January 7, 2015
Re: Important notice regarding Importer Security Filing (ISF) Enforcement
Dear Valued Customer,
As you may know, U.S. Customs & Border Protection (CBP) is enforcing requirements for the Importer Security Filing (ISF, commonly known as “10+2”; CFR Title 19, Chapter 1, Part 149). CBP began a phased-in approach to enforcement in 2010 and it began full enforcement in 2013. You can find more information on this requirement at the CBP website pertaining to the ISF regulation.
Ultimate responsibility for filing the ISF and correctness of the data rests with the ISF importer of record, which is defined in the regulation as the “party causing goods to arrive within the limits of a port in the United States by vessel.” The ISF form must be filed 24 hours before the vessel sails. This documentation is typically filed by the freight forwarder as a standard practice. However, Uremet has found that many freight forwarders have failed to file the ISF forms on time. This leaves you, or Uremet, open to potential fines and other legal actions. Under the ISF Rule, importers are liable for a maximum of $10,000 per ISF transmission for the following reasons:
Late Filing: $5,000 if the ISF is not filed at least 24 hours prior to vessel departure. This includes untimely filing of an ISF update and/or flexible ISF option.
Inaccurate Filing: $5,000 per inaccurate and/or incomplete ISF if any of the data elements are missing. This includes if the Bill of Lading is missing and/or does not match with the ISF transmission 24 hours prior to vessel departure. The Bill of Lading must provide the lowest denomination of the cargo (i.e. House Bill of Lading).
Amended Filing: $5,000 for any inaccurate ISF update including an incorrect update to a flexible filing or incomplete flexible filing.
Uremet reserves the right to refuse any shipment that does not have a properly filed ISF. Additionally, any fines incurred by Uremet due to late filling of an ISF by the customer or the customer’s broker, will be billed to the customer prior to any work commencing.
If you have any questions about ISF requirements, please contact Uremet prior to shipment. We can provide information to make sure the shipment proceeds without any regulatory hold ups.
Thank you for your attention to this matter and your continued business.