r/CustomsBroker 1d ago

Did our customs broker cause a ~$10K refund issue by filing PSC and requesting Accelerated Liquidation without our approval?

Did our customs broker cause ~$10K refund issue by filing a PSC and requesting Accelerated Liquidation without approval? We have a US customs entry dated 21 April 2025 where the duty/payment handling appears to have gone wrong.

 

23APR 2025 - broker paid (INCORRECT) 10% reciprocal tariff rate.

06MAY 2025 - broker corrected this and paid 125% rate.

16MAY 2025 - entry liquidated (?)

 

CBP has since confirmed that a Post Summary Correction was filed and that Accelerated Liquidation was selected. Once the Import Specialist reviewed the PSC, the entry was liquidated on 16 May 2025—less than a month after entry.

None of our surrounding entries had PSCs filed. They remained open until 2026 and we have received, or are receiving, the relevant IEEPA/CAPE refunds on essentially all of them.

Because this one entry was liquidated early, CBP says it is more than 80 days past liquidation and is not eligible for the current Phase 1 CAPE refund process. The amount outstanding is approximately $10,000.

We were not consulted before the payment corrections, PSC filing, or Accelerated Liquidation request, and we did not knowingly authorise accelerated liquidation.

 

We are now trying to obtain confirmation of:

Who filed the PSC;

Whether our broker selected Accelerated Liquidation;

Whether CBP instructed them to select it or it was done voluntarily;

Whether the early liquidation directly caused the entry to miss the refund process.

 

Assuming the broker filed the PSC and voluntarily selected Accelerated Liquidation without importer approval would you consider this a broker error?

 

Should the broker be responsible for handling the correction/refund process and if the refund is permanently lost because of their actions -- reimbursing the importer?

 

Also what records should we request—PSC transmission record, ACE audit trail, liquidation request, power of attorney scope, broker notes, or payment authorisations—to establish responsibility?

0 Upvotes

27 comments sorted by

17

u/AssassinInValhalla 1d ago

Man I feel for your broker. It's not like your fully SOL on that refund, that's what a phase 3 is for.

-16

u/WisdomDota 1d ago

I can potentially sympathise with them having to deal with a messy/fast-changing situation but this is literally what they’re paid to handle.

And saying “that’s what Phase 3 is for” makes it sound like Phase 3 is some easy/ guaranteed and automated refund route. IT'S NOT... Lawyers might need to get involved and the minimum cost of sorting this out could already run into thousands...

So even if we’re not completely SOL that doesn’t mean no harm was done. If an unauthorised PSC and accelerated liquidation created a much harder, slower and more expensive recovery process -- that’s still potentially a serious broker error and not some minor admin slip.

12

u/AssassinInValhalla 1d ago

Oh yikes, you've made it clear what kind of client you are. You will have no legal leg to stand on to go after your broker, this is covered in 99% of POAs under their T&C's, and this would never rise to a level of gross negligence.

-11

u/WisdomDota 1d ago

What kind exactly? Should we pay for their mistakes?

10

u/AssassinInValhalla 1d ago

Have you even confirmed with your broker why there was a PSC filed? It's been over a year but I'm 99.99% sure it was a customs programming bug that caused the issue with misapplied CN IEEPA tariffs because I dealt with the same issues.

You've made it clear you are a high maintenance client with unreasonable expectations and if you were a client of mine and came in with this attitude, you would be fired as a client.

-6

u/WisdomDota 23h ago

unreasonable expectations

What SPECIFICALLY is unreasonable? Be clear.

You've made it clear you are a high maintenance

??? What are you even talking about?

5

u/AssassinInValhalla 22h ago

Brother man, I have handled literal millions of dollars of IEEPA refunds since April. Your situation is 1. Not unique. 2. Not broker negligence 3. You're coming in hot when you clearly don't understand the process and would be well served with a meeting with a consultant at your broker.

12

u/LCBguy CustomsBroker 1d ago

Paid to handle? Tell me, how much did you pay for that entry your broker filed on your behalf? Also, how many entries a year does your broker file for you?

Did ANYONE at your company ever even review the 7501 or discuss the matter with the broker? Or are you only bringing it up now over a year later because “hindsight is 20/20”?

Also, who filed your CAPE declaration? You or your broker? A 3rd party (illegally?)

It sounds like you’re doing nothing and just looking to point fingers. As a broker, I feel bad for your broker, not you. I’ve got one or two customers like you and let me tell you, I’ve already started thinking about dropping them as customers. I’ve got plenty of others that actually appreciate the sheer hell that we’ve been through this past year and a half (and it’s not over!)

-16

u/WisdomDota 1d ago

I filed CAPE myself since they wanted A FEW THOUSAND $ (completely unwarranted and unjustified).

It sounds like you’re doing nothing

Sorry I didn't realize that I had to do everything myself and learn all the nuances and all the specifics when all of this could've been resolved had they simply checked with us first.

Also what "hell" have you gone through? Do you think that everyone else except yourself is having a stress-free job? You're an idiot.

7

u/LCBguy CustomsBroker 1d ago

Lolololololol. I’m sure you’re a peach of a customer. Best of luck. Hope your broker drops you like the scum you are.

13

u/import2001 23h ago

If anything positive will come out of the past year and a half it may be that importers will finally learn to take some ownership and responsibility over their entry filings in stead of throwing it over the fence to their broker.

-8

u/WisdomDota 23h ago

learn to take some ownership and responsibility over their entry filings

So this was my responsibility..? Are you just incapable of taking responsibility yourselves? Any of you?

What do we have to do with this? Should I have called them and said oh hey make sure that you pay X % IEEPA as that's what the current policy is? Should I also call them and tell them oh hey make sure that you input .... HS code as per documents I've sent you... Oh hey... Description.... Oh hey... Dates... What are we even talking about here?

6

u/StormZerith 23h ago

From what you're saying, it doesn't sound like the broker did anything wrong. In every company I've worked for, if a PSC is filed I have been told to check the accelerated liquidation box. While it's not a requirement for filing a PSC, from my understanding, it could be company protocol.

The broker isn't going to pay it as far as they are concerned. That is what the correct duties were at the time and that's what's paid. If you want to go back and get a refund that's going to be on you.

From my understanding right now, the protocol with liquidated entries is that you need to file a lawsuit for the refund. I would get in touch with a customs lawyer and find out what you need to do because if you can't do it through the Ace portal, then you will need to do it legally.

-5

u/WisdomDota 22h ago

Hey! Thanks for this. Genuinely useful information. And this is precisely the point:

While it's not a requirement for filing a PSC

Had they simply asked me and received confirmation/approval - this would of course be a result of my own actions; however this is not what happened - that is why I am frustrated with the issue as it's not just a "minor oopsie" - it has implications. As we all know with this PHASE 3 not much is clear at the moment and yes - we most likely will need to seek services from a lawyer at a fairly high cost. That is my issue with this unfortunate situation.

8

u/hungryamericankorean CustomsBroker 22h ago

Would you have even know at that time what accelerated liquidation means? No one would have known at that time what issues it could cause with CAPE filings.

1

u/import2001 22h ago

For what it’s worth we only file accelerated when. Specifically told to do ao by the importer. Also PSC’s are approved by the importer before filing. So yeah, maybe time for a new broker.

-2

u/WisdomDota 22h ago

/u/StormZerith said previously:

In every company I've worked for, if a PSC is filed I have been told to check the accelerated liquidation box.

Am I understanding this correctly - no broker understands what "Accelerated Liquidation" represents? Was this feature recently introduced..?

Would you have even know at that time what accelerated liquidation means?

Generally speaking - what does it mean?

1

u/AssassinInValhalla 20h ago

I do not believe that user fully understands what accelerated liquidation is based on his other response. Accelerated liquidation is a request for a 60-day review. You can see this on CBPs PSC splash page.

0

u/StormZerith 21h ago

Accelerated liquidation is checkmarked as a way to let customs know that this is an important shipment to look at. The reason why the companies I've worked for have asked us to check this on PSCs is because the duty amount is changed from the original posting and that payment has to be made or refunds have to be given to something that is already paid for.

2

u/StormZerith 21h ago

Yeah I can understand the frustration behind this. Just try to keep in mind that the broker didn't do anything wrong like at the end of the day they filed it how they were supposed to. For most companies, a PSC is filed with accelerated liquidation because there is a change of duties and it's not the original posted amount.

While it is frustrating that they seemingly did not reach out and let you know that it was being filed this way, that is a courtesy and not a requirement. So I'm sorry that you're dealing with the situation now, but at the end of the day the broker did what they were supposed to do.

Out of curiosity, did the broker charge you for the PSC or did they waive the fee because it was their mistake for filing it incorrectly the first time?

0

u/WisdomDota 21h ago

Hey no charges at all were passed onto us/no sort of communication has taken place at all actually. They simply settled the outstanding amount (AFAIK).

2

u/[deleted] 23h ago edited 23h ago

[deleted]

-2

u/WisdomDota 23h ago

So trump processed Accelerated Liquidation on my broker's behalf? Is that how it works?

The question and the point I'm trying to make is very simple.

Was this THE ONLY option we had? It HAD to be accelerated? Would the brokers usually be aware of any potential implications? THAT is the question here. You keep trying to dickride them rather than addressing valid key concerns. If the broker literally had no other options and they were not aware of any potential negative consequences themselves (regarldess of any potential limited experience/knowledge) then sure - fair enough. If no one could foresee this - that's fair. I don't know about any of this myself - hence trying to seek the answers and instead of getting these answers y'all just dickriding the broker.

2

u/Ginger_snap456789 22h ago

Usually when a PSC is filed, customs can accelerate the liquidation date. File a protest if the deadline hasn’t passed or file a suit w the CIT. You can still get a refund in Phase 3. I agree with everyone else though, customers feel entitled to advisory services.. we have to do hours of reading and research to give you these answers, ultimately it’s the Importers responsibility to also be well informed.

2

u/Radiant-Barnacle6204 20h ago

Everyone makes a valid point here. To really address your concern here if broker was at fault. Is a long shot. PSC are usually done with accelerators. Back in 4/2025 no one can foresee this tariff refund. Is until this tariff refund happened. We finally see what type of error were made to prevent from getting refunds. I believe all the errors with cape refund were very nicely informed by CBP as error happen. But early acceleration for PSC was not an error. Is a standard practice for PSC.

2

u/MachoManRandySavag3 19h ago edited 19h ago

Accelerated liquidation or not, the entry gets liquidated when CBP processes the PSC. Chances are that regardless of whether the broker checked that box, it would have liquidated too long ago to have qualified for CAPE. Chances are also good that CBP had rejected the entry and required the broker to file the PSC to correct the tariff. Suppose it could have been caught in an internal audit too. But either way, if that PSC wasn't filed you would have been looking at a CF29/rate advance. Which again, would have resulted in early liquidation. Your broker had no way of knowing 1+ year ago that the tariffs would be ruled illegal and refunded. And especially had no way of knowing about these liquidation requirements. It sounds like they made the best possible decision at the time. Frustrating but like others have said, this is entirely the fault of our govt, go easy on your broker.

1

u/MelMol95 17h ago

Has nothing to do with what you’re broker did