CBP Verification Requirements for In-Bond Usage Authorization

Customs and Border Protection (CBP) has started enforcement of applicable regulations for egregious or repetitive violators who do not demonstrate "good faith" efforts to control the movement of bonded cargo.
 
Customs eliminated the paper CF7512 (Transport Entry and Manifest) in July 2018, requiring the trade community to electronically file the in-bond application.
 
CBP said numerous trade partners are using bonds (and/or SCAC, filer code, or IRS number) belonging to ocean and drayage carriers without authorization. "No party should be utilizing and obligating a carrier bond without explicit written permission from said carrier," the agency said.
 
To utilize and obligate a carrier bond, request of written authorization via email to the specified carriers is required. Carriers are providing authorization via various forms: 

1. A signed Bond Usage Notification & Verification Form 
2. Electronic Customs In-Bond Power of Attorney
3. A copy of 7512 for signature

 Upon receipt, carrier will either: 

• Provide authorization signature to use its bond via a signed copy of the 7512
• or inform you that your organization does not have authority to utilize its bond. 

 Authority may be granted on a specific one-time shipment basis or as a blanket authorization for a specified time-period.
 
Please note, bonds executed under the authorization in the CBP ACE Secure Data Portal must be registered under the carriers SCAC code or IRS number. 

• The in-bond request must have an associated booking or bill of lading number on the 7512 requests.
• In-bond number must appear on all bills of lading and be reflected in the body of the proforma or shipping instructions. 
• If the booking/movement date changes, you must update or amend your CBP 7512 and you must notify carrier. 

Some carriers may request weekly reporting of use, please check with your specific carrier.
 
Pursuant to 19 CFR 113.64, a carrier holding these bonds must comply with numerous CBP requirements.  To effectively comply with CBP requirements, the agency said carriers "need to be aware of all parties utilizing their bonds and ensure that only authorized parties are utilizing their bonds."
 
Furthermore, pursuant to 19 CFR 18.1, only persons or authorized agents who have a sufficient interest in the merchandise may file an entry utilizing a carrier's bond. If the person is filing the entry using the bond of another entity, CBP may request evidence to demonstrate sufficient interest.