PART 113—CBP BONDS Authority: 19 U.S.C. 66, 1623, 1624. Subpart E also issued under 19 U.S.C. 1484, 1551, 1565. Section 113.74 also issued under 19 U.S.C. 1337. Section 113.75 and appendix C also issued under 19 U.S.C. 1484b. Source: T.D. 84-213, 49 FR 41171, Oct. 19, 1984, unless otherwise noted. § 113.0 Scope. This part sets forth the general requirements applicable to bonds. It contains the general authority and powers of the Commissioner of CBP in requiring bonds, bond approval and execution, bond conditions, general and special bond requirements, the requirements which must be met to be either a principal or a surety, the requirements concerning the production of documents, the authority and manner of assessing liquidated damages and requirements for cancelling the bond or charges against a bond. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70162, Nov. 13, 2015] Subpart A—General Provisions § 113.1 Authority to require security or execution of bond. Where a bond or other security is not specifically required by law or regulation, the Commissioner of CBP may by specific instruction require, or authorize the Director, Revenue Division or the port director to require, such bonds or other security considered necessary for the protection of the revenue or to assure compliance with any pertinent law, regulation, or instruction. [80 FR 70162, Nov. 13, 2015] § 113.2 Powers of Commissioner of CBP relating to bonds. Whenever a bond is required or authorized by law, regulation, or instruction, the Commissioner of CBP may: (a) Prescribe the conditions and form of the bond and fix the amount of penalty, whether for the payment of liquidated damages, or of a penal sum, except as otherwise specifically provided by law. (b) Provide for the approval of the sureties on the bond, without regard to any general provision of law. (c) Authorize the execution of a term bond, the conditions of which will extend to and cover similar cases of importations over a period of time, not to exceed one year or such longer period as he may fix, when in his opinion special circumstances warrant a longer period. (d) Authorize the taking of a consolidated bond (single transaction or term) in lieu of separate bonds to assure compliance with two or more provisions of law, regulation, or instruction. Such a consolidated bond will have the same force and effect as the separate bonds in lieu of which it was taken. The Commissioner of CBP may fix the penalty for violation of a consolidated bond without regard to any other provision of law, regulation, or instruction. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70162, Nov. 13, 2015] § 113.3 Liability of surety on a terminated bond. The surety, as well as the principal, remains liable on a terminated bond for obligations incurred prior to termination. § 113.4 Bonds and carnets. (a) Bonds. (b) Carnets. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70163, Nov. 13, 2015] Subpart B—Bond Application and Approval of Bond § 113.11 Bond application. (a) Single transaction bond application. (b) Continuous bond application. (1) Information required. (i) The general character of the merchandise to be entered; and (ii) The total amount of ordinary customs duties (including any taxes required by law to be treated as duties), plus the estimated amount of any other tax or taxes on the merchandise to be collected by CBP, accruing on all merchandise imported by the principal during the calendar year preceding the date of the application. The total amount of duties and taxes will be that which would have been required to be deposited had the merchandise been entered for consumption even though some or all of the merchandise may have been entered under bond. If the value or nature of the merchandise to be imported will change in any material respect during the next year the change must be identified. If no imports were made during the calendar year prior to the application, a statement of the duties and taxes it is estimated will accrue on all importations during the current year shall be submitted. (2) Application updates. (c) Certification. I certify that the factual information contained in this application is true and accurate and any information provided which is based upon estimates is based upon the best information available on the date of this application. [CBP Dec. 15-15, 80 FR 70163, Nov. 13, 2015] § 113.12 Bond approval. (a) Single transaction bonds. (b) Continuous bonds. [CBP Dec. 15-15, 80 FR 70163, Nov. 13, 2015] § 113.13 Amount of bond. (a) Minimum amount of bond. (b) Guidelines for determining amount of bond. (1) The prior record of the principal in timely payment of duties, taxes, and charges with respect to the transaction(s) involving such payments; (2) The prior record of the principal in complying with CBP demands for redelivery, the obligation to hold unexamined merchandise intact, and other requirements relating to enforcement and administration of customs and other laws and CBP regulations; (3) The value and nature of the merchandise involved in the transaction(s) to be secured; (4) The degree and type of supervision that CBP will exercise over the transaction(s); (5) The prior record of the principal in honoring bond commitments, including the payment of liquidated damages; and (6) Any additional information contained in any application for a bond. (c) Periodic review of bond sufficiency. (d) Additional security. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70163, Nov. 13, 2015] § 113.14 Approved form of bond inadequate. If CBP determines that none of the conditions contained in subpart G of this part is applicable to a transaction sought to be secured, the Director, Revenue Division, or the port director, as CBP deems appropriate, will draft conditions that cover the transaction. Before execution of the bond, the conditions must be submitted to Headquarters, Attention: Executive Director, Regulations and Rulings, Office of International Trade, for approval. [CBP Dec. 15-15, 80 FR 70163, Nov. 13, 2015] § 113.15 Retention of approved bonds. Except for bonds containing an agreement to pay court costs (condemned goods) ( see [CBP Dec. 15-15, 80 FR 70164, Nov. 13, 2015] Subpart C—Bond Requirements § 113.21 Information required on the bond. (a)(1) Identification of principal and sureties. (2) Identification of trade names and unincorporated divisions of a corporate principal. (b) Date of execution. (c) Statement of the amount. (d) Use of abbreviations. (e) Blank spaces on the bond. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70164, Nov. 13, 2015] § 113.22 Witnesses required. (a) Generally. (b) Witness for both principal and surety. (c) Corporate principal or surety. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70164, Nov. 13, 2015] § 113.23 Changes made on the bond. (a) Definition of the types of changes Modification or interlineation. (2) Alterations or erasures. (b) Prior to signing. (c) After signing. (d) After approval of the bond by CBP. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984, as amended by CBP Dec. 15-15, 80 FR 70164, Nov. 13, 2015] § 113.24 Riders. (a) Types of riders. www.cbp.gov. (b) Location and method of filing. (c) Attachment of rider to paper bond. (d) Format of rider. (1) Name change of principal. By this rider to the CBP Form 301,____ (bond number), dated ____, executed by ____, (former name), as principal, ____, (importer number), the, ____ (new name), hereby certifies that it is the same entity formerly known as ____, (former name), and the principal and surety agree that they are responsible for any act secured by this bond done under principal's former name. Principal and surety agree to be bound under this bond to the same extent as if this bond had been executed in the principal's new name. This rider is effective on ____ (date). (2) Address change. By this rider to CBP Form 301, ____ (bond number) executed on ____ (date), by ____, (principal's name), as principal, ____, (importer number), and ____ (surety's name and code), as surety, which is effective on ____ (date), the principal, surety or both, intend that the bond be amended to show ____ (new address) as their address. The principal, surety or both, as may be appropriate agree to be bound as though this bond has been executed with the new address(s) shown. (3) Addition or deletion of trade names and unincorporated divisions of a corporate principal Addition rider. By this rider to the CBP Form 301, ____, (bond number), executed on ____, (date), by ____, (principal's name), as principal, ____, (importer number) and ____, (surety's name and code), as surety, which is effective on ____ (date), the principal and surety agree that the below listed names are unincorporated units of the principal or are trade or business names used by the principal in its business and that this bond covers its business and that this bond covers any act done in those names to the same extent as though done in the name of the principal. The principal and surety agree that any such act must be considered to be the act of the principal. (ii) Deletion rider. By this rider to the CBP Form 301, ____, (bond number), executed on ____, (date), by ____, (principals name) as principal, ____, (importer number and ____, (surety's name and surety code), as surety, which is effective on ____, (date), the principal and surety agree that the below listed names of unincorporated units of the principal or trade or business names used by the principal in its business are deleted from the bond effective upon the date of approval of the rider by the appropriate CBP bond approval official. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70164, Nov. 13, 2015] § 113.25 Seals. When a seal is required, the seal must be affixed adjoining the signatures of principal and surety, if individuals, and the corporate seal must be affixed close to the signatures of persons signing on behalf of a corporation. Bonds must be under seal in accordance with the law of the state in which executed. However, when the charter or governing statute of a corporation requires its acts to be evidenced by its corporate seal, such seal is required. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70164, Nov. 13, 2015] § 113.26 Effective dates of bonds and riders. (a) General. (b) Single transaction bond. (c) Continuous bond. (d) Riders for name change of principal, address change, and addition of trade names and unincorporated divisions of a corporate principal. (e) Rider to delete trade names and unincorporated divisions of a corporate principal. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended at 80 FR 70164, Nov. 13, 2015; CBP Dec. 15-15, 81 FR 15159, Mar. 22, 2016] § 113.27 Effective dates of termination of bond. (a) Termination by principal/co-principal. (b) Termination by surety. (c) Effect of termination. [CBP Dec. 15-15, 80 FR 70164, Nov. 13, 2015] Subpart D—Principals and Sureties § 113.30 Information pertaining to principals and sureties on the bond. The general information pertaining to the principal and surety which must be given in the body of the bond is set forth in § 113.21. § 113.31 Same party as principal and surety; attorney in fact. (a) Same party as principal and surety. (b) Attorney in fact for principal or surety. (1) Attorney in fact for both principal and surety; (2) Surety and attorney in fact for the principal; or (3) Principal and attorney in fact for the surety. § 113.32 Partnerships as principals. A partnership, including a limited partnership, means any business association recognized as such under the laws of the State where the association is organized. (a) Execution. (b) Action of one principal binding on all principals of the partnership. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 86-204, 51 FR 42998, Nov. 28, 1986; CBP Dec. 15-15, 80 FR 70164, Nov. 13, 2015] § 113.33 Corporations as principals. (a) Name of corporation on the bonds. (b) Signature and seal of the corporation on the bond. (c) Bond executed by an officer of corporation. (d) Bond executed by an attorney in fact. (e) Subsidiaries as co-principals. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended at CBP Dec. 15-15, 80 FR 70164, Nov. 13, 2015] § 113.34 Co-principals. A bond with a co-principal may be used by a person having a distinct legal status (e.g., individual, partnership, corporation) to join another person with the same distinct legal status on the bond. A bond with a co-principal may not be used to join an entity which does not have a distinct legal status (e.g. an unincorporated division of a corporation). However, an entity which does not have a distinct legal status may use another bond if listed on the bond by the principal at the time of execution or by subsequent rider (see § 113.24). A bond with co-principal may not be used to join different legal entities (e.g. an individual and a corporation, a partnership and a corporation). [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70165, Nov. 13, 2015] § 113.35 Individual sureties. (a) Number required. (b) Qualifications to act as surety Residency and citizenship. (2) Granting of power of attorney. (3) Property requirements. (c) Oath and evidence of solvency. (1) Take an oath on CBP Form 3579, setting forth: (i) The amount of assets over and above all debts and liabilities
and such exemptions as may be allowed by law; and (ii) The general description and location of one or more pieces of
real estate owned within the customs territory of the United States, and the value thereof, less any encumbrance. (2) Produce such evidence of solvency and financial responsibility as
CBP may require. (d) Determination of financial responsibility. (e) Continuancy of financial responsibility. [CBP Dec. 15-15, 80 FR 70165, Nov. 13, 2015] § 113.36 Partner acting as surety on behalf of a partner or on behalf of a partnership. A member of a partnership will not be accepted as an individual surety on a bond executed by the partnership as principal. A partner may be an individual surety for a fellow partner on a bond if (a) the transaction is in an individual capacity and unrelated to the partnership, (b) sufficient unencumbered nonpartnership property is available as security, and (c) the individual qualifies as an individual surety under the provisions of § 113.35 of this part. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70165, Nov. 13, 2015] § 113.37 Corporate sureties. (a) Lists of corporations and limits of their bonds. Federal Register (b) Name of corporation on the bond. (c) Name of agent or attorney on the bond. (d) Social security or other surety-generated identification number of agent or attorney on the bond. (e) Signature and seal of the corporation on the bond. (f) Two or more corporate sureties as sureties on the same obligation. Corporate Sureties Agreement for Limitation of Liability ____ (name of surety), ____ (surety code), a surety company incorporated under laws of the State of ____, authorized to conduct a surety business in the State of ____, and having its principal place of business at ____ (address), and ____ (names of surety), ____ (surety code), a surety company incorporated under the laws of the State of ____ and having its principal place of business at ____ (address), as sureties, and ____ (name of principal), as principal, are jointly and severally obligated to the United States in the amount of ____ ($ ) on a bond executed on ____ (date of execution) with each surety jointly and severally obligate with the principal in the amounts listed below and no more: ____ (name of surety) ____ ($ ) ____ (name of surety) ____ ($ ) By this agreement the principal and sureties bind themselves and agree that for the purpose of allowing a joint action against any or all of them, and for that purpose only, this agreement and the bond under which they are obligated and which is incorporated by reference into this agreement, shall be treated as the joint and several as well as the several obligation of each of the parties. Signed and sealed this ____________ day of ____________20____ ____Principal ____Surety ____Surety ____Authorized CBP officer (g) Power of attorney for the agent or attorney of the surety. (1) Execution and contents. (i) Corporate surety name and number, (ii) Name and address of agent or attorney, and social security number or other surety-generated 9-digit alphanumeric identification number for the agent or attorney. (iii) Port(s) where the agent or attorney is authorized to act, (iv) Date of execution of power of attorney, (v) Seal of the corporate surety, (vi) Signature of any two principal officers of corporation, and (vii) Dollar amount of authorization. (2) Filing. (3) Use at port where power of attorney not filed before receipt of computer printout. (4) Term and revocation. (5) Change on the power of attorney. (A) Grantee name change; (B) Grantee address change; and (C) The addition of port(s) to the corporate surety power of attorney on file. (ii) To make any other change to the power of attorney two separate CBP Forms 5297 must be submitted, one revoking the previous power of attorney, and one containing a new grant of authority. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984; T.D. 95-77, 60 FR 50020, Sept. 27, 1995; CBP Dec. 15-15, 80 FR 70165, Nov. 13, 2015] § 113.38 Delinquent sureties. (a) Acceptance as surety when in default as principal on another CBP bond. (b) Acceptance as surety when in default as surety on another CBP bond. (c)(1) Nonacceptance of single transaction bond by port director. (2) Non-acceptance of bond upon instruction by Commissioner of CBP or Director, Revenue Division. (3) Notice of surety. (4) Review and final decision. Customs Bulletin. (5) Duration of decision. (6) Actions consistent with requirements. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 91-77, 56 FR 46115, Sept. 10, 1991; T.D. 95-77, 60 FR 50020, Sept. 27, 1995; T.D. 99-27, 64 FR 13675, Mar. 22, 1999; T.D. 99-64, 64 FR 43266, Aug. 10, 1999; CBP Dec. 15-15, 80 FR 70166, Nov. 13, 2015] § 113.39 Procedure to remove a surety from Treasury Department Circular 570. If a port director, Fines, Penalties, and Forfeitures Officer, or authorized Revenue Division officer is dissatisfied with a surety company because the company has neglected or refused to pay a valid demand made on the surety company's bond or otherwise has failed to honor an obligation on that bond, the port director, Fines, Penalties, and Forfeitures Officer, or authorized Revenue Division personnel may take the following steps to recommend that the surety company be removed from Treasury Department Circular 570. (a) Report to Headquarters. (1) A copy of the bond in issue; (2) A copy of the entry or other evidence which shows that there was a default on the bond; (3) A copy of all notices, demands or correspondence sent to the surety company requesting the honoring of the bond obligation; (4) A copy of all correspondence from the surety company; and (5) A written report of the facts known to the port director, Fines, Penalties, and Forfeitures Officer, or authorized Revenue Director personnel showing the unsatisfactory performance by the surety company of the bond obligation(s). (b) Review by Headquarters. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 91-77, 56 FR 46115, Sept. 10, 1991; T.D. 95-77, 60 FR 50020, Sept. 27, 1995; T.D. 99-27, 64 FR 13675, Mar. 22, 1999; CBP Dec. 15-15, 80 FR 70166, Nov. 13, 2015] § 113.40 Acceptance of cash deposits or obligations of the United States in lieu of sureties on bonds. (a) General provisions. (b) Authority to sell United States obligations on default. Power of Attorney and Agreement (For Corporation) ____, (name of corporation) a corporation duly incorporated under the laws of the State of ____, and having its principal office in the City of ____, State of ____, as authorized by a resolution of the board of directors of the corporation, passed on the ____ day of ____, 20____, a duly certified copy of which is attached, does constitute and appoint ____ (name and official title of bond-approving officer), and his successors in office, as attorney for said corporation, for and in the name of the corporation to collect or to sell, assign, and transfer the securities described as follows: The securities having been deposited by it as security for the performance of the agreements undertaken in a bond with the United States, executed on the date of ________, 20____, the terms and conditions of which are incorporated by reference into this power of attorney and agreement and made a part hereof. The undersigned agrees that in case of any default in the performance of any of the agreements the attorney shall have full power to collect the securities or any part thereof, or to sell, assign, and transfer the securities or any part thereof at public or private sale, without notice, free from any equity of redemption and without appraisement or valuation, notice and right to redeem being waived and to apply the proceeds of the sale or collection in whole or in part to the satisfaction of any obligation arising by reason of default. The undersigned further agrees that the authority granted by this agreement is irrevocable. The corporation for itself, its successors and assigns, ratifies and confirms whatever the attorney shall do by virtue of this agreement. Witnessed, signed, and sealed, this ______ day of ______________ 20____. [Corporate seal.] By ____ Before me, the undersigned, a notary public within and for the County of ____________, in the State of ____________ (or the District of Columbia), personally appeared ________________________ (name and title of officer) and for and in behalf of said ____________________, a corporation, acknowledged the execution of the foregoing power of attorney. Witness my hand and notarial seal this ________ day of ______________, 20____;. [Notarial seal.] Notary Public ____________________ Note: Securities must be described by title, date of maturity, rate of interest, denomination, serial number, and whether coupon or registered. Failure to give a complete description will warrant rejection of this power of attorney. (c) Application of United States money or obligations on default. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984; CBP Dec. 15-15, 80 FR 70166, Nov. 13, 2015] Subpart E—Production of Documents § 113.41 Entry made prior to production of documents. When entry is made prior to the production of a required document, the importer must indicate in the “Missing Documents” box (box 16) on CBP Form 7501, or its electronic equivalent, the missing document, whether the importer gives a bond or stipulates to produce the document. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-14, 80 FR 61286, Oct. 13, 2015; CBP Dec. 15-15, 80 FR 70167, Nov. 13, 2015] § 113.42 Time period for production of documents. Except when another period is fixed by law or regulations, any document for the production of which a bond or stipulation is given must be delivered within 120 days from the date of notice from CBP requesting such document. If the period ends on a Saturday, Sunday, or holiday, delivery on the next business day will be accepted as timely. [CBP Dec. 24-03, 89 FR 52373, June 24, 2024] § 113.43 Extension of time period. (a) Application received within time period. (b) Late application. (c) Acceptance of a free-entry or reduced-duty document prior to liquidation. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 85-167, 50 FR 40363, Oct. 3, 1985; CBP Dec. 15-15, 80 FR 70167, Nov. 13, 2015] § 113.44 Assent of sureties to an extension of a bond. (a) Extension prescribed by law or regulations. (b) Other extension. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70167, Nov. 13, 2015] § 113.45 Charge for production of a missing document made against a continuous bond. When a continuous bond secures the production of a missing document and the bond is breached by the principal's failure to timely produce that document, the claim for liquidated damages must be in an amount equal to the amount of the single transaction bond that would have been taken had the transaction been covered by a single transaction bond. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70167, Nov. 13, 2015] Subpart F—Assessment of Damages and Cancellation of Bond § 113.51 Cancellation of bond or charge against the bond. The Commissioner of CBP may authorize the cancellation of any bond provided for in this part or any charge that may have been made against the bond, in the event of a breach of any condition of the bond, upon payment of a lesser amount or penalty or upon such other terms and conditions as may be deemed sufficient. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70167, Nov. 13, 2015] § 113.52 Failure to satisfy the bond. If any CBP bond, except one given only for the production of free-entry or reduced-duty documents ( see [CBP Dec. 15-15, 80 FR 70167, Nov. 13, 2015] § 113.53 Waiver of CBP requirement supported by a bond. (a) Waiver by the Commissioner of CBP. (1) Unconditional, in which case the importer is relieved from the payment of liquidated damages; (2) Conditioned upon prior settlement of the bond obligation by payment of liquidated damages; or (3) Conditioned upon such other terms and conditions as the Commissioner of CBP may deem sufficient. (b) Waiver by the port director or other authorized CBP officer. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70167, Nov. 13, 2015] § 113.54 Cancellation of erroneous charges. (a) Bonds. (b) Carnets. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 00-57, 65 FR 53575, Sept. 5, 2000] § 113.55 Cancellation of export bonds. (a) Manner of cancellation. (1) Upon exportation. (2) Upon payment of liquidated damages. (b) Cancellation of bond charges of an international carrier. (c) Foreign landing certificate. (1) Mandatory. (2) Optional with the port director. (3) Waiver. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70167, Nov. 13, 2015] Subpart G—CBP Bond Conditions § 113.61 General. Each section in this subpart identifies specific coverage for a particular customs activity. When an individual or organization files a bond with CBP the activity in which they plan on engaging will be identified on the bond. The bond conditions listed in this subpart which correspond to that activity will be incorporated by reference into the bond. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by CBP Dec. 15-15, 80 FR 70167, Nov. 13, 2015] § 113.62 Basic importation and entry bond conditions. Link to an amendment published at 91 FR 55224, Aug. 26, 2026. A bond for basic importation and entry must contain the conditions listed in this section and may be either a single transaction or a continuous bond. Basic Importation and Entry Bond Conditions (a) Agreement to Pay Duties, Taxes, and Charges. (i) Deposit, within the time prescribed by law or regulation, any duties, taxes, and charges imposed, or estimated to be due, at the time of release or withdrawal; and (ii) Pay, as demanded by CBP, all additional duties, taxes, and charges subsequently found due, legally fixed, and imposed on any entry secured by this bond. (2) If the principal enters any merchandise into a CBP bonded warehouse, the obligors agree; (i) To pay any duties, taxes, and charges found to be due on any of that merchandise which remains in the warehouse at the expiration of the warehousing time limit set by law; and (ii) That the obligation to pay duties, taxes, and charges on the merchandise applies whether it is properly withdrawn by the principal, or by the principal's transferee, or is unlawfully removed by the principal or any other person, without regard to whether the merchandise is manipulated, unless payment was made or secured to be made by some other person. (3) Under this agreement, the obligation to pay any and all duties, taxes, and charges due on any entry ceases on the date the principal timely files with CBP a bond of the owner in which the owner agrees to pay all duties, taxes, and charges found due on that entry; provided a declaration of the owner has also been properly filed. (b) Agreement to Make or Complete Entry. (1) Determine whether the merchandise may be released from CBP custody; (2) Properly assess duties on the merchandise; (3) Collect accurate statistics with respect to the merchandise; and (4) Determine whether applicable requirements of law and regulation are met. (c) Agreement to Produce Documents and Evidence. (d) Agreement to Redeliver Merchandise. (1) Fails to comply with the laws or regulations governing admission into the United States; (2) Must be examined, inspected, or appraised as required by 19 U.S.C. 1499; or (3) Must be marked with the country of origin as required by law or regulation. It is understood that any demand for redelivery will be made no later than 30 days after the date that the merchandise was released or 30 days after the end of the conditional release period (whichever is later). (See §§ 141.113(b), 12.73(b)(2), and 12.80 of this chapter.) (e) Agreement to Rectify Any Non-Compliance with Provisions of Admission. (f) Agreement for Examination of Merchandise. (1) Hold the merchandise at the place of examination until the merchandise is properly released; (2) Transfer the merchandise to another place on receipt of instructions from CBP made before release; and (3) Keep any customs seal or cording on the merchandise intact until the merchandise is examined by CBP. (g) Reimbursement and Exoneration of the United States. (1) Pay the compensation and expenses of any CBP officer, as required by law or regulation; and (2) Exonerate the United States and its officers from any risk, loss, or expense arising out of principal's importation, entry, or withdrawal of merchandise. (h) Agreement on Duty-Free Entries or Withdrawals. (1) To use and handle the merchandise in the manner and for the purpose entitling it to duty-free treatment; (2) If a fishing vessel, to present the original approved application to CBP within 24 hours on each arrival of the vessel in the customs territory of the United States from a fishing voyage; (3) To furnish timely proof to CBP that any merchandise entered or withdrawn under any law permitting duty-free treatment was used in accordance with that law; and (4) To keep safely all withdrawn beverages remaining on board while the vessel is in port, as may be required by CBP. (i) Agreement to comply with CBP regulations applicable to customs security areas at airports. (j) The principal agrees to comply with all Importer Security Filing requirements set forth in part 149 of this chapter including but not limited to providing security filing information to CBP in the manner and in the time period prescribed by regulation. If the principal defaults with regard to any obligation, the principal and surety (jointly and severally) agree to pay liquidated damages of $5,000 for each violation. (k) Agreement to comply with electronic entry and/or advance cargo information filing requirements. (2) If the principal elects to provide advance inward air or truck cargo information to CBP electronically, the principal agrees to provide such cargo information to CBP in the manner and in the time period required, respectively, under § 122.48a or § 123.92 of this chapter. If the principal defaults with regard to these obligations, the principal and surety (jointly and severally) agree to pay liquidated damages of $5,000 for each violation. (l) Agreement to comply with Air Cargo Advance Screening (ACAS) requirements. (m) Agreement to ensure and establish issuance of softwood lumber export permit and collection of export fees. (n) Consequence of default. (2) It is understood and agreed that whether the default involves merchandise is determined by CBP and that the amount to be collected under these conditions will be based upon the quantity and value of the merchandise as determined by CBP. Value as used in these provisions means value as determined under 19 U.S.C. 1401a. (3) If the principal defaults on agreements in this condition other than conditions (a) or (g) and the default does not involve merchandise, the obligors agree to pay liquidated damages of $1,000 for each default or such other amount as may be authorized by law or regulation. (4) If the principal defaults on agreements in the condition set forth in paragraph (a)(1)(i) of this section only, the obligors (principal and surety, jointly and severally) agree to pay liquidated damages equal to two times the unpaid duties, taxes and charges estimated to be due or $1,000, whichever is greater. A default on the condition set forth in paragraph (a)(1)(i) of this section will be presumed if any monetary instrument authorized for the payment of estimated duties, taxes and charges by § 24.1(a) of this chapter is returned unpaid by a financial institution, or if a payment authorized under Automated Clearinghouse (see § 24.25 of this chapter) is not transmitted electronically to CBP in a timely manner. If the principal defaults on agreements in both of the conditions as set forth in paragraphs (a)(1)(i) and (b) of this section, the measure of liquidated damages assessed will be as provided in paragraph (n)(1) of this section for a default of the agreements in the condition set forth in paragraph (b) of this section. For purposes of this paragraph, the phrase “unpaid duties, taxes and charges” will include any appropriate ad valorem fees described in § 24.23 of this chapter, fees relating to dutiable mail described in § 24.22(f) of this chapter, and harbor maintenance fees described in § 24.24(e)(3) (i) and (ii) of this chapter. (5) If the principal defaults on agreements in the condition set forth in paragraph (m) of this section only, the obligors agree to pay liquidated damages equal to $100 per thousand board feet of the imported lumber. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984] Editorial Note: For Federal Register www.govinfo.gov. § 113.63 Basic custodial bond conditions. Link to an amendment published at 91 FR 55224, Aug. 26, 2026. A basic custodial bond must contain the conditions listed in this section and must be a continuous bond. Basic Custodial Bond Conditions (a) Receipt of Merchandise. (1) To operate as a custodian of any bonded merchandise received, including merchandise collected for transport to his facility, and to comply with all regulations regarding the receipt, carriage, safekeeping, and disposition of such merchandise; (2) To accept only merchandise authorized under CBP regulations; (3) To maintain all records required by CBP regulations relating to merchandise received into bond, and to produce the records upon demand by an authorized CBP officer; (4) If authorized to use the alternative transfer procedure set forth in § 144.34(c) of this chapter, to operate as constructive custodian for all merchandise transferred under those procedures, thereby assuming primary responsibility for the continued proper custody of the merchandise notwithstanding its geographical location; (5) If authorized to operate a container station under the CBP regulations, to report promptly to CBP each arrival of a container and its merchandise by delivery of the manifest and the application for transfer, or by other approved notice. (b) Carriage and Safekeeping of Merchandise. (1) If a bonded carrier, to use only authorized means of conveyance; (2) To keep safe any merchandise placed in its custody including, when approved by CBP, repacking and transferring such merchandise when necessary for its safety or preservation; (3) To comply with CBP regulations relating to the handling of bonded merchandise; and (4) If authorized to use the alternative transfer procedure set forth in § 144.34(c) of this chapter, to keep safe any merchandise so transferred. (c) Disposition of Merchandise. (1) If a bonded carrier, to report in-bond arrivals and exportations in the manner and in the time prescribed by regulation and to export in-bond merchandise in the time periods prescribed by regulation. (2) If a cartage or lighterage business, to deliver promptly and safely to CBP any merchandise placed in the principal's custody together with any related cartage and lighterage ticket and manifest; (3) To dispose of merchandise in a manner authorized by CBP regulations; and (4) To file timely with CBP any report required by CBP regulations. (5) In the case of Class 9 warehouses, to provide reasonable assurance of exportation of merchandise withdrawn under the sales ticket procedure of § 144.37(h) of this chapter. (d) Agreement to Redeliver Merchandise to CBP. (e) Compliance with Licensing and Operating Requirements. (f) Agreement to comply with CBP regulations applicable to customs security areas at airports. (g) The principal agrees to comply with all Importer Security Filing requirements set forth in part 149 of this chapter including but not limited to providing security filing information to CBP in the manner and in the time period prescribed by regulation. If the principal defaults with regard to any obligation, the principal and surety (jointly and severally) agree to pay liquidated damages of $5,000 per violation. (h) Agreement to comply with Air Cargo Advance Screening (ACAS) requirements. (i) Reimbursement and Exoneration of the United States. (1) Pay the compensation and expenses of any CBP officer as required by law or regulation; (2) Pay the cost of any locks, seals, and other fastenings required by CBP regulations for securing merchandise placed in the principal's custody; (3) Pay for any expenses connected with the suspension or termination of the bonded status of the premises; (4) Exonerate the United States and its officers from any risk, loss, or expense arising out of the principal's custodial operation; and (5) Pay any charges found to be due CBP arising out of the principal's custodial operation. (j) Consequence of Default. (2) It is understood and agreed that the amount to be collected under conditions (a) through (e) of this agreement will be based upon the quantity and value of the merchandise as determined by CBP. Value as used in these provisions means value as determined under 19 U.S.C. 1401a. (3) If the principal defaults on conditions (a) through (e) in this agreement and the default does not involve merchandise, the obligors agree to pay liquidated damages of $1,000 for each default or such other amount as may be authorized by law or regulation. It is understood and agreed that whether the default involves merchandise is determined by CBP. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984] Editorial Note: For Federal Register www.govinfo.gov. § 113.64 International carrier bond conditions. Link to an amendment published at 91 FR 55224, Aug. 26, 2026. A bond for international carriers must contain the conditions listed in this section and may be either a single transaction or continuous bond. International Carrier Bond Conditions (a) Agreement to Pay Penalties, Duties, Taxes, and Other Charges. (b) Agreement to pay liquidated damages Passenger processing fees: (2) Railroad car processing fees: (3) Reimbursement fees payable by express consignment carrier and centralized hub facilities. (c) Agreement on Unlading, Safekeeping, and Disposition of Merchandise, Supplies, Crew Purchases, Etc. (d) Agreement to provide advance cargo information. (e) Non-vessel operating common carrier (NVOCC); other party. (f) Agreement to comply with Importer Security Filing requirements. (g) Agreement to comply with vessel stow plan requirements. (h) Agreement to comply with container status message requirements. (i) Agreement to comply with Air Cargo Advance Screening (ACAS) requirements. (2) If a party specified in § 122.48b(c)(2) of this chapter provides the ACAS data to CBP, that party, as principal under this bond, agrees to comply with all ACAS requirements set forth in §§ 122.48a and 122.48b of this chapter including, but not limited to, providing ACAS data to CBP in the manner and in the time period prescribed by regulation and taking the necessary action to address ACAS referrals and Do-Not-Load (DNL) instructions as prescribed by regulation. If the principal defaults with regard to these obligations, the principal and surety (jointly and severally) agree to pay liquidated damages of $5,000 for each violation, to a maximum of $100,000 per conveyance arrival. (j) Agreement to Deliver Export Documents. (k) Agreement to comply with CBP regulations applicable to customs security areas at airports. (l) Exoneration of the United States. (m) Unlawful disposition. (2) Principal agrees that it will act, in regard to merchandise in its possession on the date the redelivery demand is issued, in accordance with any CBP demand for redelivery made within 10 days of CBP discovery that there is reasonable cause to believe that the merchandise was exported in violation of the export control laws. (3) Obligors agree that if the principal defaults in either of these obligations, they will pay, as liquidated damages, an amount equal to three times the value of the merchandise which was not redelivered. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984] Editorial Note: For Federal Register www.govinfo.gov. § 113.65 Repayment of erroneous drawback payment bond conditions. A bond for repayment of erroneous drawback must contain the conditions listed in this section and may be either a single transaction or continuous bond. Repayment of Erroneous Drawback Payment Bond Conditions (a) Agreement Under Exporter's Summary Procedure. (1) Is entitled to the drawback claimed. (2) Correctly described the exported articles in the claim. (3) Correctly stated the facts of exportation in the claim; the principal and surety, jointly and severally agree to refund, on demand, any money claimed by CBP to have been erroneously paid as a result of an incorrect statement on the drawback claim, and (4) The principal agrees to pay any charges due CBP as provided by law or regulation. (b) Agreement Under Accelerated Payment of Drawback. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 86-178, 51 FR 34959, Oct. 1, 1986; T.D. 88-72, 53 FR 45902, Nov. 15, 1988; CBP Dec. 15-15, 80 FR 70168, Nov. 13, 2015] § 113.66 Control of containers and instruments of international traffic bond conditions. A bond for control of containers and instruments of international traffic must contain the conditions listed in this section and must be a continuous bond. Control of Containers and Instruments of International Traffic Bond Conditions (a) Agreement to Enter Any Diverted Instrument of International Traffic. (1) Report promptly to CBP when the instrument is diverted to point-to-point local traffic in the customs territory of the United States or when the instrument is otherwise withdrawn in the customs territory of the United States from its use as an instrument of international traffic. (2) Promptly enter the instrument unless exempt from entry; and (3) Pay any duty due on the instrument at the rate in effect and in its condition on the date of diversion or withdrawal. (b) Agreement to Comply With the Provisions of subheading 9801.00.10, or 9803.00.50 Harmonized Tariff Schedule of the United States (HTSUS). (1) Not to advance the value or improve its condition abroad or claim (or make a previous claim) drawback on, any container released under subheading 9801.00.10, HTSUS; (2) To pay the initial duty due and otherwise comply with every condition in subheading 9803.00.50, HTSUS, on any container released under that item; (3) To mark that container in the manner required by CBP; (4) To keep records which show the current status of that container in service and the disposition of that container if taken out of service; and (5) To remove or strike out the markings on that container when it is taken out of service or when the principal transfers ownership of it. (c) Agreement to comply with application approved under 19 CFR 10.41b(b). (1) To timely file complete and accurate reports on the shipping devices, and to pay any applicable duty due on the devices and repairs made to such devices, as provided in the approved application; (2) To retain complete and accurate records regarding the shipping devices, and to make such records available to CBP for inspection and audit upon reasonable notice, as also required in the approved application; and (3) To otherwise comply with every other condition of the approved application. (d) Consequence of Default. (2) It is understood and agreed that the amount to be collected under these conditions will be based upon the quantity and value of the merchandise as determined by CBP. (3) If the principal defaults on the agreements in these conditions and the default does not involve merchandise, the obligors agree to pay liquidated damages of $1,000 for each default or such other amount as may be authorized by law or regulation. It is understood and agreed that whether the default involves merchandise is determined by CBP. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53 FR 45902, Nov. 15, 1988; T.D. 89-1, 53 FR 51255, Dec. 21, 1988; T.D. 96-20, 61 FR 7990, Mar. 1, 1996; CBP Dec. 15-15, 80 FR 70169, Nov. 13, 2015] § 113.67 Commercial gauger and commercial laboratory bond conditions. Commercial Gauger Bond Conditions (a) Commercial gauger bond conditions. (1) If the principal is a commercial gauger whose reports of gauging or whose samples are accepted for CBP purposes, the principal agrees to: (i) Gauge or sample merchandise according to the standards and procedures set out in the CBP regulations; (ii) Abide by the requirements set out in § 151.13(b) of this chapter; and (iii) Submit properly any required report, proof, abstract, or sample to CBP. (2)(i) If the principal defaults, the obligors (principal and surety) agree to pay liquidated damages equal to the value of the merchandise involved in the default or three times the value of the merchandise involved in the default if the merchandise is restricted or prohibited merchandise or alcoholic beverages or such other amount as may be authorized by law or regulation. (ii) If the principal defaults on the agreements in these conditions and the default does not involve merchandise, the obligors agree to pay liquidated damages of $1,000 for each default or such other amount as may be authorized by law or regulation. (iii) It is understood and agreed that whether the default involves merchandise is determined by CBP, that the amount to be collected under this condition will be based on the quantity and value of the merchandise as determined by CBP and that value as used in these provisions means value as determined under 19 U.S.C. 1401a. Commercial Laboratory Bond Conditions (b) Commercial laboratory bond conditions. (1) If the principal is a commercial laboratory whose laboratory analysis reports are accepted for CBP purposes, the principal agrees to: (i) Conduct laboratory analyses according to the standards and procedures set out in the CBP regulations; (ii) Abide by the requirements set out in §§ 151.12(c) and 151.14 of this chapter; and (iii) Submit properly any required report, proof, abstract, or sample to CBP. (2)(i) If the principal defaults, the obligors (principal and surety, jointly and severally) agree to pay liquidated damages equal to the value of the merchandise involved in the default or three times the value of the merchandise involved in the default if the merchandise is restricted or prohibited merchandise or alcoholic beverages or such other amount as may be authorized by law or regulation. (ii) If the principal defaults on the agreements in these conditions and the default does not involve merchandise, the obligors agree to pay liquidated damages of $1,000 for each default or such other amount as may be authorized by law or regulation. (iii) It is understood and agreed that whether the default involves merchandise is determined by CBP, that the amount to be collected under this condition shall be based on the quantity and value of the merchandise as determined by CBP and that value as used in these provisions means value as determined under 19 U.S.C. 1401a. [T.D. 87-39, 52 FR 9787, Mar. 26, 1987, as amended by T.D. 88-72, 53 FR 45902, Nov. 15, 1988; T.D. 99-67, 64 FR 48534, Sept. 7, 1999; T.D. 01-26, 66 FR 16854, Mar. 28, 2001; CBP Dec. 15-15, 80 FR 70169, Nov. 13, 2015] § 113.68 Wool and fur products labeling acts and fiber products identification act bond conditions. A bond to comply with wool and fur products labeling acts and fiber products identification act must contain the conditions listed in this section and must be a single transaction bond. Wool and Fur Products Labeling Acts and Fiber Products Identification Act (a) If the principal obtains release from CBP custody of any wool or fur product (hereafter “merchandise”) that is subject to the provisions of the Wool Products Labeling Act of 1939, the Fur Products Labeling Act, or the Fiber Products Identification Act, the principal guarantees that the merchandise complies with every provision of those Acts, as applicable. (b) If any of the released merchandise does not comply with each applicable provision of the Wool Products Labeling Act of 1939, the Fur Products Labeling Act, or the Fiber Products Identification Act, the obligors (principal or surety, jointly and severally) agree to pay liquidated damages equal to two times the value of the merchandise involved in the default and duty thereon. It is understood and agreed that the amount to be collected under this condition will be based upon the quantity and value of the merchandise as determined by CBP. Value as used in these provisions means value as determined under 19 U.S.C. 1401a. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53 FR 45902, Nov. 15, 1988; CBP Dec. 15-15, 80 FR 70169, Nov. 13, 2015] § 113.69 Production of bills of lading bond conditions. A bond to produce a bill of lading must contain the conditions listed in this section and must be a single transaction bond. Production of Bill of Lading Bond Conditions If the principal obtains release of any merchandise before filing a valid bill of lading on that merchandise with CBP, the obligors (principal and surety, jointly and severally) agree to: (a) Produce timely a valid bill of lading for the merchandise; and (b) Relieve the United States and its employees from all liability, to indemnify the United States and its employees against loss, and defend any action brought on a claim for loss based on the release without production of a valid bill of lading. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53 FR 45902, Nov. 15, 1988; CBP Dec. 15-15, 80 FR 70169, Nov. 13, 2015] § 113.70 Bond conditions for owners of recorded marks or recorded copyrights to obtain samples from CBP relating to importation of merchandise suspected of, or seized for, infringing recorded marks or recorded copyrights, or circumventing copyright protection measures. (a) Prior to obtaining samples of imported merchandise pursuant to § 133.21(b)(3) or (5), § 133.25(c), § 133.42(b)(3) or (5), or § 133.47(b)(3) or (5) of this chapter, for suspected infringement of a recorded mark or recorded copyright, or suspected circumvention of a protection measure safeguarding a recorded copyright, the owner of the recorded mark or the recorded copyright must furnish to CBP either a single transaction bond or a continuous bond in the amount specified by CBP containing the conditions listed in this paragraph (a). (1) Bond conditions for owners of recorded marks or recorded copyrights to obtain samples from CBP relating to importation of merchandise suspected of infringing such recorded marks or recorded copyrights, or circumventing copyright protection measures Agreement to use sample for limited purpose of assisting CBP. (ii) Agreement to indemnify Improper use of sample. (B) Physical loss, damage, or destruction of disclosed sample. (2) [Reserved] (b) Prior to obtaining samples of imported merchandise pursuant to § 133.21(f), § 133.42(f), or § 133.47(f) of this chapter, seized for infringement of a recorded mark or recorded copyright, or circumvention of a protection measure safeguarding a recorded copyright, the owner of the recorded mark or recorded copyright must furnish to CBP either a single transaction bond or continuous bond in the amount specified by CBP containing the conditions listed in this paragraph (b). (1) Bond conditions for owners of recorded marks or recorded copyrights to obtain samples from CBP relating to importation of merchandise seized for infringing such recorded marks or recorded copyrights, or circumventing copyright protection measures. (2) [Reserved] [CBP Dec. 24-03, 89 FR 52373, June 24, 2024] § 113.71 Bond condition to observe neutrality. A bond to observe neutrality must contain the conditions listed in this section and must be a single transaction bond. Bond Condition To Observe Neutrality (a) If clearance is granted to the principal's vessel, which is armed or is built for a war-like purpose, with a cargo of arms and munitions, so that it is likely to be used to commit hostilities against people or countries with whom the Government of the United States is at peace, the principal guarantees that the vessel will not be used to commit hostilities against any country, state, colony, or people with whom the Government is at peace. (b) If the principal defaults, the obligors (principal and surety, jointly and severally) agree to pay liquidated damages equal to twice the value of the vessel and cargo. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53 FR 45902, Nov. 15, 1988; CBP Dec. 15-15, 80 FR 70169, Nov. 13, 2015] § 113.72 Bond condition to pay court costs (condemned goods). A bond to pay court costs (condemned goods) must contain the condition listed in this section and must be a single transaction bond. Bond Condition To Pay Court Costs (Condemned Goods) If any seized goods belonging to principal are condemned the obligors (principal and surety, jointly and severally) agree to pay all costs of the condemnation proceedings. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53 FR 45902, Nov. 15, 1988; CBP Dec. 15-15, 80 FR 70169, Nov. 13, 2015] § 113.73 Foreign trade zone operator bond conditions. A bond of a foreign trade zone operator must contain the conditions listed in this section and must be a continuous bond. Foreign Trade Zone Operator Bond Conditions If the principal is authorized to operate a foreign trade zone or subzone: (a) Receipt, Handling, and Disposition of Merchandise. (1) The law and CBP regulations relating to the receipt (including merchandise received and receipted for transport to his zone), admission, status, handling, transfer, and removal of merchandise from the foreign trade zone or subzone, and (2) The CBP regulations concerning the maintenance of inventory control and recordkeeping systems covering merchandise in the foreign trade zone or subzone. If the principal defaults and the default involves merchandise other than domestic merchandise for which no permit for admission is required, the obligors (principal and surety, jointly and severally) agree to pay liquidated damages equal to the value of the merchandise involved in the default, or three times the value of the merchandise involved in the default if the merchandise is restricted or prohibited merchandise or alcoholic beverages, or such other amount as may be authorized by law or regulation. It is understood and agreed that whether the default involves merchandise is a determination made by CBP, that the amount to be collected under this condition will be based upon the quantity and value of the merchandise as determined by CBP, and that value as used in these provisions means value as determined under 19 U.S.C. 1401a. If the principal defaults and the default does not involve merchandise, the obligors agree to pay liquidated damages of $1,000 for each default, or such other amount as may be authorized by law or regulations. (b) Agreement to Pay Duties, Taxes, and Charges. (c) Agreement to comply with Importer Security Filing requirements. (d) Reimbursement and Exoneration of the United States. (1) Exonerate the United States and its officers from any risk, loss, or expense arising from the principal's operation of the foreign trade zone or subzone; (2) Pay the compensation and expenses of any CBP Officer, as required by law or regulations. (e) Payment of Annual Fee. [T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 86-16, 51 FR 5063, Feb. 11, 1986; T.D. 88-72, 53 FR 45902, Nov. 15, 1988; T.D. 94-81, 59 FR 51495, Oct. 12, 1994; T.D. 01-26, 66 FR 16854, Mar. 28, 2001; CBP Dec. 08-46, 73 FR 71781, Nov. 25, 2008; CBP Dec. 15-15, 80 FR 70169, Nov. 13, 2015] § 113.74 Bond conditions to indemnify a complainant under section 337 of Tariff Act of 1930, as amended. A bond to indemnify a complainant under section 337 of the Tariff Act of 1930, as amended, must contain the conditions listed in appendix B to this part. The bond must be a single transaction bond and must be filed in accordance with the provisions set forth in 19 CFR 12.39(b)(2). For the forfeiture or return of this bond, the provisions of 19 CFR 210.50(d) will apply. [T.D. 00-87, 65 FR 77815, Dec. 13, 2000, as amended by CBP Dec. 15-15, 80 FR 70169, Nov. 13, 2015] § 113.75 Bond conditions for deferral of duty on large yachts imported for sale at United States boat shows. A bond for the deferral of entry completion and duty deposit pursuant to 19 U.S.C. 1484b for a dutiable large yacht imported for sale at a United States boat show must conform to the terms of appendix C to this part. The bond must be filed in accordance with the provisions set forth in § 4.94a of this chapter. [68 FR 13626, Mar. 20, 2003] Appendix A to Part 113—Airport Customs Security Area Bond AIRPORT CUSTOMS SECURITY AREA BOND ______(name of principal) of ______(address) and ______(name of surety) of ______(address) are held and firmly bound unto the United States of America in the sum of ____dollars ($____), for the payment of which we bind ourselves, our heirs, executors, administrators, successors, and assigns, jointly and severally, by these conditions. WITNESS our hands and seals this ____day of ____, 20____. WHEREAS, the principal (including the principal's employees, agents, and contractors) desires access to airport customs security areas; Now, Therefore, the Condition of this Obligation is Such That— The principal agrees to comply with the CBP regulations applicable to customs security areas at airports. If the principal defaults on the condition of this obligation, the principal and surety, jointly and severally, agree to pay liquidated damages of $1,000 for each default; or such other amount as may be authorized by law or regulation. This bond is effective ______, 20____, and remains in force for one year beginning with the effective date and for each succeeding annual period, or until terminated. This bond constitutes a separate bond for each annual period in the amount listed above for liabilities that accrue in each annual period. Signed, Sealed, and Delivered in the Presence of — Name Address Name Address Principal (SEAL) Name Address Name Address Name Address Surety (SEAL) Name Address [CBP Dec. 15-15, 80 FR 70169, Nov. 13, 2015] Appendix B to Part 113—Bond To Indemnify Complainant Under Section 337, Tariff Act of 1930, as Amended This appendix contains the bond to indemnify a complainant under section 337 of the Tariff Act of 1930, as amended. The provisions contained in §§ 12.39(b)(2) and 113.74 of the CBP Regulations (19 CFR Chapter I) and § 210.50(d) of the U.S. International Trade Commission Regulations (19 CFR Chapter II) apply. Bond Toto Indemnify Complainant Under Section 337, Tariff Act of 1930, As Amended ____________ as principal and ________ as surety, are held and bound to ____________, as the complainant in U.S. International Trade Commission case/investigation number ________, of unfair practices or methods of competition in import trade in violation of section 337, Tariff Act of 1930, as amended, in the sum of ________ dollars ($________), for payment of which we bind ourselves, our heirs, executors, administrators, successors, and assigns, jointly and severally, by these conditions. Pursuant to the provisions of section 337, Tariff Act of 1930, as amended, the principal and surety recognize that the Commission has, according to the conditions described in its order, excluded from, or authorized, entry into the United States of the following merchandise ________________________________________ under entry number ____________, dated ____________. The principal and surety recognize that the Commission has excluded that merchandise from entry until its investigation is completed, or until its decision that there is a violation of section 337 becomes final. The principal and surety recognize that certain merchandise excluded from entry by the Commission was, or may be, offered for entry into the United States while the Commission's prohibition is in effect. The principal and surety recognize that the principal desires to obtain a release of that merchandise pending a final determination of the merchandise's admissibility into the United States, as provided under section 337, and, for that purpose, the principal and surety execute this stipulation: If it is determined, as provided in section 337 of the Tariff Act of 1930, as amended, to exclude that merchandise from the United States, then, on notification from the CBP, the principal is obligated to export or destroy under CBP supervision the merchandise released under this stipulation within 30 days from the date of the CBP's notification. The principal and surety, jointly and severally, agree that if the principal defaults on that obligation, the principal and surety shall pay to the complainant an amount equal to the face value of the bond as may be demanded by him/her under the applicable law and regulations. Witness our hands and seals this ________ day of ____________ (month), ________ (year). ________________ (seal) Principal ________________ (seal) Surety [T.D. 00-87, 65 FR 77815, Dec. 13, 2000; 65 FR 80497, Dec. 21, 2000, as amended by CBP Dec. 15-15, 80 FR 70170, Nov. 13, 2015; CBP Dec. 16-26, 81 FR 93017, Dec. 20, 2016] Appendix C to Part 113—Bond for Deferral of Duty on Large Yachts Imported for Sale at United States Boat Shows Bond for Deferral of Duty on Large Yachts Imported for Sale at United States Boat Shows ________, as principal, and ________, as surety, are held and firmly bound to the UNITED STATES OF AMERICA in the sum of ________ dollars ($________), for the payment of which we bind ourselves, our heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these conditions. Pursuant to the provisions of 19 U.S.C. 1484b, the principal has imported at the port of ________ a dutiable large yacht (exceeding 79 feet in length, used primarily for recreation or pleasure, and previously sold by a manufacturer or dealer to a consumer) identified as ________ for sale at a boat show in the United States with deferral of entry completion and duty deposit and has executed this obligation as a condition precedent to that deferral. A failure to inform CBP in writing of an exportation, or to complete the required entry, within the 6-month bond period will give rise to a claim for liquidated damages unless the principal informs CBP of the exportation or completes the entry within the time limits prescribed in 19 CFR 4.94a. If the principal fails to comply with any condition of this obligation, which includes compliance with any requirement or condition set forth in 19 U.S.C. 1484b or 19 CFR 4.94a, the principal and surety jointly and severally agree to pay to CBP an amount of liquidated damages equal to twice the amount of duty on the large yacht that would otherwise be imposed under subheading 8903.91.00 or 8903.92.00 of the Harmonized Tariff Schedule of the United States. For purposes of this paragraph, the term duty includes any duties, taxes, fees and charges imposed by law. The principal will exonerate and hold harmless the United States and its officers from or on account of any risk, loss, or expense of any kind or description connected with or arising from the failure to store and deliver the large yacht as required, as well as from any loss or damage resulting from fraud or negligence on the part of any officer, agent, or other person employed by the principal. WITNESS our hands and seals this ________ day of ________ (month), ________ (Year). (Name) (Address) ______________________________ [SEAL] (Principal) ______________________________ [SEAL] (Name) (Address) ______________________________ [SEAL] (Surety) Certificate as to Corporate Principal I, __________, certify that I am the* __________ of the corporation named as principal in the attached bond; that __________, who signed the bond on behalf of the principal, was then __________ of that corporation; that I know his signature, and his signature to the bond is genuine; and that the bond was duly signed, sealed, and attested for and in behalf of the corporation by authority to its governing body. ______________________________ (CORPORATE SEAL) (To be used when no power of attorney has been filed with CBP.) *May be executed by the secretary, assistant secretary, or other officer of the corporation. [68 FR 13626, Mar. 20, 2003, as amended by CBP Dec. 15-15, 80 FR 70170, Nov. 13, 2015; CBP Dec. 16-26, 81 FR 93017, Dec. 20, 2016] Appendix D to Part 113—Importer Security Filing Bond This appendix contains the relevant terms and conditions for Importer Security Filing Bonds. Importer Security Filing Bond KNOW ALL MEN BY THESE PRESENTS, that ______________________ of ____________________________, as principal having Customs and Border Protection (CBP) Identification Number ____________ and ________________, as surety are held and firmly bound unto the United States of America up to the sum of ____________ dollars ($____________) for the payment of which we bind ourselves, our heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these presents. Whereas, the named principal (including the named principal's employees, agents and contractors) agrees to comply with all Importer Security Filing requirements set forth in 19 CFR part 149, including but not limited to providing security filing information to CBP in the manner and in the time period prescribed by regulation. If the principal defaults on the conditions of this obligation, the principal and surety jointly and severally, agree to pay liquidated damages of $5,000 for each violation, or such other amount as may be authorized by law or regulation upon demand by CBP. [Complete this paragraph only for a single transaction bond] This single transaction bond secures the single transaction identified by Importer Security Filing transaction number ______________________ issued by CBP on ____________, 20____________. [Complete this paragraph only for a continuous bond] This continuous bond is effective ____________, 20____________, and remains in force for one year beginning with the effective date and for each succeeding annual period, or until terminated. This bond constitutes a separate bond for each period in the amount listed above for liabilities that accrue in each period. The intention to terminate this bond must be conveyed within the period and manner prescribed in the CBP Regulations. This bond is executed on ________________, 20____________. SIGNED, SEALED AND DELIVERED IN THE PRESENCE OF: (Name) (Address) (Name) (Address) (Principal Name) (Seal) (Principal Address) (Surety Name) (Seal) Surety No. ________ (Surety Mailing Address) Surety Agent Name Surety Agent ID Number [74 FR 68377, Dec. 24, 2009]