Matthew Geller took the Customs broker license exam in April 2008, at the port of Portland, Oregon, and obtained his license on October 2008 through the port of Seattle. One month later, Matthew started working for Chuang’s Customhouse Brokers (CCB). CCB has an employer-employee agreement that specifically requires CCB to pay the triennial status report fees of all employees who hold broker licenses. Matthew discovers that his name and license number are listed as revoked in an August 8, 2013 Federal Register for non-payment of his triennial fee. Today is October 1, 2013. However, CCB’s corporate license qualifier assures Matthew with the following statement: “Don’t worry. The triennial fee payment responsibility falls on CCB because Matthew designated CCB as agent to pay it. Since CCB’s license qualifier signed off on the agency agreement, the responsibility for all employee triennial filings rests with CCB. I do, however, suggest informing CBP of the employer-agency agreement before the next triennial is due.” The port of Seattle had complied with suspension notice requirements. Which of the following is a true statement?
A. CCB’s license qualifier is correct. While CCB could face a fine from CBP for not paying Matthew’s triennial, Matthew cannot lose his license due to CCB’s failure to pay.
B. While Matthew’s license has been revoked due to non-payment of his triennial, Matthew has the right to seek reinstatement of his license based on certain principal-agent liability provisions. Matthew should submit a well-formed appeal to CBP headquarters in Washington, D.C.
C. While Matthew could have brought his license out of suspension had he paid his triennial fee in the appropriate timeframe, there is no further recourse for Matthew after his license has been revoked for non-payment of the fee.
D. Matthew may reinstate his license by submitting a post-triennial report directly to the port of Seattle, but still, Matthew does not have to pay the fee as it remains CCB’s responsibility.
E. CBP’s revocation was in error because Matthew’s triennial was deemed covered by CCB’s corporate license triennial payment. Matthew should contact CBP’s Broker Management Branch to rectify their error.
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The Answer is: C
Citation: 19 CFR 111.15, 19 CFR 111.30(d)(4), 19 CFR 111.96(d)
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