Draconian Enforcement Of Calif. Labor Law Continues

Law360, New York (January 8, 2008, 12:00 AM EST) -- § 212, enacted in 1910 to curb the abuses of the “company town,” forbids California employers from paying wages by "check...unless it is negotiable and payable in cash, on demand, without discount, at some established place of business in the state, the name and address of which must appear on the instrument...." Labor Code § 212(a)(1).

Although § 212 served its purposes well for many decades, the requirement that payroll checks be drawn on an institution located within the state is not a good fit with...
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