LIEN BILL DEFEATED ON ASSEMBLY FLOOR

We are happy to report that AB 1164 (Lowenthal; D-Long Beach), a bill that had previously died in a legislative committee but was revived by a renewed push by union groups and passed through the Appropriations Committee on a party-line vote, failed to make a major legislative deadline and is dead.

The bill faced stiff resistance from a huge coalition of business interests, including all of the commercial real estate groups.  It was also tagged by the CalChamber with the dreaded “Job Killer” label.

This bill sought to allow an employee to file a wage lien on any “property upon which the employee bestowed labor for the benefit of the property owner and with the owner’s consent and knowledge that such labor was being provided.” This directly allows an employee who performs work in an off-site location to file a wage lien against a third party. Under this bill, a cable installer could file a wage lien against any building in which he installed cable.

AB 1164 would cripple California businesses by allowing any employee, employee representative, or the Labor Commissioner to file wage liens on an employer’s real property, personal property, or any property where an employee “bestowed labor” for unproven wage claims.”

© 2007-2012 Building Owners and Managers Association of California (BOMA Cal)