DEPARTMENT OF INDUS. REL. v. Fidelity Roof Co.

Good Law

1997 Cal. App. LEXIS 1090·60 Cal. App. 2d 411·60 Cal. App. 4th 411·70 Cal. Rptr. 2d 465·4 Wage & Hour Cas.2d (BNA) 503

Court of Appeal of CaliforniaDecember 23, 1997Docket Nos. A068692, A069047California6,162 words

Opinion

Corrigan, J.

In this case arising from a violation of the state’s prevailing wage law (Lab. Code, § 1720 et seq.), we conclude the complaint against Fidelity Roof Company (Fidelity) was not timely filed. We further hold that the Department of Industrial Relations, Division of Labor Standards Enforcement (DLSE) may collect unpaid wages from the payment bond surety under the circumstances presented here.

Statement of the Case

On April 4, 1991, Fidelity contracted with the Alameda Unified School District (AUSD) to reroof Encinal High School. On December 10, AUSD passed a resolution accepting the project as complete. On March 25, 1992, DLSE filed suit against Fidelity to recover unpaid wages and penalties under the state’s prevailing wage law. In the same complaint, DLSE also sued Indiana Lumbermens Mutual Insurance Company (Lumbermens), the surety on Fidelity’s payment bond.

Following a court trial, judgment was entered in favor of DLSE and against Fidelity for unpaid wages in an amount not to exceed $45,950.65. The court ordered the award reduced by that portion attributable to benefits for medical insurance and retirement plans, concluding that federal law preempted recovery for…

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