What a stop-work order is
A stop-work order (SWO) is a written order from the Florida Department of Financial Services, Division of Workers' Compensation, Bureau of Compliance, served under section 440.107(7)(a), Florida Statutes. It requires the employer to stop all business operations because the Department has determined the employer failed to secure the payment of workers' compensation as Chapter 440 requires, or failed to produce required business records within 21 days of a written request. The statute deems that failure an immediate serious danger to public health, safety or welfare, which is why the order is issued first and the hearing comes later.
The order is effective the moment it is served on the employer or posted at the worksite. Once served on the employer it applies to every Florida worksite where the employer is not in compliance. It stays in effect until the Department issues an order releasing it, which requires coverage in place and the penalty paid or on a payment agreement.
The agency
Stop-work orders are issued by the Division of Workers' Compensation's Bureau of Compliance. The Division's authority and responsibilities are set out in Chapter 440, Florida Statutes, and Rule Chapter 69L-6, Florida Administrative Code. Workers' compensation penalty audits, exemptions and compliance all run through the same Bureau.
What it triggers
- A business records request for the preceding 12 or 24 months, with a 21-day deadline.
- A penalty of two times the premium that should have been paid on the uninsured payroll, with a $1,000 minimum, or an imputed penalty at 1.5 times the statewide average weekly wage per worker per week if records are not produced.
- $1,000 per day for every day of operations in violation of the order.
- A mandatory referral to DBPR for certified and registered contractors.
- Potential criminal referral: knowingly failing to secure coverage is insurance fraud under section 440.105(4), a felony.
- Successor liability: the order follows the principals into any new entity in the same trade.
The numbers at a glance
| Item | Amount or rule | Authority |
|---|---|---|
| Penalty | 2 × premium on uninsured payroll; minimum $1,000 | s. 440.107(7)(d)1 |
| Lookback | 12 months; 24 for understated payroll or repeat employers | s. 440.107(7)(d)1 |
| Imputed payroll | Statewide average weekly wage × 1.5 per worker per week ($2,036.93 in 2026) | s. 440.107(7)(e); Rule 69L-6.028 |
| Records deadline | 21 days from receipt of the request | s. 440.107(7)(a) |
| First-time reductions | Premium credit; 25% for records in 21 days; 15% for tutorial | s. 440.107(7)(d)1.a-c |
| Working in violation | $1,000 per day; also a felony | s. 440.107(7)(c); s. 440.105(4)(b)8 |
| Misrepresented independent contractors | $5,000 each | s. 440.107(7)(f) |
| Conditional release | Coverage + $1,000 down + payment agreement | s. 440.107(7)(a); Rule 69L-6.025 |
| Petition deadline | 21 days from receipt of each order | s. 440.107(13); Ch. 120 |
| Felony grading | <$20k third degree; $20k-$100k second; $100k+ first | s. 440.105(4)(f) |
The process, step by step
Part 1
The process, start to finish
A stop-work order is not one event. It is a sequence of orders, deadlines and calculations that the Bureau of Compliance runs the same way every time. Here is the whole sequence, so nothing surprises you.
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Part 2
What causes a stop-work order
Every stop-work order is grounded in section 440.107. The statute lists only a handful of triggers, and almost every order falls into one of five patterns.
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Part 3
The penalty audit
The penalty is arithmetic, not discretion. Once you understand the formula, you can audit the Department's worksheet line by line, and you can decide whether producing records or accepting an imputed penalty costs you less.
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Part 4
The business records request
The Request for Production of Business Records is the document that turns a stop-work order into a dollar amount. What you produce, and what you do not, decides the penalty.
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Part 5
Do's and don'ts
The first 48 hours decide most of the case. These are the rules I would give a family member.
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Part 6
Criminal exposure
The stop-work order is a civil enforcement tool. The statute right next to it makes the same conduct a felony. Understanding where the line is, and who is watching for it, is the reason you do not talk to the investigator alone.
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Part 7
Licensed contractors and DBPR
For a certified or registered contractor, a stop-work order is two cases. The second one is against your license, and it does not go away when the penalty is paid.
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Part 8
Getting the order released
You do not have to pay the whole penalty to go back to work. You do have to satisfy three conditions in the right order, and keep satisfying one of them.
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Part 9
Contesting the order and penalty
Every order the Department issues under section 440.107 is agency action that you have the right to contest. The deadline is short and the arguments that win are specific.
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The documents you will receive
| Document | What it does | Deadline |
|---|---|---|
| Stop-Work Order | Orders the cessation of all business operations under s. 440.107(7)(a). States the basis (failure to secure coverage, or failure to produce records). Includes a notice of your right to petition for a hearing under Chapter 120. | 21 days from receipt to file a petition for hearing |
| Request for Production of Business Records for Penalty Assessment Calculation | Lists the categories of records (identity, payroll, tax, bank, contracts, coverage, exemptions, subcontractors) for the penalty period: the preceding 12 months, or 24 months for understated payroll or a prior order. | 21 days from receipt: to produce records, to claim the 25% reduction and the premium credit, and to avoid a records-based order |
| Field interview worksheets and employee statements | The investigator's notes of what each worker said about employer, tenure, pay and duties. The Department's evidence of headcount and class codes. | — |
| Penalty Calculation Worksheet (Form DFS-F4-1595) | Line by line: each worker, period, class code, gross payroll (actual or imputed), approved manual rate, premium, and penalty at 2× premium; then credits and reductions. Incorporated by Rule 69L-6.027. | — |
| Order of Penalty Assessment | The formal order stating the penalty amount under s. 440.107(7)(d), with the worksheet attached and a notice of rights. | 21 days from receipt to petition; also starts the 20-business-day window under Rule 69L-6.028 to produce records if payroll was imputed |
| Amended Order of Penalty Assessment | Replaces the prior penalty figure. Each amended order carries its own notice of rights. | 21 days from receipt to petition |
| Agreed Order of Conditional Release from Stop-Work Order | Lifts the order conditionally so operations can resume, under Rule 69L-6.025. Failure to pay or to meet the agreement reinstates the order. | — |
| Payment Agreement Schedule for Periodic Payment of Penalty | The installment schedule under Rule 69L-6.025. An employer with a prior unpaid penalty cannot enter one. | — |
| Order Releasing Stop-Work Order | Ends the stop-work order. The listing stays on the Division's website for at least five years. | — |
Each form, what it means and what to do with it is covered in detail in the guide.
Questions
What is a stop-work order in Florida?+
An order issued by the Department of Financial Services, Division of Workers' Compensation, under section 440.107(7)(a), Florida Statutes, requiring an employer that failed to secure workers' compensation coverage, or failed to produce required records within 21 days, to cease all business operations until the Department releases it.
Who can receive one?+
Any employer required to carry coverage: construction employers with one or more employees, non-construction employers with four or more, and insured employers who materially understate payroll or misclassify workers.
What does a stop-work order cost?+
A penalty of two times the premium that should have been paid on the uninsured payroll over 12 months (24 for understated payroll or repeat employers), minimum $1,000, plus $1,000 per day for working in violation, plus $5,000 per worker misrepresented as an independent contractor.
How do I get it lifted?+
Secure coverage, pay a $1,000 down payment, and either pay the penalty or enter a payment agreement. The Department then issues an Order of Conditional Release, and a final release when the penalty is paid.