California tribe's business agrees to state law

A business staffing business run by the Blue Lake Rancheria has agreed to seek certification from the state of California in order to settle a dispute over tribal sovereignty.

Mainstay Business Solutions was providing companies with an alternative to costly workers' compensation insurance mandated by the state. But the state said the services were illegal and fined Mainstay's clients.

The Blue Lake Rancheria countered that its business was protected by tribal sovereignty and filed a lawsuit against the state Department of Industrial Relations. But under an agreement reached yesterday, Mainstay has agreed to apply to the state for certification as a self-insured employer.

Get the Story:
State, Tribe Settle Workers' Comp Dispute (The Los Angeles Times 3/30)
DIR and Mainstay Business Solutions Reach Settlement in Dispute over Workers' Compensation Coverage (DIR/Mainstay 3/29)

Related Stories:
California imposes fines in tribal insurance flap (01/26)
Calif. bill would recognize tribal insurance coverage (02/20)
Another tribal business investigated in Calif. (2/17)
Calif. agency asserts right to regulate tribe's business (01/09)
Tribe's company sues state for infringement (11/18)
Calif. officials trying to shut down tribe's business (11/03)