Nov 14 (Reuters) - The U.S. International Trade

Commission decided on Friday to hold a new proceeding to

determine whether imports of Apple's ( AAPL ) updated Apple

Watches should be banned as part of a patent dispute with

medical monitoring technology company Masimo ( MASI ).

The ITC said in an order that it would investigate whether

Apple Watches that were redesigned to circumvent a previous

import ban issued by the commission still infringe Masimo ( MASI )

patents covering blood-oxygen measurement technology.

The commission set a target to finish the investigation

within six months.

Apple ( AAPL ) said the case was a meritless attempt to block its

smartwatches' blood oxygen feature and that Masimo ( MASI ) had copied

its watch design in order to bring the complaint.

Later on Friday, Masimo ( MASI ) issued a statement stating that

the company is "pleased by this outcome" of the U.S. jury

verdict awarding Masimo ( MASI ) $634 million in damages.

APPLE ( AAPL ), MASIMO FIGHTING ON MULTIPLE FRONTS

The case is part of a contentious, multi-front patent fight

between Apple ( AAPL ) and Masimo ( MASI ), an Irvine, California-based medical

monitoring technology company that has accused the tech company

of hiring away its employees to steal its pulse-oximetry

innovations.

The commission blocked imports of Apple's ( AAPL ) Series 9 and Ultra

2 smartwatches in 2023 after finding that Masimo's ( MASI ) patents were

infringed. Apple ( AAPL ) removed blood-oxygen reading technology from

its watches to avoid the ban, but reintroduced an updated

version of the technology in August with approval from U.S.

Customs and Border Protection.

Masimo ( MASI ) has sued Customs over the approval, while Apple ( AAPL ) has

separately challenged the ITC's ban at a federal appeals court.

Masimo ( MASI ) separately sued Apple ( AAPL ) in California federal court for

patent infringement and trade-secret theft. A jury in Santa Ana

is now weighing Masimo's ( MASI ) allegations that Apple ( AAPL ) owes as much as

$749 million in damages for infringing a Masimo ( MASI ) patent.

A California judge declared a mistrial in Masimo's ( MASI )

trade-secret case against Apple ( AAPL ) in 2023 after a jury failed to

reach a unanimous verdict. Apple ( AAPL ) won a minimal $250

verdict against Masimo ( MASI ) in Delaware last year in a countersuit

over allegations that Masimo's ( MASI ) smartwatches infringe two Apple ( AAPL )

design patents.