April 2026 CBLE · Category I: Broker Compliance · Question 11 of 80
April 2026 CBLE, question 11
Of the four choices below, which business relationship may Tracy, a licensed customs broker and sole proprietor of her brokerage, maintain without violating CBP regulations?
- Tracy transacts customs business on behalf of her client, X-Logistics, a bona fide importer. At the time when she entered into the broker-client relationship, Tracy knew that X-Logistics was a notoriously disreputable importer.
- Tracy has an agreement with Faith, another sole proprietor who had her customs broker license suspended with prejudice. For the duration of Faith’s license suspension, Faith refers her clients to Tracy, and Tracy gives Faith a small percentage of the fees collected from the clients Faith referred to her.
- Tracy befriends an attorney, Margaret, at a trade conference. Margaret works for the Office of Regulations and Rulings at the Department of Homeland Security and authors classification rulings for the type of widgets that Tracy’s clients import. Tracy treats Margaret to a nice dinner in exchange for the opportunity to talk about the classification rulings pending Margaret’s review.
- Tracy hires Paul to help with recordkeeping at her brokerage. Six months after Paul’s start date, Tracy discovers that Paul is a convicted felon. Tracy takes no futher action and continues to employ Paul.
Show the official answer
Official answer: A: Tracy transacts customs business on behalf of her client, X-Logistics, a bona fide importer. At the time when she entered into the broker-client relationship, Tracy knew that X-Logistics was a notoriously disreputable importer.
Citation in CBP's key: 19 CFR 111.42; 19 CFR 111.53; 19 CFR 111.34