[Code of Federal Regulations]

[Title 19, Volume 1]

[Revised as of April 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 19CFR111.42]



[Page 520-521]

 

                        TITLE 19--CUSTOMS DUTIES

 

   CHAPTER I--BUREAU OF CUSTOMS AND BORDER PROTECTION, DEPARTMENT OF 

              HOMELAND SECURITY; DEPARTMENT OF THE TREASURY

 

PART 111_CUSTOMS BROKERS--Table of Contents

 

        Subpart C_Duties and Responsibilities of Customs Brokers

 

Sec.  111.42  Relations with person who is notoriously disreputable or 

whose license is under suspension, canceled ``with prejudice,'' or revoked.



    (a) General. Except as otherwise provided in paragraph (b) of this 

section, a broker must not knowingly and directly or indirectly:

    (1) Accept employment to effect a Customs transaction as associate, 

correspondent, officer, employee, agent, or subagent from any person who 

is notoriously disreputable or whose broker license was revoked for any 

cause or is under suspension or was cancelled ``with prejudice;''

    (2) Assist in the furtherance of any customs business or 

transactions of any person described in paragraph (a)(1) of this 

section;

    (3) Employ, or accept assistance in the furtherance of any customs 

business or transactions from, any person described in paragraph (a)(1) 

of this section, without the approval of the Assistant Commissioner (see 

Sec.  111.79);

    (4) Share fees with any person described in paragraph (a)(1) of this 

section; or

    (5) Permit any person described in paragraph (a)(1) of this section 

to participate, directly or indirectly and



[[Page 521]]



whether through ownership or otherwise, in the promotion, control, or 

direction of the business of the broker.

    (b) Client exception. Nothing in this section will prohibit a broker 

from transacting customs business on behalf of a bona fide importer or 

exporter who may be notoriously disreputable or whose broker license is 

under suspension or was cancelled ``with prejudice'' or revoked.