Article 27 The Customs, in releasing the goods in accordance with Article 22 of the Regulations of Customs Protection, shall send the obligee or his/her agent a written notification and return the guarantee fund after deducting storage fees and compensation to other party that suffered damages as a result of inappropriate application for goods apprehension.

If the goods in question have already been released in accordance with Article 19 of the Regulations of Customs Protection, the Customs shall return the submitted guarantee money to the obligee or his/her agent.

Article 28 If the apprehended goods have been proved by the Customs and the departments in charge for the protection of intellectual property rights or by the peoples court as involved in rights infringement, the Customs shall have them confiscated in accordance with Article 23 of the Regulations of Customs Protection.

For the goods that have been released by the Customs in accordance with Article 19 of the Regulations of Customs Protection, the Customs shall have them recovered and confiscated. If the goods cannot be recovered and confiscated, the Customs shall seek a payment, equivalent to the CIF/FOB of the imported/exported goods from the consignor/consignee.

The Customs, in confiscating the goods involved in rights infringement or seeking an equivalent payment, shall issue the consignor/consignee a notification of penalty.

Article 29 After confiscating the goods involved in rights infringement, the Customs shall, in accordance with Article 19 of the Regulations of Customs Protection, return the submitted guarantee fund to the consignor/consignee, deducting the value of the confiscated goods, the storage fees of the goods during apprehension and processing fee for the goods involved in rights infringement.

After confiscation the goods involved in rights infringement, the Customs shall send the obligee or his/her agent a written notification. As to the guarantee fund submitted by the obligee, the Customs shall, in addition to the money deducted from the consignor/consignee's guarantee as stated in the previous paragraph, deduct fees incurred during the storage and processing of the goods in question and return the remaining sum to the obligee.

Article 30 The amount of damages that should be paid to the other parties concerned as a result of the obligee's inappropriate application for goods apprehension shall be established in accordance with the ruling or verdict of the people's court.

The amount of storage fees of goods apprehended and the processing fees of goods involved in rights infringement shall be established in accordance with the actual expense incurred.

If the amount of guarantee funds submitted by the consignor/consignee and the obligee cannot fully cover the storage and processing fees and the equivalent of the value of the goods confiscated, the Customs are entitled to seek full payment.


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