(a) The Labor Commissioner may create a lien on any real property in California of an employer, or a successor employer pursuant to subdivision (e) of Section 238, that is conducting business in violation of Section 238 for the full amount of any wages, interest, and penalties claimed to be owed to any employee. To the extent attorney’s fees are specifically allowed to be recovered by this code, such as by, but not limited to, subdivision (f) of Section 2673.1 and Section 2802, during a hearing pursuant to Section 98, the Labor Commissioner may include that amount in the lien.
(b) The Labor Commissioner may create the lien provided in this section by recording a certificate of lien using the same procedure applicable under subdivision (g) of Section 98.2.
(c) The Labor Commissioner shall issue a certificate of release, releasing the lien created under this section, upon final satisfaction of any judgment entered in favor of the employee, upon adjudication of the claim in favor of the employer, upon the filing of a surety bond pursuant to Section 238. The certificate of release may be recorded by the employer at the employer’s expense.
(d) Unless the lien is satisfied or released, a lien under this section shall continue until 10 years from the date of its creation.
(e) Prior to using the lien procedure in this section, the Labor Commissioner shall provide at least 20 days’ notice to the employer. The notice shall advise the employer of the Labor Commissioner’s authority to create a lien on the property to secure payment of the claim.
(f) The Labor Commissioner may serve the notice with and in the same manner as the order, decision, and award in accordance with Section 98.1.
(g) A lien created pursuant to this section is in addition to any other lien rights available to an employee or to the Labor Commissioner and shall not be construed to limit those rights.
(Added by Stats. 2015, Ch. 803, Sec. 6. (SB 588) Effective January 1, 2016.)
Last modified: October 25, 2018