SB 847: Workers’ compensation: uninsured employer: transfer of real property.

Official summary

Legislative Counsel’s Digest (official, as of the latest version). Written by nonpartisan legislative staff; reproduced verbatim.

Existing law establishes a workers’ compensation system, administered by the Administrative Director of the Division of Workers’ Compensation, to compensate an employee for injuries sustained in the course of employment. Under existing law, an employer is required to provide for the payment of workers’ compensation and if the employer has not secured the payment of compensation or is illegally uninsured, a lien may be filed against the employer’s property or the property of any person found to be parents or substantial shareholders of the employer.

This bill would authorize the director to determine whether a conveyance of real property by an uninsured employer or a substantial shareholder after a date of injury in a claim and prior to the recording of a certificate of lien was intended to retain a beneficial interest in that real property for the uninsured employer or substantial shareholder, resulting in a trust for the benefit of the uninsured employer. The bill would authorize the director to make a prima facie finding that the transaction resulted in a beneficial trust for the uninsured employer when specified circumstances are present, such as the deed indicates that the transfer was made as a gift or that no transfer tax to the county was paid, among others. The bill would require that when the director determines that such a trust exists, a certificate of lien shall be attached to the resulting trust and would require the director to mail written notices of that determination to the transferor and transferee, as prescribed.

Sponsors

Sponsors by party (alphabetical): Democratic 1

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. October 13, 2025Chaptered by Secretary of State. Chapter 790, Statutes of 2025.
2. October 13, 2025Approved by the Governor.
3. September 3, 2025Enrolled and presented to the Governor at 11 a.m.
4. August 28, 2025In Senate. Ordered to engrossing and enrolling.
5. August 28, 2025Read third time. Passed. (Ayes 74. Noes 0. Page 2777.) Ordered to the Senate.
6. August 21, 2025Read second time. Ordered to consent calendar.
7. August 20, 2025From committee: Do pass. Ordered to consent calendar. (Ayes 15. Noes 0.) (August 20).
8. July 16, 2025From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 17. Noes 0.) (July 16). Re-referred to Com. on APPR.
9. July 2, 2025From committee: Do pass and re-refer to Com. on INS. with recommendation: To consent calendar. (Ayes 12. Noes 0.) (July 1). Re-referred to Com. on INS.
10. June 19, 2025Re-referred to Coms. on JUD. and INS. pursuant to Assembly Rule 96.
11. June 5, 2025Referred to Coms. on INS. and JUD.
12. May 29, 2025In Assembly. Read first time. Held at Desk.