Apple watch import ban upheld by Biden administration

11 months ago

The Biden administration has decided to uphold an import ban on some Apple watches in a health care patent infringement case brought by two companies in Irvine, Calif.

The U.S. International Trade Commission ruled in October that Apple, Inc. infringed two patents owned by Masimo Corporation and Cercacor Laboratories, Inc. for a blood oxygen sensor that can read a person's pulse.

The decision was made by U.S. Trade Representative Katherine Tai, who is delegated authority from the president to review and potentially overturn import ban orders imposed by the ITC under U.S. trade law.

"After careful consultations, Ambassador Tai decided not to reverse the ITC’s determination and the ITC’s decision became final on December 26, 2023," Tai's office said Tuesday in a statement.

Apple, which already has appealed the ITC decision to the Federal Circuit, announced earlier this month that it would stop selling the Series 9 and Ultra 2 versions of its popular watch while its legal challenge continues.

"We strongly disagree with the USITC decision and resulting exclusion order, and are taking all measures to return Apple Watch Series 9 and Apple Watch Ultra 2 to customers in the U.S. as soon as possible," the company said after Tai's decision was announced Tuesday.

ITC rulings of this type can be overruled by the president within 60 days. Such overrides are rare, but former President Barack Obama used his authority to stop an import ban on certain iPhones and iPads back in 2013.

President Joe Biden declined to overturn a similar patent ruling involving Apple and another medical device company AliveCor earlier this year, but that import ban is still on hold due to ongoing litigation between the firms. And the president narrowly avoided a tough decision in an ITC case on electric vehicle batteries in 2021, when he was saved by a settlement between the competing firms.

Apple, which denies using Masimo's patent in the creation of its blood oxygen feature, said it has submitted a proposed redesign of its Series 9 and Ultra 2 watches for U.S. Customs approval. The company said there would no impact to service for customers in the U.S. who purchased the watches before Monday.

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