Does EPA make any distinction in terms of timeliness between PTD's which memorialize a transfer of title as opposed to those which memorialize a transfer of custody? For example, exchange statements detailing liftings by an exchange partner ordinarily are prepared only after the close of each month's business. Would such statements meet the PTD requirements if they contain all required PTD information?
Section 80.77 does not distinguish between transfers of custody and transfers of title. Nevertheless, EPA believes the two situations may be different in terms of the timing necessary for PTD information. In the case of transfers of custody, the PTD information should be transferred before, during, or immediately following the actual transfer because the transferee will have custody of the gasoline in question and must know how to handle it.
In the case of transfer of title, on the other hand, the transferee may choose to rely on the custody transferee to properly handle the gasoline (e.g., where the custody transferee is a common carrier pipeline.) In such a situation, the PTD requirements may be satisfied if the title transferee receives the required information as part of the transfer of the normal business documents used to memorialize the title transfer. This would be true even if the normal business practice is to provide title transfer documents only at the close of each month's business.
In the event the custody transferee's handling of the gasoline results in a violation of the RFG standards, however, the owner of the gasoline (the title transferee) would be presumed liable for the violation, and it would be no defense that this owner had not received the required PTD information. (10/17/94)
This question and answer was posted at List of Reformulated Gasoline and Anti-Dumping Questions and Answers: July 1, 1994 through November 10, 1997 (pdf)