Washington, D.C. (November 19, 2024) – Sterne, Kessler, Goldstein & Fox received a significant ruling in a patent infringement case before the U.S. International Trade Commission (ITC) on behalf of SV3, a leading distributor of vape products in the United States.

RJ Reynolds (RJR) has accused SV3 and 34 other disposable flavored e-cigarette manufacturers and distributors of unfair importation. RJR moved for emergency relief via a motion for a Temporary Exclusion Order (TEO). Earlier today, SV3 and the other Respondents defeated RJR’s motion. Bet-the-company TEO procedures are rare, and the last case that was tried to an Initial Determination was more than a decade ago.

Specifically, today’s decision found that RJR was unlikely to prove infringement and that it failed to rebut the substantial questions Respondents raised as to the validity of the asserted patent. The decision further found that RJR had not “persuasively shown” that it has suffered irreparable harm. According to Sterne Kessler’s Daniel Yonan, “The ALJ’s detailed opinion highlighted the many pitfalls that Respondents identified in RJR’s case, both procedurally and on the merits. Many of these issues will pose significant challenges for RJR to overcome in the next phase of proceedings.”

The hearing for the permanent phase of the case is scheduled for April 2025 and the Commission is expected to issue its Final Determination in November 2025.

The Sterne Kessler team representing SV3 was led by directors Daniel Yonan, head of the firm’s U.S. International Trade Commission Practice Group, and Uma Everett, a member of the firm’s Trial & Appellate Practice Group.

The team also included Kyle Conklin, Ryan Richardson, Kristina Caggiano Kelly, Robert Niemeier, Brooke McLain, Davin Guinn and Cristen Corry.

About Sterne, Kessler, Goldstein & Fox

Based in Washington, D.C. and renowned for more than four decades for dedication to the protection, enhancement, and enforcement of intellectual property rights, Sterne, Kessler, Goldstein & Fox is one of the most highly regarded intellectual property specialty law firms in the world. Its team of attorneys, registered patent agents, technical specialists, specialized trademark paralegals, and law clerks include some of the country’s most respected practitioners of IP law, tackling innovations across a broad spectrum of industries. The firm’s practitioners represent Fortune 500 companies, entrepreneurs, start-ups, inventors, venture capital firms, and universities in a client service driven environment that is welcoming, inclusive, and intellectually stimulating. Visit the firm online at sternekessler.com.

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