67. A-Z Corp imported a shipment of tote bags from China. These bags will be sold in A-Z Corp’s stores throughout the U.S. The entry was covered by a continuous bond for basic importation and entry. CBP discovered that half of the shipment was not properly marked with the country of origin and released it conditionally. What will happen if after Customs Form 4647 is issued, A-Z Corp fails to properly mark or to return to CBP custody for marking, exportation, or destruction?
A. A-Z Corp will be charged additional duties in the amount of 10% of the entire shipment.
B. A-Z Corp will be assessed liquidated damages equal to the lesser of the entered value of the improperly marked merchandise or the amount of the bond.
C. A-Z Corp will be assessed liquidated damages in the amount of three times the value of the merchandise or the amount of the bond, whichever is less.
D. A-Z Corp will be required to re-export or destroy the improperly marked merchandise.
E. A-Z Corp will be considered to be the “ultimate purchaser” of the merchandise.
[bg_collapse view=”button-green” color=”#4a4949″ icon=”arrow” expand_text=”Show Answer and Citation” collapse_text=”Hide Answer and Citation” ]
The Answer is: B
Citation: 19 CFR § 113.62, § 141.113(i) – § 134.1, § 134.2, § 134.51
[/bg_collapse]