HQ 951820: Classification of 100% silk unisex undershirts; revocationof NYRL 843663 of August 17, 1989; effective date delayedpursuant to 19 CFR 177.9(d)(3) in accordance with HRL 950160 ofOctober 11, 1991

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                            HQ 951820

                         December 23, 1992

CLA-2  CO:R:C:T 951820 CAB

CATEGORY:  Classification

Mr. Alan R. Klestadt, Esq.
Grunfeld, Desiderio, Lebowitz & Silverman
12 East 49th Street
New York, NY 10017 

RE:  Classification of 100% silk unisex undershirts; revocation
of NYRL 843663 of August 17, 1989; effective date delayed
pursuant to 19 CFR 177.9(d)(3) in accordance with HRL 950160 of
October 11, 1991

Dear Mr. Klestadt:

     This is in reply to your letter of March 12, 1992, on behalf
of Terramar Sports Worldwide, Ltd., in which you requested that
the effective date of Headquarters Ruling Letter (HRL) 089950, be
delayed until November 6, 1991 with respect to Terramar Sports
Worldwide, Ltd.   

     In HRL 089950, dated August 6, 1991, Customs revoked New
York Ruling Letter (NYRL) 843663, dated August 17, 1989.  That
ruling, issued to White Pine Co., classified silk unisex
undershirts under Headings 6107 and 6108, of the Harmonized
Tariff Schedule of the United States Annotated (HTSUSA); the rate
of duty was 4 percent ad valorem.  HRL 089950 reclassified the
garments in subheading 6109.90.2020, HTSUSA, with a duty rate of
17 percent ad valorem. 

     In HRL 950160, dated October 11, 1991, Customs determined
that White Pine had suffered a detriment since merchandise
contracted for prior to the issuance of HRL 089950 was now
subject to a higher duty.  Thus, the effective date of HRL 089950
was delayed with respect to merchandise imported by White Pine.
  
     It appears that Terramar and White Pine are "friendly
competitors" and White Pine furnished a copy of NYRL 843663 to
Terramar.  After receiving NYRL 843663, Terramar placed a series
of purchase orders for silk undershirts, backed by irrevocable
letters of credit beginning on March 22, 1991.  One of the
purchase orders, placed on August 12, 1991, was placed after the
August 6, 1991, revocation of NYRL 843663.  All of the goods in
question arrived between July 26, 1991 and November 3, 1991.  
     You are contending that the garments which were the subject
of NYRL 843663 are substantially identical to the garments at
issue in this instance.  Thus, Terramar relied upon NYRL 843663
to classify the instant merchandise.  Since NYRL 843663 was
revoked, effective August 6, 1991, Terramar suffered a detriment
in regards to the merchandise that was contracted for before
August 6, 1991.  You claim that Terramar acted reasonably and in
good faith in its reliance on NYRL 843663, both when pricing the
merchandise and classifying the merchandise.  Under 19 C.F.R.
177.9(d)(3), the effective date of a ruling letter that revokes
an earlier ruling may be delayed for a period of ninety days,
provided that the party seeking delay can demonstrate to the
satisfaction of the Customs service that reliance on the revoked
ruling was reasonable and such reliance was to the detriment of
that party.

     After examining the submitted information which consisted of
irrevocable letters of credit, purchase orders, entry summaries,
and an affidavit signed by an official agent of Terramar, it
appears that Terramar suffered a detriment in that merchandise
contracted for prior to the issuance of HRL 089950 is presently
subject to a higher duty rate.  It was reasonable for Terramar to
rely on the duty rate set forth in NYRL 843633, and therefore,
the prerequisite for relief under 19 CFR 177.9(d)(3) has been
met.  Any relief provided by Customs, however, shall not extend
to purchase orders placed after August 6, 1991.  Accordingly, any
forthcoming relief shall not pertain to goods listed in entry
230-0150622-1 regarding Style Number SL2006, since the
corresponding purchase order is dated August 12, 1991, after the
August 6, 1991 revocation of NYRL 843663.  

     Based upon your submission, the merchandise imported by
Terramar that was affected by HRL 089950 is listed in the
following entries:  335-0108587-3; 335-0109797-7; 230-0148140-9; 
230-0148139-1; 230-0148143-3; 230-0148544-2; 230-0148943-6; 
230-0149367-7; 230-0149852-8; 230-0149851-0; 230-0150146-1; 
230-0150256-8; 230-0149015-2; 230-0149015-2; 230-0150622-1; 
230-0151099-1; 230-0149003-8; 230-0148154-0; 230-0145085-9; 
230-0145206-1; 230-0146116-1; 230-0147092-3; 230-0147712-6; 
230-0148058-3; 230-0148643-2; 230-0149811-1; 230-0148154-0; 
230-0149884-1.  











     Consequently, with respect to Terramar Sports Worldwide,
Ltd., the merchandise as described in NYRL 843663 and covered by
the entries listed above, will be classified in accordance with
NYRL 843663.

                                   Sincerely,



                                   John Durant, Director
                                   Commercial Rulings Division