Non-recourse is the defining feature of an IEEPA tariff claim sale. It means the buyer absorbs all downside risk after closing. But what exactly does that cover — and what does the seller retain?
The distinction matters because the Supreme Court’s 6-3 ruling in Learning Resources v. Trump (February 2026) declared IEEPA tariffs unconstitutional and created a $166 billion refund pool. CBP must now process refunds for duties collected under HTS headings 9903.01 and 9903.02 between February 2025 and February 2026. The scale is unprecedented, and the processing timeline is uncertain. Non-recourse acquisition eliminates that uncertainty for the seller entirely.
Risks the Buyer Absorbs
When you sell your claim on non-recourse terms, the buyer takes on every risk associated with government recovery:
- Processing delays — if CBP takes 36 months instead of 18, that is the buyer’s problem
- CAPE system failures — if the system crashes, requires manual processing, or experiences data issues
- Queue position uncertainty — if your entries end up at the back of a 330,000-importer queue
- Partial refund adjustments — if CBP reduces the refund amount for any reason
- Interest calculation disputes — if statutory interest under 19 USC 1505(c) is lower than expected or contested
- Regulatory changes — if new guidance alters the refund process or eligibility criteria
- Judicial developments — if court orders modify CBP’s obligations or timeline
- Administrative burden — all correspondence with CBP, CAPE portal filings, and protest management
The seller bears none of these risks after closing. Once capital is wired to you and the assignment agreement is executed, every one of these outcomes is the buyer’s exposure — not yours. The ACE system records, entry summary numbers, and all associated government correspondence transfer with the claim.
What the Seller Retains
The seller’s only obligations are the four standard representations made at closing: authority to assign, no prior assignment, data accuracy, and no fraud. If all four are accurate, the seller has zero post-closing risk.
If a representation turns out to be materially inaccurate — for example, if the entries were previously assigned to another buyer — the assignment agreement provides remedies. But this is about data integrity, not government processing outcomes. The distinction is important: the seller is responsible for the accuracy of what they are selling, never for how the government processes it afterward.
These representations mirror standard practice in government receivables markets. Bankruptcy claim assignments, tax refund sales, and class action settlement transfers all use the same framework. The secondary market for government receivables has refined these protections over decades.
Why Non-Recourse Matters for IEEPA Claims Specifically
IEEPA tariff refunds carry real processing risk that distinguishes them from routine government receivables. The CAPE system has never handled a recovery event at this scale. CBP has 2,500 staff for 53 million entry lines. The administrative complexity alone — multiple brokers, overlapping tariff programs under EO 14257, EO 14195, EO 14193, and EO 14194, contested HTS classifications — creates uncertainty that no individual importer can fully control or predict.
The discount to face value in a claim sale is the price of eliminating these risks. For many importers, that price is worth paying. The calculus is straightforward: if the certainty of capital today exceeds the risk-adjusted present value of waiting, the non-recourse structure delivers more economic value than holding the claim.
This is also why non-recourse matters for importers considering downstream customer implications. Regardless of whether tariff costs were passed through to customers, the non-recourse structure ensures the seller has no residual government exposure after closing. The claim transfers cleanly, and the seller’s commercial relationships remain unaffected.
How It Compares to Self-Filing
Importers who file directly through CAPE retain 100% of the upside but also retain 100% of the risk. There is no recourse protection when you are the filer — every delay, every system issue, every administrative complication is yours to manage. For importers with the resources and risk tolerance to wait, self-filing may be the right path. For those who prefer certainty, non-recourse acquisition eliminates the variables entirely.
Self-filing also requires ongoing administrative investment. CBP correspondence, protest filings under 19 USC 1514, and CAPE system monitoring demand staff time and expertise. Customs brokers and trade attorneys in the partner network at tariffpartners.com can assist with self-filing for importers who choose that route — but the administrative burden remains with the importer. A claim sale transfers that burden completely.
There are specific scenarios where selling outright is the clear winner, particularly when opportunity cost, cash flow constraints, or risk aversion make the certainty of immediate capital more valuable than the possibility of full recovery in two to three years.
Visit tariffresolution.com for a full assessment of all recovery options, or request a confidential Impact Assessment to see what a non-recourse offer looks like for your specific claim.