Going back to our entry process timeline from our introduction to entering goods into the United States<\/a>, we can see where in the process a liquidated damages claim can arise. The timeline for a liquidated damages claim is fairly simple, the principle on the bond has 60 days to either pay the claim amount or to petition the claim. Either of those actions is seen as ‘resolving the claim’ since they would either stop or pause the 60-day timeline. However, if the petition is declined by Customs and Border Protection, the bond principle would then have to submit payment for the liquidated damages claim.<\/p>\n When filing a petition for relief, it is a good idea to consult a professional with expertise in handling claims and working with Customs and Border Protection. At TRG, our claims team specializes in helping our bond costumers<\/a> mitigate any claims that may be issued and monitor the progression of the mitigation process. TRG costumers also have the added benefit of our claims team receiving their notices directly from Customs. This way action can be taken immediately and efficiently when a claim arises.<\/p>\n
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What To Do When A Liquidated Damages Claim Arises<\/h2>\n
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<\/p>\nHow to Resolve a Liquidated Damages Claim<\/h2>\n
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\nWhen you pay the claim amount within the 60-day timeline, the claim is considered resolved. Making a timely payment will ensure that your company does not begin to owe interest on the claim and will keep you from facing further action from Customs and\/or the surety backing the Customs Bond. Keep in mind, when you pay a liquidated damages claim, you forfeit the right to petition.<\/li>\n
\nIf the principle on the bond feels there are extenuating circumstances that should result in relief on the claim, they can file a petition for relief with Customs and Border Protection. This petition must be filed within 60 days from the date the notice was mailed to the bond principal. Relief will be granted by Customs only if the petition demonstrates the violation did not occur or was the result of Customs\u2019 error. The degree to which Customs will allow mitigation is completely determined by Customs\u2019 guidelines and the circumstances of the specific case.<\/li>\n<\/ul>\nGet Help With Your Liquidated Damages Claim from TRG<\/h2>\n
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Watch Our Webinar Covering Liquidated Damages and Supplemental Duties<\/h4>\n