U.S. Customs and Border Protection seized a large amount of counterfeit clothing from a traveler that was arriving from El Salvador. I guess this puts to rest my belief that it is a rare occurrence when when Customs encounters somebody who is travelling from overseas with this large of an amount of counterfeit clothing.
Typically, counterfeit importations are just subject to seizure. In other words, the ‘penalty’ is loss of the goods through government seizure and forfeiture. However, Customs can impose monetary penalties under 19 USC 1526(f) on “any person who directs, assists … aids and abets [in] the importation of merchandise for sale or public distribution” once the property is seized.
Customs may presume that the large quantities means that is must have been intended for sale or public distribution. Thus, this person may have exposed himself to a monetary penalty equal to the MSRP of the seized goods as if they were real. It could be that it was meant for public sale or distribution, or it could just be that all these articles were intended for personal use and the buyer just could not stop himself from getting a good deal. Here’s the story:
U.S. Customs and Border Protection officers working at the George Bush Intercontinental Airport seized counterfeit Gucci, Burberry, Lacoste, Versace, Armani, Ferrari, Coco Chanel, Tory Burch and Michael Kors merchandise, May 13,
valued at more than $48,000.
The seized items included shirts, hats, shoes, purses and jewelry destined for Houston.
CBP officers conducted an inspection of a passenger arriving from El Salvador with checked bags. During the inspection, they discovered 161 brand-named articles that appeared to be counterfeit. The items did not appear to be of the quality consistent with legitimate goods as the items included unusual labeling and the markings on the clothing were not manufactured by the trademark holders.
“Packing hundreds of phony articles in suitcases doesn’t release passengers from their obligation to adhere to U.S. import laws and requirements,” said Houston CBP Port Director Charles Perez. “This seizure protects the trademark holder, their businesses and their employees and denies criminal organizations from reaping profits from the sale of counterfeit and illegitimate consumer goods.”
Counterfeit Chanel jewelry was among the seized items. Watches and jewelry topped the list of seized items sorted by value in fiscal year 2014.
CBP officers obtained digital images of the merchandise and forwarded them to the trademark owner to determine their authenticity. After verifying that the merchandise was counterfeit, CBP seized every item for infringement of intellectual property rights.
You might be facing penalties from customs for importing counterfeit merchandise. We can help. Typically, we recommended preparing and filing a petition, with the assistance of legal counsel, which argues persuasively for the substantial mitigation, or when the facts and law warrant it, cancellation of the penalty in full.
Great Lakes Customs Law has been very successful in getting these kinds of penalties reduced and, sometimes, even eliminated entirely (some history of our success is HERE).If you have had merchandise seized by customs because they allege it is counterfeit and contains trademark violations and/or have a received a notice of penalty for importing alleged counterfeits or for making an importation contrary to law, call our office at (734) 855-4999 to speak to a customs lawyer, or e-mail us through our contact page. We are able to assist petitions for customs penalties and seizures around the country, including Detroit, Chicago, Atlanta, New York, Los Angeles, Orlando and many other places. Please read these other articles: