CLA-2 CO:R:C:G 084932 JBW

Ms. Shanny Kala
Herman Ludwig Inc.
1895 Phoenix Blvd. #200
College Park, GA 30349

RE: Blank Books

Dear Ms. Kala:

Your letter of May 15, 1989, on behalf of Master Paper Convertors, Inc., addressed to our New York office, has been referred to this office for reply concerning the classification of blank books under the Harmonized Tariff Schedule of the United States Annotated (HTSUSA).

FACTS:

You submitted five styles of books as samples for classification. Each sample contains blank, ruled pages. Four of the books have red left-hand margin lines and standard, solid, horizontal blue lines. The fifth book has horizontal blue solid and dotted lines with every third line being dotted, beginning with the second line. The books each have printed matter and designs on their covers, but the sizes, bindings, and cover materials vary. You state that the books will be exported from Brazil.

ISSUE:

Whether blank, ruled books are notebooks or exercise books under the HTSUSA?

LAW AND ANALYSIS:

The General Rules of Interpretation (GRI's) set forth the legal framework in which merchandise is to be classified under the HTSUSA. GRI 1 requires that classification be determined first according to the terms of the headings of the tariff and any relative section or chapter notes and, unless otherwise required, according to the remaining GRI's, taken in order.

Heading 4820, HTSUSA, comprises, among other articles, notebooks, subheading 4820.10.2050, HTSUSA, and exercise books, subheading 4820.20.0000, HTSUSA. Neither the HTSUSA nor the Explanatory Notes, which provide the official interpretation of the HTSUSA at the international level, defines these terms, and their differences are facially ambiguous. To resolve this ambiguity, one must examine the connections in which the terms are used and consider the entire statute in which the terms are found. See Premier Dental Products v. United States, 28 C.C.P.A. 44, 49, C.A.D. 123 (1940)

The American Heritage Dictionary defines exercise to mean "a lesson, composition, problem or the like designed to increase one's skill, discipline, or fitness in some capacity." Thus, english composition or mathematical problems are exercises under this definition. To conclude that any book in which such exercises could be performed is an exercise book would be to conclude that virtually all books suitable for writing could be characterized as exercise books. Such a broad definition, however, would render the expression notebook meaningless, for exercises can be performed in all notebooks. Fundamental rules of statutory construction require that the entire statute, including all language, be given full force and effect. United States v. Gulf Oil Corp., 47 C.C.P.A. 32, 35, C.A.D. 725 (1959). An overbroad definition of exercise book would eliminate the provision for notebook, thus depriving the term of full force and effect.

The Explanatory Notes to Heading 4820 group with notebooks: "[r]egisters, account books, ... order books, receipt books, copy books, diaries, letter pads, memorandum pads, engagement books, address books, and books, pads, etc., for entering telephone numbers." These articles tend to be blank, ruled, or contain printed matter to permit the user to issue standardized forms or to organize information. Many of the articles are capable of a variety of uses in a variety of situations.

Conversely, the term exercise book appears alone in the Explanatory Notes. From the above definition, the term exercise book suggests an exclusively educational purpose. As the Explanatory Notes recognize, articles of this heading may contain a considerable amount of printed matter. We determine that exercise books are books that contain questions, problems, examples, or other textual material prefacing drills relating to specific disciplines and generally calling for structured responses. These books have no use other than the completion of the drills for which they were prepared. For example, an exercise book may be an arithmetic book with blanks for solutions to problems or a foreign language book with spaces to test a student's knowledge of verb tenses. An exercise book may contain ruled pages, provided the book contains printed matter that encourages a particular educational activity.

The samples under consideration are notebooks. They are blank, ruled books akin to registers, account books, diaries, memorandum pads, and letter pads. Although capable of use for the performance of exercises, as all notebooks are, such use is not exclusive. Finally, the samples contain no textual material to direct the user in a particular activity, other than minimal text appearing on the covers.

HOLDING:

The blank, ruled books are classified under subheading 4820.10.2050, HTSUSA, as notebooks. If imported from Brazil, the books will be subject to a temporarily increased duty rate of 100 percent ad valorem pursuant to subheading 9903.42.40, HTSUSA.


Sincerely,

John Durant, Director
Commercial Rulings Division