BILL ANALYSIS                                                                                                                                                                                                    �






                             SENATE JUDICIARY COMMITTEE
                             Senator Noreen Evans, Chair
                              2011-2012 Regular Session


          AB 2272 (Wagner)
          As Amended April 19, 2012
          Hearing Date: June 19, 2012
          Fiscal: No
          Urgency: No
          BCP:rm
                    

                                        SUBJECT
                                           
                              Mobilehomes: Injunctions

                                      DESCRIPTION  

          This bill, until January 1, 2016, would permit the management of 
          a mobilehome park to file a petition for an order to enjoin 
          violations of a reasonable rule or regulation of the mobilehome 
          park within the limited jurisdiction of the superior court. 

                                      BACKGROUND  

          Enacted in 1978, the Mobilehome Residency Law (MRL) governs the 
          relationship between park owners or managers and the residents 
          of the 4,800+ mobilehome parks and manufactured housing 
          communities in California.  In most of those parks, residents 
          own their home but lease the land on which their home is 
          installed.  Although they have historically been called 
          "mobilehomes," it is very difficult to actually move a 
          mobilehome once it has been installed in a park.

          Similar to other types of tenants (and property owners), 
          mobilehome residents are entitled to quiet enjoyment of their 
          property and park owners are obligated to preserve that quiet 
          enjoyment.  The Court of Appeal, Second Appellate District, 
          noted in Andrews v. Mobile Aire Estates (2005) 125 Cal.App.4th 
          578, 590 that "�t]he perpetrator of the interference with the 
          tenant's quiet enjoyment need not be the landlord personally. 
          There may be an actionable breach where the interference is 
          caused by a neighbor or tenant claiming under the landlord."  
          The Andrews court further noted that "while the MRL limits the 
          eviction rights of mobilehome park owners, it expressly 
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          preserves the park owners' ability to secure the quiet enjoyment 
          of mobilehome park tenants by authorizing park owners to pursue 
          eviction or injunctive relief against offending tenants."  (Id. 
          at 592.)

          Under current law, a petition by park management for an order 
          enjoining a continuing or recurring violation of a reasonable 
          rule or regulation of a mobilehome park must be filed as an 
          "unlimited" civil action in the superior court.  (Unlimited 
          civil cases are cases that were within the jurisdiction of the 
          superior courts prior to trial court unification; limited civil 
          cases were those formerly within the jurisdiction of the 
          municipal courts.) This bill would permit those petitions for 
          injunctions to be filed as "limited" civil cases.

                                CHANGES TO EXISTING LAW
           
           Existing law  , the Mobilehome Residency Law, governs the 
          relationship between park owners or managers and the residents 
          in mobilehome parks and manufactured housing communities.  (Civ. 
          Code Sec. 798 et seq.)
          
           Existing law  permits management of a mobilehome park to petition 
          for an order enjoining a continuing or recurring violation of 
          any reasonable rule or regulation of a mobilehome park. A 
          hearing must be held within 15 days of the filing of the 
          petition for an injunction, and, if the court finds clear and 
          convincing evidence of the existence of a violation, the court 
          shall issue an injunction for a duration not to exceed three 
          years. (Civ. Code Sec. 798.88(b),(d).)

           Existing law  provides that an action or special proceeding shall 
          be treated as a limited civil case if the following conditions 
          are satisfied:
                 the amount in controversy, as defined, does not exceed 
               $25,000;
                 the relief sought is a type that may be granted in a 
               limited civil case; and
                 the relief sought, whether in the complaint, a 
               cross-complaint, or otherwise, is exclusively of the type 
               described in one or more statutes that classify an action 
               or special proceeding as a limited civil case or that 
               provides that an action or special proceeding is within the 
               original jurisdiction of the municipal court.  (Code Civ. 
               Proc. Sec. 85.)

                                                                      



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           Existing law  provides that the following types of relief may not 
          be granted in a limited civil case:
                 relief exceeding the maximum amount in controversy for a 
               limited civil case;
                 a permanent injunction, except as otherwise authorized 
               by statute; 
                 a determination of title to real property; and
                 declaratory relief, as specified. (Code Civ. Proc. Sec. 
               580.)

           This bill  would allow park management to seek a petition for an 
          order enjoining a continuing or recurring violation of any 
          reasonable rule or regulation of a mobilehome park within the 
          limited jurisdiction of the superior court of the county in 
          which the mobilehome park is located.

           This bill  would specifically provide that an injunction sought 
          pursuant to the above provision shall be considered a limited 
          civil case.

           This bill  would sunset on January 1, 2016.

                                        COMMENT
           
          1.   Stated need for the bill  

          According to the author:

            As a matter of public policy, the availability of injunctive 
            relief promotes quiet enjoyment and reduces disruption in 
            housing.  An injunction against a tenant nuisance is a far 
            less drastic remedy than the summary displacement of an 
            eviction.  The less intrusive remedy of injunctive relief 
            against violation of mobilehome park rule under Civil Code 
            Section 798.88 is recognition of this policy.  Yet, owners 
            are dissuaded because injunctions are filed in the unlimited 
            jurisdiction of the Superior Court, which is a more 
            expensive and less convenient forum for both sides than a 
            simple eviction filed in limited jurisdiction in the 
            judicial district.  Parkowners are discouraged from 
            considering a less intrusive remedy.  In other words, the 
            injunction is more expensive than pursuing an unlawful 
            detainer, so mobilehome parkowners are more inclined to 
            pursue an unlawful detainer instead. 

            This proposal, for 3 years, would make the process to pursue 
                                                                      



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            injunctive relief against a mobilehome park rule under Civil 
            Code Section 798.88, no less burdensome and costly than a 
            comparative and more intrusive remedy of eviction.  Simply, 
            the legislation would provide that injunctions for 
            violations of rules and regulations be filed in limited 
            jurisdiction courts.

          2.    Limited vs. Unlimited  

          Cases are generally classified as either "limited" or 
          "unlimited" based upon the amount in controversy and whether the 
          relief sought is a type that may be granted in a limited civil 
          case.  Specifically, in a limited civil case, the amount in 
          controversy may not exceed $25,000, and the court generally 
          cannot grant permanent injunctions (except as otherwise 
          authorized), determine title to real property, or provide 
          declaratory relief.  Filing fees are also lower in a limited 
          civil case - for example, in Sacramento County, the filing fee 
          for a complaint in an unlimited civil case is $395 while the 
          filing fee for a complaint (amount up to $10,000) is only $225.  
           Limited cases also differ in various procedural ways, for 
          example, an answer to a verified complaint in a limited civil 
          case need not be verified.  (See Code Civ. Proc. Sec. 90 et 
          seq.)  This bill would allow petitions by mobilehome park 
          management to enjoin a continuing or recurring violation of a 
          rule or regulation of the mobilehome park to be filed within the 
          "limited" jurisdiction of the superior court.  That change in 
          jurisdiction results in not only varied procedural requirements 
          but also a lower filing fee.

          The author and sponsor note that the intent of the change in 
          jurisdiction is to ensure that petitions for injunctions are "no 
          less burdensome and costly than a comparative and more intrusive 
          remedy of eviction."  From a policy standpoint, existing law 
          should arguably not encourage an action for eviction (which may 
          leave the resident without affordable housing) if an injunction 
          would equally resolve the issue and not force the resident to 
          leave his or her home.  The author further asserts:

            Ironically, eviction actions, which terminate tenancy and 
            compel sale or removal of the mobilehome, are filed in the 
            local judicial district within the court's limited 
            jurisdiction.  Since limited jurisdiction courts are less 
            expensive, less complicated, more convenient and often 
            closer to the parties' residences than the County Superior 
            Court, landlords are judicially encouraged to pursue the 
                                                                      



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            most drastic remedy rather than seek the least intrusive 
            order for correcting offensive conduct or conditions which 
            violate the rules and regulations.

          It should be noted that the distinction between "limited" and 
          "unlimited" civil cases is a result of the unification of trial 
          courts.  Prior to unification, each county had a superior court 
          and one or more municipal courts.  The California Law Revision 
          Commission's 2001 report on procedural differences between the 
          two types of cases noted that "the term 'limited civil case' was 
          introduced to refer to civil actions traditionally within the 
          jurisdiction of the municipal court, and the term 'unlimited 
          civil case' was introduced to refer to civil actions 
          traditionally within the jurisdiction of the superior court. 
          Provisions prescribing municipal court procedures were revised 
          to apply to limited civil cases; provisions prescribing 
          traditional superior court; procedures were revised to apply to 
          unlimited civil cases." (Recommendation on Unnecessary 
          Procedural Differences Between Limited and Unlimited Civil Case 
          (Feb. 2001) Vol. 30 California Law Revision Commission Report 
          (2001) p. 448.)  Thus, while this bill arguably seeks to make a 
          change based upon the policy implications of the current 
          classification of eviction and injunction actions, that 
          distinction is rooted in the historic jurisdiction of the 
          courts.  Staff notes that it is unclear whether this bill may be 
          used as future precedent to change other causes of action solely 
          to avoid paying the cost of filing fees in unlimited civil 
          cases.

          3.   Sunset  

          Under existing law, a court is prohibited from granting a 
          permanent injunction in a limited civil case unless otherwise 
          authorized by statute.  (Code Civ. Proc. Sec. 580.)  Given that 
          general prohibition, it is unclear whether the proposed 
          exception to that general rule will result in any unintended 
          consequences as a result of the differences between unlimited 
          and limited cases, or if it simply will promote the stated goal 
          of ensuring that a park owner is not financially motivated to 
          evict a resident due to the filing fee associated with an 
          unlimited civil case.  Similarly, it is unclear if this will 
          have no effect on the number of evictions, but simply act to 
          allow park owners to bring more petitions for injunctions due to 
          the decreased cost.

          In order to allow the Legislature (and this Committee) to 
                                                                      



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          revaluate this provision in the near future, the bill includes a 
          sunset date of January 1, 2016.  This three-year sunset will 
          arguably provide the Committee with the opportunity to revaluate 
          this bill to ensure that the stated goal of "encourag�ing] a 
          parkowner to pursue a lesser remedy against a resident of a 
          mobilehome park instead of eviction" is actually reached without 
          negative unintended consequences.


           Support  :  None Known

           Opposition  :  None Known

                                        HISTORY
           
           Source  :  Western Manufactured Housing Communities Association

           Related Pending Legislation  :  None Known

           Prior Legislation  :  None Known

           Prior Vote  :

          Assembly Judiciary Committee (Ayes 10, Noes 0)
          Assembly Housing & Community Development (Ayes 6, Noes 0)
          Assembly Floor (Ayes 75, Noes 0)

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