§ 105B-4. Prohibited conduct by payor; civil penalty. - North Carolina Statutes

§105B‑4.  Prohibited conduct by payor; civil penalty.

(a)        Notwithstanding anyother provision of law, when a court finds, pursuant to a motion in the causefiled by the Authority joining the payor as a third party defendant, with 30days notice to answer the motion, that a payor has willfully refused to complywith the provisions of this section, such payor shall be ordered to commencewithholding and shall be held liable to the Authority for any amount which suchpayor should have withheld, except that such payor shall not be required tovary his normal pay or disbursement cycles in order to comply with theseprovisions.

(b)        A payor shall notdischarge from employment, refuse to employ, or otherwise take disciplinaryaction against any debtor because of the withholding. When a court finds that apayor has taken any of these actions, the payor shall be liable for a civilpenalty. For a first offense, the civil penalty shall be one hundred dollars($100.00). For second and third offenses, the civil penalty shall be fivehundred dollars ($500.00) and one thousand dollars ($1,000), respectively. Anypayor who violates any provision of this paragraph shall be liable in a civilaction for reasonable damages suffered by a debtor as a result of theviolation, and a debtor discharged or demoted in violation of this paragraphshall be entitled to be reinstated to his former position. The statute oflimitations for actions under this subsection shall be one year pursuant toG.S. 1‑54.

The clear proceeds of civilpenalties provided for in this section shall be remitted to the Civil Penaltyand Forfeiture Fund in accordance with G.S. 115C‑457.2.

(c)        Any payor whowithholds the sum provided in any notice or order to the payor shall not beliable for any penalties under this section. (1989, ch. 475, s. 1; 1998‑215,s. 116, s. 1.)