I-ITC Continues to Fight for Free Competition in Imaging Supplies

On November 19, in the U.S. Court of Appeals for the Federal Circuit, the International Imaging Technology Council (Int’l ITC) has once again filed a friend-of-the-court brief, which is in the case of Lexmark Int’l Inc. v. Ink Technologies Printer Supplies, according to i-itc.org.

Int’l ITC claims it opposes any resurrection of the “conditional sales” cases discredited by Quanta and reaffirmed that otherwise lawful remanufacture cannot be thwarted by post-sale patent license conditions, centering around whether a manufacturer of original computer printers and consumable supplies can impose a patent license on new cartridge buyers to thwart competition from remanufactured used laser toner cartridges.

Furthermore, the trade association outlines policy arguments describing what remanufacturing services do, their contributions to the U.S. economy and job market, their pro-competitive effects on pricing and product availability, and their beneficial impact on the environment.  It also argues that Lexmark’s interpretation of the law is a threat to the consumer’s right to repair its property, and promotes anti-competitive behavior.

Edward O’Connor, Chairman of Litigation for Eclipse Group Law Firm, comments on this case: “The District Court decision was that Lexmark’s prebate program is not enforceable under patent law, because it attempts to restrict the use of products sold in the normal stream of commerce…This will be a great boon to all industries which remanufacture and repair patented products.”

Other comment came from Steve Weedon, an Industry Commentator. He voiced: “The I-ITC is doing exactly what trade associations should be doing and letting those influential decision makers understand exactly how important the remanufacturing imaging industry is. There is a lot at stake and not only for the imaging industry but for any remanufacturing industry. Key decisions are to be made in the coming months that will concern all remanufacturing industries. Associations need to band together and shout even louder.”

Two automotive aftermarket associations joined in the brief: the Automotive Aftermarket Industry Association and the Automotive Parts Remanufacturer Association. “The availability of remanufactured parts reduces the use of raw materials and provides an effective and affordable replacement option for car owners in the United States,” According to Aaron Lowe, senior vice president for regulatory and legislative affairs for the Auto Care Association.

This is the fourth amicus brief filed by the Int’l ITC in support of free trade in imaging supplies.  The other three were filed with the U.S. Supreme Court level. Tricia Judge, the Executive Director of ITC, claimed that: “The Int’l ITC wants decision makers at all levels of government to know about the importance of our industry. These briefs convince judges of the importance of a fair and open marketplace for imaging supplies.”

Lexmark has continued to labels its toner cartridges (on the cartridge and on the outside of the box) with a “patent license” preventing purchasers from having the cartridge remanufactured or recycled by anyone but Lexmark.  Lexmark has sued dozens of remanufacturers for infringement claiming that the “license” avoids patent exhaustion.

According to wikipedia.org, friend-of-the-court is a literally expression of a legal Latin word: amicus curiae, meaning someone who is not a party to a case, who offers information that bears on the case but who has not been solicited by any of the parties to assist a court.

Watch More