CFR Subpart C

CFR Subpart C
in effect

19 C.F.R. § 112.21 License required.

A customhouse cartage or lighterage license issued by the port director in accordance with this part or specific authorization of the Commissioner of Customs shall be required to perform Customs cartage or lighterage, except as provided in §§ 18.3 and 125.12 of this chapter or, as provided in § 112.2(b), when such merchandise is to be transported under the bond of the foreign trade zone operator, bonded warehouse proprietor, centralized examination station operator, container station operator, or a bonded carrier.

19 C.F.R. § 112.22 Application for license.

(a) General requirements. An applicant for a customhouse cartage or lighterage license shall file with the director of the port where he proposes to conduct business the following: (1) A bond on Customs Form 301, containing the bond conditions set forth in § 113.63 of this chapter, in an amount specified by the port director. (2) Payment of a fee of $100. A check or money order shall be made payable to the United States Customs Service. (3) If required by the port director, a list showing the names and addresses of the managing officers and members of the organization or of the persons who will receive or transport imported merchandise which has not been released from Customs custody, or a list of all such persons and their addresses. (b) Special requirements—(1) Cartman licensed by city or State. Any cartman licensed by city or State authorities shall present to the port director his city or State license, after which such documents shall be returned. (2) Lighterman. A lighterman shall present his vessel's marine documents, if any have been issued, to the port director for examination, after which such documents shall be returned. (c) Reapplication by certain terminated licensees. Where the applicant for a customhouse cartage or lighterage license has previously been issued such a license and the license has been terminated pursuant to § 113.56 of this chapter, the port director may waive the filing of the items described in paragraphs (a)(2) and (a)(3) of this section, as well as the investigation described in § 112.23, provided the application is made within 30 days of the effective date of the termination of the previous license. Any requirements waived by the port director under this paragraph will be deemed to have been complied with for purposes of § 112.24(b).

19 C.F.R. § 112.23 Investigation of applicant.

The port director may refer the application for a cartman's or lighterman's license to the appropriate special agent in charge where investigation and report concerning the character, qualification, and experience of the applicant as well as the nature and fitness of the equipment to be used.

19 C.F.R. § 112.24 Issuance of license.

The port director shall issue a customhouse cartage and lighterage license on Customs Form 3857 provided he is satisfied that: (a) The character, qualifications, and experience of the applicant and fitness of his equipment are satisfactory. (b) The applicant has complied with all the requirements of § 112.22.

19 C.F.R. § 112.25 Bonded carriers.

A carrier or freight forwarder who has filed a bond on Customs Form 301 containing the bond conditions set forth in § 113.63 of this chapter may transport merchandise within a port for which the bond provides coverage.

19 C.F.R. § 112.26 Duration of license.

A license issued in accordance with this subpart shall remain in force and effect until the license is suspended or revoked pursuant to § 112.30 or until the required bond is terminated pursuant to § 113.27 of this chapter.

19 C.F.R. § 112.27 Marking of vehicles and vessels.

(a) Marking required. Every vehicle licensed by Customs for cartage and every barge, scow, or other lighter licensed by Customs for lighterage shall be marked with the legend “Customhouse License No. ________”, and the name of the person or firm to whom the license has been issued. The abbreviated legend “C.H.L. No. ________” may be used. (b) Size of marking. The marking required by this section shall appear in letters and figures not less than 3 inches high. (c) Place of marking—(1) Carts, trucks, drays, and other vehicles. Every cart, truck, dray, or other vehicle used for Customs cartage by a licensed cartman shall be marked with the required legend and name on each side by painting directly onto the vehicle, or by the permanent attachment of signs bearing the required marking. However, if such marking is found by the port director to be impractical, he may designate some other conspicuous place upon the vehicle where the marking shall appear. (2) Barges, scows, lighters, and other vessels. Every barge, scow, lighter, or other vessel used for Customs lighterage by a licensed lighterman shall be conspicuously marked with the required legend and name. (d) Removal of marking upon termination of license. The markings required by this section shall be removed upon termination of the license.

19 C.F.R. § 112.28 Production of license.

Inspectors or other Customs officers may require any person claiming to be a licensed customhouse cartman or lighterman to produce his license for inspection.

19 C.F.R. § 112.29 Records.

(a) Records of cartage and lighterage. The port director may require that licensed Customs cartmen and lightermen shall make, keep, and promptly submit for Customs inspection and examination upon request therefor such current written records relating to cartage and lighterage as may be needed for purposes of local Customs administration. Cartmen and lightermen shall maintain these records for 3 years from the expiration date of the related contract for cartage or lighterage. (b) Current list of officers, members, or employees. The port director may require a licensee to furnish, at such times and intervals as the port director deems necessary, a current list showing the names and addresses of the managing officers and members of the organization or of the persons who will receive or transport imported merchandise which has not been released from Customs custody, or a list of all such persons and their addresses.

19 C.F.R. § 112.30 Suspension or revocation of license.

(a) Grounds for suspension or revocation of licenses. The port director may revoke or suspend the license of a cartman or lighterman if: (1) His license is not promptly produced upon demand; (2) His vehicle or vessel is not properly marked, as required by § 112.27; (3) The cartman or lighterman refuses or neglects to obey any proper order of a Customs officer or any Customs order, rule, or regulation relative to the cartage or lighterage of merchandise, including the making, keeping, and submitting of current written records relating to cartage and lighterage; (4) The license was obtained through fraud or the misstatement of a material fact; (5) The holder of such a license or an officer of a corporation holding such a license is convicted of or has committed acts which would constitute a felony, or a misdemeanor involving theft, smuggling, or a theft-connected crime. Any change in the employment status of the corporate officer (e.g., discharge, resignation, demotion, or promotion) prior to conviction of a misdemeanor involving theft, smuggling, or a theft-connected crime, resulting from acts committed while a corporate officer, will not preclude application of this provision; (6) The holder of such license permits it to be used by any other person; (7) The holder of such license fails to surrender promptly, or satisfactorily explain the failure to surrender, to the port director, identification cards of persons no longer employed by him where identification cards are required pursuant to § 112,41; (8) The holder of such license fails to furnish a current list of names and addresses of officers and members or employees when required by the port director pursuant to § 112.29; (9) The holder is guilty of any negligence, dishonest or deceptive practices or carelessness in the conduct of his business; or (10) The port director determines that the bond is not sufficient in amount or lacks sufficient sureties, and a satisfactory new bond with good and sufficient sureties is not furnished within a reasonable time. (b) Notice of revocation or suspension. The port director shall suspend or revoke a license by serving notice of the proposed action in writing upon the holder of the license. Such notice shall be in the form of a statement specifically setting forth the grounds for revocation or suspension of the license and shall be final and conclusive upon the licensee unless he shall file with the port director a written notice of appeal in accordance with paragraph (c) of this section. (c) Notice of appeal. The licensee may file a written notice of appeal from the revocation or suspension within 10 days following receipt of the notice of revocation or suspension. The notice of appeal shall be filed in duplicate, and shall set forth the response of the licensee to the statement of the port director. The licensee in his notice of appeal may request a hearing. (d) Hearing on appeal—(1) Notification of and time of hearing. If a hearing is requested, it shall be held before a hearing officer designated by the Secretary of the Treasury or his designee within 30 days following application therefor. The licensee shall be notified of the time and place of the hearing at least 5 days prior thereto. (2) Conduct of hearing. The holder of the license may be represented by counsel at the revocation or suspension hearing. All evidence and testimony of witnesses in such proceeding, including substantiation of charges and the answer thereto, shall be presented with both parties having the right of cross-examination. A stenographic record of the proceedings shall be made and a copy thereof shall be delivered to the licensee. At the conclusion of such proceedings or review of a written appeal, the hearing officer or the port director, as the case may be, shall forthwith transmit all papers and the stenographic record of the hearing, if held, to the Commissioner of Customs, together with his recommendation for final action. (3) Additional arguments. Following a hearing and within 10 calendar days after delivery of a copy of the stenographic record, the licensee may submit to the Commissioner of Customs in writing additional views and arguments on the basis of such record. (4) Failure to appear. If neither the licensee nor his attorney appear for a scheduled hearing, the hearing officer shall conclude the hearing and transmit all papers with his recommendation to the Commissioner of Customs. (e) Decision on the appeal. The Commissioner shall render his decision, in writing, stating his reasons therefor, with respect to the action proposed by the hearing officer or the port director. Such decision shall be transmitted to the port director and served by him on the licensee. (f) Review by the Court of International Trade. Any licensee adversely affected by a decision of the Commissioner of Customs may appeal the decision in the Court of International Trade.

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