Supply Chain Council of European Union | Scceu.org
Freight

Exporters Should Take Heed After DC Circ.’s FedEx Ruling

By Mi-Yong Kim (August 23, 2022, 6:07 PM EDT) — On July 8, the U.S. Court of Appeals for the District of Columbia Circuit upheld a 2020 decision by the U.S. District Court for the District of Columbia in Federal Express Corporation v. U.S. Department of Commerce dismissing FedEx’s complaint against the agency and holding it liable for violations of the Export Control Reform Act, or ECRA.

The common carrier was held liable even though it had been completely unaware of its violation. On appeal, FedEx unsuccessfully argued that Commerce’s strict liability interpretation of Title 15 of the Code of Federal Regulations, Section 764.2(b) is ultra vires — a clear overstep of statutory…

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