AB 2416 Would Allow Employees to Enforce Lien Upon Employer Property

AB 2416 Would Allow Employees to Enforce Lien Upon Employer Property

Existing law grants specified persons, including laborers, as defined, who contribute labor, skill, or services to a work of improvement the right to record a mechanic’s lien upon the property so improved. Under existing law, when an employer fails to pay wages due, the employee has the right to file a claim against his or her employer, or former employer, with the Division of Labor Standards Enforcement, which is authorized to conduct investigations, hold hearings, and impose fines and penalties for nonpayment of wages.

This bill would, with certain exceptions, authorize an employee to record and enforce a wage lien upon real and personal property of an employer, or a property owner, as specified, for wages, other compensation, and related penalties and damages owed the employee. The bill would prescribe requirements relating to the recording and enforcement of the wage lien and for its cancellation and removal. The bill would require a notice of lien on real property to be executed under penalty of perjury.

Read the Complete bill AB 2416, as amended, Stone. Liens: laborers and employees.

Source: The California Chamber of Commerce is calling this a “Job Killer Bill”.

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