Liberty Frozen Foods Pvt., Ltd. v. United States, 2011 WL 3329756

This action challenges Commerce's Final Results in the fourth administrative review of the antidumping duty order on frozen warmwater shrimp from India, focusing on the inclusion and calculation of LFF's bad debt expenses in POR costs.
Liberty Frozen Foods, Pvt., Ltd. (LFF) wrote off a March 2008 bad debt during the POR but initially excluded it from POR costs on grounds it related to an earlier year.
Commerce treated the write-off as part of LFF's POR costs after a questioning process and responses from LFF.
Plaintiffs argued the write-off related to pre-POR sales and should be either excluded or prorated; Commerce disputed that it is an ordinary recurring expense.
The court ultimately remands for reconsideration and explanation of why the write-off was not prorated, while upholding its inclusion in the POR costs.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether LFF's write-off should be excluded from the margin.	Liberty argues the write-off relates to pre-POR sales and should be excluded.	Commerce maintains the expense is part of POR costs as an ordinary bad debt.	Inclusion upheld; remand to address pro-rating.
Whether the write-off should be pro-rated to match POR overlap.	Liberty requests monthly pro-rating to reflect POR overlap.	Saccharin from PRC governs; full amount typically included.	Remanded for reconsideration and explanation of pro-rating.

Consolidated Edison Co. of N.Y. v. NLRB, 305 U.S. 197 (Supreme Court 1938) (substantial evidence standard and related law concepts cited)
Nippon Steel Corp. v. United States, 458 F.3d 1345 (Fed. Cir. 2006) (substantial evidence and reasonableness review)
SKF USA Inc. v. United States, 263 F.3d 1369 (Fed. Cir. 2001) (arbitrary agency action and statutory standards)
Martin v. Franklin Capital Corp., 546 U.S. 132 (Supreme Court 2005) (administrative decision-making standards)