CollectionsPenalty Assessments

Section § 1900

Explanation

This law allows the Department of Industrial Relations in California to make an agreement with another department to handle the collection of various penalties, fees, and debts related to labor laws. This means the second department can collect overdue wages, fines, and other costs. The agreement must outline how the Department of Industrial Relations will pay any collection costs to the second department, ensuring these costs don’t exceed the actual expenses. If possible, the debtor should cover collection costs.

Additionally, interest will be added to these debts starting from when the notice is given, and these debts will be treated as final and collectible by the state. The collecting department can use any methods or tools available to collect these debts, similar to how any other debts under this division may be collected. Certain legal limitations and specific codes will not apply to these collections.

(a)Copy CA Unemployment Insurance Code § 1900(a)
(1)Copy CA Unemployment Insurance Code § 1900(a)(1) Notwithstanding any other law, the Department of Industrial Relations may enter into an agreement with the department that provides for the transfer of all or part of the responsibility from the Department of Industrial Relations, or any office or division within that department, to the department for the collection of penalty assessments including, but not limited to, delinquent fees, wages, penalties, judgments, assessments, costs, citations, debts, and any interest thereon, arising out of the enforcement of any law within the jurisdiction of the Department of Industrial Relations or any office or division within. The agreement shall specify the terms under which those items and interest shall become subject to collection by the department.
(2)CA Unemployment Insurance Code § 1900(a)(2) The agreement shall also prescribe a procedure for the Department of Industrial Relations to reimburse the department for the costs of collection, and provide that the amount of any reimbursement shall not exceed the actual costs of collection, including court costs and reasonable attorney’s fees. Wherever possible the collection costs shall be borne by the debtor.
(b)CA Unemployment Insurance Code § 1900(b) For amounts referred for collection under subdivision (a), interest shall accrue at the adjusted annual rate and by the method established pursuant to Section 685.010 of the Code of Civil Procedure from and after the date of notice until paid.
(c)CA Unemployment Insurance Code § 1900(c) Amounts referred for collection under subdivision (a) shall be treated as final liabilities and due and payable to the State of California and may be collected from the debtor by the department in any manner authorized under the law for collection of any amount imposed under this division. Any information, information sources, enforcement remedies, and capabilities available to the Department of Industrial Relations shall be available to the department to be used in conjunction with, or independent of, the information, information sources, remedies, and capabilities available to the department for purposes of administering this code.
(d)CA Unemployment Insurance Code § 1900(d) The provisions of Article 8 (commencing with Section 1870) and Section 1110.1 shall not apply to amounts referred for collection under subdivision (a).
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