US ITC investigation may prevent Ocado robots from being brought into the country

Excludes OSP from the US market .. .. US consumers, especially those in poorly serviced areas, undermine their ability to obtain healthy and affordable food, and established online food It will undermine Kroger’s ability to compete with the grocery store.
— Ocado Lawyers

Ocado has accused US authorities of investigating the technology for its potential harm to “public health, safety and welfare.”

On Monday, the United States International Trade Commission (ITC) announced plans to launch a formal investigation into Ocado. This will prevent robots and other key technologies from being brought into the country.

The ITC has begun investigating Ocado’s Smart Platform (OSP) technology in response to allegations of infringement of numerous patents from Norwegian technology firm AutoStore.

After AutoStore announced in early October that it had sued Ocado for patent infringement, the company demanded that it immediately stop building and selling its automated robot picking system, which is essential to its recent success.

Ocado is currently building 20 automated distribution centers nationwide for its largest corporate customer, grocery giant Kroger, with the first center scheduled to open early next year.

The lawyer argued that stopping the process could prevent Americans from going to physical stores during a pandemic.

“Excludes OSP from the US market .. .. US consumers, especially those in poorly serviced areas, undermine their ability to obtain healthy and affordable food, and established online food It will undermine Kroger’s ability to compete with the grocery store. “

They said that the pandemic was “almost certainly” still a problem when the Ocado distribution center was in operation, and during the pandemic, the investigation “may be harmful to US public health, safety and well-being.” Added.

AutoStore’s civil proceedings against Ocado are understood to be pending in the United States until the ITC’s findings are known.

USITC INSTITUTES SECTION 337 INVESTIGATION OF CERTAIN AUTOMATED STORAGE AND RETRIEVAL SYSTEMS, ROBOTS, AND COMPONENTS THEREOF

November 2, 2020

News Release 20-127

Inv. No. 337-TA-1228

Contact: Peg O'Laughlin, 202-205-1819

USITC INSTITUTES SECTION 337 INVESTIGATION OF CERTAIN AUTOMATED STORAGE AND RETRIEVAL SYSTEMS, ROBOTS, AND COMPONENTS THEREOF

The U.S. International Trade Commission (USITC) has voted to institute an investigation of certain automated storage and retrieval systems, robots, and components thereof.  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 AutoStore Technology AS and AutoStore AS, both of Nedre Vats, Norway, and AutoStore System Inc. of Derry, NH, on October 1, 2020.  The complaint alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain automated storage and retrieval systems, robots, and components thereof 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:

Ocado Group Plc of Hatfield, Hertfordshire, United Kingdom;
Ocado Central Services Ltd. of Hatfield, Hertfordshire, United Kingdom;
Ocado Innovation Ltd. of Hatfield, Hertfordshire, United Kingdom;
Ocado Operating Ltd. of Hatfield, Hertfordshire, United Kingdom;
Ocado Solutions, Ltd., of Hatfield, Hertfordshire, United Kingdom;
Ocado Solutions USA Inc. of Tysons Corner, VA;
Tharsus Group Ltd. of Blyth, Northumberland, United Kingdom; and
Printed Motor Works Ltd. of Alton, Hampshire, United Kingdom.

By instituting this investigation (337-TA-1228), 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.

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