Reporting Requirements - Professional Engineers - Business & Professions - CA

Section § 6770

If you are a licensed professional engineer in California, you must notify the board in writing within 90 days if you experience certain legal or professional issues. These include being convicted of a felony or related crime, settlements or judgments in civil cases involving fraud or negligence that exceed specified dollar amounts, or certain administrative actions. The report needs to include a signed statement of facts and information about any court or agency involved. You must also answer the board's questions about these issues. Not reporting as required can lead to disciplinary action, and a conviction counts even if you're appealing it. However, you don't have to report if these issues happen to other licensees.

(a) A licensee shall report to the board in writing the occurrence of any of the following events that occurred on or after January 1, 2008, within 90 days of the date the licensee has knowledge of the event:

(1) The conviction of the licensee of any felony.

(2) The conviction of the licensee of any other crime that is substantially related to the qualifications, functions, and duties of a licensed professional engineer.

(3) A civil action settlement or administrative action resulting in a settlement against the licensee in any action alleging fraud, deceit, misrepresentation, breach or violation of contract, negligence, incompetence, or recklessness by the licensee in the practice of professional engineering if the amount or value of the settlement is greater than fifty thousand dollars ($50,000).

(4) A civil action judgment or binding arbitration award or administrative action resulting in a judgment or binding arbitration award against the licensee in any action alleging fraud, deceit, misrepresentation, breach or violation of contract, negligence, incompetence, or recklessness by the licensee in the practice of professional engineering if the amount or value of the judgment or binding arbitration award is twenty-five thousand dollars ($25,000) or greater.

(b) The report required by subdivision (a) shall be signed by the licensee and set forth the facts that constitute the reportable event. If the reportable event involves the action of an administrative agency or court, the report shall set forth the title of the matter, court or agency name, docket number, and the date the reportable event occurred.

(c) A licensee shall promptly respond to oral or written inquiries from the board concerning the reportable events, including inquiries made by the board in conjunction with license renewal.

(d) Nothing in this section shall impose a duty upon any licensee to report to the board the occurrence of any of the events set forth in subdivision (a) either by or against any other licensee.

(e) Failure of a licensee to report to the board in the time and manner required by this section shall be grounds for disciplinary action.

(f) For the purposes of this section, a conviction includes the initial plea, verdict, or finding of guilt; a plea of no contest; or pronouncement of sentence by a trial court even though the conviction may not be final or sentence actually imposed until all appeals are exhausted.

professional engineer felony conviction crime related to engineering

Section § 6770.1

If a license holder is involved in a legal case that results in a conviction, settlement, or judgment, the court must notify the relevant licensing board within 30 days. The court needs to send a report and copies of the legal documents related to the case to the board. This helps the board stay informed about the legal issues involving its licensees.

Within 30 days of entry of a conviction described in paragraphs (1) and (2) of subdivision (a) of Section 6770, a settlement described in paragraph (3) of subdivision (a) of Section 6770, or a judgment described in paragraph (4) of subdivision (a) of Section 6770, by a court of this state that has been notified that the defendant is a licensee of the board, the court that rendered the conviction, settlement, or judgment shall report that fact to the board and provide the board with a copy of the conviction, settlement, or judgment and any orders or opinions of the court accompanying or ordering the conviction, settlement, or judgment.

conviction reporting licensee notification licensing board

Section § 6770.2

This law requires that if a licensee, like a professional who holds a license from the board, is involved in a civil case and a payout is made because of a judgment, settlement, or arbitration decision, then this must be reported to the board. This report needs to be submitted within 30 days of the payment. Insurance companies or government agencies that provide insurance must include the name of the licensee, the amount paid, and who received the payment in their report.

(a) Within 30 days of payment of all or any portion of any civil action judgment, settlement, or binding arbitration award described in Section 6770 against a licensee of the board, any insurer providing professional liability insurance to that licensee shall report to the board the name of the licensee; the amount or value of the judgment, settlement, or binding arbitration award; the amount paid by the insurer; and the identity of the payee.

(b) Within 30 days of payment of all or any portion of any civil action judgment, settlement, or binding arbitration award described in Section 6770 against a licensee of the board, any state or local government agency that self-insures that licensee shall report to the board the name of the licensee; the amount or value of the judgment, settlement, or binding arbitration award; the amount paid; and the identity of the payee.

civil action judgment settlement reporting binding arbitration award

Section § 6770.3

This law states that certain legal requirements will apply when a business or government agency, involved in a legal action or settlement, includes a licensee who was in charge of the part of a project related to that legal case. This applies if the licensee was an owner, partner, officer, or employee of the business or agency.

The requirements of Sections 6770, 6770.1, and 6770.2 shall apply if a party to the civil action, settlement, or arbitration award is or was a sole proprietorship, partnership, firm, corporation, or state or local government agency in which the licensee is or was an owner, partner, member, officer, or employee and is or was the licensee in responsible charge of that portion of the project that was the subject of the civil judgment, settlement, or arbitration award.

sole proprietorship partnership corporation

Section § 6770.4

This law says that if a person who holds a license reports something to the board as they're supposed to, they're not breaking any confidentiality agreements they might have signed in a settlement.

(a) Notwithstanding any other provision of law, a licensee shall not be considered to have violated a confidential settlement agreement or other confidential agreement by providing a report to the board as required by this article.

licensee confidential settlement report

Section § 6770.5

This law allows the board to create detailed rules about how certain reporting requirements should be followed. These rules will clarify existing sections mentioned, making it easier for people to understand what exactly needs to be reported.

The board may adopt regulations to further define the reporting requirements of Sections 6770, 6770.1, and 6770.2.

board regulations reporting requirements define reporting

Section § 6770.6

This law will only be effective starting January 1, 2008, if money is set aside in the budget from a specific fund, and the board is given enough permission and staffing to carry out the law's activities.

This article shall become operative on January 1, 2008, only if an appropriation is made from the Professional Engineer’s and Land Surveyor’s Fund for the 2007–08 fiscal year in the annual Budget Act to fund the activities of this article, and sufficient hiring authority is granted to the board pursuant to a budget change proposal to provide sufficient staffing to implement this article.

operative date January 1 2008