Release of Seized Customs Goods

When customs seizes goods, the first deadline begins on the day of seizure. The owner of the goods must deliver a written notice to customs claiming the seized items within one month, or within only 7 days for categories of goods designated by the Director (Section 190 of the Customs Ordinance). Without such notice, the goods are deemed confiscated. After the notice is submitted, you may request release on bond and prepare for legal proceedings. In cases of detention due to an alleged trademark counterfeit, the deadlines are even shorter and are counted in business days.

Send us the seizure notice on the day you receive it.

These are the situations where the deadlines are already running or about to begin:

• You received a seizure notice on suspicion that the value of the goods was under-declared or that a false declaration was filed.

• Customs detained a shipment following a notice from a trademark, copyright, or registered design owner claiming that the goods infringe their rights.

• The Standards Commissioner decided to conduct a sample inspection of the product or the product file, and release is delayed pending the decision.

• A traveler passed through the green channel at Ben Gurion Airport, and customs seized undeclared goods in their possession.

• Customs issued you a signed notice demanding that you file a court action for the return of the seized goods.

• The goods are perishable, and there is a concern they may be sold or destroyed before the matter is resolved.

A customs officer may seize goods that are forfeit, or that the officer has reasonable grounds to believe are forfeit (Section 188). This triggers a sequence of deadlines.

Which goods are subject to forfeiture

Section 204 of the Ordinance lists the goods that are forfeit to the State. These include, among others: smuggled goods, goods imported in violation of a prohibition or restriction, goods in respect of which a knowingly false or misleading declaration or certificate was submitted, and dutiable goods found in the possession of a traveler who stated they had no such goods.

Deadlines following seizure

• A written notice to the Collector of Customs claiming the seized goods must be delivered within one month of the date of seizure, or within 7 days for categories of goods designated by the Director (Section 190).

• After the notice, the Collector of Customs may issue a signed demand requiring you to file a court action for the return of the seized goods. If you fail to file within two months of that demand, the seized goods are deemed confiscated without further proceedings. The Collector may also file a condemnation action on their own initiative (Section 192(a)).

• If within 3 months of receiving your notice customs has neither demanded that you file an action nor filed a condemnation action itself, the seized goods shall be delivered to you (Section 192(b)).

• The Director may authorize the release of seized goods to their owner upon the provision of a bond for payment of their value, in the event they are ultimately forfeited (Section 191).

Detention on grounds of intellectual property infringement

Detention under Section 200A is a separate procedure from seizure. Upon notice from a copyright, trademark, or registered design owner, customs detains the goods for 3 business days, extendable for up to an additional 3 business days for special reasons. The rights holder must deposit a guarantee within 3 business days and file a court action within 10 business days of the detention notice. The Director may extend the deadline for filing by 10 days. If the rights holder fails to act in time, the detention is canceled. Detention for inspection by the Standards Commissioner (Section 200F) continues until the Commissioner issues a decision.

Suspicion of a customs offense may be resolved through a monetary settlement (kofer) in lieu of criminal proceedings, but even then the Director may forfeit the goods (Section 231(b)). This procedure is explained on the page Monetary Settlement and Administrative Penalties.

The case begins with the deadlines, and only after those are secured do we turn to the question of whether the seizure is justified:

1. On the first day, you send us the seizure notice, the import declaration, the supplier's invoice, and the bill of lading. We calculate the applicable deadline under Section 190.

2. We deliver a written notice to the nearest Collector of Customs stating that you are claiming the seized goods, and retain proof of delivery.

3. We examine the grounds for seizure against Section 204: whether there is a basis for the allegation that the declaration was knowingly false or misleading, or whether it was an honest mistake. In detention cases based on an infringement claim, we review the samples and the rights holder's registration.

4. We apply for release on bond under Section 191, especially when the goods are perishable or customers are waiting for them. The decision and the terms of the bond are at the Director's discretion.

5. If customs demands that an action be filed, we file it within two months. If an investigation has been opened, we represent you throughout and assess whether to seek resolution through a monetary settlement.

Seizure cases at the firm are led by Adv. Udi Asa, who heads the Customs Practice. From 2011 to 2022, he served in the Legal Department of the Customs and VAT Division at the Israel Tax Authority, where he provided ongoing legal counsel to field units and the State Attorney's Office.