Customs Broker Agreement

CUSTOMS BROKER AGREEMENT

Table of Contents

1. Parties
2. Appointment and Power of Attorney
3. Scope of Services
4. Duties and Responsibilities
5. Fees and Payment
6. Compliance Obligations
7. Liability and Indemnification
8. Term and Termination
9. General Provisions

ARTICLE I: PARTIES

Effective Date: [__/__/____]

IMPORTER (Client):
Company Name: [________________________________]
Address: [________________________________]
City: [________________________________] State: [____] ZIP: [__________]
Importer of Record Number: [________________________________]
EIN/Tax ID: [________________________________]
CBP Assigned Importer Number: [________________________________]

CUSTOMS BROKER:
Company Name: [________________________________]
CBP Broker License Number: [________________________________]
National Permit Number: [________________________________]
Address: [________________________________]
City: [________________________________] State: [____] ZIP: [__________]
Phone: [________________________________]

Primary Broker Contact:
Name: [________________________________]
Title: [________________________________]
Individual License Number (if applicable): [________________________________]

ARTICLE II: APPOINTMENT AND POWER OF ATTORNEY

A. Appointment

Importer hereby appoints Broker as its customs broker to transact customs business on Importer's behalf with U.S. Customs and Border Protection (CBP) and other government agencies.

B. Power of Attorney

☐ Importer has executed and delivered to Broker a Customs Power of Attorney (CBP Form 5291 or equivalent), attached as Exhibit A

☐ Power of Attorney is: ☐ Limited ☐ Unlimited
☐ Power of Attorney authorizes sub-delegation to other licensed brokers: ☐ Yes ☐ No

C. Importer of Record Obligations

Importer acknowledges that it remains the importer of record for all entries filed by Broker and retains ultimate responsibility for the accuracy of all information provided to CBP under 19 U.S.C. § 1484.

ARTICLE III: SCOPE OF SERVICES

Broker shall provide the following customs brokerage services:

A. Entry and Clearance Services

☐ Formal entry (consumption entries — CBP Form 3461/7501)
☐ Informal entry (shipments under $2,500)
☐ Temporary importation bond entries (TIB)
☐ Foreign trade zone entries
☐ Transportation and exportation (T&E) entries
☐ Immediate delivery entries
☐ ATA Carnet processing
☐ In-bond movements

B. Classification and Valuation

☐ Tariff classification of imported merchandise (HTSUS)
☐ Customs valuation assistance (transaction value — 19 CFR Part 152)
☐ Country of origin determinations
☐ Marking requirements advice (19 CFR Part 134)

C. Additional Services

☐ Duty drawback filings
☐ Prior disclosure filings
☐ Post-entry amendment/protest filings (19 U.S.C. § 1514)
☐ Binding ruling requests (19 CFR Part 177)
☐ FDA prior notice filings
☐ USDA/APHIS clearance
☐ EPA/TSCA compliance documentation
☐ FCC equipment authorization
☐ ISF (Importer Security Filing / "10+2") submissions
☐ ACE (Automated Commercial Environment) management
☐ Compliance monitoring and reporting
☐ C-TPAT application and maintenance support
☐ Other: [________________________________]

ARTICLE IV: DUTIES AND RESPONSIBILITIES

A. Broker's Duties

Broker shall:

☐ Exercise reasonable care and diligence in transacting customs business (19 CFR § 111.29)

☐ Maintain responsible supervision and control over all customs business (19 CFR § 111.28)

☐ Advise Importer of corrective actions required in the case of noncompliance or errors (19 CFR § 111.36)

☐ Retain all records for a minimum of 5 years from the date of entry (19 CFR § 111.23)

☐ Provide timely and accurate filing of all customs entries

☐ Promptly notify Importer of CBP inquiries, requests for information, or adverse actions

☐ Maintain all required licenses, permits, and bonds in good standing

B. Importer's Duties

Importer shall:

☐ Provide accurate, complete, and timely information required for customs clearance

☐ Furnish all commercial documents (invoices, packing lists, certificates of origin, etc.)

☐ Notify Broker of any special requirements (anti-dumping orders, quota restrictions, etc.)

☐ Maintain adequate records of all import transactions

☐ Promptly respond to Broker's requests for information or clarification

☐ Ensure compliance with all applicable import regulations and trade agreements

☐ Maintain a continuous customs bond (19 CFR Part 113)

ARTICLE V: FEES AND PAYMENT

A. Fee Schedule

B. Disbursements

Importer shall reimburse Broker for all duties, taxes, fees, and charges paid on Importer's behalf, including:
☐ Customs duties
☐ Merchandise Processing Fee (MPF)
☐ Harbor Maintenance Fee (HMF)
☐ Antidumping/countervailing duties
☐ Other government fees and charges

C. Payment Terms

Payment Due: ☐ Upon invoice ☐ Net [____] days ☐ Prepayment required
Late Payment Interest: [____]% per month
Method of Payment: [________________________________]

D. Broker's Lien

Broker retains a general lien on all merchandise and documents in its possession for unpaid charges (19 CFR § 111.40).

ARTICLE VI: COMPLIANCE OBLIGATIONS

A. Trade Compliance

☐ Importer certifies that all imported goods comply with applicable import laws and regulations
☐ Importer will not knowingly import prohibited or restricted merchandise without proper authorization
☐ Importer will comply with all applicable free trade agreement rules of origin requirements

B. Export Controls and Sanctions

☐ Importer certifies it is not listed on any CBP, BIS, OFAC, or other government denied/restricted party list
☐ Importer will comply with all applicable export control regulations (EAR/ITAR)
☐ Importer will comply with OFAC sanctions requirements

C. Informed Compliance and Reasonable Care

Importer acknowledges its duty of "reasonable care" under 19 U.S.C. § 1484 in making entry, including the obligation to use reasonable care in classifying merchandise, determining value, and providing accurate information to CBP.

ARTICLE VII: LIABILITY AND INDEMNIFICATION

A. Broker's Liability

Broker's liability for errors or omissions in performing services under this Agreement shall be limited to:

☐ Direct damages not exceeding $[________________________________]
☐ Direct damages not exceeding [____] times the fees paid for the specific service at issue
☐ No limitation on liability

Exclusions: Broker shall not be liable for:
☐ Consequential, incidental, or punitive damages
☐ Losses resulting from inaccurate or incomplete information provided by Importer
☐ Government delays, seizures, or enforcement actions not caused by Broker's error
☐ Force majeure events

B. Importer's Indemnification

Importer shall indemnify and hold harmless Broker from and against all claims, losses, damages, penalties, fines, and expenses arising from:

☐ Inaccurate or incomplete information provided by Importer
☐ Importer's failure to comply with applicable laws and regulations
☐ Importer's failure to maintain required bonds or permits
☐ Claims by third parties related to Importer's merchandise

ARTICLE VIII: TERM AND TERMINATION

Initial Term: [________________________________] (e.g., one year from Effective Date)
Renewal: ☐ Automatic renewal for successive [____]-year terms ☐ Requires written renewal

Termination:
☐ Either party may terminate upon [____] days' written notice
☐ Immediate termination for material breach
☐ Immediate termination upon revocation or suspension of Broker's license

Post-Termination Obligations:
☐ Broker shall complete all pending entries and filings
☐ Broker shall transfer all client records upon request
☐ Importer shall pay all outstanding fees and disbursements
☐ POA shall be revoked upon termination

ARTICLE IX: GENERAL PROVISIONS

Governing Law: State of [________________________________]

Dispute Resolution: [________________________________]

Confidentiality: Broker shall maintain the confidentiality of Importer's business information and shall not disclose such information except as required by law or CBP regulations.

Independent Contractor: Broker is an independent contractor and not an employee or agent of Importer for any purpose other than customs business.

Entire Agreement: This Agreement constitutes the entire agreement between the parties regarding customs brokerage services.

Amendment: This Agreement may be amended only by written instrument signed by both parties.

SIGNATURES

IMPORTER:

Signature: [________________________________]
Printed Name: [________________________________]
Title: [________________________________]
Date: [__/__/____]

CUSTOMS BROKER:

Signature: [________________________________]
Printed Name: [________________________________]
Title: [________________________________]
Broker License No.: [________________________________]
Date: [__/__/____]

SOURCES AND REFERENCES

• 19 U.S.C. § 1641, Customs Brokers
• 19 CFR Part 111, Customs Brokers
• 19 CFR Part 141, Subpart C, Powers of Attorney
• CBP, Customs Broker Modernization Regulations, https://www.cbp.gov/trade/programs-administration/customs-brokers/modernization
• CBP, Informed Compliance Publications, https://www.cbp.gov/trade/rulings/informed-compliance-publications
• Trade Facilitation and Trade Enforcement Act of 2015 (TFTEA), Pub. L. 114-125