''Toy Biz v. United States'' was a 2003 decision in the
United States Court of International Trade that determined that for purposes of
tariffs,
Toy Biz's
action figures were
toys, not
dolls, because they represented "nonhuman creatures". This decision effectively halved the tariff rate, from 12 percent tax to 6.8 percent.
Background
The
Harmonized Tariff Schedule in
U.S. law
The law of the United States comprises many levels of Codification (law), codified and uncodified forms of law, of which the most important is the nation's Constitution of the United States, Constitution, which prescribes the foundation of the ...
distinguished between two types of action figures for determining tariffs: dolls, which are defined to include human figures, and toys, which include "nonhuman creatures". Because duties on dolls were higher than those on toys,
Marvel Comics
Marvel Comics is an American comic book publishing, publisher and the flagship property of Marvel Entertainment, a divsion of The Walt Disney Company since September 1, 2009. Evolving from Timely Comics in 1939, ''Magazine Management/Atlas Co ...
subsidiary
A subsidiary, subsidiary company or daughter company is a company owned or controlled by another company, which is called the parent company or holding company. Two or more subsidiaries that either belong to the same parent company or having a s ...
Toy Biz argued before the
U.S. Court of International Trade, that their action figures (including the
X-Men
The X-Men are a superhero team appearing in American comic books published by Marvel Comics, first appearing in Uncanny X-Men, ''The X-Men'' #1 by artist/co-plotter Jack Kirby and writer/editor Stan Lee in 1963. Although initially cancelled in ...
and
Fantastic Four
The Fantastic Four is a superhero team appearing in American comic books published by Marvel Comics. The team debuted in ''The Fantastic Four'' #1 ( cover dated Nov. 1961), helping usher in a new level of realism in the medium. It was the first ...
) represented "nonhuman creatures" and were subject to the lower tariff rates for toys instead of the higher ones for dolls. On January 3, 2003, after examining more than 60 action figures, Judge
Judith Barzilay
Judith Morgenstern Barzilay (born January 3, 1944 in Russell, Kansas) is a Senior United States Judge of the United States Court of International Trade.
Biography
Education
Barzilay received a Bachelor of Arts degree in 1965 from Wichita Stat ...
ruled in their favor, granting Toy Biz reimbursement for import taxes on previous toys.
Reaction
Because a common theme in Marvel Comics had been the struggle for
mutants like the X-Men to prove their humanity, the case shocked numerous fans. Marvel responded to these concerns by claiming "our heroes are living, breathing human beingsbut humans who have extraordinary abilities ... A decision that the X-Men figures indeed do have 'nonhuman' characteristics further proves our characters have special, out-of-this world powers".
The
Harmonized Tariff Schedule was amended to eliminate the distinction between dolls and other toys, which are now in the same category.
See also
* ''
Nix v. Hedden''
References
2003 in United States case law
Action figures
Marvel Entertainment
United States Court of International Trade case law
Toy industry
X-Men
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