California Code of Regulations
Title 8 - Industrial Relations
Division 1 - Department of Industrial Relations
Chapter 6 - Division of Labor Standards Enforcement
Subchapter 6.5 - Hearings on Actions to Recover Wages, Penalties, and Other Demands for Compensation and on Claims from Holders of Dishonored Payroll Checks or Drafts
Article 1 - Rules of Practice and Procedure
Section 13520 - Definition of "Willful."
Current through Register 2024 Notice Reg. No. 38, September 20, 2024
A willful failure to pay wages within the meaning of Labor Code Section 203 occurs when an employer intentionally fails to pay wages to an employee when those wages are due. However, a good faith dispute that any wages are due will preclude imposition of waiting time penalties under Section 203.
(a) Good Faith Dispute. A "good faith dispute" that any wages are due occurs when an employer presents a defense, based in law or fact which, if successful, would preclude any recovery on the part of the employee. The fact that a defense is ultimately unsuccessful will not preclude a finding that a good faith dispute did exist. Defenses presented which, under all the circumstances, are unsupported by any evidence, are unreasonable, or are presented in bad faith, will preclude a finding of a "good faith dispute."
1. New
section filed 7-8-88; operative 8-7-88 (Register 88, No. 29).
2.
Editorial correction of subsection (a) (Register 2019, No.
21).
Note: Authority cited: Sections 55 and 98.8, Labor Code. Reference: Section 203, Labor Code.
