April 2018 — Question 56
While examining your client’s shipment of 1,000 handbags at the container examination station, CBP discovered that the goods bear a mark suspected of infringing a trademark associated with a well-known designer. The designer’s mark is registered on the Principal Register of the U.S. Patent and Trademark Office and recorded with CBP. The suspect mark is not identical with or substantially indistinguishable from the registered and recorded mark; rather, CBP determines that it copies or simulates the registered and recorded mark and, consequently, detains the handbags. Which of the following options is available to the importer to obtain relief from detention within 30 days?
- AThe importer may remove or obliterate the suspect marks from the handbags in such a manner that they are incapable of being reconstituted✓ CBP's answer
- BThe importer may label the merchandise with the following statement: “This product is not a product authorized by the United States trademark owner for importation and is physically and materially different from the authorized product”
- CThe importer may file a petition under 19 CFR pt. 171, persuasively arguing that the suspect marks do not actually so resemble the recorded mark as to be likely to confuse the public
- DThe importer may claim the personal use exemption under 19 CFR 148.55
- ENone of the above
Why this answer
Marks that copy or simulate a recorded mark are handled under 19 CFR 133.22, and paragraph (c)(1) lets the importer obtain release within the 30-day window by removing or obliterating the objectionable marks so completely that they cannot be reconstituted. The labeling statement in option B is the remedy for restricted gray market goods bearing genuine marks under 133.23, not for copying or simulating marks; part 171 petitions govern relief from seizures, and the 148.55 personal-use exemption addresses travelers' articles, which a 1,000-handbag commercial shipment plainly is not. Option B is the strong distractor because it borrows the cure from the neighboring gray market provision. Watch for: Applying the gray market physically-and-materially-different labeling remedy to goods bearing copying or simulating marks.
Original CBLE Simulator explanation — the question and key above are CBP's; this analysis is ours. Verify against the current edition before relying on it in practice.
CBP's cited authority
Answer and citations as published in CBP's official answer key for the April 2018 examination.
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