§ 8-79-103 — Premiums, surcharges, and assessments a lien on property

Colorado § 8-79-103

• Jurisdiction: Colorado
• Title 08: Labor and
• Art.: Collection of Contributions, Penalties, Interest

Text

(1)
The premiums and surcharges imposed by sections 8-76-101 to 8-76-104 and any
assessments imposed pursuant to section 29-4-710.7, C.R.S., shall be a first and
prior lien upon the real and personal property of any employer subject to articles 70
to 82 of this title, except as to the lien of general property taxes and except as to
valid liens existing at the time of the filing of the notice provided for in section 8-79-105, and shall take precedence over all other liens or claims of whatsoever kind
or nature. Any employer that sells, assigns, transfers, conveys, loses by foreclosure
of a subsequent lien, or otherwise disposes of its business, or any part thereof, shall
file with the division such reports as the director of the division, by rule, may
prescribe within ten days after the date of any such transaction. The employer's
successor shall be required to withhold from the purchase money an amount of
money sufficient to cover the amount of premiums or surcharges and assessments
due and unpaid until such time as the former owner produces a receipt from the
division showing that the premiums, surcharges, or assessments have been paid or
a certificate that no premiums, surcharges, or assessments are due. Any successor
that fails to comply with this subsection (1) shall be personally liable for the
payment of any premiums, surcharges, or assessments due and unpaid.

(2) When the business or property of any employer is placed in receivership,
seized under distraint for property taxes, or assigned for the benefit of creditors, all
premiums, surcharges, assessments, penalties, and interest imposed by articles 70
to 82 of this title and section 29-4-710.7, C.R.S., shall be a prior and preferred claim
against all of the property of said employer, except as to the lien of general
property taxes, and as to valid liens existing at the time of the filing of the notice
provided for in section 8-79-105, and as to claims for wages of not more than two
hundred fifty dollars to each claimant earned within six months after the
commencement of the proceeding. No sheriff, receiver, assignee, or other officer
shall sell the property of any employer under process or order of court in such
cases without first ascertaining from the division the amount of any premiums,
surcharges, or assessments due and payable under articles 70 to 82 of this title and
section 29-4-710.7, C.R.S. If any premiums, surcharges, or assessments are due,
owing, and unpaid, it is the duty of such sheriff, receiver, assignee, or other officer
to first pay the outstanding amount of premiums, surcharges, or assessments out of
the proceeds of the sale before making payment of any moneys to any judgment
creditor or other claims of whatsoever kind or nature, except the costs of the
proceedings. In the event of an employer's being subject to an order for relief,
judicially confirmed extension proposal, or composition under the federal
bankruptcy code of 1978, title 11 of the United States Code, premiums, surcharges,
or assessments then or thereafter due shall be entitled to such priority as is
provided in section 507 of that code for taxes due the state of Colorado.

Legislative History

Source: L. 36, 3rd Ex. Sess.: p. 44, � 14. CSA: C. 167A, � 14. L. 39: p. 578, � 11. L. 41: p. 794, � 14. CRS 53: � 82-9-3. C.R.S. 1963: � 82-9-3. L. 80: (2) amended, p. 782, � 2, effective June 5. L. 81: Entire section amended, p. 504, � 22, effective July 1. L. 86: (1) amended, p. 495, � 105, effective July 1. L. 91: Entire section amended, p. 718, � 4, effective July 1. L. 2009: Entire section amended, (HB 09-1363), ch. 363, p. 1906, � 29, effective July 1.