Companies that operate as ocean freight forwarders and Non-Vessel Operator Common Carriers (NVOCC) are required to be licensed as an OTI. This guarantees that the contractual relationships between shippers and carriers will be fulfilled. The OTI collects the transportation charges from the shipper for payment to the carrier. The bond is in place to help … Read more
The Federal Maritime Commission (FMC) has reviewed and believes the bond amounts, as currently required, are insufficient to demonstrate financial responsibility of the OTI (Ocean Transportation Intermediaries) due to the large number of bond saturations the FMC has seen. They have proposed that domestic NVOs increase their current bond requirement from $75,000 to $100,000 and … Read more
Please take note CBP has issued the following administrative message on June 7, 2013 with respect to ISF enforcement: In order to achieve the most compliance with the least disruption to the trade and to domestic port operations, CBP has been applying a measured and commonsense approach to Importer Security Filing (ISF or 10+2) enforcement. … Read more
A foreign-trade zone is a secured area under U.S. Customs’ supervision that is generally considered outside United States territory (for commerce purposes) upon activation. A foreign-trade zone is typically located in or near a U.S. Customs port of entry and falls under the authority of that port. Foreign and domestic merchandise may be moved into … Read more
We at C.A. Shea & Company take our motto of “Courtesy and Service” very seriously. Unfortunately, Mother Nature can sometimes step in and make it difficult for us to be available for our clients. When the 2011 Halloween nor’easter knocked the office’s power out for 3 days and Superstorm Sandy interrupted our power and internet … Read more
Customs will allow the filing of a single bond form to meet the bond requirement for both the International Carrier (type 3) and the Instrument of International Traffic (type 3A). If a single bond form is issued to combine these types of bonds, one bond number would be assigned by Customs; however the liability of … Read more
An Instrument of International Traffic bond, or Activity 3A, is used to cover the movements and clearances of containers which move internationally. Without this provision, each container moved into the United States would have to be entered as a standard consumption entry and duty would be due to Customs on the container. Containers commonly used … Read more
An International Carrier bond, or Activity 301-3, ensures that operators of ships, airlines and conveyors of international merchandise properly manifest their goods, pay for overtime services and comply with Customs regulations related to clearance of the vessel. Therefore, any entity operating a ship, airplane or railway in international areas wishing to gain entry to the … Read more
C.A. Shea provides a unique role in the world of customs bonds as a facilitator for brokers in many different ways. Our office’s primary role is to assist brokers with the placement of Customs bonds for accounts that are not part of a larger surety program. The broker can submit a request for a bond … Read more
We at C.A. Shea & Company, Inc. would like to take a brief moment to thank each and every one of you, our brokers, for your patience and cooperation during Superstorm Sandy. Our office was without power, phone and internet for nearly two weeks; however, despite these setbacks, by working from a remote location, C.A. … Read more
