125.36 Inability to deliver merchandise.

If the warehouse is closed or the warehouseman refuses to receive the mer. chandise, the cartman shall notify the appropriate Customs inspector. The inspector shall promptly report the facts to the district director or his delegated representative for instructions. The merchandise shall then be returned to the Customs inspector, deposited in the public stores for safekeeping, or handled as ordered by the district director.

Subpart E-- LIABILITY

125.41 Liability of cartman or lighterman.

The cartman or ligherman conveying the merchandise including merchandise covered by a TIR carnet which has not been "taken on charge'' (see section 114,22(c) (2) of this chapter), shall be liable under his bond for its prompt delivery in sound condition, or in no worse than the damaged condition noted on the delivery ticket, if damage is so noted. (Sec, 623, 46 Stat. 759, as amended; 19 U.S.C. 1623)

125.42 Cancellation of liability.

The district director may cancel liquidated damages not in excess of $50,000 incurred under a cartman's bond or lighterman's bond upon the payment of such lesser amount, or without the payment of any amount, as he may deem appropriate under the circumstances. Application for cancellation of liquidated damages incurred shall be made in accordance with the provisions of Part 172 of this chapter. (Sec, 623, 46 Stat. 759, as amended; 19 U.S.C. 1623)

Part 127--GENERAL ORDER, UNCLAIMED AND ABANDONED MERCHANDISE

AUTHORITY: R.S. 251, as amended, section 624, 46 Stat. 759; 5 U.S.C. 301,

19 U.S.C. 66, 1624. Other statutory provisions interpreted or applied and
additional authority are cited in the text or in parentheses following the
sections affected.

TD 74-114.

127.0 Scope.

This part sets forth regulations pertaining to general order merchandise, unclaimed merchandise, and abandoned merchandise, the storage and sale thereof, and the distribution of the proceeds from the sale thereof, Regulations regarding the abandonment of merchandise by the importer to the Government in accordance with section 506(1), Tariff Act of 1930, as amended (19 U.S.C. 1506(1)), appear in Part 158 of this chapter.

Subpart A--GENERAL ORDER MERCHANDISE 127.1 Merchandise considered general order merchandise.

Merchandise shall be considered general order merchandise when it is taken into the custody of the district director and deposited in the public stores or a general order warehouse at the risk and expense of the consignee for any of the following reasons:

(a) Whenever entry of any imported merchandise is not made within the time provided by law or regulations prescribed by the Secretary of the Treasury.

(b) Whenever entry is incomplete because of failure to pay estimated duties.

(c) Whenever, in the opinion of the district director, entry cannot be made for want of proper documents or other causes.

(d) Whenever the district director believes that any merchandise is not correctly or legally invoiced.

(e) Whenever, at the request of the consignee or the owner or master of the vessel or person in charge of the vehicle in which merchandise is imported, any merchandise is taken possession of by the district director after the expiration of 1 day after entry of the vessel or report of the vehicle. (Sec. 490, 46 Stat. 726, as amended; 19 U.S.C. 1490)

127.2 Withdrawal from general order for entry or exportation.

(a) Exportation within 1 year from date of importation. Merchandise in general order may be exported without examination or appraisement if the merchandise is delivered to the exporting carrier within 1 year from the date of importation. This merchandise may be entered within 1 year from date of importation for immediate transportation to any port of entry designated by the consignee.

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(b) After expiration of 1 year from date of importation. Entry for immediate transportation shall be permitted after the expiration of the l-year period only for the purpose of filing an entry for consumption at the port of destination.

(c) Withdrawal of less than single general order lot. The withdrawal from general order of less than a single general order lot shall not be permitted except as provided for in section 141.52 of this chapter. (Sec. 490, 46 Stat. 726, as amended; 19 U.S.C. 1490)

127.3 Extension of general order period.

(a) Extensions of 1 year each. Pursuant to the authority in Proclamation No. 2948 issued by the President on October 12, 1951 (16 FR 10589), the ini. tial 1-year period for general order merchandise in section 491. Tariff Act of 1930, as amended (19 U.S.C. 1491), shall be extended for successive periods of 1 year each upon compliance with paragraph (b) of this section. There is no limit to the number of extensions that may be granted. If the application is submitted after the expiration of the l-year period or the latest extension thereof, the new extension shall be retroactive to the expiration of the previous period. An extension shall not be granted if the merchandise has been disposed of by the Government.

(b) Documents required for extension. The following documents shall be presented to the district director at the port where the merchandise is stored each time an extension is requested:

(1) The written application for extension, in duplicate, executed by the consignee.

(2) Evidence that the applicant is the consignee, such as the bill of lading or a signed or certified duplicate thereof or a carrier's certificate covering the merchandise. It will not be necessary that the evidence be furnished with appli. cations for any subsequent extensions when made by the same applicant.

(3) A statement on the application by the proprietor of the warehouse in which the merchandise is stored consenting to the extension, or certifying that all charges or amounts due or owing to the proprietor for storage or handling of the merchandise concerned up to the date of the beginning of the requested period of extension have been paid.

(c) Form of application. For merchandise in general order, applications for extension or further extension of the l-year period prescribed in section 491, Tariff Act of 1930, as amended (19 U.S.C. 1491), shall be made in duplicate and in substantially the following form:

(d) Extension of carrier's bond. In each case in which the merchandise remains charged against a carrier's bond, Customs Form 3587, and an extension or further extension of the l-year period prescribed in section 491, Tariff Act of 1930, as amended (19 U.S.C. 1491), is desired, there shall be furnished to the district director at the port where the charge against the bond was made the agreement of the principal and sureties on such bond in the following form:

EXTENSION OF CARRIER'S BOND

Whereas, in Treasury Decision No. 52896, of December 28, 1951, issued pursuant to authority contained in the President's Proclamation No. 2948, dated October 12, 1951, the 1-year period prescribed in section 491, Tariff Act of 1930, as amended, was extended for 1 year and further extended for additional periods of 1 year each from and after the expiration of the immediately preceding extension, provided, among other things, that in each case in which the merchandise remains charged against a carrier's bond the principal on such bond shall agree to the extension and shall furnish the agreement of the sureties on the bond to remain bound under the terms and conditions of the bond to the same extent as if no extension had been granted, and

Whereas, the carrier's bond described below was furnished in connection with the entry for transportation in bond indicated, and it is now desired to extend the liability under such bond for a period of 1 year from the date of maturity of the bond (*):

Name of carrier:
Date of bond:
Date of approval:
Class and number of transportation in bond entry:.
Dated:
Port where charge against bond was made:
Description of merchandise:
Date of importation:
Now, Therefore, This is to certify that

principal, and and

sureties on the carrier's bond referred to above, hereby stipulate and agree that their liability under said bond (*) shall continue unchanged and in full force and effect to the same extent as if no extension had been granted for a period of 1 year from the date of maturity of the bond (*). WITNESS our hands and seals this

, 19 Signed, sealed and delivered in the presence of -

day of

(*) Here insert the words 'as extended'' if a previous extension has been allowed.

(e) Payment of charges. If the merchandise concerned is stored in the public store, all charges or amounts due or owing to the Government for the storage or handling of the merchandise up to the date of the beginning of the l-year period of extension requested shall be paid as a condition precedent to the granting of the extension.

(f) Approval of application. If the application is approved by the district director, he shall endorse the fact and date of his approval on both copies of the application, retain the original as his record of the transaction, and return the duplicate to the consignee for his records. If the application is disapproved by the district director, he shall retain both copies on file in his office and advise the applicant in writing as to the reasons for his disapproval. (Sec. 318, 46 Stat. 696; 19 U.S.C. 1318)

127.4 General order period defined.

The general order period is that period of time during which general order TD 75-161. merchandise, as defined in section 127.1, is not subject to sale. The general

CR-127.3

order period expires 1 year from the date of importation unless one or more extensions have been granted in accordance with section 127.3, in which case the general order period expires 1 year from the date of the last extension.

Subpart B-- UNCLAIMED AND ABANDONED MERCHANDISE

127.11 Unclaimed merchandise.

Any entered or unentered merchandise (except merchandise under section 557, Tariff Act of 1930, as amended (19 U.S.C. 1557), but including merchandise entered for transportation in bond or for exportation) which shall remain in Customs custody for 1 year from the date of importation thereof or a lesser period for special merchandise as provided by sections 127.28(c), (d), and (h), or for any extensions of the general order period as may be granted pursuant to section 127.3, and without all estimated duties and storage or other charges thereon having been paid, shall be considered unclaimed and abandoned. (Sec. 491, 46 Stat, 726, as amended; 19 U.S.C, 1491)

127.12 Abandoned merchandise.

(a) Involuntarily abandoned merchandise. The following shall be considered to be involuntarily abandoned merchandse:

(1) Articles entered for a trade fair under the provisions of section 3 of the Trade Fair Act of 1959 (19 U.S.C. 1752), which are still in Customs custody at the expiration of 3 months after the closing date of the fair for which they were entered. (See section 147.47 of this chapter.)

(2) Any imported merchandise upon which any duties or charges are unpaid, remaining in bonded warehouse beyond the 3-year warehouse period or extension thereof.

(b) Voluntarily abandoned merchandise. The following merchandise shall be considered to be voluntarily abandoned merchandise and the property of the United States Government:

(1) Merchandise which is taken possession of by the district director at the request of the consignee, or owner or master of the vessel or person in charge of the vehicle in which the merchandise was imported.

(2) Merchandise abandoned by the importer to the United States within 30 days after entry in the case of merchandise not sent to the public stores for ex• amination, or within 30 days after the release of the examination packages or merchandise in the case of merchandise sent to the public stores for examination.

(3) Articles entered for a trade fair under the provisions of section 3 of the Trade Fair Act of 1959 (19 U.S.C. 1752), which have been abandoned to the United States within 3 months of the closing of the fair.

(4) Merchandise in a bonded warehouse abandoned by the consignee within 3 years from the date of original importation. (See subpart D of Part 158 of this chapter.) (Secs. 490, 506, 559,563, 46 Stat. 726, as amended, 732, as amended 744, as amended, 746, as amended, sec, 4, 73 Stat, 18; (19 U.S.C. 1490, 1506, 1559, 1563, 1753))

127.13 Storage of unclaimed and abandoned merchandise.

(a) Place of storage. Unclaimed and abandoned merchandise shall be sent under a permit to a class l warehouse (public store) or to a suitable warehouse of class 3, 4, or 5 specially designated for the purpose by the district director. If no warehouse of these classes is available, the district director may, with the approval of the Commissioner of Customs, rent suitable premises in a class 2 warehouse. (For permit to discharge unclaimed cargo which is not unladen see section 4,37(f) of this chapter.)

(b) Payment of storage and expenses. Storage at the ordinary rates and all other expenses shall be paid by the owner or consignee of the merchandise upon entry thereof. If the goods are sold, such charges shall be paid from the proceeds of the sale to the extent that proceeds are available. (Sec. 490, 46 Stat. 726, as amended (19 U.S.C. 1490))

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