ZX Customs Brokers, Inc. (ZX) is a customs broker that is a corporation. George Forest, an individually licensed customs broker, is ZX’s Vice President of Compliance and is the qualifier for ZX’s license and national permit. On May 1, 2025, the Executive Director, Office of Trade, CBP accepts Mr. Forest’s voluntary suspension of his individual license for one year effective May 5, 2025 due to health issues. ZX’s Import Manager, Jayne Smythe, is an individually licensed broker, but she is not a duly appointed officer of ZX. Which of the following statements is FALSE? (2025 October No.7 – Broker Compliance)
A) ZX may notify CBP that it is appointing Import Manager Smythe as its national permit qualifier and continue conducting customs business until the annual permit expires on December 31, 2025.
B) ZX may make a written voluntary offer of suspension of its broker’s license and permit for one year to accommodate Mr. Forest’s voluntary suspension of his license and discontinue conducting customs business during the suspension period.
C) ZX may appoint Import Manager Smythe as Vice President of Import Compliance, notify CBP that Ms. Smythe will be the new license and permit qualifier effective May 5, 2025, and continue conducting customs business.
D) Prior to September 2, 2025, ZX may hire Dr. Hu, an individually licensed broker, as its Vice President of Import Compliance. It can then designate Dr. Hu to act as the corporation’s new license qualifier and Import Manager Smythe to serve as its new national permit qualifier. After informing CBP of the appointments and complying with all other relevant requirements, it may continue conducting customs business.
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The Answer is: A
Citation: 19 CFR 111.52; 19 CFR 111.11(c); 19 CFR 111.19; 19 CFR 111.45
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