Border Enforcement Against Counterfeits

Stop Counterfeits at the Border: U.S. Customs and Border Protection (CBP) seized over $3 billion in counterfeit goods in 2023. By recording your trademarks with CBP and pursuing ITC exclusion orders, you can stop counterfeits before they enter the U.S. market - often more effective than chasing individual sellers after goods are distributed.

CBP Trademark Recordation

Recording your trademark with CBP enables customs officers to identify and seize counterfeit imports at ports of entry:

Requirement Details
Eligible IP Federally registered trademarks and copyrights (not pending applications)
Filing Fee $190 per trademark per international class
Duration 20 years (must be renewed)
Where to File IPRR.CBP.gov (Intellectual Property Rights e-Recordation)
Processing Time Approximately 30 days
Required Information Registration details, product images, authorized importers list, counterfeit indicators

CBP Seizure Process

1 Detection

CBP officers identify suspected counterfeit goods through inspection, targeting, or tips. Recorded trademarks receive priority screening.

2 Detention

Goods are held pending examination. CBP may contact trademark owner to request authentication. Importer notified of detention.

3 Determination

If confirmed counterfeit, goods are seized. Importer has 30 days to file petition for relief (rarely successful for clear counterfeits).

4 Disposition

Counterfeit goods are destroyed or transferred to government use. Trademark owner notified and may receive importer information.

ITC Section 337 Exclusion Orders

Powerful Border Remedy: Section 337 of the Tariff Act (19 U.S.C. Section 1337) authorizes the International Trade Commission to investigate unfair import practices including IP infringement. Unlike district court injunctions, ITC exclusion orders are enforced by CBP at every U.S. port of entry.

Types of ITC Orders

Order Type Scope Requirements
Limited Exclusion Order (LEO) Blocks imports from named respondents only Standard Section 337 violation proof
General Exclusion Order (GEO) Blocks ALL infringing imports regardless of source Widespread violation pattern + difficulty identifying sources OR ease of market entry
Cease and Desist Order Prohibits domestic activities by respondents with U.S. inventory Respondent has significant U.S. inventory or domestic operations

Section 337 Process Overview

Importer Liability

Legal Consequences for Importing Counterfeits

Consequence Legal Basis Details
Forfeiture of Goods 19 U.S.C. Section 1526 All counterfeit merchandise subject to seizure and destruction
Civil Penalties 19 C.F.R. Section 133.25 CBP can assess penalties up to MSRP of genuine goods
Trademark Damages 15 U.S.C. Section 1117 Actual damages, profits, or statutory damages up to $2M per mark
Criminal Prosecution 18 U.S.C. Section 2320 Up to 10 years prison, $2M fine (individuals); $5M (organizations)
Conveyance Forfeiture 19 U.S.C. Section 1526(e) Vehicles, vessels used to transport counterfeits may be seized
Strict Liability for Importers: Intent is not required for civil trademark infringement. Even if an importer did not know goods were counterfeit, they can be held liable for importing infringing products. The goods will be seized regardless of importer's intent; criminal penalties require knowledge.

Sample Customs Enforcement Letters

Sample 1: Demand to Importer After CBP Seizure
[COMPANY LETTERHEAD] [Date] VIA CERTIFIED MAIL - RETURN RECEIPT REQUESTED [Importer Name] [Company Name] [Address] Re: Trademark Infringement - CBP Seizure Notice #[XXXX-XXXX-XXXXXX] Demand for Accounting and Damages Dear [Importer Name]: This firm represents [Brand Owner], the owner of U.S. Trademark Registration No. [X,XXX,XXX] for the [BRAND NAME] mark, which has been recorded with U.S. Customs and Border Protection. CBP SEIZURE We have been notified that on [Date], U.S. Customs and Border Protection seized a shipment of counterfeit [BRAND NAME] products imported by your company at [Port of Entry]. The seizure notice number is [XXXX-XXXX-XXXXXX]. According to CBP records, this shipment contained: - [Quantity] units of counterfeit [Product Type] - Declared value: $[Amount] - Origin: [Country] - Entry number: [XXXX-XXXXXXX] Our quality control team has examined samples provided by CBP and confirmed these goods are counterfeit based on [specific indicators - unauthorized packaging, incorrect materials, missing authentication features, etc.]. PRIOR IMPORTATIONS This is the [first / second / third] seizure of counterfeit [BRAND NAME] products associated with your company. [If applicable: Previous seizures occurred on [Date(s)].] We have reason to believe additional counterfeit [BRAND NAME] products may have entered commerce through your prior importations. TRADEMARK INFRINGEMENT LIABILITY The importation of counterfeit goods bearing the [BRAND NAME] mark constitutes trademark infringement under 15 U.S.C. Section 1114. You are liable for: 1. All damages suffered by [Brand Owner] from your importation activities; 2. Disgorgement of your profits from selling counterfeit goods; 3. Statutory damages up to $2,000,000 per counterfeit mark per type of goods for willful counterfeiting; 4. [Brand Owner]'s attorney fees and costs of investigation; 5. Civil penalties assessed by CBP. Your importation of counterfeits after receiving notice of prior seizures constitutes WILLFUL infringement, substantially increasing your damages exposure. DEMAND We demand that you: 1. IMMEDIATELY CEASE all importation, sale, and distribution of counterfeit [BRAND NAME] products; 2. Within fourteen (14) days, provide a COMPLETE ACCOUNTING of: - All [BRAND NAME] products imported by your company (dates, quantities, entry numbers) - All sales of [BRAND NAME] products (customers, quantities, prices, revenues) - Supplier information for all [BRAND NAME] products (names, addresses, contacts) - Current inventory of any [BRAND NAME] products 3. SURRENDER all [BRAND NAME] products in your possession for destruction; 4. PAY compensation to [Brand Owner] for damages caused by your counterfeiting activities. If you fail to comply with these demands within fourteen (14) days, [Brand Owner] will: - File a federal trademark infringement lawsuit seeking maximum statutory damages, injunctive relief, and attorney fees; - Pursue criminal referral for trafficking in counterfeit goods under 18 U.S.C. Section 2320; - Seek additional CBP enforcement actions and civil penalties. The CBP seizure establishes your knowledge of [Brand Owner]'s trademark rights. Any continued importation will be treated as willful counterfeiting warranting maximum penalties. Contact the undersigned immediately to discuss resolution. Sincerely, [Attorney Name] [Law Firm] Counsel for [Brand Owner] cc: [Brand Owner] CBP Center of Excellence and Expertise
Sample 2: Request for CBP Disclosure of Importer Information
[COMPANY LETTERHEAD] [Date] U.S. Customs and Border Protection Intellectual Property Rights Branch [Address] Re: Request for Disclosure of Importer Information Seizure Notice #[XXXX-XXXX-XXXXXX] U.S. Trademark Reg. No. [X,XXX,XXX] - [BRAND NAME] Dear Sir/Madam: [Brand Owner] is the owner of U.S. Trademark Registration No. [X,XXX,XXX] for the [BRAND NAME] mark, recorded with CBP under Recordation No. [TMK XX-XXXXX]. We are writing to request disclosure of information regarding the importer associated with Seizure Notice #[XXXX-XXXX-XXXXXX], pursuant to 19 C.F.R. Section 133.21(c). SEIZURE INFORMATION Date of Seizure: [Date] Port of Entry: [Port Name] Seizure Notice Number: [XXXX-XXXX-XXXXXX] Quantity of Goods: [Number] units of [Product] Declared Country of Origin: [Country] AUTHENTICATION As the trademark owner, we confirm that: 1. The seized merchandise is COUNTERFEIT - it bears a mark that is counterfeit or confusingly similar to our recorded trademark; 2. [Brand Owner] did not authorize the manufacture, importation, or sale of these goods; 3. We have examined [samples provided by CBP / photographs of the seized goods] and confirmed they are not genuine [BRAND NAME] products based on: - [Authentication point 1] - [Authentication point 2] - [Authentication point 3] INFORMATION REQUESTED Pursuant to 19 C.F.R. Section 133.21(c), we request the following information regarding this seizure: 1. Name and address of the importer/consignee; 2. Name and address of the exporter/shipper; 3. Quantity and description of goods seized; 4. Country of origin; 5. Entry number; 6. Any available information regarding the manufacturer or supplier. INTENDED USE [Brand Owner] intends to use this information to: 1. Send a cease-and-desist demand to the importer; 2. Pursue civil remedies for trademark infringement under the Lanham Act; 3. Investigate the source of the counterfeit goods; 4. Coordinate with law enforcement for potential criminal prosecution. BOND WAIVER [Brand Owner] waives any bond requirement pursuant to 19 C.F.R. Section 133.21(c)(3) based on our status as the recorded trademark owner and our confirmation that the goods are counterfeit. Please provide the requested information at your earliest convenience. We appreciate CBP's efforts to protect intellectual property rights at the border. Sincerely, [Attorney Name] [Law Firm] Counsel for [Brand Owner] Enclosures: - Copy of Trademark Registration Certificate - Copy of CBP Recordation Confirmation - Authentication Declaration
Sample 3: ITC Section 337 Complaint Cover Letter
[LAW FIRM LETTERHEAD] [Date] VIA ELECTRONIC FILING AND HAND DELIVERY The Honorable Secretary U.S. International Trade Commission 500 E Street, SW Washington, DC 20436 Re: Complaint Under Section 337 of the Tariff Act of 1930 In the Matter of Certain [Product Description] and Components Thereof Dear Secretary: On behalf of [Complainant], we hereby submit the enclosed Complaint requesting that the Commission investigate and ultimately issue exclusion orders and cease and desist orders pursuant to Section 337 of the Tariff Act of 1930, as amended (19 U.S.C. Section 1337). SUMMARY OF COMPLAINT [Complainant] is a leading [U.S./Delaware] company that [description of business]. [Complainant] owns U.S. Trademark Registration No(s). [X,XXX,XXX] covering the [BRAND NAME] mark(s), which [Complainant] has used extensively in commerce since [Year]. The enclosed Complaint alleges that Respondents are engaged in unfair acts and unfair methods of competition in the importation and sale of counterfeit [Products] bearing unauthorized reproductions of [Complainant]'s [BRAND NAME] trademark(s), in violation of Section 337. RESPONDENTS The Complaint names the following Respondents: 1. [Respondent 1 Name and Address] 2. [Respondent 2 Name and Address] 3. [Additional Respondents] RELIEF REQUESTED [Complainant] respectfully requests: 1. A GENERAL EXCLUSION ORDER directing CBP to exclude from entry all [Products] that infringe U.S. Trademark Reg. No. [X,XXX,XXX], regardless of source; 2. In the alternative, a LIMITED EXCLUSION ORDER directed to each named Respondent; 3. CEASE AND DESIST ORDERS directed to each domestic Respondent prohibiting importation, marketing, distribution, and sale of infringing products; 4. Such other relief as the Commission deems appropriate. DOMESTIC INDUSTRY [Complainant] satisfies the domestic industry requirement under 19 U.S.C. Section 1337(a)(2)-(3) through: - Significant investment in plant and equipment in the United States; - Significant employment of labor and capital in the United States; - Substantial investment in the exploitation of the trademark, including engineering, research and development, and licensing activities. ATTACHMENTS Enclosed please find: - Original and twelve (12) copies of the Complaint - Confidential and public versions as required - Proposed Respondent and witness lists - Filing fee We respectfully request institution of this investigation at the Commission's earliest opportunity. Respectfully submitted, [Attorney Name] [Law Firm] Counsel for [Complainant]

Frequently Asked Questions

CBP trademark recordation typically takes approximately 30 days to process after submission through the IPRR system. Once approved, your recordation is immediately distributed to all U.S. ports of entry. CBP officers will begin screening shipments for your recorded marks. To maximize effectiveness, provide detailed information about your products, authorized importers, packaging characteristics, and indicators of counterfeits.
CBP recordation is a preventive measure that enables CBP officers to identify and seize counterfeit goods - it costs $190 and provides ongoing protection. ITC exclusion orders are obtained through litigation at the International Trade Commission - they're expensive ($2-5 million) but result in formal orders directing CBP to exclude specific infringing goods. Recordation catches obvious counterfeits; ITC orders are needed when counterfeits are sophisticated or when you need a general exclusion order blocking all sources.
Yes. Under 19 C.F.R. Section 133.21, trademark owners can request samples of detained goods for authentication purposes. CBP may also provide photographs if samples aren't available. If you need evidence for litigation, you can request that CBP preserve samples before destruction. Make your request promptly - once goods are destroyed, no samples will be available. Include your recordation number and explain why samples are needed.
Most seized counterfeit goods are destroyed by CBP after forfeiture proceedings conclude. Some goods may be: (1) donated to charitable organizations after removing trademarks, (2) transferred to federal/state agencies for official use, (3) sold at auction after removing all infringing marks (rare). The trademark owner can request that goods be destroyed rather than donated. Destruction is typically completed within 90-120 days after final forfeiture.
ITC Section 337 proceedings are expensive - typically $2-5 million through completion for complex cases, though simpler counterfeit cases may cost $500,000-$1.5 million. The accelerated timeline (12-18 months vs. 2-4 years in district court) means costs are compressed. There's no filing fee, but you'll need extensive preparation including claim charts, domestic industry evidence, and technical experts. The ITC is most cost-effective when you face widespread infringement from multiple sources and need a general exclusion order.
Yes, importers can contest seizures through a petition process. After receiving a seizure notice, the importer has 30 days to file a petition for relief with CBP. The petition must explain why the goods aren't counterfeit (e.g., authorized distribution, legitimate parallel imports, first sale doctrine). However, for clearly counterfeit goods, petitions rarely succeed. The importer can also file suit in the Court of International Trade, but this is expensive and usually unsuccessful for obvious counterfeits.