Export Compliance Daily is a Warren News publication.

CIT Enters Nearly $3.4M Default Judgment Against Importer for Evading AD, Section 301 Duties

The Court of International Trade on May 23 entered a default judgment against importer Rayson Global and its owner Doris Cheng due to their failure to file an answer to the government's complaint accusing them of avoiding antidumping and Section 301 duties on uncovered mattress innersprings from China (United States v. Rayson Global, CIT # 23-00201).

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

Concurrent with the judgment, Judge Timothy Stanceu rejected Rayson's and Cheng's third motion for an extension of time to file an answer to the government's complaint. The judge said he twice granted previous extensions -- all of which were filed out-of-time -- due to their counsel's "serious health issues." Since no similar extraordinary circumstance was identified here, the court denied the extension bid since it was late.

The U.S. brought the suit in September 2023, seeking nearly $3.4 million for the evaded duties (see 2309220056). The government argued that from May 2018 to November 2019, Rayson entered innersprings via "material false statements, acts, or omissions that resulted in the evasion of ADD on innersprings imported from [China], ad valorem duties, and Section 301 duties."