---
type: "Bill"
title: "Labor-related liabilities: direct contractor."
description: "Existing law requires, for contracts entered into on or after January 1, 2018, a direct contractor, as defined, 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 original contract."
jurisdiction: "us/states/ca"
legislature: "California Legislature"
session: "20212022"
identifier: "SB 727"
citation: "California SB 727 (20212022)"
classification: ["bill"]
subjects: ["Labor-related liabilities: direct contractor."]
status: "enacted"
primary_sponsors: ["Leyva"]
version_count: 8
action_count: 39
vote_count: 10
first_action: "2021-02-19"
last_action: "2021-09-27"
source: "openstates"
source_identifier: "ocd-bill/b0580cf2-7597-46ff-a0d9-874fb45bb9d7"
source_url: "http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202120220SB727"
source_hash: "1eca09f6aa220e3ab386939894ba40f393117143cd344e75c95539aca42ef1b9"
vintage: "2026-07-01"
source_snapshot: "https://data.openstates.org/daily/2026-07-01/public.pgdump"
retrieved_at: "2026-07-06"
confidence: "reported"
tags: ["legislation", "bill", "us-ca"]
---

# California SB 727 (20212022) — Labor-related liabilities: direct contractor.

Existing law requires, for contracts entered into on or after January 1, 2018, a direct contractor, as defined, 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 original contract.

## Version chain

The bill's text revisions, in order — the diff chain from filing to enrollment.

1. **02/19/21 - Introduced** (filed) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=202120220SB727&version=20210SB72799INT)
2. **03/09/21 - Amended Senate** (committee substitute) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=202120220SB727&version=20210SB72798AMD)
3. **04/21/21 - Amended Senate** (committee substitute) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=202120220SB727&version=20210SB72797AMD)
4. **04/29/21 - Amended Senate** (committee substitute) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=202120220SB727&version=20210SB72796AMD)
5. **09/02/21 - Amended Assembly** (committee substitute) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=202120220SB727&version=20210SB72795AMD)
6. **09/27/21 - Chaptered** (committee substitute) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=202120220SB727&version=20210SB72793CHP)
7. **SB727** (committee substitute) — [source](http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202120220SB727)
8. **09/14/21 - Enrolled** (enrolled) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=202120220SB727&version=20210SB72794ENR)

## Votes

- Placed on suspense file — **7–0** (pass) · upper
- Do pass as amended, but first amend, and re-refer to the Committee on [Judiciary] — **4–1** (pass) · upper
- Do pass — **5–2** (pass) · upper
- 3rd Reading — **29–9** (pass) · upper
- Do pass. — **12–4** (pass) · lower
- SB 727 Leyva Senate Third Reading By Lorena Gonzalez — **60–18** (pass) · lower
- Unfinished Business SB727 Leyva et al. Concurrence — **27–9** (pass) · upper
- Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations] — **9–1** (pass) · upper
- Do pass and be re-referred to the Committee on [Judiciary] — **5–2** (pass) · lower
- Do pass and be re-referred to the Committee on [Appropriations] — **8–2** (pass) · lower

## Sponsors

- Leyva — primary (person)
- Lorena Gonzalez — coauthor (person)

## Timeline

The legislative action history — every referral, reading, and vote.

- **2021-02-19** Introduced. To Com. on RLS. for assignment. To print. `introduction`
- **2021-02-22** From printer. May be acted upon on or after March 24.
- **2021-02-22** Read first time. `reading-1`
- **2021-02-22** Art. IV. Sec. 8(a) of the Constitution dispensed with.
- **2021-02-22** (Ayes 32. Noes 4.)
- **2021-02-22** Joint Rule 55 suspended. (Ayes 32. Noes 4. Page 272.)
- **2021-03-03** Referred to Com. on RLS. `referral-committee`
- **2021-03-09** From committee with author's amendments. Read second time and amended. Re-referred to Com. on RLS. `amendment-passage, committee-passage, reading-1, reading-2, referral-committee`
- **2021-03-18** Re-referred to Coms. on L., P.E. & R. and JUD. `referral-committee`
- **2021-03-23** Set for hearing April 5.
- **2021-03-25** April 5 set for first hearing canceled at the request of author.
- **2021-04-06** Set for hearing April 19.
- **2021-04-20** From committee: Do pass as amended and re-refer to Com. on JUD. (Ayes 4. Noes 1. Page 844.) (April 19). `amendment-passage, committee-passage, committee-passage-favorable`
- **2021-04-21** Read second time and amended. Re-referred to Com. on JUD. `amendment-passage, reading-1, reading-2, referral-committee`
- **2021-04-21** Set for hearing April 27.
- **2021-04-28** From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 9. Noes 1. Page 937.) (April 27). `amendment-passage, committee-passage, committee-passage-favorable`
- **2021-04-29** Read second time and amended. Re-referred to Com. on APPR. `amendment-passage, reading-1, reading-2, referral-committee`
- **2021-05-04** Set for hearing May 10.
- **2021-05-10** May 10 hearing: Placed on APPR suspense file.
- **2021-05-14** Set for hearing May 20.
- **2021-05-20** From committee: Do pass. (Ayes 5. Noes 2. Page 1202.) (May 20). `committee-passage, committee-passage-favorable`
- **2021-05-20** Read second time. Ordered to third reading. `reading-1, reading-2`
- **2021-06-01** Read third time. Passed. (Ayes 29. Noes 9. Page 1317.) Ordered to the Assembly. `passage, reading-1, reading-3`
- **2021-06-02** In Assembly. Read first time. Held at Desk. `reading-1`
- **2021-06-10** Referred to Coms. on L. & E. and JUD. `referral-committee`
- **2021-06-23** From committee: Do pass and re-refer to Com. on JUD. (Ayes 5. Noes 2.) (June 22). Re-referred to Com. on JUD. `committee-passage, committee-passage-favorable, referral-committee`
- **2021-07-07** From committee: Do pass and re-refer to Com. on APPR. (Ayes 8. Noes 2.) (July 6). Re-referred to Com. on APPR. `committee-passage, committee-passage-favorable, referral-committee`
- **2021-08-19** August 19 set for first hearing. Placed on suspense file.
- **2021-08-26** Coauthors revised.
- **2021-08-26** From committee: Do pass. (Ayes 12. Noes 4.) (August 26). `committee-passage, committee-passage-favorable`
- **2021-08-30** Read second time. Ordered to third reading. `reading-1, reading-2`
- **2021-09-02** Read third time and amended. `amendment-passage, reading-1, reading-3`
- **2021-09-02** Ordered to third reading.
- **2021-09-09** Read third time. Passed. (Ayes 60. Noes 18. Page 2964.) Ordered to the Senate. `passage, reading-1, reading-3`
- **2021-09-09** In Senate. Concurrence in Assembly amendments pending.
- **2021-09-10** Assembly amendments concurred in. (Ayes 27. Noes 9. Page 2604.) Ordered to engrossing and enrolling. `amendment-passage, committee-passage-favorable`
- **2021-09-17** Enrolled and presented to the Governor at 1:30 p.m.
- **2021-09-27** Approved by the Governor. `executive-signature`
- **2021-09-27** Chaptered by Secretary of State. Chapter 338, Statutes of 2021. `became-law`

## Source

OpenStates / OpenCivicData bulk snapshot [2026-07-01](https://data.openstates.org/daily/2026-07-01/public.pgdump); origin `ocd-bill/b0580cf2-7597-46ff-a0d9-874fb45bb9d7`. Confidence: reported (aggregated from official California legislature records).