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Bill

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Measure

AB 1002

Authors

Gabriel
Coauthors: Ahrens Bryan Harabedian Kalra Ortega Zbur

Subject

Contractors: failure to pay wages: discipline.

Relating To

relating to professions and vocations.

Title

An act to add Section 7036 to the Business and Professions Code, relating to professions and vocations.

Last Action Dt

2025-10-10

State

Chaptered

Status

Chaptered

Active?

Vote Required

Majority

Appropriation

Fiscal Committee

Yes

Local Program

Substantive Changes

None

Urgency

Tax Levy

Leginfo Link

Bill

Actions

2025-10-10		Chaptered by Secretary of State - Chapter 567, Statutes of 2025.
2025-10-10		Approved by the Governor.
2025-09-15		Enrolled and presented to the Governor at 4:30 p.m.
2025-09-08		Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 73. Noes 2. Page 3035.).
2025-09-04		In Assembly. Concurrence in Senate amendments pending.
2025-09-04		Read third time. Passed. Ordered to the Assembly. (Ayes 34. Noes 2. Page 2503.).
2025-08-29		From committee: Do pass. (Ayes 7. Noes 0.) (August 29).
2025-08-29		Read second time. Ordered to third reading.
2025-08-18		In committee: Referred to suspense file.
2025-07-16		From committee: Do pass and re-refer to Com. on APPR. (Ayes 11. Noes 2.) (July 15). Re-referred to Com. on APPR.
2025-07-07		From committee: Do pass and re-refer to Com. on JUD. (Ayes 10. Noes 1.) (July 7). Re-referred to Com. on JUD.
2025-06-26		From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on B. P. & E.D.
2025-06-11		Referred to Coms. on B. P. & E.D. and JUD.
2025-06-03		In Senate. Read first time. To Com. on RLS. for assignment.
2025-06-02		Read third time. Passed. Ordered to the Senate. (Ayes 74. Noes 1. Page 1911.)
2025-05-27		Read second time. Ordered to third reading.
2025-05-23		From committee: Do pass. (Ayes 13. Noes 0.) (May 23).
2025-05-07		In committee: Set, first hearing. Referred to APPR. suspense file.
2025-04-30		Coauthors revised.
2025-04-30		From committee: Do pass and re-refer to Com. on APPR. (Ayes 10. Noes 0.) (April 29). Re-referred to Com. on APPR.
2025-04-22		From committee: Do pass and re-refer to Com. on JUD. (Ayes 17. Noes 0.) (April 22). Re-referred to Com. on JUD.
2025-04-01		Re-referred to Com. on B. & P.
2025-03-28		From committee chair, with author's amendments: Amend, and re-refer to Com. on B. & P. Read second time and amended.
2025-03-28		Referred to Coms. on B. & P. and JUD.
2025-02-21		From printer. May be heard in committee March 23.
2025-02-20		Read first time. To print.

Keywords

Tags

Versions

Chaptered		2025-10-10
Enrolled		2025-09-10
Amended Senate		2025-06-26
Amended Assembly		2025-03-28
Introduced		2025-02-20

Last Version Text

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		<ns0:Title>An act to add Section 7036 to the Business and Professions Code, relating to professions and vocations.</ns0:Title>
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			<ns0:Subject>Contractors: failure to pay wages: discipline. </ns0:Subject>
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			<html:p>Existing law, the Contractors State License Law, establishes the Contractors State License Board to license and regulate contractors and establishes the registrar of contractors as the executive officer and secretary of the board. Existing law requires the registrar, upon receipt of the Labor Commissioner’s finding of a willful or deliberate violation of the Labor Code by a licensee or transmission to the board of citations or other actions taken by the Division of Occupational Safety and Health, to initiate disciplinary action against the licensee within 18 months.</html:p>
			<html:p>This bill would authorize the Attorney General to bring a civil action to impose discipline upon, to deny an application for, or to deny continued maintenance of, a contractor’s license for failing to pay its workers the full amount of wages the workers are
		entitled to under state law or because the contractor has not fulfilled a wage judgment or is in violation of an injunction or court order regarding the payment of wages to its workers. The bill would require the Attorney General to notify the registrar before bringing a civil action and would authorize the board to intervene in a proceeding brought pursuant to the bill’s provisions. The bill would require a court to issue an order directing the registrar to suspend or revoke, to deny an application for, or to deny the continued maintenance of, a contractor’s license under terms specified by the court.</html:p>
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				Section 7036 is added to the 
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								(a)
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								Notwithstanding any other provision of this chapter, the Attorney General may bring a civil action to impose discipline upon, to deny an application for, or to deny continued maintenance of, a contractor’s license. The civil action shall be brought on the grounds that a person has failed to pay its workers the full amount of wages that the workers are entitled to under state law, has not fulfilled a wage judgment, or is in violation of an injunction or court order regarding the payment of wages to its workers.
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								(b)
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								The Attorney General shall notify the registrar at least 30 days prior to filing a civil complaint pursuant to subdivision (a). The Attorney General’s failure to provide this notice shall not constitute a defense to the action.
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								(c)
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								The board may intervene in any court proceedings brought pursuant to this section within 60 days of the filing of the initial complaint. After that time, intervention shall be by leave of court upon good cause shown. If the board elects not to intervene, the election shall be deemed consent by the board to comply with any order of the court issued pursuant to subdivision (d) and to be subject to the court’s jurisdiction to enforce the order, if necessary. No action or inaction under this section shall preclude the registrar from independently or concurrently proceeding administratively against the contractor’s license and obtaining administrative remedies for any violations not alleged in the Attorney General’s complaint, whether or not the board has intervened.
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								(d)
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								Upon the Attorney General establishing the cause of action described in subdivision (a), the following shall
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								(1)
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								The relief granted shall be in the form of an order by the court directing the registrar to exercise its authority to suspend or revoke, to deny an application for, or to deny the continued maintenance of, a contractor’s license under terms specified by the court. In granting the relief, the court may consider both the severity and the form of relief imposed by the registrar in disciplinary actions taken by the registrar, making reasonable efforts to conform to the court’s order.
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								(2)
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								Any order for suspension, revocation, or application denial pursuant to this section shall be considered disciplinary action within the meaning of Section 7071.8 and legal action within the meaning of Section 7124.6, and, unless the court orders otherwise, the registrar shall determine the length of time prior to license reinstatement or reissuance pursuant to Section 7102, except that a
				  license denied under this section is subject to the period prescribed in subdivision (a) of Section 486.
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								(e)
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								Nothing in this section shall preclude or require the board to investigate a license for violations of this chapter pursuant to Sections 7011.7 and 7090 or require the board to afford notice or a hearing under the provisions of Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code.
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								(f)
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								A good faith mistake regarding which wage rate applies to a particular category of work, including, but not limited to, for purposes of payment of prevailing wages, shall not constitute a violation under this section.
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Last Version Text Digest

Existing law, the Contractors State License Law, establishes the Contractors State License Board to license and regulate contractors and establishes the registrar of contractors as the executive officer and secretary of the board. Existing law requires the registrar, upon receipt of the Labor Commissioner’s finding of a willful or deliberate violation of the Labor Code by a licensee or transmission to the board of citations or other actions taken by the Division of Occupational Safety and Health, to initiate disciplinary action against the licensee within 18 months. This bill would authorize the Attorney General to bring a civil action to impose discipline upon, to deny an application for, or to deny continued maintenance of, a contractor’s license for failing to pay its workers the full amount of wages the workers are entitled to under state law or because the contractor has not fulfilled a wage judgment or is in violation of an injunction or court order regarding the payment of wages to its workers. The bill would require the Attorney General to notify the registrar before bringing a civil action and would authorize the board to intervene in a proceeding brought pursuant to the bill’s provisions. The bill would require a court to issue an order directing the registrar to suspend or revoke, to deny an application for, or to deny the continued maintenance of, a contractor’s license under terms specified by the court.