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SB-572 Labor Commissioner: enforcement: lien on real property.(2021-2022)

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Date Published: 09/28/2021 09:00 PM
SB572:v95#DOCUMENT

Senate Bill No. 572
CHAPTER 335

An act to add Section 90.8 to the Labor Code, relating to employment.

[ Approved by Governor  September 27, 2021. Filed with Secretary of State  September 27, 2021. ]

LEGISLATIVE COUNSEL'S DIGEST


SB 572, Hertzberg. Labor Commissioner: enforcement: lien on real property.
Existing law vests with the Labor Commissioner the authority to hear employee complaints regarding the payment of wages and other employment-related issues. Existing law imposes various civil penalties for violations of state law, including on employers for failure to pay minimum wage, on successors to judgment debtors, on persons who do not hold a valid state contractor’s license and employ workers to perform services for which a license is required, and on persons who violate provisions relating to minor employees. Existing law permits the commissioner to, as an alternative to a judgment lien, create a lien on real property to recover amounts due under final orders in favor of an employee named in the order.
This bill would authorize the Labor Commissioner to create, as an alternative to a judgment lien, a lien on real property to secure amounts due to the commissioner under any final citation, findings, or decision, as provided. The bill would require the commissioner, among other things, to include specified information on the certificate of lien to be recorded on the relevant party’s real property and to issue a certificate of release once the amount due, including any interest and costs, has been paid.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 90.8 is added to the Labor Code, to read:

90.8.
 (a) As an alternative to a judgment lien, the Labor Commissioner may create a lien on real property to secure the amount due to the Labor Commissioner under any citation, findings, or decision that has become final and may be entered as a judgment, including those that have become final under Sections 1197.1, 226.5, 1023, and 1289. The lien on real property may be created by the Labor Commissioner recording a certificate of lien, for amounts due from the cited parties named in the final citation, findings, or decision, with the county recorder of any county in which the parties’ real property may be located. The lien attaches to all interests in real property of those parties located in the county where the lien is created to which a judgment lien may attach pursuant to Section 697.340 of the Code of Civil Procedure, with the same priority as a judgment lien.
(b) The certificate of lien shall include information as prescribed by Section 27288.1 of the Government Code.
(c) The recorder shall accept and record the certificate of lien and shall index it as prescribed by law.
(d) Upon payment of the amount due under the final citation, findings or decision, including any interest and costs that have lawfully accrued on the original amount, the Labor Commissioner shall issue a certificate of release, releasing the lien created under subdivision (a) of this section. The certificate of release may be recorded by any person at that person’s expense.
(e) Unless the lien is satisfied or released, a lien under this section shall continue until 10 years from the date of its creation. The lien may be renewed for additional periods of 10 years by recording a renewal of certificate of lien or a copy of a renewed judgment at any time prior to its expiration.
(f) The provisions of Section 697.410 of the Code of Civil Procedure shall apply to a lien created under this section as if the lien had been created by a recorded abstract of a money judgment or certified copy of a money judgment.