SB 597
Labor-related liabilities: direct contractor and subcontractor.
Vote required
Majority
Fiscal committee
No
Appropriation
No
Current location
Chaptered
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Sign in to take action- Introduced
- Passed Senate
- Passed Assembly
- To Governor
- Became Law
Bill overview
This bill updates California law regarding liability for construction projects. Initially, direct contractors were responsible for debts owed to wage claimants on contracts entered into before January 1, 2022. The bill modifies this, extending the liability to contracts entered into between January 1, 2022, and January 1, 2026, and then shifting the responsibility to contracts entered into on or after January 1, 2026. It also includes provisions to prevent liability for fringe benefits payments made through joint checks and prohibits liability for fringe benefits contributions. Furthermore, the bill expands the standing of the Joint Labor-Management Cooperation Committee to sue for labor standards violations.
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