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Updated: Jan 24


Brea, CAChattel refers to personal items, as opposed to actual land property. It was once used to describe slaves and cattle,. According to the State of California Insurance Commissioner, Dave Jones the latter definition can be applied to current day business activities in California.

Recently, Hyok “Steve” Kwon and his wife Woo “Stephanie” Kwon, the owners of Good Neighbor Services (GNS) a California janitorial and housekeeping services provider were indicted for tax and insurance fraud. “The Kwon’s treated their workers like chattel when they fraudulently did not provide workers’ compensation insurance coverage for their employees,” stated Insurance Commissioner Jones.

As a social conscious company, Contract Services Group, Inc. (CSG), does not just assume the role of witness to this epidemic of all illegal activities but also takes measures to help fight it. CSG assures that all its employees are treated with dignity, financially compensated for their hard work, and always provides proper medical attention for work related injuries.

In lieu of such hideousness activities alleged against the Kwon’s companies hiring a cleaning contractor need to perform their due diligence to assure the outsourced service provider is compliant with all its legal obligations.  The California legislature recently passed legislation that pierces indemnification clauses of service contracts. It puts the financial responsibility for the nonpayment of employment taxes by the outsourced contractor on the hiring company.

Companies can avoid being associated with underground-economy practices by implementing labor law audits on its outsourced labor contractors, or by hiring a company with a trusted verification process. CSG’s comprehensive employer verification program consists of social security number verification, checking employment references, criminal background check, drug screening and a personal integrity analysis interview. Additionally, CSG’s Human Resources Department will require each applicant to complete a detailed application, I-9, W-2 and other required governmental forms.

In order to keep a positive reputation for your company and help stop illegal business activities it is important to build a partnership with a cleaning and staffing company that is in 100% compliance with all laws. Before hiring a service contractor, in addition to the financial risks, consider the potential damage to your brand.

Sources Cited: Littlefield, D. (2015, December 21). Company owners indicted in $7M hotel-worker fraud case. The San Diego Union Tribune. Retrieved January 11, 2016, from

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Contract Services Group, Inc. is also an ISSA CIMS Green Building Certified with Honors Contractor.

To learn more about the CIMS-GB certification visit

To learn more about Contract Services Group, Inc.’s Think Green! Clean Green! program visit

CSG connects via its Facebook Page, TwitterLinkedInInstagram and Pinterest accounts.

About Contract Services Group, Inc.

Contract Services Group, Inc. provides commercial janitorial, window cleaning, and window washing systems. CSG’s online presence is located at and CSG provides janitorial and window cleaning services throughout California, Nevada and Arizona, and provides window washing systems nation wide.

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