Client Advisories and Bulletins
Proposed Increase In Marking Penalties
March 15, 2001
Two bills pending in Congress contain provisions that would add considerable new penalties to Section 304 of the Tariff Act of 1930. Specifically, they would create a new paragraph in Section 1304(k) (Section 1304(k)(2)) which would allow Customs to assess civil penalties of up to $10,000 for each violation of the marking statute if the violation involves defacing, destroying, removing, altering, covering, obscuring or obliterating of a country of origin marking. The bills are the Drug Free Borders Act of 2001 (S. 92) and the Drug Free America Act of 2001 (S. 89). The relevant excerpts from these bills may be found on KMZ's Customs website under the link "Legal Resources."