39-8-206. License suspension, revocation, or nonrenewal. (1) In addition to the penalty provided in 39-8-302, the department may suspend for up to 1 year, may permanently revoke, or may refuse to renew a license issued under this chapter if, after notice to the licensee, the department finds that any of the following exists:

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Terms Used In Montana Code 39-8-206

  • Appeal: A request made after a trial, asking another court (usually the court of appeals) to decide whether the trial was conducted properly. To make such a request is "to appeal" or "to take an appeal." One who appeals is called the appellant.
  • Client: means a person that obtains all or part of the person's workforce from another person through a professional employer arrangement. See Montana Code 39-8-102
  • Contract: A legal written agreement that becomes binding when signed.
  • Department: means the department of labor and industry. See Montana Code 39-8-102
  • Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
  • Fraud: Intentional deception resulting in injury to another.
  • group: means at least two but not more than five professional employer organizations, each of which is majority-owned by the same person. See Montana Code 39-8-102
  • Licensee: means a person licensed as a professional employer organization or group under this chapter. See Montana Code 39-8-102
  • Professional employer organization: means :

    (i)a person that provides services of employees pursuant to one or more professional employer arrangements or to one or more employee leasing arrangements; or

    (ii)a person that represents to the public that the person provides services pursuant to a professional employer arrangement. See Montana Code 39-8-102

  • Several: means two or more. See Montana Code 1-1-201
  • Writing: includes printing. See Montana Code 1-1-203

(a)a cause for which issuance of the license could have been refused had it been known to the department at the time of issuance;

(b)a violation of an order of the department or noncompliance with any provision of this chapter;

(c)procurement of or attempting to procure a license through misrepresentation or fraud;

(d)failure to provide a written response to a written inquiry from the department or its agent within 30 days after receiving an inquiry; or

(e)failure to meet or maintain any other requirement of this chapter.

(2)If a license is suspended, revoked, or not renewed, the department shall:

(a)immediately notify by certified mail the licensee and the licensee’s workers’ compensation carrier; and

(b)require the licensee to:

(i)notify each client by certified mail, return receipt requested, of the suspension, revocation, or nonrenewal using language furnished by the department;

(ii)notify each client in writing that the client shares joint and several liability, retroactive to the date of the client’s entering into a contract with the licensee, for any wages, workers’ compensation premiums, payroll-related taxes, and any benefits left unpaid by the professional employer organization or group; and

(iii)provide the department with evidence of client notification.

(3)Upon notification, the licensee may appeal the decision of the department pursuant to the procedure provided in 39-8-203.