§ 50-6-411 — [Effective until 7/1/2029] Workers' compensation insurance compliance investigations - Subpoenas and other process

Tennessee § 50-6-411

• Jurisdiction: Tennessee
• Title: 50

Text

(a) (1) In order to carry out the purposes of this chapter, the administrator or the administrator's designee, upon receipt of sufficient information to give reasonable cause that an employer may be in violation of the insurance requirements of this chapter and upon the compliance specialist presenting appropriate credentials to the owner, operator, or agent in charge, is authorized: (A) To inspect and investigate the places of employment and pertinent conditions; business records, including complete payroll and tax information; certificates of insurance; sign in and sign out sheets for jobsites; and vendor lists; and (B) To question privately an employer, owner, operator, agent, worker, or employee. (2) The administrator or the administrator's designee may request, and the general contractor shall provide, a list of amounts paid by the general contractor to subcontractors on the jobsite. (b) The administrator or the administrator's designee shall designate representatives who may serve subpoenas and other process of the bureau issued under this chapter. (c) (1) For the purposes of workers' compensation insurance compliance investigations, the administrator or administrator's designee may issue and serve subpoenas: (A) For the attendance of witnesses at administrative hearings; and (B) For the production of books, documents, or other tangible things that may be relevant, or reasonably calculated, to lead to the discovery of relevant information necessary to determine whether the employer is subject to this chapter held by the employer or third parties, including, but not limited to, general contractors, subcontractors, intermediate contractors, accountants and tax preparers, insurance agents and carriers, and banking institutions. (2) (A) Information requested in a subpoena under subdivision (c)(1)(B) must be submitted to the bureau within twenty-one (21) calendar days of service of the subpoena. (B) If an employer or entity wishes to dispute the subpoena, then the employer or entity shall submit that dispute with particularity, in writing, to the administrator or the administrator's designee within ten (10) calendar days of service of the subpoena. (C) Failure to timely comply with the subpoena issued and served under subdivision (c)(1)(B) may result in an assessment by the bureau of civil penalties against the employer and third-party holder of information relevant to the bureau's investigation. The penalties, if assessed by the bureau, may be in an amount not less than fifty dollars ($50.00) per day per subpoena until the requested information is provided, or five thousand dollars ($5,000) per subpoena, whichever is less. (3) (A) In addition to civil penalties, if a person refuses to obey a subpoena to appear for an administrative hearing or to produce evidence requested by the administrator or the administrator's designee, then the administrator or the administrator's designee may seek an order requiring compliance with the subpoena in the chancery court where the person named in the subpoena resides. The chancery court may find a person who refuses to obey an order requiring compliance with a subpoena in contempt. (B) In addition to civil penalties, the person who refuses to comply with a subpoena under this section shall pay costs, including reasonable attorneys' fees, court costs, and court reporter attendance and transcription costs, incurred by the administrator or the administrator's designee in obtaining an order to enforce the subpoena. (4) An employer or entity who is aggrieved pursuant to this section may appeal under the Uniform Administrative Procedures Act, compiled in title 4, chapter 5. (d) Penalties assessed pursuant to this section must be deposited in the employee misclassification education and enforcement fund established by § 50-6-913 to be administered by the administrator.

Legislative History

Amended by 2024 Tenn. Acts, ch. 532,s 5, eff. 7/1//2024. Amended by 2021 Tenn. Acts, ch. 189, s 1, eff. 7/1/2021; Section 10 of the Act as amended by 2024 Tenn. Acts, ch. 532 provides: "This act ceases to exist July 1, 2029, at which time the provisions of law changed by this act that were in effect on June 30, 2021, will be revived." Amended by 2020 Tenn. Acts, ch. 682, Secs.s 4, s 5 eff. 6/15/2020. Added by 2013 Tenn. Acts, ch. 424, s 1, eff. 7/1/2013. Acts 2013 , ch. 282, § 1; 2013 , ch. 424, § 1; 2020 , ch. 682, §§ 4, 5.