(a) The failure of a permitholder to obtain or maintain workers’ compensation insurance coverage, if required under this chapter, shall result in the suspension of the permit by operation of law in accordance with the provisions of this section, but this suspension shall not affect, alter, or limit the status of the permitholder as an employer for purposes of § 3716 of the Labor Code.

(b) The permit suspension imposed by this section is effective upon the earlier of either of the following:

Terms Used In California Business and Professions Code 19239.4

  • Bureau: refers to the Bureau of Household Goods and Services, as established in Section 9810. See California Business and Professions Code 19225.5
  • Household mover: includes every corporation or person, their lessees, trustee, receivers, or trustees appointed by any court whatsoever, engaged in the permitted or unpermitted transportation for compensation or hire as a business by means of a motor vehicle or motor vehicles being used in the transportation of used household goods and personal effects over any public highway in this state. See California Business and Professions Code 19225.5
  • Subdivision: means a subdivision of the section in which that term occurs, unless some other section is expressly mentioned. See California Business and Professions Code 15

(1) On the date that the relevant workers’ compensation insurance coverage lapses.

(2) On the date that workers’ compensation coverage is required to be obtained.

(c) A permitholder who is subject to suspension under paragraph (1) of subdivision (b) shall be provided a notice by the bureau that includes all of the following:

(1) The reason for the permit suspension and the effective date.

(2) A statement informing the permitholder that a pending suspension will be posted to the permit record for not more than 45 days prior to the posting of any permit suspension periods required under this article.

(3) The procedures required to reinstate the permit.

(d) Reinstatement may be made at any time following the suspension by showing proof of compliance as specified in Sections 19239.1 and 19239.3.

(e) With respect to an unpermitted individual acting in the capacity of a household mover who is not exempt from the provisions of this chapter, a citation may be issued by the bureau for failure to comply with this article and to maintain workers’ compensation insurance.

(Added by Stats. 2017, Ch. 421, Sec. 8. (SB 19) Effective January 1, 2018.)

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