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Sep 20

Dulles CBP Global Entry Surpasses 250,000 User Sessions

By Blog, Grab Bag

Global Entry, a U.S. Customs and Border Protection (CBP) initiative to speed pre-approved trusted travelers through international arrivals processing, surpassed 250,000 user sessions at Washington Dulles International Airport Sunday.

Washington Dulles International Airport, where Global Entry launched on June 6, 2008, ranks seventh nationally in user sessions.

The program, popular with the international travel community, continues to grow in membership. More than 414,000 members have enrolled in Global Entry. Another 750,000 travelers enjoy the expedited processing benefits of Global Entry through other trusted traveler programs such as NEXUS (Northern border) and SENTRI (Southern border). Interested travelers can learn more about Global Entry membership. ( Global Entry )

“Global Entry works. It has proven to be a winner for frequent, low-risk international travelers, such as business professionals, travel industry representatives, U.S. diplomats and airline employees,” said Christopher Hess, CBP Port Director for the Port of Washington (DC). “Global Entry at Washington Dulles International Airport continues to set significant milestones in user sessions and continues as one of our nation’s pace setters for trusted traveler processing,” said Hess.

Global Entry members also automatically qualify for participation in the TSA Pre✓™ expedited passenger screening program for domestic travel.

Washington Dulles, with its 250,918 Global Entry user sessions, ranks behind New York’s John F. Kennedy International Airport, Houston’s George Bush Intercontinental Airport, Newark (N.J.) Liberty International Airport, Miami International Airport, Hartsfield-Jackson Atlanta International Airport and Chicago O’Hare International Airport.

Trusted travelers with Global Entry benefits have processed their international arrivals a combined 2,959,578 times at self-help kiosks located in 37 airports in the United States and at pre-clearance stations overseas.

The most significant benefit to Global Entry is time saved waiting in primary inspection lines. Average processing time for Global Entry members is about one minute. Wait times for passengers without trusted traveler memberships can be lengthy during peak arrival times. View your local airport wait times on CBP.gov. ( Airport Wait Times )

Participation in Global Entry is voluntary. Participants must possess a machine-readable U.S. passport or permanent resident card, pay a non-refundable $100 application fee, submit an online application, pass a law enforcement check, and complete an interview at a CBP enrollment center. ( Global Entry )

Washington Dulles was one of three original airports to deploy Global Entry in June 2008; JFK and Houston Intercontinental were the others. More than 3.2 million international travelers arrived to Washington Dulles during 2011.

SOURCE: CBP

 

Sep 20

Customs Seizes $29K in Unreported Currency

By Blog, Export, Import, International Business

U.S. Customs and Border Protection (CBP) officers at Washington Dulles International Airport (IAD) seized $29,000 Monday from a Ghanaian woman for violating federal currency reporting regulations.

The passenger, who arrived to Dulles from London, declared possessing less than $10,000. While examining her bags, CBP officers discovered a large sum of U.S. currency in a zippered compartment of her handbag. The final count was $29,000.

There is no limit to how much currency travelers can import or export; however federal law requires travelers to report to CBP amounts exceeding $10,000 in U.S. dollars or equivalent foreign currency.

CBP officers seized the $29,000 and advised the traveler how to petition for the return of her seized currency.

“Travelers who refuse to comply with federal currency reporting requirements run the risk of having their currency seized, and may potentially face criminal charges,” said Christopher Hess, CBP port director for the Port of Washington. “The traveler was given the opportunity to truthfully report her currency. The easiest way to hold on to your money is to report it.”

In addition to narcotics interdiction, CBP routinely conducts inspection operations on arriving and departing international flights and intercepts currency, weapons, prohibited agriculture products or other illicit items.

Travelers are encouraged to visit CBP’s Travel website to learn rules governing travel to and from the U.S. ( Travel )

The Privacy Act prohibits releasing the traveler’s name since she was not criminally charged.

SOURCE: CBP

 

Sep 14

What Controls: Online Terms or a Written Contract?

By Blog, Internet / eCommerce, News, Technology Transactions

In the case of Fadal Machining Centers, LLC  v. Compumachine, Inc., the Ninth Circuit decided that the arbitration clause found in the terms and conditions on a company website was binding on the parties.

Fadal Machining Centers (“Fadal”) manufactures machines and Compumachine is one of Fadal’s exclusive distributors. The two parties had a distribution agreement that included a forum selection provision. Including this provision meant that the parties agreed to bring suits against each other in a previously agreed upon forum. This implies that the parties could sue each other under the contract. However, when Fadal sued Compumachine over unpaid invoices, the district court dismissed the case because each of Fadal’s invoices referred to Fadal’s website for terms and conditions of sale and those online terms said that non-payment claims had to be submitted to arbitration. Fadal appealed, but the Ninth Circuit Court of Appeals affirmed the district court’s decision.

The lesson for companies is this: be careful about what terms and conditions you post online. Although these online terms and conditions may never be officially entered into by a contract in writing, they can still be binding when they are incorporated by reference.

Read the case in its entirety here.

SOURCE: United States Court of Appeals for the Ninth Circuit

Sep 05

CHESTER pllc Selected for Inclusion in Dallas Chic CEO “Black Book”

By Blog, News

(Photo by Chic CEO)

CHESTER pllc was recently selected to be included in the Chic Black Book, a directory of trusted organizations that San Diego-based Chic CEO, Inc. (“Chic-CEO”) recommends to small business owners.  CHESTER pllc was one of just three legal service providers in the entire Dallas-Ft. Worth area to be included.

Chic-CEO, which maintains the web site www.Chic-CEO.com, provides a variety of services and resources to entrepreneurial women in cities throughout the United States.  In response to daily requests for recommendations of trusted service providers, Chic-CEO created the Chic Black Book to be a “go-to” guide its clients. In addition to recommendations for legal representation, the Dallas Chic Black Book has recommendations for bookkeeping services, marketing and brand specialists, website designers, and a number of other services that are commonly requested by emerging companies.

Jim Chester, founding member and managing attorney at CHESTER pllc, states, “We whole-heatedly support the work of groups like Chic-CEO, who assist entrepreneurs with getting the information and resources they need to be successful, and are honored to have been selected for inclusion in this highly-selective directory.”

CHESTER pllc is a Dallas, Texas law firm providing comprehensive legal services to innovation-based companies doing business in the U.S., around the world, and on the web.  Its mission (and passion) is helping entrepreneurs and emerging companies solve problems and protect their interests. CHESTER pllc delivers value by providing business-savvy, cost-effective solutions to legal challenges.  The firm offers a wide array of business legal solutions, such as business entity formation (LLCs, corporations, etc.), trademarks and other intellectual property, technology transactions, contracts, e-commerce and dispute resolution.  Additional information about the firm and its attorneys may be found at www.chester-law.com

Sep 05

Hong Kong Jewelry Exporter Faces Nearly $2 million in Fines and Restitution

By Blog, Export, Import, International Business

Recently, a Hong Kong-based jewelry exporter pleaded guilty to customs fraud charges and faces nearly $2 million in fines and restitution in a scheme discovered by U.S. Customs and Border Protection’s (CBP) Regulatory Audit Unit and investigated by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).

Fai Po Jewellery (H.K.) Co., LTD, admitted to intentionally submitting false invoices to the government in connection with the importation of merchandise in order to avoid paying more than $1 million in customs duties. The company was also ordered to pay an $800,000 criminal fine and restitution of $1,017,737. Additionally, the company was ordered to pay the cost of the investigation in the amount of $144,324 and was placed on three years’ probation.

HSI special agents found that from early 2007 to late 2009, Fai Po enclosed false invoices in their direct shipments to U.S. purchaser ShopNBC while sending the actual full value invoice to the purchaser by email. Fai Po advised the purchaser to ignore the invoice enclosed in the shipment because it was there only to avoid customs clearance issues.

Since Fai Po was acting as both the exporter and importer, the company was responsible for customs duties, not the U.S. purchaser. The purchaser paid the higher amount listed on the true invoice, while Fai Po declared to the government the lower value on the fraudulent invoice. The purchaser was not aware of Fai Po’s scheme and didn’t receive any benefit from it.

“A few deliberate pen strokes on a customs declaration form amounted to the theft of more than $1 million from the American people,” said Brad Bench, special agent in charge of HSI Seattle, who oversees investigations in Alaska. “The defendant apparently believed its actions would go unnoticed, but it didn’t count on CBP’s ability to detect this anomaly or HSI’s commitment to holding those who commit customs fraud accountable.”

The fraud was detected by CBP when an audit revealed a discrepancy between the actual value of the gold jewelry shipment and what was stated on the fraudulent invoices.

Under the terms of probation, Fai Po is required to appoint a responsible corporate officer who will be required to prepare and submit quarterly reports to the U.S. Probation Office to ensure that no similar conduct occurs in the future.

SOURCE: ICE

Aug 30

U.S. Sanctions Ban Iranian Players’ Access to War of Warcraft

By Blog, Internet / eCommerce, OFAC / Sanctions

Mists of Pandaria, a new update of War of Warcraft that is coming out later this year, is now unlikely to be accessible to players in Iran. (Photo by Blizzard Entertainment)

The Guardian reports that last week, Blizzard Entertainment’s online message board started receiving messages from Iranian players complaining that they could not access the War of Warcraft’s servers. The War of Warcraft is a massively multiplayer online role-playing game which is tremendously popular.

Since then, the company posted a statement on the message board stating, “What we can tell you is that United States trade restrictions and economic sanction laws prohibit Blizzard from doing business with residents of certain nations, including Iran. [. . .] This week, Blizzard tightened up its procedures to ensure compliance with these laws, and players connecting from the affected nations are restricted from access to Blizzard games and services.”

The statement further explained that U.S. sanctions also prevent Blizzard from providing any refunds, credits, transfers, or other service options to accounts in other countries that have similar sanctions.

The Guardian explains that “World of Warcraft is the world’s largest subscription-based online multiplayer game, with around 10 million users. Participants pay a monthly fee to explore its vast landscapes, engaging in quests and upgrading their in-game characters.”

According to Public Radio International, War of Warcraft fans in Cuba, Libya, North Korea and Syria are in the same boat. U.S. sanctions restrict residents in these countries from playing War of Warcraft as well.

Aug 24

Customs seizes $18 million in Counterfeit Contact Lenses and Merchandise

By Blog, Customs IP Enforcement, International IP

Special agents with U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and officers from the Federal Food and Drug Administration (FDA), the Puerto Rico Police Department (PRPD), the San Juan Police Department (SJPD) and the Puerto Rico Department of Health’s Office of Investigations seized more than $18 million in counterfeit contact lenses and merchandise during the execution of several search warrants in eight different municipalities of Puerto Rico.

On Aug. 21, HSI special agents and partner law enforcement officers worked in teams to execute 17 federal search warrants at stores in the municipalities of San Juan, Caguas, Añasco, Bayamon, Ponce, Moca, Isabela and Naranjito, Puerto Rico. They seized 4,000 counterfeit Fresh Look contact lenses by Novartis, with an estimated manufacturer’s retail price (MSRP) of $200,000, along with 200,000 pieces of counterfeit merchandise from companies like Coach, Gucci, Ray Ban, Michael Kors, Rolex, Bulgari, Hublot, Nautica, Tous, Tiffany & Co., and Nike, among others. HSI special agents seized 25,000 counterfeit watches with an approximate MSRP of more than $3 million and 200 pairs of sneakers with an approximate MSRP of $32,000. The total MSRP of seized merchandise was approximately $18 million.

“The illegal importation and sale of counterfeit goods is a significant problem that affects our economy, impacts American jobs and innovation, puts the public’s health and safety at risk and at times threatens our national security,” said Angel Melendez, acting special agent in charge for HSI San Juan. “Consumers should know that if they buy pirated and unlicensed products, they are hurting legitimate businesses and they may also be facilitating criminal activity.”

SOURCE:  US ICE/HSI

Aug 04

PRACTICAL TIP: Top ROI for Your Legal Dollars

By Blog, Customs IP Enforcement, Export, FCPA, Foreign Trade Zones (FTZ), Grab Bag, Import, Intellectual Property, International Business, International IP, Internet / eCommerce, ITAR, News

Based on our experience, some of the best uses of resources on legal advice and assistance for businesses and entrepreneurs (from a “bang for your buck” perspective) are:

  • Succession Planning. This includes buy-sell and similar provisions in company documents to deal with death, divorces, and other departures of co-owners, and also includes an updated estate plan such as a will and advance directives to ensure your legacy.

The benefits one can obtain from these legal mechanisms and protections, which generally cost less than $2,000, can pay for themselves many times over.

 

Apr 06

CHESTER PLLC Launches new web site www.chester-law.com

By Blog, News

Dallas-based global business & technology law firm CHESTER PLLC is excited to announce the launch of their new web site: www.chester-law.com, now available for public consumption.

CHESTER PLLC is the only global business & technology law firm in the central United States.  The launch of this new web site formally announces the firm’s emergence as a viable alternative to large law firms and NY, DC or LA firms focusing on innovation, business, and/or international transactions and trade law.

Development of the site was been a long, demanding process, but the firm is very pleased with the results.  And the firm knows they couldn’t have done it alone.  The firms notes its thanks to web developer Jake Thompson and to marketing expert Paige Dawson and her team at MPD Ventures for their fine work and assistance on this project.  CHESTER PLLC also thanks the many folks who provided input and feedback as we revised and tweaked the site into something they are very proud to share.

“Although the site has gone ‘live’, it is far from finished – and never will be,” said Managing Attorney Jim Chester.  “We intend to frequently update the site with news, presentations and articles, not to mention the firm’s ‘Trade & Innovation Law’ blog that has been integrated into the site.”

Far from being some “cookie-cutter” or “slick” marketing piece, the site reflects the unique culture and progressive philosophy of CHESTER PLLC, and illustrates the character and  strengths of the firm.

 ____________________________________________________________

ABOUT CHESTER PLLC 

CHESTER PLLC is a Dallas-based global business & technology law firm.  The firm represents technology-oriented and other innovation-based companies, and advises clients on a variety of legal issues related to their domestic and international business operations. Firm clients include entrepreneurs, start-ups and privately-held companies of all sizes in a variety of industries.  The firm’s practice includes business formations, acquisitions and technology transactions and agreements; intellectual property (including trademark, copyright, patent and trade secret protection) protection, licensing & enforcement; and eCommerce/Internet business.  The firm also assists companies in international business transactions and import/export and other trade matters (e.g., ITAR, FCPA, and NAFTA, etc.) and has advised clients on business deals involving over 100 countries.
CHESTER PLLC believse it takes great legal representation to protect great ideas and great companies.  If you’d like to learn how CHESTER PLLC can assist your company, please contact the firm at [email protected] or visit our site www.chester-law.com for more information.

Remember – “You’re not alone in the world.”

Apr 05

Medical Device Company to Pay $23 Million to Settle Foreign Corrupt Practices Act Investigation

By Blog, FCPA

Indiana-based Biomet Inc. has entered into a deferred prosecution agreement with the Department of Justice (DOJ) and Securities & Exchange Commission (SEC) to resolve improper payments by the company and its subsidiaries in violation of the Foreign Corrupt Practices Act (FCPA).

The matter is part of an investigation into bribery by medical device companies of health care providers and administrators employed by government institutions.   Previously, Johnson & Johnson and Smith & Nephew Inc. have agreed to pay criminal penalties and entered into deferred prosecution agreements related to the ongoing investigation.

Biomet, headquartered in Warsaw, Ind., manufactures and sells medical devices worldwide and is listed on the NASDAQ.   According to the criminal information filed today in U.S. District Court in the District of Columbia in connection with the agreement, Biomet, its subsidiaries, employees and agents made various improper payments from approximately 2000 to 2008 to publicly-employed health care providers in Argentina, Brazil and China to secure lucrative business with hospitals.   During this time, more than $1.5 million in direct and indirect corrupt payments were made.   In addition, at the end of each fiscal year, Biomet, its executives, employees and agents falsely recorded the payments on its books and records as “commissions,” “royalties,” “consulting fees” and “scientific incentives” to conceal the true nature of the payments.

As part of the agreement, Biomet will pay a $17.28 million criminal penalty and is required to implement rigorous internal controls, cooperate fully with the department and retain a compliance monitor for 18 months.  The agreement recognizes Biomet’s cooperation with the department’s investigation; thorough and wide-reaching self-investigation of the underlying conduct; and the remedial efforts and compliance improvements undertaken by the company.   In addition, Biomet received a reduction in its penalty as a result of its cooperation in the ongoing investigation of other companies and individuals.

In a related matter, Biomet reached a settlement today with the U.S. Securities and Exchange Commission (SEC), under which Biomet agreed to pay $5.4 million in disgorgement of profits, including pre-judgment interest.

SOURCE:  DOJ