U.S. Fails in Bid to Have CIT Reconsider Decision on Express Consignment CHB Penalties

On June 17, 2010, the Court of International Trade denied the request of U.S. Customs and Border Protection that it reconsider its remand decision denying the government's request for a rehearing to recover $75,000 in penalties imposed by CBP against UPS, for its alleged failure to exercise responsible supervision and control over its customs brokerage business.

CBP argued that the Court of Appeals for the Federal Circuit had announced a new legal standard for 19 CFR 111.1, and the CIT had erred by not providing CBP a chance to satisfy that new legal standard by either taking further trial evidence from CBP, or by remanding to CBP for administrative proceedings consistent with the new standard. The CAFC had ruled that the ten factors in 111.1 on responsible supervision and control were required to be considered by CBP.

(U.S. v. UPS Customhouse Brokerage Inc., Slip Op. 10-70, June 17, 2010)