Bill Text: CA SB1360 | 2009-2010 | Regular Session | Introduced


Bill Title: Contractors: agreements.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2010-03-04 - To Com. on RLS. [SB1360 Detail]

Download: California-2009-SB1360-Introduced.html
BILL NUMBER: SB 1360	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Leno

                        FEBRUARY 19, 2010

   An act to amend Section 2810 of the Labor Code, relating to
employment.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1360, as introduced, Leno. Contractors: agreements.
   Existing law prohibits a person or entity from entering into a
contract or agreement for labor or services with specified types of
contractors if the person or entity knows or should know that the
contract or agreement does not include funds sufficient to allow the
contractor to comply with all applicable local, state, and federal
laws or regulations governing the labor or services to be provided.
   This bill would make nonsubstantive changes to these provisions.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 2810 of the Labor Code is amended to read:
   2810.  (a) A person or entity may not enter into a contract or
agreement for labor or services with a construction, farm labor,
garment, janitorial, or security guard contractor  , where
  if  the person or entity knows or should know
that the contract or agreement does not include funds sufficient to
allow the contractor to comply with all applicable local, state, and
federal laws or regulations governing the labor or services to be
provided.
   (b) There is a rebuttable presumption affecting the burden of
proof that there has been no violation of subdivision (a) 
where     if  the contract or agreement
with a construction, farm labor, garment, janitorial, or security
guard contractor meets all of the requirements in subdivision (d).
   (c) Subdivision (a) does not apply to a person or entity who
executes a collective bargaining agreement covering the workers
employed under the contract or agreement, or to a person who enters
into a contract or agreement for labor or services to be performed on
his or her home residences, provided that a family member resides in
the residence or residences for which the labor or services are to
be performed for at least a part of the year.
   (d) To meet the requirements of subdivision (b), a contract or
agreement with a construction, farm labor, garment, janitorial, or
security guard contractor for labor or services must be in writing,
in a single document, and contain all of the following provisions, in
addition to any other provisions that may be required by regulations
adopted by the Labor Commissioner from time to time:
   (1) The name, address, and telephone number of the person or
entity and the construction, farm labor, garment, janitorial, or
security guard contractor through whom the labor or services are to
be provided.
   (2) A description of the labor or services to be provided and a
statement of when those services are to be commenced and completed.
   (3) The employer identification number for state tax purposes of
the construction, farm labor, garment, janitorial, or security guard
contractor.
   (4) The workers' compensation insurance policy number and the
name, address, and telephone number of the insurance carrier of the
construction, farm labor, garment, janitorial, or security guard
contractor.
   (5) The vehicle identification number of any vehicle that is owned
by the construction, farm labor, garment, janitorial, or security
guard contractor and used for transportation in connection with any
service provided pursuant to the contract or agreement, the number of
the vehicle liability insurance policy that covers the vehicle, and
the name, address, and telephone number of the insurance carrier.
   (6) The address of any real property to be used to house workers
in connection with the contract or agreement.
   (7) The total number of workers to be employed under the contract
or agreement, the total amount of all wages to be paid, and the date
or dates when those wages are to be paid.
   (8) The amount of the commission or other payment made to the
construction, farm labor, garment, janitorial, or security guard
contractor for services under the contract or agreement.
   (9) The total number of persons who will be utilized under the
contract or agreement as independent contractors, along with a list
of the current local, state, and federal contractor license
identification numbers that the independent contractors are required
to have under local, state, or federal laws or regulations.
   (10) The signatures of all parties, and the date the contract or
agreement was signed.
   (e) (1) To qualify for the rebuttable presumption set forth in
subdivision (b), a material change to the terms and conditions of a
contract or agreement between a person or entity and a construction,
farm labor, garment, janitorial, or security guard contractor must be
in writing, in a single document, and contain all of the provisions
listed in subdivision (d) that are affected by the change.
   (2) If a provision required to be contained in a contract or
agreement pursuant to paragraph (7) or (9) of subdivision (d) is
unknown at the time the contract or agreement is executed, the best
estimate available at that time is sufficient to satisfy the
requirements of subdivision (d). If an estimate is used in place of
actual figures in accordance with this paragraph, the parties to the
contract or agreement have a continuing duty to ascertain the
information required pursuant to paragraph (7) or (9) of subdivision
(d) and to reduce that information to writing in accordance with the
requirements of paragraph (1) once that information becomes known.
   (f) A person or entity who enters into a contract or agreement
referred to in subdivisions (d) or (e) shall keep a copy of the
written contract or agreement for a period of not less than four
years following the termination of the contract or agreement.
   (g) (1) An employee aggrieved by a violation of subdivision (a)
may file an action for damages to recover the greater of all of his
or her actual damages or two hundred fifty dollars ($250) per
employee per violation for an initial violation and one thousand
dollars ($1,000) per employee for each subsequent violation, and,
upon prevailing in an action brought pursuant to this section, may
recover costs and reasonable attorney's fees. An action under this
section may not be maintained unless it is pleaded and proved that an
employee was injured as a result of a violation of a labor law or
regulation in connection with the performance of the contract or
agreement.
   (2) An employee aggrieved by a violation of subdivision (a) may
also bring an action for injunctive relief and, upon prevailing, may
recover costs and reasonable attorney's fees.
   (h) The phrase "construction, farm labor, garment, janitorial, or
security guard contractor" includes any person, as defined in this
code, whether or not licensed, who is acting in the capacity of a
construction, farm labor, garment, janitorial, or security guard
contractor.
   (i) (1) The term "knows" includes the knowledge, arising from
familiarity with the normal facts and circumstances of the business
activity engaged in, that the contract or agreement does not include
funds sufficient to allow the contractor to comply with applicable
laws.
   (2) The phrase "should know" includes the knowledge of any
additional facts or information that would make a reasonably prudent
person undertake to inquire whether, taken together, the contract or
agreement contains sufficient funds to allow the contractor to comply
with applicable laws.
   (3) A failure by a person or entity to request or obtain any
information from the contractor that is required by any applicable
statute or by the contract or agreement between them, constitutes
knowledge of that information for purposes of this section.
                                                            
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