Industry News

Customs Business Fairness Act Signed into Law

March 14, 2024

On March 8th, the Customs Business Fairness Act (CBFA) has finally been codified into law. The Senate passed H.R. 4366 Fiscal Consolidated Appropriations Act, a comprehensive bill combining several agency spending bills, including CBFA, which had been previously passed by the House. CBFA's inclusion in this bill is significant for the protection of customs brokers and their employees, addressing a longstanding issue in bankruptcy laws. The Act grants customs brokers "subrogation" rights, ensuring that their payments to the U.S. Customs and Border Protection (CBP) are safeguarded from preference payment recovery actions, particularly when importers file for bankruptcy.