California Business and Professions Code

§ 7125.4

BPC § 7125.4 Effective Jan 1, 2026Div. 3 · Ch. 9 · Art. 7.5

Statute text

(a)The filing of the exemption certificate prescribed by this article that is false, or the employment of a person subject to coverage under the workers’ compensation laws after the filing of an exemption certificate without first filing a Certificate of Workers’ Compensation Insurance or Certification of Self-Insurance in accordance with the provisions of this article, or the employment of a person subject to coverage under the workers’ compensation laws without maintaining coverage for that person, constitutes cause for disciplinary action, including, but not limited to, the following civil penalties:

(1)A minimum civil penalty of ten thousand dollars ($10,000) per violation for any sole owner licensee found to have employed workers without maintaining workers’ compensation coverage.

(2)A minimum civil penalty of twenty thousand dollars ($20,000) per violation for any partnership, corporation, limited liability company, or tribal business licensee found to have employed workers without maintaining workers’ compensation coverage.

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Legislative history

Amended by Stats. 2025, Ch. 455, Sec. 3. (SB 291) Effective January 1, 2026.