Any person who holds a valid state contractor’s license issued pursuant to Chapter 9 (commencing with Section 7000) of Division 3 of the Business and Professions Code, and who willingly and knowingly enters into a contract with any person to perform services for which a license is required as an independent contractor, and that person does not meet the burden of proof of independent contractor status pursuant to Section 2750.5 or hold a valid state contractor’s license, shall be subject to a civil penalty in the amount of two hundred dollars ($200) per person so contracted with for each day of the contract. The civil penalties provided for by this section are in addition to any other penalty provided by law.

(Amended by Stats. 2003, Ch. 329, Sec. 7. Effective January 1, 2004.)

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Terms Used In California Labor Code 1021.5

  • Contract: A legal written agreement that becomes binding when signed.
  • Person: means any person, association, organization, partnership, business trust, limited liability company, or corporation. See California Labor Code 18