Registration blocker

Definition

A janitorial registration a state will not renew while an unrelated debt is unpaid.

Why It Matters

California registers janitorial employers and will not register or renew one that has an unsatisfied judgment for unpaid wages, unremitted unemployment contributions or a final assessment against it, unpaid federal payroll taxes, an unsatisfied civil rights settlement, or a judgment for failing to carry workers' compensation. None of those is about cleaning and any of them stops the business trading. The register is public, and the customer is deputized to read it: contracting with an unregistered employer carries its own penalty, judged against the database as it stood when the contract was executed, extended, renewed or modified. So a share purchase takes the blocker along with the entity, and the first diligence step in this trade is the public register and not the contract file.