HB 5426 Summary

• Allows the Labor Commissioner or employees to establish liens on employer property for unpaid wages by serving notice of lien by certified or priority mail, with the lien amount equal to recoverable damages in a civil action.

• Employers may dispute liens by filing a complaint in small claims or Superior Court within 30 days of notice; courts must issue decisions within 45 days and may award attorney fees to the prevailing party.

• Wage liens on real property are recorded with town clerks; liens on personal property are recorded like UCC financing statements with the Secretary of State and are effective for 10 years unless extinguished or discharged.

• Liens have priority over other encumbrances created after wages became due and can be enforced through foreclosure on real property or levy on personal property after judgment is entered against the employer.

• Fiscal intermediaries providing payroll services to personal care attendants are deemed employers and must provide timely wage communication, notice of pay discrepancies, correction procedures, and pay any discrepancies resolved within 48 hours.