20104.70

PUBLIC CONTRACT CODE
SECTION 20104.70




20104.70.  (a) (1) The second lowest bidder, and any person, firm,
association, trust, partnership, labor organization, corporation, or
other legal entity which has, prior to the letting of the bids on the
public works project in question, entered into a contract with the
second lowest bidder, may bring an action in superior court if that
entity suffers damages as a result of the bid of the second lowest
bidder for any contract subject to this part not being accepted due
to the successful bidder's violation, as evidenced by the conviction
of the successful bidder therefor, of any provision of Division 4
(commencing with Section 3200) of the Labor Code or of the
Unemployment Insurance Code, or of both.
   (2) There shall be a rebuttable presumption that a successful
bidder who has been convicted of a violation of any provision of
Division 4 (commencing with Section 3200) of the Labor Code or of the
Unemployment Insurance Code, or of both, was awarded the bid because
that successful bidder was able to lower the bid due to this
violation or these violations occurring on the contract for public
work awarded by the public agency.
   (b) In an action brought pursuant to this section, the court may
award costs and reasonable attorney's fees, in an amount to be
determined in the court's discretion, to the prevailing party.
   (c) For purposes of an action brought pursuant to this section:
   (1) Employee status shall be determined pursuant to Division 4
(commencing with Section 3200) of the Labor Code with respect to
alleged violations of that division, pursuant to the Unemployment
Insurance Code with respect to alleged violations of that code, or
pursuant to Section 2750.5 of the Labor Code with respect to alleged
violations of either Division 4 (commencing with Section 3200) or of
the Unemployment Insurance Code, or of both.
   (2) "Second lowest bidder" means the second lowest qualified
bidder deemed responsive by the public agency awarding the contract
for public work.
   (3) The "second lowest bidder" and the "successful bidder" may
include any person, firm, association, corporation, or other legal
entity.
   (d) A second lowest bidder who has been convicted of a violation
of any provision of Division 4 (commencing with Section 3200) of the
Labor Code or of the Unemployment Insurance Code, or both, within one
year prior to filing the bid for public work, and who has failed to
take affirmative steps to correct that violation or those violations,
is prohibited from taking any action authorized by this section.