Customs and Border Protection has issued a Notice of Detention on a shipment of potato chips suspect of being subject to Gray Market Lever-Rule protection. Goods subject to Lever-Rule protection are goods physically and materially different from the goods authorized by the U.S. trademark for importation. The potato chips have been approved entry by all applicable other government agencies. This means the goods:
A. Will be denied entry
B. Are considered counterfeit and will be seized
C. Will be released, and CBP will demand redelivery using a CBP Form 4647 if later found to be prohibited
D. May not be brought into compliance and may not be allowed entry because the goods are subject to lever-rule protection
E. May be brought into compliance and allowed entry if a label informing the ultimate purchaser that the goods are physically and materially different and its importation is not authorized by the U.S. trademark holder
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The Answer is: E
Citation: 19 CFR 133.23(d)(3), 133.25 and 133.23(b)
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