Article Number : 4880 |
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| Date | 9/23/2009 9:41:16 AM |
| Written By | LGM & Associates Technical Flooring Services |
| View this article at: | //floorbiz.com/BizResources/NPViewArticle.asp?ArticleID=4880 |
| Abstract | In simple English, the Lacey Act has two basic provisions: 1) It is a United States federal offense to trade in illegal or “tainted” plants and plant-based products, and the action that made the product illegal (“tainted”) does not... |
| Article | In simple English, the Lacey Act has two basic provisions: 1) It is a United States federal offense to trade in illegal or “tainted” plants and plant-based products, and the action that made the product illegal (“tainted”) does not have to have occurred within the United States. Included in the long list of ways to “taint” a product are actions such as harvesting it illegally. 2) Importers need to declare the species they are bringing in and where it came from. The documentary burden The initial focus by most companies is on the documentary burden. Every importer must file a detailed declaration for incoming agricultural products specifying species and country of origin no matter where the final product is produced. So an engineered floor might be made in China but contain a Meranti plywood core made in Malaysia and a top veneer of red oak originally from the United States. The declaration requires that the importer know the source countries and exact scientific species for each component, including material originating from the United States. The legality burden The potential for legal liability falls on everyone in the chain. On an absolute level, Lacey allows for the confiscation of goods from anyone— even to the point of allowing the government to enter a home to pull up a living room floor. That’s the potential extent of liability. Anyone in the chain, from the importer to the retailer to the homeowner, and even the trucking companies technically share the risk for the legality of their wood in the product. While the greatest burdens and risks will be on the actual importers, distributors and retailers should also be asking some questions of their suppliers. In some markets, domestic producers are using Lacey as a scare tactic in their marketing to try to pull customers away from imported products. It is important to note that the Lacey Act does not specifically require importers to document the legality of their material at time of entry, and there is no specific burden of documentation for anyone further down the chain of custody. However, forcing companies to trace a product’s chain of legality is most definitely the intent and the expectation of the government. The challenge is that under Lacey, material can become “tainted” even if the law being broken is not an American one. The illegal action can occur at any point in the chain. This means importers must ensure not only that their immediate purchase is legal but also attempt to trace the origin of the material back to its original point of harvest, confirming that each step along the way was made in full accordance with local and international laws. |