What happens if Customs refuses to give my goods a Certificate of Clearance?

In Plain English

If Customs decides not to grant you a Certificate of Clearance for your ship or aircraft, they must provide you with a written notice explaining their decision. If you applied to the Collector of Customs and didn't receive a Certificate of Clearance within 24 hours, you can apply to the Comptroller-General of Customs. Their decision is final. If the Comptroller-General delays or refuses to grant the certificate without a good reason, you, as the owner of the ship or aircraft, can sue the Commonwealth for damages. However, you generally can't take legal action against the Commonwealth or its officers for failing to grant or delaying a Certificate of Clearance, except in the specific case where the Comptroller-General's delay or refusal was without reasonable cause.

Detailed Explanation

When a Collector of Customs makes a decision under section 118 of the Customs Act 1901 not to grant a Certificate of Clearance, subsection 273G(4) of the Customs Act 1901 mandates that the Collector must serve a written notice to the applicant, either personally or by post, detailing the decision. Furthermore, subsection 273G(10) specifies that this notice must include the findings on material questions of fact, reference the evidence or material those findings are based on, and provide the reasons for the decision.

According to subsection 118(5) of the Customs Act 1901, if a Certificate of Clearance has not been given within 24 hours after an application is made to the Collector under subsection 118(2), the master or pilot may apply to the Comptroller-General of Customs for a Certificate of Clearance, and the Comptroller-General's decision is final.

Subsection 118(6) of the Customs Act 1901 states that if the Comptroller-General of Customs does not grant, or delays granting, the Certificate of Clearance after an application under subsection 118(5), the owner of the ship or aircraft is entitled to recover damages against the Commonwealth in a court of competent jurisdiction if the court finds that the failure or delay was without reasonable and probable cause.

Subsection 118(7) of the Customs Act 1901 clarifies that, except as provided in subsection 118(6), no action or other proceeding can be brought against the Commonwealth, or an officer of the Commonwealth, because of the failure to grant, or a delay in granting, a Certificate of Clearance.