Power of Attorney regulations updated for customs brokers

By | 2023-03-01T03:37:33+00:00 March 1st, 2023|Border Crossing, Legislation|

The new requirements for customs brokers with power of attorney (POA) under 19 CFR 111.36(c)(3) established by the Modernization of the Customs Broker Regulations Final Rule (87 FR 63267) are now in effect.

A Power of Attorney agreement gives another party (either an individual or a company) the authority to make decisions on your behalf. The most common situations in which the average American will encounter a PoA agreement will likely be medical or legal. A Power of Attorney is also required if you want to work with a customs broker like Clearit.

Under the new regulations, a customs broker must execute a POA directly with an importer of record or drawback claimant (client) and not through a freight forwarder or other third party to transact customs business on behalf of the client.

According to U.S. Customs and Border Protection (CBP), the term “directly” means the client must execute and sign the POA in direct communication with the broker and cannot have an agent or third party sign or negotiate the POA in their stead.

However, the client may have an agent, or third party assist in executing the POA. For example, the client may have an agent provide translation services, provide counsel in reviewing the terms of a POA, or provide courier services to relay a written POA.

For additional guidance on the broker POA requirement you can review CBP’s Customs Broker Frequently Asked Questions. For more information on the regulations, visit CBP’s Customs Broker Modernization Regulations dedicated webpage. Read the full text of the Modernization of the Customs Broker Regulations Final Rule and the Elimination of Customs Broker District Permit Fee Final Rule.

Read more: Customs Compliance: Power of Attorney

To stay informed on trade news and other important updates, stay connected with a customs broker.