Code Section Group

Business and Professions Code - BPC

DIVISION 8. SPECIAL BUSINESS REGULATIONS [18400 - 22948.25]

  ( Division 8 added by Stats. 1941, Ch. 44. )

CHAPTER 3.1. Household Movers Act [19225 - 19294]

  ( Chapter 3.1 added by Stats. 2017, Ch. 421, Sec. 8. )

ARTICLE 7. Suspension and Revocation of Permits [19271 - 19276]
  ( Article 7 added by Stats. 2017, Ch. 421, Sec. 8. )

19271.
  

The bureau may, at the request of any household mover, suspend the operating permit of the household mover for a definite time during which it is unlawful for the household mover to conduct any operations as a household mover.

(Added by Stats. 2017, Ch. 421, Sec. 8. (SB 19) Effective January 1, 2018. Operative July 1, 2018, pursuant to Section 19294.)

19272.
  

Upon the suspension of a permit, the bureau shall require the removal from any vehicle operated under the permit of any identifying symbols that have been placed on the vehicle.

(Added by Stats. 2017, Ch. 421, Sec. 8. (SB 19) Effective January 1, 2018. Operative July 1, 2018, pursuant to Section 19294.)

19273.
  

Upon the termination of the period of suspension, the bureau shall restore the permit and the household mover shall again place on all vehicles the identifying symbols removed pursuant to the suspension.

(Added by Stats. 2017, Ch. 421, Sec. 8. (SB 19) Effective January 1, 2018. Operative July 1, 2018, pursuant to Section 19294.)

19274.
  

A permit shall remain in effect until suspended or terminated as provided in this chapter. Any permit not exercised for a period of one year, inclusive of all periods of suspension, shall lapse and terminate.

A permit shall not be sold, leased, assigned, or otherwise transferred or encumbered by the holder of the permit without the holder first having secured from the bureau an order authorizing the transfer or encumbrance. The bureau shall not authorize any transfer or encumbrance of a permit except pursuant to a finding made by the bureau that the permit authorized to be transferred or encumbered has not lapsed or been terminated by nonexercise as provided in this section. Any sale, lease, assignment, or other transfer or encumbrance is void unless made in accordance with the order of the bureau authorizing it.

(Added by Stats. 2017, Ch. 421, Sec. 8. (SB 19) Effective January 1, 2018. Operative July 1, 2018, pursuant to Section 19294.)

19274.1.
  

(a) The bureau shall only authorize a sale, lease, assignment, or other transfer of a permit to a transferee who has qualified in the manner provided by Section 19239.

(b) The bureau shall prescribe the procedure relative to:

(1) Assignment of permits.

(2) Transfer of permits between persons, where the transfer is effected through rent, lease, or sale of the business.

(3) Change in name, ownership, and address.

(Added by Stats. 2017, Ch. 421, Sec. 8. (SB 19) Effective January 1, 2018. Operative July 1, 2018, pursuant to Section 19294.)

19275.
  

(a) The bureau may suspend the permit of any household mover after notice and an opportunity to be heard, if the household mover knowingly and willfully files a false report with the bureau.

(b) The bureau may amend or revoke, in whole or in part, the permit of any household mover, upon application of the permitholder, or may suspend, change, or revoke, in whole or in part, a permit, upon complaint or on the bureau’s own initiative, after notice and an opportunity to be heard, for providing false or misleading information on an application for a permit or for failure to comply with this chapter or with any order, rule, regulation, or tariff administered by the bureau, or with any term, condition, or limitation of the permit.

(c) As an alternative to the cancellation, revocation, or suspension of an operating permit or permits, the bureau may impose upon the holder of the permit or permits a fine of not more than thirty thousand dollars ($30,000). All fines collected shall be deposited into the fund.

(d) The bureau may cancel, suspend, or revoke the permit of any household mover upon the conviction of the household mover of any misdemeanor under this chapter while holding operating authority issued by the bureau, or the conviction of the household mover or any of its officers of a felony while holding operating authority issued by the bureau, limited to robbery, burglary, any form of theft, any form of fraud, extortion, embezzlement, money laundering, forgery, false statements, an attempt to commit any of the offenses described in this subdivision, aiding and abetting or conspiring to commit any of the offenses described in this subdivision, or intentional dishonesty for personal gain.

(e) (1) As used in this subdivision, “convicted of a prescribed felony” means a plea or verdict of guilty or a conviction following a plea of nolo contendere for any felony described in subdivision (d), or for an attempt to commit, aiding and abetting, or conspiring to commit any felony described in subdivision (d), that is committed in connection with, or arising from, a transaction for the transportation of used household goods or personal effects.

(2) If a household mover is convicted of a prescribed felony, the permit of the household mover may be revoked.

(3) If an officer, director, or managing agent of the household mover is convicted of a prescribed felony, the permit of the household mover may be suspended for a period of five years. If the bureau determines that the household mover did not have knowledge of, participate in, direct, aid and abet, authorize, or ratify the conduct of the person convicted and did not in any manner benefit from that conduct, the bureau may reinstate the permit on terms the bureau determines to be appropriate in the interest of justice and to ensure the protection of the public. The bureau may also extend the suspension or revoke the permit as provided in subdivision (d).

(4) If an officer, director, managing agent, or employee of the household mover is convicted of a prescribed felony, the person may not be an officer, director, managing agent, or employee of, or serve in any other capacity with, a household mover.

(5) It is a violation of this chapter for a household mover that knows or should know that a person has been convicted of a prescribed felony to hire, retain, or otherwise allow that person to serve as an officer, director, managing agent, or employee of, or in any other capacity with, the household mover.

(Added by Stats. 2017, Ch. 421, Sec. 8. (SB 19) Effective January 1, 2018. Operative July 1, 2018, pursuant to Section 19294.)

19275.1.
  

(a) Upon receipt of a stop order issued by the Director of Industrial Relations pursuant to Section 3710.1 of the Labor Code, the bureau shall investigate to determine whether the household mover has filed a false statement relative to workers’ compensation insurance coverage, in violation of statute, or of rules or orders administered by the bureau. If, after notice and an opportunity to be heard, the bureau determines that there has been a violation of statute, or of rules or orders administered by the bureau, the bureau shall impose appropriate penalties, which may include a fine and suspension of operating authority for a violation.

(b) Upon receipt of a complaint from the Director of Industrial Relations that a final judgment has been entered against any household mover as a result of an award having been made to an employee pursuant to Section 3716.2 of the Labor Code, the bureau shall, 30 days from the date the household mover is mailed the notice, initiate action to revoke the household mover’s permit unless the judgment has been satisfied or has been discharged in accordance with the bankruptcy laws of the United States.

(c) Within seven days of receipt of a complaint from the Director of Industrial Relations that a final judgment has been entered against any household mover as a result of an award having been made to an employee pursuant to Section 3716.2 of the Labor Code, the bureau shall furnish the household mover named in the final judgment written notice of the right to a hearing regarding the complaint and the procedure to follow to request a hearing. The notice shall state that the bureau is required to initiate revocation proceedings pursuant to subdivision (b) unless the household mover provides proof that the judgment is satisfied or has been discharged in accordance with the bankruptcy laws of the United States. The notice shall also inform the household mover of a right to a hearing and the procedures to follow to request a hearing. Proceedings under this section shall be conducted pursuant to Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code. If the bureau finds that an unsatisfied judgment exists concerning a debt arising under Section 3717 of the Labor Code, the bureau shall immediately revoke the household mover’s permit.

(Added by Stats. 2017, Ch. 421, Sec. 8. (SB 19) Effective January 1, 2018. Operative July 1, 2018, pursuant to Section 19294.)

19275.2.
  

(a) (1) Upon receipt of a written recommendation from the Department of the California Highway Patrol that the permit of a household mover be suspended for any of the following, the bureau, pending a hearing in the matter pursuant to subdivision (d), shall initiate proceedings to suspend the household mover’s permit:

(A) Failure to maintain any vehicle used in transportation for compensation in a safe operating condition or to comply with the Vehicle Code or with applicable regulations contained in Title 13 of the California Code of Regulations, if that failure is either a consistent failure or presents an imminent danger to public safety.

(B) Failure to enroll all drivers in the pull-notice system as required by Section 1808.1 of the Vehicle Code.

(C) Failure to submit any application or pay any fee required by subdivision (e) or (h) of Section 34501.12 of the Vehicle Code within the timeframes set forth in that section.

(2) The written recommendation shall specifically indicate compliance with subdivision (c).

(b) (1) A household mover whose permit is suspended pursuant to subdivision (a) may obtain a reinspection of its terminal and vehicles by the Department of the California Highway Patrol by submitting a written request for reinstatement to the bureau and paying a reinstatement fee of one hundred twenty-five dollars ($125).

(2) A household mover whose permit is suspended for failure to submit any application or to pay any fee required by Section 34501.12 of the Vehicle Code shall present proof of having submitted that application or having paid that fee to the Department of the California Highway Patrol before applying for reinstatement of that permit.

(3) The bureau shall deposit all reinstatement fees collected pursuant to this subdivision in the fund. The bureau shall then forward a request for reinspection to the Department of the California Highway Patrol which shall then perform a reinspection within a reasonable time or verify receipt of the application or fee, or both the application and fee. The bureau shall reinstate a household mover’s permit that is suspended under subdivision (a) promptly upon receipt of a written recommendation from the Department of the California Highway Patrol that the household mover’s safety compliance has improved to the satisfaction of that department, or that the required application or fees have been received, unless the permit is suspended for another reason or has been revoked.

(c) Before transmitting a recommendation pursuant to subdivision (a) to the bureau, the Department of the California Highway Patrol shall notify the household mover in writing of all of the following:

(1) That the Department of the California Highway Patrol has determined that the household mover’s safety record, or compliance with Section 1808.1 of, or subdivision (e) or (h) of Section 34501.12 of, the Vehicle Code, is unsatisfactory, furnishing a copy of any documentation or summary of any other evidence supporting the determination.

(2) That the determination may result in a suspension or revocation of the household mover’s permit by the bureau.

(3) That the household mover may request a review of the determination by the Department of the California Highway Patrol within five days of its receipt of the notice required under this subdivision. If a review pursuant to this paragraph is requested by the household mover, the Department of the California Highway Patrol shall conduct and evaluate that review prior to transmitting any notification to the bureau pursuant to subdivision (a).

(d) If the bureau, after a hearing, finds that a household mover has continued to operate as a household mover after its permit or permits have been suspended pursuant to subdivision (a), the bureau shall do one of the following:

(1) Revoke the operating permit or permits of the household mover.

(2) Impose upon the holder of the permit or permits a fine of not less than one thousand dollars ($1,000) nor more than five thousand dollars ($5,000) for each day of unlawful operations.

(Added by Stats. 2017, Ch. 421, Sec. 8. (SB 19) Effective January 1, 2018. Operative July 1, 2018, pursuant to Section 19294.)

19276.
  

After the cancellation or revocation of a permit or during the period of its suspension, it is unlawful for a household mover to conduct any operations as a household mover. The bureau may either grant or deny an application for a new permit whenever it appears that a prior permit of the applicant has been canceled or revoked pursuant to Section 19275, or whenever it appears, after a hearing, that as a prior permitholder, the applicant engaged in any of the unlawful activities set forth in Section 19275 for which its permit might have been canceled or revoked.

(Added by Stats. 2017, Ch. 421, Sec. 8. (SB 19) Effective January 1, 2018. Operative July 1, 2018, pursuant to Section 19294.)

BPCBusiness and Professions Code - BPC7.