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Unlicensed northern California contractor sentenced for failure to carry work comp insurance

Uninsured employers, meaning those who fail to carry the necessary amount of workers' compensation coverage in the state of California, face a multitude of penalties from steep fines and potential jail time to the loss of a professional license.

This was recently the case in northern California, where Brian G. of Valley Springs was sentenced to four years of felony probation and fined $2,500 after pleading guilty in March to one felony count of fraudulent use of a contractor license number and one misdemeanor count of failing to carry workers' compensation insurance.

According to the Amador County District Attorney's Office and officials with the Contractors State License Board (CLSB), Brian G., 55, and a crew of three were discovered roofing a home in Jackson on October 1, 2010.

The problem?

Brian G.'s contractor license was revoked by the CLSB on June 1, 2010 following his failure to pay two previous administrative citations of more than $4,000. One of these citations was for the filing of false exemptions in order to avoid paying work comp premiums.

"Unlicensed contractors cause harm to unsuspecting consumers and have an unfair advantage over legitimate contractors who obtain workers' compensation insurance for their employees and pay proper taxes," said Amador County District Attorney Todd D. Riebe. "This conviction sends a message that we are watching what they do and will prosecute when appropriate to protect law-abiding contractors and consumers."

It is worth noting that in the state of California, all licensed contractors are required to carry work comp insurance for their employees. In addition, roofing contractors must purchase work comp coverage even if they certify that they have no employees.

If you are an uninsured California employer facing a real problem - prospective fine, prosecution, an employee injury or litigation - there are steps that can be taken to minimize the consequences. In these difficult circumstances, you may want to consider consulting with an experienced legal professional.

This post was provided for informational purposes only and is not to be construed as legal advice. (Names have been withheld to protect the identity of the accused.)

Related Resources:

Contractor with revoked license sentenced in Amador County (The Pine Tree)

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