2005 California Labor Code Sections 400-410 Article 2. Bonds and Photographs

400.  As used in this article, "applicant" means an applicant for
employment.
401.  If a bond or photograph of an employee or applicant is
required by any employer, the cost thereof shall be paid by the
employer.
402.  No employer shall demand, exact, or accept any cash bond from
any employee or applicant unless:
   (a) The employee or applicant is entrusted with property of an
equivalent value, or
   (b) The employer advances regularly to the employee goods, wares,
or merchandise to be delivered or sold by the employee, and for which
the employer is reimbursed by the employee at regular periodic
intervals, and the employer limits the cash bond to an amount
sufficient to cover the value of the goods, wares, or merchandise so
advanced during the period prior to the payment therefor.
403.  If cash is received as a bond it shall be deposited in a
savings account in a bank authorized to do business in this State,
and may be withdrawn only upon the joint signatures of the employer
and the employee or applicant.
   Cash put up as a bond shall be accompanied by an agreement in
writing made by the employer and employee or applicant, setting forth
the conditions under which the bond is given.
404.  Any money put up as a bond under Sections 401, 402 and 403:
   (a)  Is not subject to enforcement of a money judgment except in
an action between the employer and the employee or applicant, or
their successors or assigns.
   (b)  Shall be returned to the employee or applicant together with
accrued interest thereon, immediately upon the return of the money or
property entrusted to the employee or applicant and upon the
fulfillment of the agreement, subject only to the deduction necessary
to balance accounts between the employer and employee or applicant.
405.  Any property put up by any employee or applicant as a bond
shall not be used for any purpose other than liquidating accounts
between the employer and employee or for return to the employee or
applicant and shall be held in trust for this purpose and not mingled
with the property of the employer.  No contract between the employer
and employee or applicant shall abrogate the provisions of this
section.  Any employer or prospective employer, or agent or officer
thereof, who misappropriates any such property, mingles it with his
own, or uses it for any other purpose than that herein set forth is
guilty of theft and shall be punished in accordance with the
provisions of the Penal Code relating to theft.
406.  Any property put up by an employee, or applicant as a part of
the contract of employment, directly or indirectly, shall be deemed
to be put up as a bond and is subject to the provisions of this
article whether the property is put up on a note or as a loan or an
investment and regardless of the wording of the agreement under which
it is put up.
407.  Investments and the sale of stock or an interest in a business
in connection with the securing of a position are illegal as against
the public policy of the State and shall not be advertised or held
out in any way as a part of the consideration for any employment.
408.  Any person or agent or officer thereof, who violates any
provision of this article, except the provisions of Section 405, is
guilty of a misdemeanor, punishable by a fine of not less than fifty
dollars ($50) and not exceeding one thousand dollars ($1,000), or
imprisonment for not exceeding six months, or both.
409.  All fines imposed and collected under this article shall be
paid into the State treasury and credited to the general fund.
410.  The Labor Commissioner shall enforce this article.