Our team offers legal and technical support in cases of customs seizures and forfeitures, helping clients recover shipments and resolve compliance issues efficiently.
Seizures & Forfeiture / Administrative Case in the Philippines refers to the legal process undertaken by the Bureau of Customs (BOC) when goods, properties, or shipments are suspected of violating customs laws and regulations. A seizure occurs when the BOC detains or takes control of imported or exported goods due to suspected infractions such as misdeclaration, undervaluation, smuggling, or lack of proper permits. Forfeiture follows when the government legally claims ownership of the seized goods after due process, making them subject to auction, donation, or destruction.
An Administrative Case is filed against importers, exporters, brokers, or other parties involved in customs law violations. This legal proceeding determines whether penalties, fines, or other sanctions should be imposed, which may include the revocation of business licenses or accreditation. These actions are governed by the Customs Modernization and Tariff Act (CMTA) and other trade laws to ensure compliance, prevent illegal trade, and protect national revenue and security.
Jill L Tolentino Customs Brokerage provides strategic solutions for businesses dealing with customs seizures and forfeitures. Our legal team works diligently to analyze cases, prepare legal documentation, and negotiate with customs authorities for the swift recovery of goods.
By offering expert guidance, we help traders mitigate risks and minimize financial losses, ensuring that their shipments are handled with due process and efficiency.
When goods are seized or subject to forfeiture due to alleged violations of customs laws, Jill L Tolentino Customs Brokerage steps in to provide professional assistance. Our experienced team works closely with legal experts to assess the case, prepare the necessary documentation, and represent traders in proceedings before customs authorities. By identifying the best course of action—whether it’s providing justifications, negotiating settlements, or filing appeals—we help clients recover their shipments and mitigate financial losses.
Seizure is the process where customs authorities take custody of goods suspected of violating customs laws. Forfeiture, on the other hand, is the legal process where these seized goods are permanently taken by the government due to violations.
(Reference: Section 1113 of the CMTA and Sections 3.11 and 3.22 of CAO 10-2020)
Goods may be seized by Customs for several reasons, including but not limited to:
• Misdeclaration of goods (incorrect value, classification, or origin)
• Violation of trade restrictions (e.g., prohibited or restricted items)
• Failure to pay necessary duties or taxes
• Fraudulent importation or false documentation
The District Collector has the authority to issue a WSD if there is probable cause that the goods violated customs laws. This warrant officially detains the goods until a final decision is made.
(Reference: Section 1117 of the CMTA and Section 6.1 of CAO 10-2020)
Goods that can be seized and forfeited include:
Smuggled goods – Items brought into the country without proper declaration or payment of duties.
Prohibited items – Drugs, counterfeit products, hazardous materials, or items banned under international treaties.
Undervalued or misdeclared goods – When an importer provides false information about the quantity, value, or nature of the goods.
Unmanifested cargo – Items not listed in the ship’s cargo manifest.
Restricted goods without permits – Firearms, chemicals, or agricultural products that require special clearance but were imported without the proper documentation.
(Reference: Section 1113 of the CMTA and Section 4.1.1 of CAO 10-2020)
Once issued, the District Collector will conduct a hearing to determine whether the goods should be forfeited or released. If the decision is forfeiture, the goods become government property and will be disposed of accordingly.
(Reference: Section 1125 of the CMTA and Section 12.4 of CAO 10-2020)
If your goods are seized, Jill L. Tolentino Customs Brokerage can assist in the following ways:
• Investigation: Assess the cause of the seizure and identify any errors or misunderstandings.
• Representation: Advocate on your behalf with Customs officials for the release of goods or reduction of penalties.
• Appeal Assistance: Help prepare necessary documentation and guide you through the appeal process.
• Risk Mitigation: Identify root causes of seizure and implement corrective actions to prevent future issues.
• Legal Guidance: Provide expert advice on compliance with Customs regulations.
• Penalty Reduction: Negotiate to reduce fines or penalties, if applicable.
• Business Continuity: Assist in resolving the issue quickly, minimizing business disruption.
The penalties for seized goods vary depending on the severity of the violation. Possible penalties may include:
• Fines
• Payment of outstanding duties and taxes
• Forfeiture of goods
• Suspension or revocation of importation privileges
Our team can help mitigate these penalties by providing expert legal advice and representation during the Customs process.
Yes, if your goods are seized or forfeited, you have the right to appeal the decision. Jill L. Tolentino Customs Brokerage can assist in filing an appeal with Customs authorities, presenting evidence to support your case, and working to have the seizure reversed or penalties reduced.
Yes, under Section 1124, the importer, exporter, or consignee may settle the case by paying a fine or redeeming the goods, subject to approval by the Commissioner of Customs. However, this is only allowed if there was no fraud involved and the goods are not prohibited.
(Reference: Section 1124 of the CMTA and Section 14.1 of CAO 10-2020)
If the goods are perishable, the importer may request that they be sold through a public auction while the case is still ongoing. The proceeds from the sale will be held in escrow until a final decision is made.
(Reference: Section 1125 of the CMTA and Section 12.4 of CAO 10-2020)
The owner or authorized representative is given a formal notice. If the owner cannot be found, customs may serve a constructive notice by posting the warrant in a public place or publishing it online or in print for 15 days.
(Reference: Section 1125 of the CMTA and Section 6.2 of CAO 10-2020)
If no owner or representative claims the goods within 15 days, they are subject to ipso facto forfeiture, meaning they automatically become government property without further proceedings.
(Reference: Section 1121 of the CMTA and Section 9.4 of CAO 10-2020)
Yes, a vessel or aircraft may be seized if the owner, agent, master, or pilot is found liable for a customs law violation. However, customs considers the economic impact of seizing a vessel, especially in international trade.
(Reference: Section 1122 of the CMTA and Section 4.1.2 of CAO 10-2020)
The importer or claimant has the burden of proof to show that their goods do not violate customs laws. If customs alleges a violation, the importer must provide evidence, such as permits or proper documentation, to counter the claim.
(Reference: Section 1123 of the CMTA)
A hearing must be scheduled within 15 days (for non-perishable goods) or 5 days (for perishable goods).
A decision must be issued within 30 days (non-perishable) or 10 days (perishable).
This ensures a quick resolution of seizure cases, especially for time-sensitive goods.
(Reference: Section 1125 of the CMTA and Section 12.4 of CAO 10-2020)
At Jill L. Tolentino Customs Brokerage, we specialize in providing expert logistics solutions tailored to help your business thrive. Whether you're importing, exporting, or navigating complex customs regulations, our dedicated team ensures seamless operations and reliable service.
