner prescribed in § 210.13 or § 210.59(c) or
`
`otherwise fails to answer the Complaint and notice, and fails to show cause why it should not be
`
`found in default.” Further, under 19 C.F.R. § 210.16(b)(1), “a party may file a motion for, or the
`
`administrative law judge may issue upon his own initiative, an order directing respondent to show
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`2
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`
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`cause why it should not be found in default” and, “[i]f the respondent fails to make the necessary
`
`showing…, the administrative law judge shall issue an initial determination finding the respondent
`
`in default.”
`
`Under Commission precedent, a refusal of service is “a sufficient indication of receipt” of
`
`the complaint and notice of investigation “to justify the issuance of a show-cause order under
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`Commission Rule 210.16(a)(1). Certain Toner Cartridges, Components Thereof, and Systems
`
`Containing Same, Inv. No. 337-TA-1174, Order No. 14 at 2 (Oct. 30, 2019); see also Certain
`
`Portable Battery Jump Starters and Components Thereof, Inv. No. 337-TA-1256, Order No. 17 at
`
`2 (May 17, 2021); Certain LED Photographic Lighting Devices and Components Thereof, Inv.
`
`No. 337-TA-804, Order No. 9 at 3 (Nov. 23, 2011).
`
`Pursuant to 19 C.F.R. § 210.13(a), a respondent in a Section 337 investigation has twenty
`
`(20) days from the date of service of the Complaint and Notice of Investigation to file a written
`
`response. According to Order No. 9, Liping Zhan’s refusal of service and Mr. Alan Tan’s email
`
`indicating his representation of respondents in this Investigation are indications that the Defaulting
`
`Respondents were sufficiently served to justify the issuance of a show-cause order under
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`Commission Rule 210.16(a)(1). Accordingly, the Defaulting Respondents had thirty (30) days
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`from the date Cricut delivered the service packages to file a written response.
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`III. ARGUMENT
`
`As indicated in Order No. 9, Cricut attempted to serve Liping Zhan with the complaint and
`
`notice of institution of Investigation by sending the materials to Zhan via Federal Express. Order
`
`No. 9 at 3; Mot. No. 1426-003 at 7. The tracking information for that shipment indicates that on
`
`December 17, 2024, the “[d]elivery was refused by the recipient.” Order No. 9 at 3; Mot. No.
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`1426-003, Ex. 9 at 5. Under Commission precedent, a refusal of service is “a sufficient indication
`
`of receipt” of the complaint and notice of investigation “to justify the issuance of a show-cause
`
`3
`
`
`
`order under Commission Rule 210.16(a)(1). Certain Toner Cartridges, Components Thereof, and
`
`Systems Containing Same, Inv. No. 337-TA-1174, Order No. 14 at 2 (Oct. 30, 2019); see also
`
`Certain Portable Battery Jump Starters and Components Thereof, Inv. No. 337-TA-1256, Order
`
`No. 17 at 2 (May 17, 2021); Certain LED Photographic Lighting Devices and Components
`
`Thereof, Inv. No. 337-TA-804, Order No. 9 at 3 (Nov. 23, 2011). Because Cricut served copies of
`
`the Complaint, accompanying exhibits, and Notice of Institution of Investigation on Liping Zhan
`
`on December 17, 2024, its response to the Complaint was due on January 16, 2025. See 19 C.F.R.
`
`§§ 210.16, 210.13. Liping Zhan has failed to submit a response.
`
`As indicated in Order No. 9, Cricut was not able to serve Bozhou Wanxingyu or Bozhou
`
`Zhongdaxiang in accordance with Commission Rule 201.16. Order No. 9 at 4. However, the Chief
`
`Administrative Law Judge acknowledged that Shanghai Sishun E-Commerce Co., Ltd. appears to
`
`have been successfully served. Id. at 6-7. According to Order No. 9, the email to Cricut on January
`
`2, 2025 from Mr. Alan Tan, Chinese counsel engaged by Vevor.com in response to Cricut’s 337
`
`claim, appears to indicate successful service of the complaint and notice of institution of
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`Investigation. Order No. 9 at 6-7; Mot. No. 1426-003, Ex. 6 at 3. Out of an abundance of caution,
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`Cricut served Mr. Tan directly with the complaint, accompanying exhibits and notice of institution
`
`of Investigation on January 7, 2025. Ex. A at 2. On January 8, 2025, Mr. Tan confirmed receipt of
`
`the materials. Id. On February 12, 2025, Mr. Tan further confirmed acceptance of service of the
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`complaint and notice of institution of Investigation sent by Cricut on January 8, 2025 on behalf of
`
`Bozhou Wanxingyu and Bozhou Zhongdaxiang. Id. at 1. Because Cricut served copies of the
`
`Complaint, accompanying exhibits, and Notice of Institution of Investigation on Bozhou
`
`Wanxingyu, Bozhou Zhongdaxiang, and Shanghai Sishun E-Commerce Co., Ltd. on February 12,
`
`2025 (at the latest), their response to the Complaint was due on March 14, 2025. See 19 C.F.R. §§
`
`4
`
`
`
`210.16, 210.13. Bozhou Wanxingyu, Bozhou Zhongdaxiang, and Shanghai Sishun E-Commerce
`
`Co., Ltd. have each failed to submit a response.
`
`The Defaulting Respondents have received notice of this Investigation that satisfies the
`
`requirements of due process and justifies the issuance of a show cause order. Should the Defaulting
`
`Respondents be ordered to show cause, and again fail to respond or show good cause for their
`
`failure to respond, an initial determination finding the Defaulting Respondents in default would be
`
`warranted.
`
`IV. CONCLUSION
`
`For the foregoing reasons, Cricut respectfully requests that the Defaulting Respondents be
`
`ordered to show cause why they should not be found in default for failure to respond to the
`
`Complaint and Notice of Institution of Investigation. Should the Defaulting Respondents fail to
`
`make the requisite showing in response, Cricut respectfully requests that the Chief Administrative
`
`Law Judge issue an initial determination finding the Defaulting Respondents in default.
`
`
`
`
`Dated: March 17, 2025
`
`
`
`
`
`
`Respectfully Submitted,
`/s/ Jay H. Reiziss
`Jay H. Reiziss
`Alexander P. Ott
`Timothy M. Dunker
`MCDERMOTT WILL & EMERY LLP
`500 North Capital Street, NW
`Washington, DC 20001
`Telephone: (202) 756-8000
`cricutitc@mwe.com
`
`David J. Tobin
`MCDERMOTT WILL & EMERY LLP
`2501 North Harwood Street Suite 1900
`Dallas, TX 75201
`
`5
`
`
`
`
`
`
`
`
`
`Telephone: (214) 210-2793
`cricutitc@mwe.com
`
`James M. Oehler
`Tessa M. Kroll
`MCDERMOTT WILL & EMERY LLP
`444 West Lake Street, Suite 4000
`Chicago, IL 60606
`Telephone: (312) 372-2000
`cricutitc@mwe.com
`
`Counsel for Complainant
`Cricut, Inc.
`
`6
`
`
`
`
`
`
`EXHIBIT A
`EXHIBIT A
`
`
`
`
`
`
`
`
`
`
`
`
`
`From:
`To:
`Cc:
`Subject:
`Date:
`
`谭旭
`Tobin, David
`cricutitc@mwe.com
`回复：RE: 回复：RE: 回复：RE: 337 Claim against Vevor.com
`Wednesday, February 12, 2025 2:13:40 AM
`
`Some people who received this message don't often get email from xu.tan@tahota.com. Learn why this is important
`[ External Email ]
`Dear David,
`
`This is to confirm that Bozhou Wanxingyu Tech Co.,Ltd and Bozhou Zhongdaxiang Tech Co.,Ltd are correct
`entity names, being limited liability companies incorporated under the Chinese laws. Also, I confirm that we accept
`the service of the ITC materials from Allison Shook’s email in the chain below (which includes the complaint and notice
`of investigation) on behalf of the above two companies.
`
`Regards,
`
`Alan
`
`Tobin, David<dtobin@mwe.com> 在 2025年2月12日 周三 0:40 写道：
`
`Dear Alan,
`
`Thank you for writing to us. We would like to better understand the “Bozhou” entities that you represent.
`
`1. Can you please confirm that the Bozhou entities you represent are: Bozhou Wanxingyu Technology Co. Ltd. and
`Bozhou Zhongdaxiang Technology Co., Ltd.?
`2. Can you also please confirm that you accept service of the ITC materials from Allison Shook’s email in the chain
`below (which includes the complaint and notice of investigation) on behalf of Bozhou Wanxingyu Technology Co.
`Ltd. and Bozhou Zhongdaxiang Technology Co., Ltd.?
`
`Thank you,
`
`David
`
`DAVID TOBIN
`Partner
`McDermott Will & Emery LLP 2501 North Harwood Street, Suite 1900, Dallas, TX 75201
`Tel +1 214 210 2793 | Email dtobin@mwe.com
`Website | vCard | LinkedIn
`
`From: 谭旭 <xu.tan@tahota.com>
`Sent: Tuesday, February 11, 2025 12:33 AM
`To: Tobin, David <dtobin@mwe.com>; Shook, Allison <ashook@mwe.com>
`Cc: cricutitc@mwe.com <cricutitcmwe.com@mwe.com>
`Subject: 回复：RE: 回复：RE: 337 Claim against Vevor.com
`
`Some people who received this message don't often get email from xu.tan@tahota.com. Learn why this is important
`[ External Email ]
`Dear David,
`
`We have heard from you since our positive confirmation to accept e-service of ITC materials sent to us by Allison Shook.
`Also, we agree to accept electronic service of any further incoming materials. As I mentioned earlier, Bozhou is one of
`Shanghai Sishun's suppliers and will be represented by us after we talked to them on this matter.
`
`Hopefully we will be able to move forward conversation for a possible settlement.
`
`Looking forward to your response.
`
`1
`
`
`
`Best,
`Alan
`
`Tobin, David<dtobin@mwe.com> 在 2025年1月10日 周五 2:07 写道：
`
`Dear Alan,
`
`As you likely know, we have sent the ITC complaint, exhibits, notice of investigation, and other materials to multiple email
`addresses associated with Vevor. In addition to sending these materials to you, we have sent them to the following email
`addresses:
`trademarks@dililaw.com
`TMProce@scienbizip.com
`ecptm@scienbizip.com
`
`So that we can continue the conversation, please confirm that you agree to accept electronic service of the ITC materials sent
`to you by Allison Shook 1/7/2025 at 12:35 pm EST. Your acceptance of service is on behalf of: Shanghai Sishun E-commerce
`Co., Ltd.; Bozhou Wanxingyu Technology Co.; and Bozhou Zhongdaxiang Technology Co.
`
`Regards,
`David
`
`DAVID TOBIN
`Partner
`McDermott Will & Emery LLP 2501 North Harwood Street, Suite 1900, Dallas, TX 75201
`Tel +1 214 210 2793 | Email dtobin@mwe.com
`Website | vCard | LinkedIn
`
`From: 谭旭 <xu.tan@tahota.com>
`Sent: Wednesday, January 8, 2025 8:07 AM
`To: Shook, Allison <ashook@mwe.com>
`Cc: cricutitc@mwe.com <cricutitcmwe.com@mwe.com>
`Subject: 回复：RE: 337 Claim against Vevor.com
`
`Some people who received this message don't often get email from xu.tan@tahota.com. Learn why this is important
`[ External Email ]
`Dear Allison,
`
`Thank you for sharing the documents.
`Our client has determined to refrain from importing into the US the accused product and will be willing to make a
`settlement with your client without any further need to go through the lengthy legal process. I guess this is also beneficial
`for your client as the outcome shall not be any different. Just wonder if this is possible.
`
`Best,
`
`Alan
`Shook, Allison<ashook@mwe.com> 在 2025年1月8日 周三 1:34 写道：
`
`Dear Alan,
`
`In relation to the above-referenced matter, the complainant Cricut, Inc. is sending courtesy copies of the following documents
`via TitanFile transfer:
`· Cover Letter
`· Notice of Institution and Assignment of OUII Attorney
`· Public Complaint
`· Public Exhibits
`· NOI Enclosures Packet including USITC Mediation materials and Commission Rules
`· Assignment of CALJ
`· Complainant Cricut, Inc.’s Notice of Appearance and Designation of Lead Attorney
`
`2
`
`
`
`· Complainant Cricut, Inc.’s First Set of Requests for Production of Documents and Things and First Set of Interrogatories to
`the Respondents
`
`These materials were previously served on the Vevor entities. We trust you will advise your clients accordingly.
`
`Best,
`Allison
`
`ALLISON SHOOK
`Paralegal
`McDermott Will & Emery LLP 18565 Jamboree Road, Suite 250, Irvine, CA 92612-2565
`Tel +1 949 625 5019 | Email ashook@mwe.com
`Website | vCard | LinkedIn
`
`From: 谭旭 <xu.tan@tahota.com>
`Sent: Thursday, January 2, 2025 6:07 PM
`To: cricutitc@mwe.com <cricutitcmwe.com@mwe.com>
`Subject: 337 Claim against Vevor.com
`
`Some people who received this message don't often get email from xu.tan@tahota.com. Learn why this is important
`[ External Email ]
`
`Dear Mr. Reiziss
`
`This is Alan Tan a Chinese counsel engaged by Vevor.com in response to your 337 claim on behalf of Cricut for certain
`relief to be granted. We have been instructed by our client to reach to you seeking potential settlement on this matter,
`while at the same time, our counsel in the Unites States will be reaching out to you seeking settlement on the pending
`litigation with the federal court.
`
`Hope that we will be able to resolve this matter amicably.
`
`Thank you and wish you a happy new year.
`
`Alan Tan
`Tahota (shenzhen) Law Office
`+ 86 18682172972
`
`*******************************************************************************************************************
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`confidential or protected by privilege. If you are not the intended recipient, you are hereby notified that any disclosure, copying, distribution or
`use of the information contained in or attached to this message is strictly prohibited. Please notify the sender of the delivery error by replying
`to this message, and then delete it from your system. Our Privacy Policy explains how we may use your personal information or data and any
`personal information or data provided or made available to us. Thank you.
`*******************************************************************************************************************
`
`Please visit http://www.mwe.com/ for more information about our Firm.
`
`3
`
`
`
`CERTIFICATE OF SERVICE
`
`I hereby certify that, on March 17, 2025, a true and correct copy of the foregoing was
`served upon the following, in the manner indicated below:
`
`
`The Honorable Lisa R. Barton
`Secretary to the Commission
`U.S. International Trade Commission
`500 E Street, SW, Room 112
`Washington, D.C. 20436
`The Honorable Clark S. Cheney
`Chief Administrative Law Judge
`U.S. International Trade Commission
`500 E Street, SW
`Washington, D.C. 20436
`Cheney1426@usitc.gov
`Yoncha Kundupoglu, Esq.
`Investigative Attorney
`Office of Unfair Import Investigations
`U.S. International Trade Commission
`500 E Street, SW
`Washington, D.C. 20436
`yoncha.kundupoglu@usitc.gov
`Respondents Hunan Sijiu Technology, Co. Ltd.,
`HK Sijiu International Share Co., Ltd., and
`Guangdong Rongtu Technology Co., Ltd.
`Helena D. Kiepura
`DLA Piper LLP (US)
`500 Eighth Street, NW
`Washington, DC 20004
`DLA-Sijiu-1426@us.dlapiper.com
`
`Tyler V. Snow
`HATCH LAW GROUP, PC
`22 East 100 South, Suite 400
`Salt Lake City, Utah 84111
`T: (801) 869-1919
`email: snow@hatchpc.com
`Respondent LiPing Zhan
`No. 187, Yanglinguan Street,
`Xingou Town, Jianli County,
`Jingzhou, China 433300
`Respondent Shanghai Sishun E-commerce Co.,
`Ltd.
`5th Floor, Building 6, Lane 958, Jinsha Jiangxi Road
`Jiading District, Shanghai, China 201824
`
`
`
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`
`Respondent Bozhou Wanxingyu Technology Co.
`Ltd.
`No. 26, Guangming Rd., Qiaocheng Dist.
`Bozhou, Anhui, China, 236800
`Respondent Bozhou Zhongdaxiang Technology
`Co., Ltd.
`No. 41, Zhaoyangzhuang Vil., Dawang Xingzheng
`Vil., Niuji Town, Qiaocheng Dist.
`Bozhou, Anhui, China 236800
`
`☐Via EDIS
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`/s/ Ethan Song
`Ethan Song
`
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