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Letter to the Editor
Tuesday March 27
Keystone Automotive to Appeal Ford Design Claim in Federal Circuit Court
Keystone Automotive Industries, Inc. has announced that the International Trade Commission (ITC) gave notice of its decision not to review the final initial determination made by the administrative law judge concerning a previously disclosed complaint initiated by Ford Global Technologies against the company, another distributor and certain manufacturers."While we are encouraged that the Commission upheld the administrative law judge's ruling that three of Ford's patents are invalid, the decision not to review the initial determination of the seven other design patents by the administrative law judge is disappointing. Keystone remains committed to defending its position and intends to appeal to the Federal Circuit Court of Appeals," said Rick Keister, chief executive officer of Keystone.
He emphasized that the issue of applying design patent laws to replacement parts reaches well beyond Keystone and the alternative parts industry. "We will continue to vigorously defend our position on behalf of our shareholders, the industry and consumers who benefit from the utilization of quality replacement parts and a competitive marketplace," Keister said.
As previously disclosed, the parts at issue with these seven design patents currently represent less than 0.1 percent of sales.
The Commission had invited all interested parties to submit information and evidence on whether issuing a remedy in this case would adversely affect competitive conditions in the U.S. economy and U.S. consumers. Keystone's position is that preventing Keystone and others from importing and selling alternative parts for vehicles will result in higher repair costs and escalating insurance rates, and will have a detrimental effect on consumers.
Keystone Automotive Industries, Inc. distributes its products primarily to collision repair shops through its 136 distribution facilities, of which 22 serve as regional hubs, located in 38 states and Canada.
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