[Code of Federal Regulations]
[Title 19, Volume 1]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 19CFR113.27]

[Page 497-498]
 
                        TITLE 19--CUSTOMS DUTIES
 
  CHAPTER I--UNITED STATES CUSTOMS SERVICE, DEPARTMENT OF THE TREASURY
 
PART 113--CUSTOMS BONDS--Table of Contents
 
                      Subpart C--Bond Requirements
 
Sec. 113.27  Effective dates of termination of bond.

    (a) Termination by principal. A request by a principal to terminate 
a bond shall be made in writing to the port director or drawback office 
in the case of a bond relating to repayment of erroneous drawback 
payment where the

[[Page 498]]

bond was approved. The termination shall take effect on the date 
requested if the date is at least 10 business days after the date of 
receipt of the request. Otherwise the termination shall be effective on 
the close of business 10 business days after the request is received at 
the port or drawback office. If no termination date is requested, the 
termination shall take effect on the tenth business day following the 
date of receipt of the request by the port director, or drawback office 
in the case of bonds relating to repayment of erroneous drawback 
payment.
    (b) Termination by surety. A surety may, with or without the consent 
of the principal, terminate a Customs bond on which it is obligated. The 
surety shall provide reasonable written notice to both the director of 
the port where the bond was approved or appropriate drawback office in 
the case of bonds relating to repayment of an erroneous drawback payment 
and the principal of the intent to terminate. The written notice shall 
state the date on which the termination shall be effective and shall be 
sent to both Customs and the principal by certified mail, with a return 
receipt requested. Thirty days shall constitute reasonable notice unless 
the surety can show to the satisfaction of the port director, or 
drawback office in the case of bonds relating to repayment of an 
erroneous drawback payment, that a lesser time is reasonable under the 
facts and circumstances.
    (c) Effect of termination. If a bond is terminated no new Customs 
transactions shall be charged against the bond. A new bond in an 
appropriate amount on Customs Form 301, containing the appropriate bond 
conditions set forth in subpart G of this part, shall be filed before 
further Customs activity may be transacted.

[T.D. 84-213, 49 FR 41171, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984]