United States v. Federal Insurance

Watson, Judge:

This opinion is limited to deciding the plaintiffs motion to dismiss defendants’ counterclaims. The action itself was brought by the United States under 28 U.S.C. § 1582 (2) and (3) for payment of duties and to recover on a bond posted to insure the payment of duties. The action was brought against Cometals, Inc., the importer of the merchandise and Federal Insurance Company, the surety under a general term bond posted by the importer. The action was brought after the importer’s customshouse broker, James Loudon & Co. Inc., failed to pay the duties and declared bankruptcy.

The…