California Restaurant Fined Thousands Of Dollars

January 11, 2019
Sacks & Zolonz, LLP
Uninsured Employers

In December of last year, a California pizza restaurant found itself in hot water when it was ordered to pay $10,000 in fines for two labor code violations. Both violations centered around the restaurant’s failure to provide workers’ compensation to their employees.

Not only was the owner David Michael Bufano found guilty of the workers’ comp charge, but he was also in violation of a state stop order he was given after an investigation found that his employees were not given insurance. He was ordered to stop business until the problem was fixed.

The $10,000 fine will go into the Uninsured Employers Fund which is set aside to cover employees who get injured at work who are not insured by their employer. Bufano also faces a $6,000 fine from the state labor commission.

Labor code and insurance violations are taken seriously by the state. If you have been accused of fraud, you need to seek a qualified and experienced attorney to have your back. At Sacks & Zolonz, LLP, we will vigorously defend you in the court. When you need a Los Angeles uninsured employers attorney, call us today.

What Can Happen?

The penalties for workers’ compensation fraud can be significant. If an employer engaged in conduct that has been deemed “serious and willful,” then they could face fines as well as jail time. In the story above, you see that Bufano was fined by two agencies for his neglect to provide insurance to his employees. Anyone found guilty of the same thing faces:

  • A similar $10,000 fine
  • Up to one year in county jail
  • Further penalties assessed at $2,000 to $10,000 per employee

Does a worker have to sustain an injury for these penalties to occur?

No, they do not. In fact, if it is discovered that an employer has not insured their employees, they will likely be issued a stop order by the Division of Labor Standards Enforcement. This means that they cannot conduct any further business until the issue is resolved. Not only that, but an employer must continue to pay their employees even if they are not working (up to 10 days).

These are just a few of the possible penalties that employers face for workers’ compensation insurance issues. Do not let yourself or your business fall victim.

What Are Your Options

The first thing you need to do if you have been accused of workers compensation fraud or having uninsured employers is to secure an attorney who is skilled in this area of law. The state carries a nearly inexhaustible amount of resources that they can use against you, so you must ensure you have a team that can fight back.

At Sacks & Zolonz, LLP, we will work diligently on your behalf, creating a successful strategy so you can get back to living a normal life. When you need a Los Angeles uninsured employers attorney, you can contact us for a consultation by clicking here or calling 310-216-7778.

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