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California bills · 2025-2026 Regular Session

California SB 597

Labor-related liabilities: direct contractor and subcontractor.

  1. Introduced
  2. In committee
  3. Passed Senate
  4. Passed House
  5. To Governor
  6. Became law

Sponsors

Summary

Official abstract published by the California legislature· summary

Existing law requires, for contracts entered into on or after January 1, 2022, a direct contractor making or taking a contract in the state for the erection, construction, alteration, or repair of a building, structure, or other private work, to assume, and be liable for, any debt owed to a wage claimant or third party on the wage claimant's behalf, incurred by a subcontractor at any tier acting under, by, or for the direct contractor for the wage claimant's performance of labor included in the subject of the contract between the direct contractor and the owner. Existing law defines "direct contractor" for this purpose to mean a contractor that has a direct contractual relationship with an owner. This bill would apply the above-described provision to contracts entered into on or after January 1, 2022, and before January 1, 2026. The bill would instead require, for contracts entered into on or after January 1, 2026, a direct contractor making or taking a contract in the state for the erection, construction, alteration, or repair of a building, structure, or other private work, to assume, and be liable for, any indebtedness for the performance of labor, as specified. The bill would prohibit a direct contractor from being held liable for the indebtedness with respect to fringe or other benefit contributions if they make contribution payments by joint check, as specified. The bill would define "direct contractor" for this purpose to mean a contractor that has a direct contractual relationship with an owner or any other person or entity engaging contractors or subcontractors, as specified, on behalf of the owner. Existing law provides for a streamlined, ministerial approval process or use by right for certain housing developments that meet specified requirements. Existing law requires these developments to meet specified labor standards, including, among other things, making health care expenditures for each employee, as specified. Existing law grants a joint labor-management cooperation committee standing to sue a construction contractor pursuant to the above-described liability provision for failure to make those health care expenditures. This bill would additionally grant a joint labor-management cooperation committee standing to sue pursuant to the liability provision added by this bill.

Text versions

Roll-call votes

State vote data last updated Oct 15, 2026, 4:19 PM.

DateVoteResultYour legislators
Sep 9, 2025
Senate		Unfinished Business SB597 Cortese ConcurrencepassSet your home in California to see
Sep 8, 2025
House		SB 597 Cortese Senate Third Reading By KalrapassSet your home in California to see
Aug 29, 2025
House		Do pass as amended.passSet your home in California to see
Jul 15, 2025
House		Do pass and be re-referred to the Committee on [Appropriations] with recommendation: To Consent CalendarpassSet your home in California to see
Jul 9, 2025
House		Do pass and be re-referred to the Committee on [Judiciary] with recommendation: To Consent CalendarpassSet your home in California to see
May 29, 2025
Senate		Special ConsentpassSet your home in California to see
May 23, 2025
Senate		Do passpassSet your home in California to see
May 5, 2025
Senate		Placed on suspense filepassSet your home in California to see
Apr 22, 2025
Senate		Do pass, but first be re-referred to the Committee on [Appropriations] with the recommendation: To Consent CalendarpassSet your home in California to see
Apr 9, 2025
Senate		Do pass, but first be re-referred to the Committee on [Judiciary]passSet your home in California to see

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