CLA-2 R:C:T 957276 SK

Joseph P. Cox
Stein Shostak Shostak & O'Hara
515 South Figueroa Street, ste. 1200
Los Angeles, CA 90071-3329

RE: Classification of leather zipper diary covers; imported without paper inserts; portfolios; organizers; day planners; diaries; headings 4205 and 4202, HTSUSA; executive planners; briefcases; attache cases; GRI 3(a); HRL's 956430 (8/3/94); 950325 (12/27/91); 955516 (4/8/94).

Dear Mr. Cox:

This is in response to your letter of October 20, 1994, on behalf of your client, Pro Tec International, in which you request a binding classification ruling for five styles of leather day planner covers which are imported without their paper diary/organizer inserts. We are also in receipt of your two supplemental submissions, dated March 10 and March 27, 1995.

Five samples were submitted to this office for examination.

FACTS:

We will refer to the five leather articles the subject of this ruling as "binders" for ease of reference. This term is not determinative of the classification of the articles.

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The subject binders are manufactured in various sizes; the samples we received are denoted "Compact," "Classic" and "Monarch." Each style varies as to individual features.

Style 11551 is identified as a "Compact" size binder. It measures approximately 6-3/4 inches by 8-9/16 inches by 2-3/8 inches in its closed state. It possesses a zippered closure around three sides and a detachable wrist strap. A flat, non-expandable zip pocket, seven inches wide and 3-1/2 inches deep is sewn into the back outside cover. The interior contains a 1-1/4 inch six-ring metal binder and two pen loops. The right interior flap contains two non-expandable small flat pockets, and the left interior flap contains one vertical gusseted pocket into which is cut or sewn five business/credit card pockets and a flat, non-expandable pocket.

Style 11345 is identified as a "Classic" size binder. It measures approximately 8-5/16 inches by 10-5/8 inches by 2-3/8 inches in its closed state. It possesses a zippered closure around three sides and a detachable wrist strap. The interior contains a 1-1/2 inch seven ring binder. The left interior flap features a secretarial pocket and six business/credit card pockets. The right interior flap contains two flat non-expandable pockets and two pen loops.

Style 12141 is a leather binder measuring approximately 8-3/16 inches by 10-3/4 inches by 2-3/8 inches in its closed state. It possesses a zippered closure around three sides and an adjustable, detachable shoulder strap. The exterior front has one gusseted utility pocket which measures approximately seven inches by nine inches by two inches. The pocket has a flap with a snap closure. The exterior rear has a zippered utility pocket measuring nine inches long by 5-1/2 inches deep. The interior contains a 1-1/2 inch seven ring binder, a zippered utility pouch, a gusseted file, slots for business/credit cards, two full-width slots for papers and two smaller slots for notes or cards.

Style 10286 is a leather binder measuring approximately 9-1/8 inches by 11 inches by 3 -1/4 inches in its closed state. It has a zippered closure around three sides and is designed to be carried by means of two telescoping (retractable) handles or a removable shoulder strap. The exterior front and back each have an open utility pocket extending across the width of the binder. The interior is fitted with a two inch seven ring binder, a flap style page holder, five business/credit card slots, a card holder, two open slots for papers and two additional slots for cards and notes.

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Style 10326 is a leather binder measuring approximately 11-3/4 inches by 13-1/8 inches by 3 inches in its closed state. It has a zippered closure around three sides and is designed to be carried by means of two telescoping handles or an adjustable, removable shoulder strap. The exterior front and back each have an open utility pocket extending across the width of the binder. The interior is fitted with a full-width gusseted pocket, two open slots for notes, two smaller slots for cards and five business/credit card slots.

ISSUE:

Are the subject articles classifiable under heading 4202 or heading 4205, Harmonized Tariff Schedule of the United States Annotated (HTSUSA)?

LAW AND ANALYSIS:

Classification of merchandise under the HTSUSA is governed by the General Rules of Interpretation (GRI's). GRI 1 provides that classification shall be determined according to the terms of the headings and any relative section or chapter notes, taken in order. Merchandise that cannot be classified in accordance with GRI 1 is to be classified in accordance with subsequent GRI's.

Heading 4820, HTSUSA, provides for, inter alia, diaries, address books and other articles of stationary. By its terms, heading 4820, HTSUSA, only provides for articles of paper or paperboard. As the subject binders are imported without their paper inserts, and it is a basic premise of Customs law to classify articles on the basis of their condition at the time of importation, classification is precluded from this heading.

In Headquarters Ruling Letter (HRL) 955516, dated April 8, 1994, this office classified a leather "Filofax" binder, imported without paper inserts, in the residual provision for articles of leather under heading 4205, HTSUSA. In your submission to this office, you draw an analogy between the "Filofax" binder classified in HRL 955516 and the instant merchandise and state that all five of the binders under review are similarly classifiable under heading 4205, HTSUSA. We do not agree. The "Filofax" binder the subject of HRL 955516 is distinguishable from the instant merchandise in that its overall size, design and means of closure (a snap closure) precluded use as a carrying case. Specifically, we note that the means of closure on the "Filofax" binder prevented the secure transport of personal items inasmuch as there was no barrier to prevent items from falling out. Paper articles which were bound to the "Filofax's" ring binder were secure, as were miscellaneous paper

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documents that could be wedged between the covers and the bound material. Otherwise, the "Filofax" binder was ill-suited by design for use in transporting or storing other items. The "Filofax" binder was deemed not to be ejusdem generis with the articles of heading 4202, HTSUSA, and therefore the binder was classified in the residual provision for articles of leather under heading 4205. In the instant case, we have five different styles of leather binder, none of which resembles the overall design of the "Filofax" binder. Each binder is to be examined on its individual merits as to whether it is deemed to be ejusdem generis with the purses, attache cases, briefcases and similar containers provided for in heading 4202, HTSUSA.

Heading 4202, HTSUSA, provides for a wide array of carrying cases. It has long been Customs' policy that for an article to be classifiable under heading 4202, HTSUSA, the article must be specifically cited as an exemplar or be ejusdem generis with the items listed. See HRL 087169, dated November 8, 1990. The articles expressly listed in heading 4202, HTSUSA, include trunks, suitcases, vanity-cases, attache cases, briefcases, school satchels and containers similar thereto. This heading also includes various traveling bags, toilet bags, rucksacks, handbags, shopping bags, wallets, purses and similar containers.

With regard to the two smallest binders, referenced style numbers 11551 and 11345, this office is of the opinion that their design features and their relatively compact size render them ill-suited for use as containers similar to those enumerated in heading 4202, HTSUSA. Although styles 11551 and 11345 may appear related to the containers of heading 4202, HTSUSA, they simply do not provide adequate space to transport articles in addition to the paper organizer inserts they are designed to carry. On this basis, styles 11551 and 11345 are classifiable under heading 4205, HTSUSA, as articles of leather. See also HRL 950325, dated December 27, 1991, in which Customs held that a leather case enclosing a six ring binder was not similar to the containers enumerated in heading 4202, HTSUSA.

Styles 12141, 10286 and 10326 are designed in such a manner so as to provide sufficient space for the transportation of assorted articles and personal items in addition to the bulky paper organizers these binders are designed to hold. This office tested the holding capacity of each of these styles by inserting various articles such as wallets, newspapers, magazines, compacts, lipsticks, hair brushes, etc., into these three styles. All three comfortably accommodated a selection of articles in addition to their paper inserts and the articles' handles and/or shoulder straps make transportation easy. Accordingly, styles 12141, 10286 and 10326 are similar to the attache cases, brief cases and executive cases classifiable in heading 4202, HTSUSA.

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Styles 12141, 10286 and 10326 also serve to provide a cover for the paper inserts that will be included in these binders after importation and therefore heading 4205, HTSUSA, possibly governs classification as well. GRI 3(a) provides that when goods are prima facie classifiable under two or more headings, classification shall be effected as follows:

"(a) The heading which provides the most specific description shall be preferred to headings providing a more general description . . . ."

Styles 12141, 10286 and 10326 are described by heading 4205, HTSUSA, which is a general residual provision covering "other articles of leather." These three styles, as discussed supra, are also described by heading 4202, HTSUSA, which provides for certain specifically enumerated containers, including purses, attache cases, briefcases and similar containers. Heading 4202 more specifically describes styles 12141, 10286 and 10326 as it encompasses a more limited class of goods than heading 4205. Moreover, the Explanatory Notes (EN) to heading 4205, HTSUSA, at page 615, state that this heading "covers those articles of leather ... which do not fall in the preceding chapters." As these three styles of binders fall within heading 4202, HTSUSA, and this heading both precedes heading 4205 and is more specific, styles 12141, 10286 and 10326 are classifiable in heading 4202, HTSUSA.

Styles 12141, 10286 and 10326 are classifiable under subheading 4202.11.0030, HTSUSA, which provides for, inter alia, leather attache cases, briefcases and similar articles.

In your March 27, 1995, submission to this office, you state that style number 10286 is "very similar" to the leather binders classified in HRL 956940, dated November 25, 1994, and New York Ruling Letter (NYRL) 889677, dated September 17, 1993. NYRL 889677 classified two styles of binders as articles of leather in heading 4205, HTSUSA. As no specifications were provided for these articles in the ruling, we can not determine if they are in fact similar in design to style 10286.

This office has a sample of the merchandise that was classified in HRL 956940. Style 10286 is not designed in a similar manner to this article. Although both articles share common characteristics such as exterior full-wall flat pockets and internal gusset pockets, there are important design differences which are determinative of classification. Specifically, we note that style 10286 possesses retractable handles and has a substantial depth measuring 3-1/4 inches. The article the subject of HRL 956940 is relatively flat. The depth of style 10286 renders it

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suitable for use as a carrying case. In its condition as imported (without paper inserts), style 10286 is eminently well-suited for use as a carrying case. Even if Customs were to take into account the fact that style 10286 is to be filled with paper diary inserts after importation, we believe the article still provides sufficient space for the transportation of assorted articles and personal items in addition to the bulky paper organizers this binder is designed to hold. Moreover, while we agree with your statement that the presence of handles does not necessarily render an article classifiable in heading 4202, HTSUSA, it is a factor which this office will consider in conjunction with an article's overall design and specifications.

HOLDING:

Styles 11551 and 11345 are classifiable under subheading 4205.00.8000, HTSUSA, which provides for "[O]ther articles of leather or of composition leather: other: other...," and are presently accorded duty free treatment.

Styles 12141, 10286 and 10326 are classifiable under subheading 4202.11.0030, HTSUSA, which provides for "[T]runks, suitcases, vanity cases, attache cases, briefcases, school satchels and similar containers: with outer surface of leather, of composition leather or of patent leather... attache cases, briefcases, school satchels, occupational luggage cases and similar containers...," dutiable at a rate of 8 percent ad valorem.

Due to the nature of the statistical annotation (the ninth and tenth digits of the classification) and the restraint (quota/visa) categories, you should contact the local Customs office prior to importation of this merchandise to determine the current status of any import restraints or requirements.


Sincerely,

John Durant
Commercial Rulings Division