270. No person, or agent or officer thereof, engaged in the
business of extracting or of extracting and refining or reducing
minerals other than petroleum, except persons having a free and
unencumbered title to the fee of the property being worked and except
mining partnerships in respect to the members of the partnership,
shall fail or neglect, before commencing work in any period for which
a single payment of wages is made, to have on hand or on deposit
with a bank or trust company, in the county where such property is
located or if there is no bank or trust company in the county, then
in the bank or trust company nearest the property, cash or readily
salable securities of a market value sufficient to pay the wages of
every person employed on the mining property, or in connection
therewith, for such period.
Any person, or agent or officer thereof, who violates this section
is guilty of a misdemeanor.
270.5. (a) No person, agent or officer thereof, or logging
contractor, or sawmill operations contractor, engaged in the business
of logging or operating a sawmill for converting logs into lumber,
except in the case of logging or sawmill operations of persons having
a free and unencumbered title to the fee of real property in this
state, of a market value sufficient to pay the wages of every person
employed in connection with such operations in any period for which a
single payment of wages is made, shall fail or neglect, before
commencing work in any period for which such single payment of wages
is made, or for four calendar weeks, whichever is the longer, to do
one of the following:
(1) Have on hand or on deposit with a bank or trust company, in
the county where such business is conducted, or if there is no bank
or trust company in the county, then in the bank or trust company
nearest such operations, cash or readily salable securities of a
market value sufficient to pay the wages of every person employed in
connection with such operations for such period.
(2) Deposit with the Labor Commissioner the bond of a surety
company authorized to do business within the state, acceptable to the
Labor Commissioner, conditioned upon the payment of all wages found
by the Labor Commissioner to be due and unpaid in connection with
such operations.
(b) The cash and securities on deposit referred to in subdivision
(a) shall not be commingled with other deposits, securities or
property of the employer and shall be held in trust and shall not be
used for any other purpose than paying the wages due employees. Such
moneys so held in trust are not subject to the enforcement of a money
judgment by any other creditor of the employer.
(c) Any person, agent or officer thereof, or logging contractor,
or sawmill operations contractor, who violates this section is guilty
of a misdemeanor.
270.6. (a) No person, or agent or officer thereof, without a
permanent and fixed place of business or residence in this state who
uses or employs any person in the door-to-door selling of any
merchandise, in any similar itinerant activity, or in any telephone
solicitation, shall fail or neglect, before commencing work in any
period for which any single payment of wages is made or for four
calendar weeks, whichever is longer, to do any one of the following:
(1) Have on hand or on deposit with a bank or trust company in the
county where the business is conducted, or if there is no bank or
trust company in the county, then in the bank or trust company
nearest these operations, cash or readily salable securities of a
market value sufficient to pay the wages of every person employed in
connection with these operations for that period described in this
subdivision.
(2) Deposit with the Labor Commissioner the bond of a surety
company authorized to do business within the state, acceptable to the
Labor Commissioner, conditioned upon the payment of all wages found
to be due and unpaid in connection with these operations under any
provision of this code.
(3) Deposit with the Labor Commissioner a time certificate of
deposit indicating that the person, agent, or officer subject to this
section has deposited with a bank or trust company cash payable to
the order of the Labor Commissioner sufficient to pay the wages of
every person employed in connection with these operations for that
period described in this subdivision.
(b) The cash and securities on deposit referred to in subdivision
(a) shall not be commingled with other deposits, securities, or
property of the employer and shall be held in trust and shall not be
used for any other purpose than paying the wages due employees. The
moneys so held in trust are not subject to enforcement of a money
judgment by any other creditor of the employer.
(c) Any person, or agent or officer thereof, who violates this
section is guilty of a misdemeanor.
271. No person, or agent or officer thereof, engaged in the
business of promoting a theatrical enterprise where living
individuals are used or employed in the presentation, except persons
having a free and unencumbered title to the fee of the property on
which the theatrical enterprise is produced, shall fail or neglect,
before producing such enterprise in any period for which a single
payment of wages is made, to have on hand or on deposit with a bank
or trust company, in the county in which such enterprise is to be
produced, or if there is no bank or trust company in the county, then
in the bank or trust company nearest the place where such enterprise
is produced, cash or readily salable securities of a market value
sufficient to pay the wages of every individual used or employed in
the production of such enterprise, or in connection therewith for
such period. The provisions of this section shall not apply to the
use or employment of individuals by a radio or television
broadcasting enterprise; provided, there is on hand or on deposit
with a bank or trust company in this State cash or readily salable
securities of a market value sufficient to pay the wages of every
individual used or employed in such enterprise, or in connection
therewith.
Theatrical enterprise as used in this section means the production
of any circus, vaudeville, carnival, revues, variety shows, musical
comedies, operettas, opera, drama, theatrical, endurance contest,
walkathon, marathon, derby, or other entertainments, exhibitions, or
performances.
Any person, or agent or officer thereof, who violates this section
is guilty of a misdemeanor.
272. Every person, agent, or officer thereof engaged in the
businesses specified in Section 270, 270.5, 270.6, or 271, shall keep
conspicuously posted upon the premises where persons are employed, a
notice specifying the name and address of the bank or trust company
where the required cash or readily salable securities are on deposit,
or the name of the surety or sureties on the bond deposited pursuant
to Section 270.5 or 270.6. Failure to keep the notice conspicuously
posted is prima facie evidence of a violation of Section 270, 270.5,
270.6, or 271.
273. (a) The following definitions apply for purposes of this
section:
(1) "All activities relating to an adverse license or registration
action" includes, but is not limited to, all of the following which
occur as a result of a failure to comply with this section:
(A) Denial of a new application or a renewal application for
licensure or registration.
(B) Denial of reinstatement of a license or registration.
(C) Suspension of a license or registration.
(D) Assessment and recovery of civil penalties for knowingly
providing false information in the statement required by paragraph
(1) of subdivision (b).
(2) "Farm labor contractor" has the same meaning as set forth in
Section 1682.
(3) "Final judgment issued by a court" means a judgment with
respect to which all possibility of a direct attack, by way of
appeal, motion for a new trial, or motion pursuant to Section 663 of
the Code of Civil Procedure to vacate the judgment, has been
exhausted and also includes any final arbitration award where the
time to file a petition for a trial de novo or a petition to vacate
or correct the arbitration award has expired, and no petition is
pending.
(4) "Garment manufacturer" means a person engaged in garment
manufacturing as described in Section 2671.
(5) "Involving unpaid wages" means all amounts required to be paid
by a final judgment, order, or accord involving a failure of the
licensee or registrant to pay required wages.
(6) "Licensee" has the same meaning as set forth in Section 1682.
(7) "Registrant" means a person who holds a valid and unrevoked
garment manufacturer registration.
(b) (1) The Labor Commissioner shall require an applicant for any
of the following to submit a statement as to whether the applicant
has satisfied all requirements imposed by a final judgment issued by
a court or by a final order issued by the Labor Commissioner or by an
accord involving unpaid wages:
(A) Licensure as a farm labor contractor.
(B) Registration as a garment manufacturer.
(C) Renewal or reinstatement of a farm labor contractor license or
a garment manufacturer registration.
(D) A change in the persons identified pursuant to Section 1689 or
subparagraph (B) of paragraph (1) of subdivision (a) of Section
2675.
(2) A person who knowingly provides false information in the
statement submitted pursuant to this subdivision shall be subject to
a civil penalty of no less than one thousand dollars ($1,000) and no
more than twenty-five thousand dollars ($25,000), in addition to any
civil remedies available to the Labor Commissioner. The penalty shall
be recovered by the Labor Commissioner as part of a hearing relating
to a denial of an application for a license or registration, a
hearing relating to a denial of a renewal or reinstatement of a
license or registration, a hearing to contest the civil penalties
assessed under this section by the Labor Commissioner, or in an
independent civil action. The action shall be brought in the name of
the people of the State of California and the Labor Commissioner and
the attorneys thereof may proceed and act for and on behalf of the
people in bringing these actions.
(c) Notwithstanding any other provision of law, the Labor
Commissioner shall not approve an application described in
subdivision (b) if the statement submitted with it shows that the
applicant has failed to satisfy all requirements imposed by a final
judgment issued by a court or by a final order issued by the Labor
Commissioner or by an accord involving unpaid wages, as described in
subdivision (b), unless the applicant submits either of the following
to the Labor Commissioner:
(1) A bond or a cash deposit, in addition to any required by
Section 240, 1684, 1688, 2675, or 2679, in an amount sufficient to
guarantee payment of all amounts due under a final judgment issued by
a court or under a final order issued by the Labor Commissioner
involving unpaid wages.
(2) A notarized accord between the applicant and the other parties
to the judgment, order, or accord demonstrating that the applicant
has satisfied all requirements imposed by the judgment, order, or
accord involving unpaid wages.
(d) Notwithstanding any other provision of law, if the Labor
Commissioner determines after granting an application described in
subdivision (b) that the applicant made a false representation on the
statement he or she submitted, the Labor Commissioner shall suspend
the farm labor contractor license or garment manufacturer
registration effective on the date of its issuance, renewal, or
reinstatement. The license or registration shall remain suspended
until the applicant satisfies either of the following requirements:
(1) Documents to the satisfaction of the Labor Commissioner that
he or she has satisfied all requirements imposed by a final judgment
issued by a court or by a final order of the Labor Commissioner or by
an accord involving unpaid wages.
(2) Files with the Labor Commissioner a notarized accord as
described in paragraph (2) of subdivision (c).
(e) (1) A licensee or registrant shall notify the Labor
Commissioner in writing within 90 days of the date of a final
judgment issued by a court, a final order issued by the Labor
Commissioner, or an accord that imposes on the licensee or registrant
requirements involving unpaid wages. If the licensee or registrant
fails to comply with this notification requirement, the Labor
Commissioner shall suspend the license or registration on the date
that the Labor Commissioner is informed, or is made aware of, the
judgment, order, or accord. The suspension shall remain in effect
until the licensee or registrant satisfies either of the requirements
described in subdivision (d).
(2) A licensee or registrant who notifies the Labor Commissioner
of a judgment, order, or accord pursuant to paragraph (1), shall file
with the notice a bond or a cash deposit meeting the criteria of
paragraph (1) of subdivision (c).
(f) (1) The Labor Commissioner may reduce the amount of a bond or
cash deposit required by this section upon proof, to the satisfaction
of the Labor Commissioner, of partial satisfaction of the
requirements imposed by a final judgment issued by a court, a final
order issued by the Labor Commissioner, or an accord involving unpaid
wages. The Labor Commissioner shall not reduce the bond or cash
deposit amount below the balance of the entire amount involving
unpaid wages. Upon full satisfaction of the requirements involving
unpaid wages, the Labor Commissioner may terminate the bond or cash
deposit requirement.
(2) Notwithstanding paragraph (1), within one year from the date
of filing the bond or cash deposit pursuant to paragraph (1) of
subdivision (c) or paragraph (2) of subdivision (e), a licensee or
registrant shall submit a notarized accord between the licensee or
registrant and the other parties to the judgment, order, or accord
demonstrating satisfaction of all requirements imposed by the
judgment, order, or accord involving unpaid wages. The Labor
Commissioner shall suspend the license or registration of a person
who fails to file the notarized accord within that timeframe.
Notwithstanding paragraph (1) of subdivision (c), a person who has
failed to file a notarized accord within the timeframe required by
this paragraph shall have his or her license or registration
reinstated only after demonstrating that he or she has satisfied all
requirements imposed by a final judgment, order, or accord involving
unpaid wages. As an alternative to payment in full of all debts
involving unpaid wages, a person may submit a notarized copy of an
accord between the licensee or registrant and the other parties to
the accord.
(g) The failure of a licensee or registrant to maintain a bond
required by this section or to abide by all requirements imposed on a
licensee or registrant by an accord involving unpaid wages between
the licensee or registrant and the other parties to the accord shall
result in the automatic suspension of his or her license or
registration.
(h) (1) A licensee or registrant shall not allow a person who is a
judgment debtor in a final judgment issued by a court or in a final
order issued by the Labor Commissioner involving unpaid wages that
imposes requirements that have not been satisfied in their entirety
to serve in a capacity described in Section 1689 or subparagraph (B)
of paragraph (1) of subdivision (a) of Section 2675.
(2) The Labor Commissioner shall suspend the license of a farm
labor contractor or the registration of a garment manufacturer who
violates the provisions of paragraph (1). The Labor Commissioner
shall reinstate the license or registration upon the resignation of
the person named as a judgment debtor or complete satisfaction of the
unpaid wages requirements.
(i) A person whose license or registration is suspended pursuant
to this section, who is denied issuance or reinstatement of a license
or registration, or who has been assessed a civil penalty for
knowingly providing false information in the statement required by
paragraph (1) of subdivision (b) shall pay to the Labor Commissioner
all reasonable costs incurred by the Labor Commissioner in all
activities relating to the adverse license or registration action,
commencing with the first notice issued by the Labor Commissioner
that he or she has taken any adverse action under this section
relative to a license or registration. The Labor Commissioner shall
not reinstate a license or registration unless the person has paid
all costs assessed by the Labor Commissioner or has entered into an
accord with the Labor Commissioner that establishes a payment plan.
(j) This section shall not apply to an applicant for a farm labor
contractor license or a garment manufacturer registration or to a
licensee or registrant when the unpaid wages, as described by this
section, have been discharged in a bankruptcy proceeding.
270. No person, or agent or officer thereof, engaged in the
business of extracting or of extracting and refining or reducing
minerals other than petroleum, except persons having a free and
unencumbered title to the fee of the property being worked and except
mining partnerships in respect to the members of the partnership,
shall fail or neglect, before commencing work in any period for which
a single payment of wages is made, to have on hand or on deposit
with a bank or trust company, in the county where such property is
located or if there is no bank or trust company in the county, then
in the bank or trust company nearest the property, cash or readily
salable securities of a market value sufficient to pay the wages of
every person employed on the mining property, or in connection
therewith, for such period.
Any person, or agent or officer thereof, who violates this section
is guilty of a misdemeanor.
270.5. (a) No person, agent or officer thereof, or logging
contractor, or sawmill operations contractor, engaged in the business
of logging or operating a sawmill for converting logs into lumber,
except in the case of logging or sawmill operations of persons having
a free and unencumbered title to the fee of real property in this
state, of a market value sufficient to pay the wages of every person
employed in connection with such operations in any period for which a
single payment of wages is made, shall fail or neglect, before
commencing work in any period for which such single payment of wages
is made, or for four calendar weeks, whichever is the longer, to do
one of the following:
(1) Have on hand or on deposit with a bank or trust company, in
the county where such business is conducted, or if there is no bank
or trust company in the county, then in the bank or trust company
nearest such operations, cash or readily salable securities of a
market value sufficient to pay the wages of every person employed in
connection with such operations for such period.
(2) Deposit with the Labor Commissioner the bond of a surety
company authorized to do business within the state, acceptable to the
Labor Commissioner, conditioned upon the payment of all wages found
by the Labor Commissioner to be due and unpaid in connection with
such operations.
(b) The cash and securities on deposit referred to in subdivision
(a) shall not be commingled with other deposits, securities or
property of the employer and shall be held in trust and shall not be
used for any other purpose than paying the wages due employees. Such
moneys so held in trust are not subject to the enforcement of a money
judgment by any other creditor of the employer.
(c) Any person, agent or officer thereof, or logging contractor,
or sawmill operations contractor, who violates this section is guilty
of a misdemeanor.
270.6. (a) No person, or agent or officer thereof, without a
permanent and fixed place of business or residence in this state who
uses or employs any person in the door-to-door selling of any
merchandise, in any similar itinerant activity, or in any telephone
solicitation, shall fail or neglect, before commencing work in any
period for which any single payment of wages is made or for four
calendar weeks, whichever is longer, to do any one of the following:
(1) Have on hand or on deposit with a bank or trust company in the
county where the business is conducted, or if there is no bank or
trust company in the county, then in the bank or trust company
nearest these operations, cash or readily salable securities of a
market value sufficient to pay the wages of every person employed in
connection with these operations for that period described in this
subdivision.
(2) Deposit with the Labor Commissioner the bond of a surety
company authorized to do business within the state, acceptable to the
Labor Commissioner, conditioned upon the payment of all wages found
to be due and unpaid in connection with these operations under any
provision of this code.
(3) Deposit with the Labor Commissioner a time certificate of
deposit indicating that the person, agent, or officer subject to this
section has deposited with a bank or trust company cash payable to
the order of the Labor Commissioner sufficient to pay the wages of
every person employed in connection with these operations for that
period described in this subdivision.
(b) The cash and securities on deposit referred to in subdivision
(a) shall not be commingled with other deposits, securities, or
property of the employer and shall be held in trust and shall not be
used for any other purpose than paying the wages due employees. The
moneys so held in trust are not subject to enforcement of a money
judgment by any other creditor of the employer.
(c) Any person, or agent or officer thereof, who violates this
section is guilty of a misdemeanor.
271. No person, or agent or officer thereof, engaged in the
business of promoting a theatrical enterprise where living
individuals are used or employed in the presentation, except persons
having a free and unencumbered title to the fee of the property on
which the theatrical enterprise is produced, shall fail or neglect,
before producing such enterprise in any period for which a single
payment of wages is made, to have on hand or on deposit with a bank
or trust company, in the county in which such enterprise is to be
produced, or if there is no bank or trust company in the county, then
in the bank or trust company nearest the place where such enterprise
is produced, cash or readily salable securities of a market value
sufficient to pay the wages of every individual used or employed in
the production of such enterprise, or in connection therewith for
such period. The provisions of this section shall not apply to the
use or employment of individuals by a radio or television
broadcasting enterprise; provided, there is on hand or on deposit
with a bank or trust company in this State cash or readily salable
securities of a market value sufficient to pay the wages of every
individual used or employed in such enterprise, or in connection
therewith.
Theatrical enterprise as used in this section means the production
of any circus, vaudeville, carnival, revues, variety shows, musical
comedies, operettas, opera, drama, theatrical, endurance contest,
walkathon, marathon, derby, or other entertainments, exhibitions, or
performances.
Any person, or agent or officer thereof, who violates this section
is guilty of a misdemeanor.
272. Every person, agent, or officer thereof engaged in the
businesses specified in Section 270, 270.5, 270.6, or 271, shall keep
conspicuously posted upon the premises where persons are employed, a
notice specifying the name and address of the bank or trust company
where the required cash or readily salable securities are on deposit,
or the name of the surety or sureties on the bond deposited pursuant
to Section 270.5 or 270.6. Failure to keep the notice conspicuously
posted is prima facie evidence of a violation of Section 270, 270.5,
270.6, or 271.
273. (a) The following definitions apply for purposes of this
section:
(1) "All activities relating to an adverse license or registration
action" includes, but is not limited to, all of the following which
occur as a result of a failure to comply with this section:
(A) Denial of a new application or a renewal application for
licensure or registration.
(B) Denial of reinstatement of a license or registration.
(C) Suspension of a license or registration.
(D) Assessment and recovery of civil penalties for knowingly
providing false information in the statement required by paragraph
(1) of subdivision (b).
(2) "Farm labor contractor" has the same meaning as set forth in
Section 1682.
(3) "Final judgment issued by a court" means a judgment with
respect to which all possibility of a direct attack, by way of
appeal, motion for a new trial, or motion pursuant to Section 663 of
the Code of Civil Procedure to vacate the judgment, has been
exhausted and also includes any final arbitration award where the
time to file a petition for a trial de novo or a petition to vacate
or correct the arbitration award has expired, and no petition is
pending.
(4) "Garment manufacturer" means a person engaged in garment
manufacturing as described in Section 2671.
(5) "Involving unpaid wages" means all amounts required to be paid
by a final judgment, order, or accord involving a failure of the
licensee or registrant to pay required wages.
(6) "Licensee" has the same meaning as set forth in Section 1682.
(7) "Registrant" means a person who holds a valid and unrevoked
garment manufacturer registration.
(b) (1) The Labor Commissioner shall require an applicant for any
of the following to submit a statement as to whether the applicant
has satisfied all requirements imposed by a final judgment issued by
a court or by a final order issued by the Labor Commissioner or by an
accord involving unpaid wages:
(A) Licensure as a farm labor contractor.
(B) Registration as a garment manufacturer.
(C) Renewal or reinstatement of a farm labor contractor license or
a garment manufacturer registration.
(D) A change in the persons identified pursuant to Section 1689 or
subparagraph (B) of paragraph (1) of subdivision (a) of Section
2675.
(2) A person who knowingly provides false information in the
statement submitted pursuant to this subdivision shall be subject to
a civil penalty of no less than one thousand dollars ($1,000) and no
more than twenty-five thousand dollars ($25,000), in addition to any
civil remedies available to the Labor Commissioner. The penalty shall
be recovered by the Labor Commissioner as part of a hearing relating
to a denial of an application for a license or registration, a
hearing relating to a denial of a renewal or reinstatement of a
license or registration, a hearing to contest the civil penalties
assessed under this section by the Labor Commissioner, or in an
independent civil action. The action shall be brought in the name of
the people of the State of California and the Labor Commissioner and
the attorneys thereof may proceed and act for and on behalf of the
people in bringing these actions.
(c) Notwithstanding any other provision of law, the Labor
Commissioner shall not approve an application described in
subdivision (b) if the statement submitted with it shows that the
applicant has failed to satisfy all requirements imposed by a final
judgment issued by a court or by a final order issued by the Labor
Commissioner or by an accord involving unpaid wages, as described in
subdivision (b), unless the applicant submits either of the following
to the Labor Commissioner:
(1) A bond or a cash deposit, in addition to any required by
Section 240, 1684, 1688, 2675, or 2679, in an amount sufficient to
guarantee payment of all amounts due under a final judgment issued by
a court or under a final order issued by the Labor Commissioner
involving unpaid wages.
(2) A notarized accord between the applicant and the other parties
to the judgment, order, or accord demonstrating that the applicant
has satisfied all requirements imposed by the judgment, order, or
accord involving unpaid wages.
(d) Notwithstanding any other provision of law, if the Labor
Commissioner determines after granting an application described in
subdivision (b) that the applicant made a false representation on the
statement he or she submitted, the Labor Commissioner shall suspend
the farm labor contractor license or garment manufacturer
registration effective on the date of its issuance, renewal, or
reinstatement. The license or registration shall remain suspended
until the applicant satisfies either of the following requirements:
(1) Documents to the satisfaction of the Labor Commissioner that
he or she has satisfied all requirements imposed by a final judgment
issued by a court or by a final order of the Labor Commissioner or by
an accord involving unpaid wages.
(2) Files with the Labor Commissioner a notarized accord as
described in paragraph (2) of subdivision (c).
(e) (1) A licensee or registrant shall notify the Labor
Commissioner in writing within 90 days of the date of a final
judgment issued by a court, a final order issued by the Labor
Commissioner, or an accord that imposes on the licensee or registrant
requirements involving unpaid wages. If the licensee or registrant
fails to comply with this notification requirement, the Labor
Commissioner shall suspend the license or registration on the date
that the Labor Commissioner is informed, or is made aware of, the
judgment, order, or accord. The suspension shall remain in effect
until the licensee or registrant satisfies either of the requirements
described in subdivision (d).
(2) A licensee or registrant who notifies the Labor Commissioner
of a judgment, order, or accord pursuant to paragraph (1), shall file
with the notice a bond or a cash deposit meeting the criteria of
paragraph (1) of subdivision (c).
(f) (1) The Labor Commissioner may reduce the amount of a bond or
cash deposit required by this section upon proof, to the satisfaction
of the Labor Commissioner, of partial satisfaction of the
requirements imposed by a final judgment issued by a court, a final
order issued by the Labor Commissioner, or an accord involving unpaid
wages. The Labor Commissioner shall not reduce the bond or cash
deposit amount below the balance of the entire amount involving
unpaid wages. Upon full satisfaction of the requirements involving
unpaid wages, the Labor Commissioner may terminate the bond or cash
deposit requirement.
(2) Notwithstanding paragraph (1), within one year from the date
of filing the bond or cash deposit pursuant to paragraph (1) of
subdivision (c) or paragraph (2) of subdivision (e), a licensee or
registrant shall submit a notarized accord between the licensee or
registrant and the other parties to the judgment, order, or accord
demonstrating satisfaction of all requirements imposed by the
judgment, order, or accord involving unpaid wages. The Labor
Commissioner shall suspend the license or registration of a person
who fails to file the notarized accord within that timeframe.
Notwithstanding paragraph (1) of subdivision (c), a person who has
failed to file a notarized accord within the timeframe required by
this paragraph shall have his or her license or registration
reinstated only after demonstrating that he or she has satisfied all
requirements imposed by a final judgment, order, or accord involving
unpaid wages. As an alternative to payment in full of all debts
involving unpaid wages, a person may submit a notarized copy of an
accord between the licensee or registrant and the other parties to
the accord.
(g) The failure of a licensee or registrant to maintain a bond
required by this section or to abide by all requirements imposed on a
licensee or registrant by an accord involving unpaid wages between
the licensee or registrant and the other parties to the accord shall
result in the automatic suspension of his or her license or
registration.
(h) (1) A licensee or registrant shall not allow a person who is a
judgment debtor in a final judgment issued by a court or in a final
order issued by the Labor Commissioner involving unpaid wages that
imposes requirements that have not been satisfied in their entirety
to serve in a capacity described in Section 1689 or subparagraph (B)
of paragraph (1) of subdivision (a) of Section 2675.
(2) The Labor Commissioner shall suspend the license of a farm
labor contractor or the registration of a garment manufacturer who
violates the provisions of paragraph (1). The Labor Commissioner
shall reinstate the license or registration upon the resignation of
the person named as a judgment debtor or complete satisfaction of the
unpaid wages requirements.
(i) A person whose license or registration is suspended pursuant
to this section, who is denied issuance or reinstatement of a license
or registration, or who has been assessed a civil penalty for
knowingly providing false information in the statement required by
paragraph (1) of subdivision (b) shall pay to the Labor Commissioner
all reasonable costs incurred by the Labor Commissioner in all
activities relating to the adverse license or registration action,
commencing with the first notice issued by the Labor Commissioner
that he or she has taken any adverse action under this section
relative to a license or registration. The Labor Commissioner shall
not reinstate a license or registration unless the person has paid
all costs assessed by the Labor Commissioner or has entered into an
accord with the Labor Commissioner that establishes a payment plan.
(j) This section shall not apply to an applicant for a farm labor
contractor license or a garment manufacturer registration or to a
licensee or registrant when the unpaid wages, as described by this
section, have been discharged in a bankruptcy proceeding.
270. No person, or agent or officer thereof, engaged in the
business of extracting or of extracting and refining or reducing
minerals other than petroleum, except persons having a free and
unencumbered title to the fee of the property being worked and except
mining partnerships in respect to the members of the partnership,
shall fail or neglect, before commencing work in any period for which
a single payment of wages is made, to have on hand or on deposit
with a bank or trust company, in the county where such property is
located or if there is no bank or trust company in the county, then
in the bank or trust company nearest the property, cash or readily
salable securities of a market value sufficient to pay the wages of
every person employed on the mining property, or in connection
therewith, for such period.
Any person, or agent or officer thereof, who violates this section
is guilty of a misdemeanor.
270.5. (a) No person, agent or officer thereof, or logging
contractor, or sawmill operations contractor, engaged in the business
of logging or operating a sawmill for converting logs into lumber,
except in the case of logging or sawmill operations of persons having
a free and unencumbered title to the fee of real property in this
state, of a market value sufficient to pay the wages of every person
employed in connection with such operations in any period for which a
single payment of wages is made, shall fail or neglect, before
commencing work in any period for which such single payment of wages
is made, or for four calendar weeks, whichever is the longer, to do
one of the following:
(1) Have on hand or on deposit with a bank or trust company, in
the county where such business is conducted, or if there is no bank
or trust company in the county, then in the bank or trust company
nearest such operations, cash or readily salable securities of a
market value sufficient to pay the wages of every person employed in
connection with such operations for such period.
(2) Deposit with the Labor Commissioner the bond of a surety
company authorized to do business within the state, acceptable to the
Labor Commissioner, conditioned upon the payment of all wages found
by the Labor Commissioner to be due and unpaid in connection with
such operations.
(b) The cash and securities on deposit referred to in subdivision
(a) shall not be commingled with other deposits, securities or
property of the employer and shall be held in trust and shall not be
used for any other purpose than paying the wages due employees. Such
moneys so held in trust are not subject to the enforcement of a money
judgment by any other creditor of the employer.
(c) Any person, agent or officer thereof, or logging contractor,
or sawmill operations contractor, who violates this section is guilty
of a misdemeanor.
270.6. (a) No person, or agent or officer thereof, without a
permanent and fixed place of business or residence in this state who
uses or employs any person in the door-to-door selling of any
merchandise, in any similar itinerant activity, or in any telephone
solicitation, shall fail or neglect, before commencing work in any
period for which any single payment of wages is made or for four
calendar weeks, whichever is longer, to do any one of the following:
(1) Have on hand or on deposit with a bank or trust company in the
county where the business is conducted, or if there is no bank or
trust company in the county, then in the bank or trust company
nearest these operations, cash or readily salable securities of a
market value sufficient to pay the wages of every person employed in
connection with these operations for that period described in this
subdivision.
(2) Deposit with the Labor Commissioner the bond of a surety
company authorized to do business within the state, acceptable to the
Labor Commissioner, conditioned upon the payment of all wages found
to be due and unpaid in connection with these operations under any
provision of this code.
(3) Deposit with the Labor Commissioner a time certificate of
deposit indicating that the person, agent, or officer subject to this
section has deposited with a bank or trust company cash payable to
the order of the Labor Commissioner sufficient to pay the wages of
every person employed in connection with these operations for that
period described in this subdivision.
(b) The cash and securities on deposit referred to in subdivision
(a) shall not be commingled with other deposits, securities, or
property of the employer and shall be held in trust and shall not be
used for any other purpose than paying the wages due employees. The
moneys so held in trust are not subject to enforcement of a money
judgment by any other creditor of the employer.
(c) Any person, or agent or officer thereof, who violates this
section is guilty of a misdemeanor.
271. No person, or agent or officer thereof, engaged in the
business of promoting a theatrical enterprise where living
individuals are used or employed in the presentation, except persons
having a free and unencumbered title to the fee of the property on
which the theatrical enterprise is produced, shall fail or neglect,
before producing such enterprise in any period for which a single
payment of wages is made, to have on hand or on deposit with a bank
or trust company, in the county in which such enterprise is to be
produced, or if there is no bank or trust company in the county, then
in the bank or trust company nearest the place where such enterprise
is produced, cash or readily salable securities of a market value
sufficient to pay the wages of every individual used or employed in
the production of such enterprise, or in connection therewith for
such period. The provisions of this section shall not apply to the
use or employment of individuals by a radio or television
broadcasting enterprise; provided, there is on hand or on deposit
with a bank or trust company in this State cash or readily salable
securities of a market value sufficient to pay the wages of every
individual used or employed in such enterprise, or in connection
therewith.
Theatrical enterprise as used in this section means the production
of any circus, vaudeville, carnival, revues, variety shows, musical
comedies, operettas, opera, drama, theatrical, endurance contest,
walkathon, marathon, derby, or other entertainments, exhibitions, or
performances.
Any person, or agent or officer thereof, who violates this section
is guilty of a misdemeanor.
272. Every person, agent, or officer thereof engaged in the
businesses specified in Section 270, 270.5, 270.6, or 271, shall keep
conspicuously posted upon the premises where persons are employed, a
notice specifying the name and address of the bank or trust company
where the required cash or readily salable securities are on deposit,
or the name of the surety or sureties on the bond deposited pursuant
to Section 270.5 or 270.6. Failure to keep the notice conspicuously
posted is prima facie evidence of a violation of Section 270, 270.5,
270.6, or 271.
273. (a) The following definitions apply for purposes of this
section:
(1) "All activities relating to an adverse license or registration
action" includes, but is not limited to, all of the following which
occur as a result of a failure to comply with this section:
(A) Denial of a new application or a renewal application for
licensure or registration.
(B) Denial of reinstatement of a license or registration.
(C) Suspension of a license or registration.
(D) Assessment and recovery of civil penalties for knowingly
providing false information in the statement required by paragraph
(1) of subdivision (b).
(2) "Farm labor contractor" has the same meaning as set forth in
Section 1682.
(3) "Final judgment issued by a court" means a judgment with
respect to which all possibility of a direct attack, by way of
appeal, motion for a new trial, or motion pursuant to Section 663 of
the Code of Civil Procedure to vacate the judgment, has been
exhausted and also includes any final arbitration award where the
time to file a petition for a trial de novo or a petition to vacate
or correct the arbitration award has expired, and no petition is
pending.
(4) "Garment manufacturer" means a person engaged in garment
manufacturing as described in Section 2671.
(5) "Involving unpaid wages" means all amounts required to be paid
by a final judgment, order, or accord involving a failure of the
licensee or registrant to pay required wages.
(6) "Licensee" has the same meaning as set forth in Section 1682.
(7) "Registrant" means a person who holds a valid and unrevoked
garment manufacturer registration.
(b) (1) The Labor Commissioner shall require an applicant for any
of the following to submit a statement as to whether the applicant
has satisfied all requirements imposed by a final judgment issued by
a court or by a final order issued by the Labor Commissioner or by an
accord involving unpaid wages:
(A) Licensure as a farm labor contractor.
(B) Registration as a garment manufacturer.
(C) Renewal or reinstatement of a farm labor contractor license or
a garment manufacturer registration.
(D) A change in the persons identified pursuant to Section 1689 or
subparagraph (B) of paragraph (1) of subdivision (a) of Section
2675.
(2) A person who knowingly provides false information in the
statement submitted pursuant to this subdivision shall be subject to
a civil penalty of no less than one thousand dollars ($1,000) and no
more than twenty-five thousand dollars ($25,000), in addition to any
civil remedies available to the Labor Commissioner. The penalty shall
be recovered by the Labor Commissioner as part of a hearing relating
to a denial of an application for a license or registration, a
hearing relating to a denial of a renewal or reinstatement of a
license or registration, a hearing to contest the civil penalties
assessed under this section by the Labor Commissioner, or in an
independent civil action. The action shall be brought in the name of
the people of the State of California and the Labor Commissioner and
the attorneys thereof may proceed and act for and on behalf of the
people in bringing these actions.
(c) Notwithstanding any other provision of law, the Labor
Commissioner shall not approve an application described in
subdivision (b) if the statement submitted with it shows that the
applicant has failed to satisfy all requirements imposed by a final
judgment issued by a court or by a final order issued by the Labor
Commissioner or by an accord involving unpaid wages, as described in
subdivision (b), unless the applicant submits either of the following
to the Labor Commissioner:
(1) A bond or a cash deposit, in addition to any required by
Section 240, 1684, 1688, 2675, or 2679, in an amount sufficient to
guarantee payment of all amounts due under a final judgment issued by
a court or under a final order issued by the Labor Commissioner
involving unpaid wages.
(2) A notarized accord between the applicant and the other parties
to the judgment, order, or accord demonstrating that the applicant
has satisfied all requirements imposed by the judgment, order, or
accord involving unpaid wages.
(d) Notwithstanding any other provision of law, if the Labor
Commissioner determines after granting an application described in
subdivision (b) that the applicant made a false representation on the
statement he or she submitted, the Labor Commissioner shall suspend
the farm labor contractor license or garment manufacturer
registration effective on the date of its issuance, renewal, or
reinstatement. The license or registration shall remain suspended
until the applicant satisfies either of the following requirements:
(1) Documents to the satisfaction of the Labor Commissioner that
he or she has satisfied all requirements imposed by a final judgment
issued by a court or by a final order of the Labor Commissioner or by
an accord involving unpaid wages.
(2) Files with the Labor Commissioner a notarized accord as
described in paragraph (2) of subdivision (c).
(e) (1) A licensee or registrant shall notify the Labor
Commissioner in writing within 90 days of the date of a final
judgment issued by a court, a final order issued by the Labor
Commissioner, or an accord that imposes on the licensee or registrant
requirements involving unpaid wages. If the licensee or registrant
fails to comply with this notification requirement, the Labor
Commissioner shall suspend the license or registration on the date
that the Labor Commissioner is informed, or is made aware of, the
judgment, order, or accord. The suspension shall remain in effect
until the licensee or registrant satisfies either of the requirements
described in subdivision (d).
(2) A licensee or registrant who notifies the Labor Commissioner
of a judgment, order, or accord pursuant to paragraph (1), shall file
with the notice a bond or a cash deposit meeting the criteria of
paragraph (1) of subdivision (c).
(f) (1) The Labor Commissioner may reduce the amount of a bond or
cash deposit required by this section upon proof, to the satisfaction
of the Labor Commissioner, of partial satisfaction of the
requirements imposed by a final judgment issued by a court, a final
order issued by the Labor Commissioner, or an accord involving unpaid
wages. The Labor Commissioner shall not reduce the bond or cash
deposit amount below the balance of the entire amount involving
unpaid wages. Upon full satisfaction of the requirements involving
unpaid wages, the Labor Commissioner may terminate the bond or cash
deposit requirement.
(2) Notwithstanding paragraph (1), within one year from the date
of filing the bond or cash deposit pursuant to paragraph (1) of
subdivision (c) or paragraph (2) of subdivision (e), a licensee or
registrant shall submit a notarized accord between the licensee or
registrant and the other parties to the judgment, order, or accord
demonstrating satisfaction of all requirements imposed by the
judgment, order, or accord involving unpaid wages. The Labor
Commissioner shall suspend the license or registration of a person
who fails to file the notarized accord within that timeframe.
Notwithstanding paragraph (1) of subdivision (c), a person who has
failed to file a notarized accord within the timeframe required by
this paragraph shall have his or her license or registration
reinstated only after demonstrating that he or she has satisfied all
requirements imposed by a final judgment, order, or accord involving
unpaid wages. As an alternative to payment in full of all debts
involving unpaid wages, a person may submit a notarized copy of an
accord between the licensee or registrant and the other parties to
the accord.
(g) The failure of a licensee or registrant to maintain a bond
required by this section or to abide by all requirements imposed on a
licensee or registrant by an accord involving unpaid wages between
the licensee or registrant and the other parties to the accord shall
result in the automatic suspension of his or her license or
registration.
(h) (1) A licensee or registrant shall not allow a person who is a
judgment debtor in a final judgment issued by a court or in a final
order issued by the Labor Commissioner involving unpaid wages that
imposes requirements that have not been satisfied in their entirety
to serve in a capacity described in Section 1689 or subparagraph (B)
of paragraph (1) of subdivision (a) of Section 2675.
(2) The Labor Commissioner shall suspend the license of a farm
labor contractor or the registration of a garment manufacturer who
violates the provisions of paragraph (1). The Labor Commissioner
shall reinstate the license or registration upon the resignation of
the person named as a judgment debtor or complete satisfaction of the
unpaid wages requirements.
(i) A person whose license or registration is suspended pursuant
to this section, who is denied issuance or reinstatement of a license
or registration, or who has been assessed a civil penalty for
knowingly providing false information in the statement required by
paragraph (1) of subdivision (b) shall pay to the Labor Commissioner
all reasonable costs incurred by the Labor Commissioner in all
activities relating to the adverse license or registration action,
commencing with the first notice issued by the Labor Commissioner
that he or she has taken any adverse action under this section
relative to a license or registration. The Labor Commissioner shall
not reinstate a license or registration unless the person has paid
all costs assessed by the Labor Commissioner or has entered into an
accord with the Labor Commissioner that establishes a payment plan.
(j) This section shall not apply to an applicant for a farm labor
contractor license or a garment manufacturer registration or to a
licensee or registrant when the unpaid wages, as described by this
section, have been discharged in a bankruptcy proceeding.
