Franklin Sugar Ref. Co. v. United States - 202 U.S. 580 (1906)
U.S. Supreme Court
Franklin Sugar Ref. Co. v. United States, 202 U.S. 580 (1906)
Franklin Sugar Refining Company v. United States
Argued April 27, 1906
Decided May 28, 1906
202 U.S. 580
United States v. American Sugar Co., ante, p. 202 U. S. 563, followed, to effect that the Treaty of December 11, 1902, with Cuba went into effect December 27, 1903.
Under § 20 of the Customs Administrative Act as amended December 15, 1902, 32 Stat. 753, merchandise in bonded warehouse on which duties are paid and permits for delivery issued to the storekeeper is thereupon withdrawn from consumption and subject to rate of duty in force at that time; this is not affected by the fact that the merchandise may remain in the warehouse after such permit is issued, and, if directly exported, the owner will, under § 2977 Rev.Stat., be entitled to drawbacks.
Under § 20 of the Customs Administrative Act, merchandise in bonded warehouse is subject to the rate of duty in force at the time of withdrawal for consumption, and not to the rate in force at time of liquidation.
Cuban sugar in bonded warehouse on which duty was paid and for which withdrawal permits were issued and delivered to the storekeeper prior to December 27, 1903, but which remained in the warehouse after that date were, subject to full duty, and not entitled to the 20% reduction under the Act of December 17, 1903, and the treaty with Cuba.
The facts are stated in the opinion.