Trumpf Med. Sys. Inc. v. United States
| Decision Date | 27 October 2010 |
| Docket Number | Slip Op. 10–123.Court No. 07–00316. |
| Citation | 753 F.Supp.2d 1297 |
| Parties | TRUMPF MEDICAL SYSTEMS, INC., Plaintiff,v.UNITED STATES, Defendant. |
| Court | U.S. Court of International Trade |
OPINION TEXT STARTS HERE
Simons & Wiskin, New York, NY (Philip Yale Simons and Jerry P. Wiskin), for Plaintiff.Tony West, Asst. Atty. Gen., Barbara S. Williams, Atty. in charge, Intern. Trade Field Office, U.S. Dept. of Justice (Mikki Cottet), for Defendants.
This case concerns the proper tariff classification of certain surgical light systems imported into the United States by Trumpf Medical Systems, Inc. (“Trumpf” or “Plaintiff”). U.S. Customs and Border Protection (“Customs”) liquidated Trumpf's merchandise as lamps or light fittings under various Subheadings of Heading 9405 of the Harmonized Tariff Schedule of the United States (“HTSUS”).1 Trumpf argues that its merchandise is properly classified as surgical instruments or appliances under HTSUS Heading 9018. 2 Plaintiff and the United Court No. 07–00316 Page 3 States (“Defendant” or the “Government”) both move for summary judgment.
The court has jurisdiction pursuant to 28 U.S.C. § 1581(a).
Because the common meaning of the terms of Heading 9018 does not support the government's narrow interpretation of the Heading's scope, the court grants, in part, the Plaintiff's motion.
Certain relevant facts are undisputed.
Plaintiff's undisputed evidence identifies six characteristics particular to surgical lights—High Illumination/Brightness, Color Rendition of Tissue, Light Field Diameter, Shadow Reduction, Limited Heat/Irradiance and Depth of Illumination—and a category of factors related to their purchase and sale. 3
The parties also agree to certain background facts related to the surgical light systems that Trumpf imported into the United States. Specifically, between November 2003 and July 2005 Trumpf imported its “Helion” and “Xenion” surgical light systems.4 (Pl.'s Stmt. of Uncontested Material Facts (“Pl.'s Stmt.”) ¶ 4(citing McArver Aff. ¶ 3).) 5
These surgical light systems “consist of a surgical light and a ceiling mounted moveable arm to which the surgical light is attached.” (Compl.¶ 6.) The movable arm allows “the surgeon to position the surgical lamp in the most favorable position during surgery.” ( Id.)
Among other various parts, the system includes:
• a surgical light or lights with a support boom and cardanic joint 6 (Ex. C to McArver Aff.)
• ceiling mounts (Ex. C to McArver Aff.; McArver Aff. ¶ 4)
• a central axis with (1) extension arms, (2) suspension arms, or (3) tracking arms 7
• spring (or “sprung”) arms (McArver Aff. ¶ 5; Helion Surgical Light User Manual (“Helion”), Ex. B to McArver Aff., 12; Xenion, Ex. B to McArver Aff., 12; Ex. C to McArver Aff.)
• transformer(s) (McArver Aff. ¶ 6) 8
• a control panel (Helion, Ex. B to McArver Aff., 12; Xenion, Ex. B to McArver Aff., 12; McArver Aff. ¶ 5,) and
• for Helion lights, a switch box (McArver Aff. ¶ 9; Helion, Ex. B to McArver Aff., 12.)
Some of the systems also include accessories such as cameras, flat panel screens, and various electrical and electronic components.9 (Compl.¶ 6.) Trumpf imports the surgical light systems in an unassembled condition. (Id. ¶ 7; McArver Aff. ¶ 10.) However, the systems themselves are complete, that is, they need no additional parts in order to function. (Compl. ¶ 7; McArver Aff. ¶ 10.) Indeed, the customer assembles the system
by simply screwing the surgical lights to the suspension arms, screwing the suspension arms to the extension arms and attaching the unit to the ceiling of an operating room with a mounting bracket which is welded to the top of the central axis.(.
Trumpf normally manufactures these systems in accordance with its customers' specifications.10 (Pl.'s Stmt. ¶ 9; McArver Aff. ¶ 7.) Moreover, Trumpf's surgical lights “are specially manufactured to have specific properties to provide the surgeon and the operating team with optimal illumination in an operating theater[,]” that is, “to provide a certain light intensity, low heat generation, control of shadows and depth of focus.” 11 (Pl.'s Stmt. ¶ 15 (citing McArver Aff. ¶ 15; Moore Aff. ¶ 11; Stauffer Aff. ¶ 10; Grattan Aff. ¶ 10).) Regarding the trueness of light color, Trumpf claims to approximate “daylight on a bright day” by using a color temperature of 4300 K (Ex. A to McArver Aff. 5; Helion, Ex. B to McArver Aff., 27; Xenion, Ex. B to McArver Aff., 25,) and a CRI of 93. (Helion, Ex. B to McArver Aff., 27; Xenion, Ex. B to McArver Aff., 25.) Moreover, users can adjust the luminous intensity, diameter of luminous field, and position of luminous field. (Helion, Ex. B to McArver Aff., 18–20; Xenion, Ex. B to McArver Aff., 17.) Finally, the lights are equipped with a sterile handle. 12 (Ex. A to McArver Aff. 5, 7; Helion, Ex. B to McArver Aff., 24; Xenion, Ex. B to McArver Aff., 18, 22–23.)
Trumpf sells its products only to hospitals and physicians and only “for use in office surgical suites and clinics.” Neither Trumpf nor its competitors sell their lights to distributors or other sellers of home or commercial lights.13 (McArver Aff. ¶ 13.) Purchasing agents with which Trumpf's sales staff interact “do not purchase lamps or lighting fittings which provide illumination in an office setting.” Trumpf and its competitors similarly do not describe their surgical lights as “lamps” or “lighting fittings.” Trumpf's competitors consist of other manufacturers and sellers of surgical light systems; Trumpf does not compete with manufacturers, sellers, or wholesalers “of lamps and lighting fittings used in a house or office building.”
Trumpf has obtained approval for U.S. sale of its surgical light systems from the U.S. Food and Drug Administration (“FDA”), and Trumpf's surgical lights meet the requirements of the Medical Device Directive. 14
Although both parties claim there are no material facts at issue, they present differing descriptions of the use of Trumpf's merchandise and of the composition of some specific entries at issue.
Trumpf states that its surgical light systems “are used for intra-operative diagnostic purposes as well as providing proper illumination for a surgical procedure.” The subject lights “allow proper visualization intraoperatively of anatomic structures such as nerves, arteries, veins, intestines, and other glandular structures in order that vital structures are not unintentionally injured.”
The above-described use, Trumpf states, is the lights' only use. (Grattan Aff. ¶ 13 surgical light systems “are only used to illuminate a portion of a patient's body during surgery or for diagnostic purposes ... I have never seen or heard of [ ] surgical light systems being used for another non-surgical related purpose”). ( Accord Stauffer Aff. ¶ 11.) Manuals for Helion and Xenion lights specifically state that the surgical lamps “may only be operated by surgeons, doctors or specially[-] trained personnel” and “[a] ny other use of the surgical light [besides the medical uses listed in the manual] is regarded as improper use.” (Helion, Ex. B to McArver Aff., 8; Xenion, Ex. B to McArver Aff., 8.) Moreover, health professionals consider Trumpf's surgical lights as “surgical appliance[s] or instrument[s]” and not as lamps or lighting fittings. Trumpf insists that a “standard lamp or lighting fixture,” such as those “used in an office setting or a house,” are not used for illumination during a surgical procedure. ( See Blessing Aff. ¶ 7; Cobbs Aff. ¶ 6.)
The government does not agree that Trumpf's lights are specifically designed for diagnostic purposes. See HQ967747 (Mar. 21, 2006). Instead, the government describes Trumpf's lights as specialized spotlights. See id. (citing HQ 967159 (Nov. 17, 2004)). The government presents evidence that a surgical lighthead from another company, STERIS Corp. (“STERIS”),15 has been used in art conservation laboratories. ( See Rosenfeld Decl. ¶ 8 ().) According to the government, the qualities of a STERIS lamp that provide illumination “that does not distort color and high intensity without heat, are also properties of lamps used in museum and art exhibition environments.” ( Id. at ¶ 9.) “[T]he ability to increase and decrease the pattern size of illumination is a feature found in spotlights, including theater spotlights and display spotlights used in museum and retail stores.” ( Id. at ¶ 4).
Trumpf does not contest the qualities of a STERIS light or a spotlight, but asserts that these qualities are not necessarily those of a surgical light. Trumpf does not offer specific evidence to this effect but nonetheless asserts that a STERIS...
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