Amended in Assembly April 7, 2015

California Legislature—2015–16 Regular Session

Assembly Bill No. 999

Introduced by Assembly Member Daly

February 26, 2015

An act to begin delete add Section 798.62 to end delete begin insert amend Section 798.61 of end insert the Civil Code, relating to mobilehomes.

LEGISLATIVE COUNSEL’S DIGEST

AB 999, as amended, Daly. begin delete Mobilehomes: disposal. end delete begin insert Abandoned mobilehomes: disposal. end insert

The Mobilehome Residency Law governs tenancies in mobilehome parks, including, among other things, imposing various duties on the begin delete owners or managers end delete begin insert management end insert of begin insert a end insert mobilehome begin delete parks. end delete begin insert park when seeking to sell an abandoned mobilehome and its contents. Existing law requires the management, under certain circumstances, to obtain a tax clearance certificate from the county tax collector of the county in which the mobilehome is located when selling an abandoned mobilehome. end insert

begin delete

This will would authorize the management of a mobilehome park to dispose of a mobilehome, as provided, left upon the premises by a tenant or lienholder under specified circumstances. This bill would require the landlord, prior to disposing of the mobilehome, to provide written notice to the tenant and owner, and would require the notice to contain specified information. This bill would also require the landlord to provide a copy of the notice to specified persons, including, among others, a lienholder. This bill would require the tenant or lienholder to respond to the notice in writing by a date specified, or to remove the mobilehome within 30 days after the mailing of the notice. This bill would require the landlord, after notifying the tenant, to store the abandoned mobilehome and to exercise reasonable care for the mobilehome. This bill would authorize the landlord, if the tenant or lienholder responds to the notice on or before the date specified in the notice, to require payment of storage charges and costs incidental to storage prior to allowing the tenant or lienholder onto the premises to remove the mobilehome. This bill would conclusively presume, if the tenant or lienholder does not respond to the notice on or before the date specified in the notice, that the mobilehome is immediately subject to salvage, demolition, removal, or other abatement, and would provide that the tenant and any lienholder shall have no further right, title, or interest to the mobilehome. This bill would also require the Department of Housing and Community Development to immediately issue a salvage permit at 1⁄2 of the amount that would otherwise be due. This bill would also provide that the landlord is not responsible for any loss to the tenant or lienholder resulting from storage, demolition, salvage, or removal of the mobilehome in compliance with these provisions, and compliance in good faith with these provisions constitutes a complete defense in any action brought by a tenant or lienholder against a landlord for loss or damage to a mobilehome that has been disposed of.

end delete begin insert

This bill would amend the Mobilehome Residency Law to authorize a procedure for the management of a mobilehome park to dispose of an abandoned mobilehome and to dispose of or sell its contents without requiring the management to obtain a tax clearance certificate. This bill would require the management to notify the county tax collector in the county in which the mobilehome park is located and the Department of Housing and Community Development of an action to dispose of an abandoned mobilehome and its contents pursuant to these provisions.

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Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

begin insert

begin insert SECTION 1. end insert   

end insert

begin insert Section 798.61 of the end insert begin insert Civil Code end insert begin insert is amended to
read: end insert

798.61.  

(a) (1) As used in this section, “abandoned
mobilehome” means a mobilehome about which all of the
following are true:

(A) It is located in a mobilehome park on a site for which no
rent has been paid to the management for the preceding 60 days.

(B) It is unoccupied.

(C) A reasonable person would believe it to be abandoned.

(2)  begin delete For purposes of end delete begin insert As used in end insert this section:

(A) “Mobilehome” shall include a trailer coach, as defined in
Section 635 of the Vehicle Code, or a recreational vehicle, as
defined in Section 18010 of the Health and Safety Code, if the
trailer coach or recreational vehicle also satisfies the requirements
of paragraph (1), including being located on any site within a
mobilehome park, even if the site is in a separate designated section
pursuant to Section 18215 of the Health and Safety Code.

(B) “Abandoned mobilehome” shall include a mobilehome that
is uninhabitable because of its total or partial destruction that
cannot be rehabilitated, if the mobilehome also satisfies the
requirements of paragraph (1).

begin insert

(3) As used in this section, “dispose” or “disposal” shall mean
to remove an abandoned mobilehome from a mobilehome park or
park and destroy it, thus making it unusable for any purpose.

end insert

(b) After determining a mobilehome in a mobilehome park to
be an abandoned mobilehome, the management shall post a notice
of belief of abandonment on the mobilehome for not less than 30
days, and shall deposit copies of the notice in the United States
mail, postage prepaid, addressed to the homeowner at the last
known address and to any known registered owner, if different
from the homeowner, and to any known holder of a security interest
in the abandoned mobilehome. This notice shall be mailed by
registered or certified mail with a return receipt requested.

(c)  begin insert (1) end insert begin insert   end insert Thirty or more days following posting pursuant to
subdivision (b), the management may file a petition in the superior
court in the county in which the mobilehome park is located, for
a judicial declaration of abandonment of the mobilehome. A
proceeding under this subdivision is a limited civil case. Copies
of the petition shall be served upon the homeowner, any known
registered owner, and any known person having a lien or security
interest of record in the mobilehome by posting a copy on the
mobilehome and mailing copies to those persons at their last known
addresses by registered or certified mail with a return receipt
requested in the United States mail, postage prepaid.

begin insert

(2) To dispose of an abandoned mobilehome, the management
shall also do all of the following:

end insert begin insert

(A) Declare in the petition that the management will dispose of
the abandoned mobilehome, and therefore will not seek a tax
clearance certificate as set forth in Section 5832 of the Revenue
and Taxation Code.

end insert begin insert

(B) Declare in the petition whether the management intends to
sell the contents of the abandoned mobilehome before its disposal.

end insert begin insert

(C) Serve the petition on the county tax collector in the county
in which the mobilehome park is located and the Department of
Housing and Community Development.

end insert

(d) (1) Hearing on the petition shall be given precedence over
other matters on the court’s calendar.

(2) If, at the hearing, the petitioner shows by a preponderance
of the evidence that the criteria for an abandoned mobilehome has
been satisfied and no party establishes an interest therein at the
hearing, the court shall enter a judgment of abandonment,
determine the amount of charges to which the petitioner is entitled,
and award attorney’s fees and costs to the petitioner. For purposes
of this subdivision, an interest in the mobilehome shall be
established by evidence of a right to possession of the mobilehome
or a security or ownership interest in the mobilehome.

(3) A default may be entered by the court clerk upon request of
the petitioner, and a default judgment shall be thereupon entered,
if no responsive pleading is filed within 15 days after service of
the petition by mail.

(e) (1) Within 10 days following a judgment of abandonment,
the management shall enter the abandoned mobilehome and
complete an inventory of the contents and submit the inventory to
the court.

(2) During this period the management shall post and mail begin insert a end insert
notice of intent to sell begin insert or dispose of end insert the abandoned mobilehome
and its contents under this section, and announcing the date of
begin delete sale, end delete begin insert sale or disposal, end insert in the same manner as provided for the notice
of determination of abandonment under subdivision (b). begin insert The
management shall also provide notice to the county tax collector
in the county in which the mobilehome park is located and the
Department of Housing and Community Development, if requested
by either to do so. end insert

(3) At any time prior to the sale begin insert or disposal end insert of begin delete a end delete begin insert an abandoned end insert
mobilehome begin insert or its contents end insert under this section, any person having
a right to possession of the begin insert abandoned end insert mobilehome may recover
and remove it from the premises upon payment to the management
of all rent or other charges due, including reasonable costs of
storage and other costs awarded by the court. Upon receipt of this
payment and removal of the begin insert end insert begin insert abandoned end insert mobilehome from the
premises pursuant to this paragraph, the management shall
immediately file an acknowledgment of satisfaction of judgment
pursuant to Section 724.030 of the Code of Civil Procedure.

(f)  begin insert (1) end insert begin insert   end insert Following the judgment of abandonment, but not less
than 10 days following the notice of sale begin insert or disposal end insert specified in
subdivision (e), the management may conduct a public sale of the
abandoned mobilehome begin delete and end delete begin insert , end insert its begin delete contents. end delete begin insert contents, or both. end insert The
management may bid at the sale and shall have the right to offset
its bids to the extent of the total amount due it under this section.
The proceeds of the sale shall be retained by the management, but
any unclaimed amount thus retained over and above the amount
to which the management is entitled under this section shall be
deemed abandoned property and shall be paid into the treasury of
the county in which the sale took place within 30 days of the date
of the sale. The former homeowner or any other owner may claim
any or all of that unclaimed amount within one year from the date
of payment to the county by making application to the county
treasurer or other official designated by the county. If the county
pays any or all of that unclaimed amount to a claimant, neither the
county nor any officer or employee of the county is liable to any
other claimant as to the amount paid.

begin insert

(2) Following the judgment of abandonment, but not less than
10 days following the notice of sale or disposal specified in
subdivision (e), the management may dispose of the abandoned
mobilehome.

end insert

(g)  begin insert (1) end insert begin insert   end insert Within 30 days of the date of the begin delete sale, end delete begin insert sale of the
abandoned mobilehome and its contents, end insert the management shall
submit to the court an accounting of the moneys received from the
sale and the disposition of the money and the items contained in
the inventory submitted to the court pursuant to subdivision (e).

begin insert

(2) Within 30 days of the date of the disposal of an abandoned
mobilehome and its contents, the management shall submit to the
court, the county tax collector in the county in which the
mobilehome park is located, and the Department of Housing and
Community Development a statement that the abandoned
mobilehome and its contents were disposed with supporting
documentation.

end insert begin insert

(3) Within 30 days of the date of the disposal of an abandoned
mobilehome or the date of the sale of its contents, whichever date
is later, the management shall submit to the court, the county tax
collector in the county in which the mobilehome park is located,
and the Department of Housing and Community Development an
accounting of the moneys received from the sale and the disposition
of the money and the items contained in the inventory submitted
to the court pursuant to subdivision (e) and a statement that the
abandoned mobilehome was disposed with supporting
documentation.

end insert

(h) The management shall provide the purchaser at the sale begin insert of
an abandoned mobilehome end insert with a copy of the judgment of
abandonment and evidence of the sale, as shall be specified by the
begin delete State end delete Department of Housing and Community Development or the
Department of Motor Vehicles, which shall register title in the
abandoned mobilehome to the purchaser upon presentation thereof.
The sale shall pass title to the purchaser free of any prior interest,
including any security interest or lien, except the lien provided for
in Section 18116.1 of the Health and Safety Code, in the abandoned
mobilehome.

begin insert

(i) Notwithstanding any other law, the management shall not
be required to obtain a tax clearance certificate, as set forth in
Section 5832 of the Revenue and Taxation Code, to either dispose
of an abandoned mobilehome and sell its contents, or dispose of
an abandoned mobilehome and its contents.

end insert

begin delete

SECTION 1.  

Section 798.62 is added to the Civil Code, to
read:

798.62.  

(a) For purposes of this section, all of the following
definitions shall apply:

(1) “Current market value” means the amount in cash, as
determined by the county assessor, that could reasonably be
expected to be paid for personal property by an informed buyer to
an informed seller, each acting without compulsion in an
arm’s-length transaction occurring on the assessment date for the
tax year or on the date of a subsequent reappraisal by the county
assessor.

(2) “Certified funds” means certified check or money order.

(3) “Dispose of the mobilehome” means to throw away,
dismantle, salvage, or demolish the mobilehome.

(4) “Lienholder” means any of the following:

(A) A legal owner as defined by Section 18005.8 of the Health
and Safety Code.

(B) A junior lienholder as defined by Section 18005.3 of the
Health and Safety Code.

(C) The holder of any lien or secured interest provided for in
Section 18116.1 of the Health and Safety Code.

(5) “Substandard” means substandard as defined in Section
1606 of Chapter 2 of Division 1 of Title 25 of the Code of
Regulations.

(b) (1) Management may dispose of a mobilehome as provided
by this section.

(2) This section governs the rights and obligations of landlords,
tenants, and any lienholders in any mobilehome left upon the
premises by the tenant or any lienholder under any of the following
circumstances:

(A) The tenancy has ended by termination or expiration of a
rental agreement or by relinquishment of the premises and the
landlord reasonably believes that the owner of the mobilehome
has left the mobilehome upon the premises with no intention of
asserting any further claim to the premises.

(B) The tenant has been absent from the premises continuously
for seven days after termination of a tenancy by a court order that
has not been executed.

(C) The landlord receives possession of the premises by
execution of a writ of possession on a judgment against the tenant,
occupants, or owner of the mobilehome.

(D) The mobilehome is either of the following:

(i) A public or private nuisance, irreparable, substandard or, not
habitable.

(ii) Has a current market value of fifteen thousand dollars
($15,000) or less and is subject to abatement by salvage or
demolition.

(c) (1) Prior to disposing of the mobilehome, the landlord shall
provide written notice to the tenant and owner in the following
manner:

(A) Served by certified mail, return receipt requested, addressed
and mailed to the tenant and owner of the mobilehome at all of
the following:

(i) The premises where the mobilehome is located.

(ii) Any postoffice box held by the tenant and actually known
to the landlord.

(iii) The most recent forwarding address if provided by the
tenant or actually known to the landlord, and all addresses for next
of kin actually known to landlord.

(B) Posted at the premises.

(2) The notice required pursuant to paragraph (1) shall state all
of the following:

(A) The mobilehome left upon the premises is a nuisance and
subject to abatement.

(B) The mobilehome is stored on the rented space.

(C) Any lienholder that has a right to claim the mobilehome,
except as provided by this section.

(D) That the landlord reasonably believes the county assessor
will determine that the current market value of the mobilehome is
fifteen thousand dollars ($15,000) or less, and that the landlord
intends to dispose of the property if the property is not claimed.

(E) (i) If the tenant or any lienholder fails to respond to the
landlord, in writing, by a date specified, or fails to remove the
mobilehome within 30 days after the mailing of the notice, the
landlord may dispose of the mobilehome.

(ii) For purposes of this subparagraph, “by a date specified”
means a date not less than 30 days after the mailing of the notice.

(d) (1) The landlord shall also give a copy of the notice
described in subdivision (c) to all of the following:

(A) Any lienholder.

(B) The tax collector of the county where the mobilehome is
located.

(C) The assessor of the county where the mobilehome is located.

(2) The copy of the notice required pursuant to paragraph (1)
shall be given by certified mail, return receipt requested.

(3) A notice to lienholders under subparagraph (A) of paragraph
(1) shall be sent to each lienholder at each of the following
addresses:

(A) Actually known to the landlord.

(B) Of record.

(e) After notifying the tenant as required pursuant to subdivision
(c), both of the following shall apply:

(1) The landlord shall store the abandoned mobilehome of the
tenant on the rented space and shall exercise reasonable care for
the mobilehome.

(2) The landlord is entitled to reasonable or actual storage
charges and costs incidental to storage or disposal. The storage
charge may be no greater than the monthly space rent last payable
by the tenant.

(f) If a tenant or lienholder, upon receipt of the notice provided
by the landlord, responds in writing to the landlord on or before
the date specified in the landlord’s notice that the tenant or
lienholder intends to remove the mobilehome from the premises
and pay the storage fees for which they shall then be indebted, the
landlord may require payment of storage charges and costs
incidental to storage prior to allowing the tenant or lienholder onto
the premises to remove the mobilehome. Acceptance by a landlord
of this payment does not operate to create or reinstate a tenancy.
Failure to allow removal absent payment in certified funds shall
not constitute an interference with property or conversion.

(g) If a tenant or lienholder does not respond on or before the
date specified in the landlord’s notice, or the tenant or lienholder
does not remove the mobilehome within 30 days after responding
to the landlord or by a date agreed upon with the landlord,
whichever is later, both of the following shall apply:

(1) The mobilehome is conclusively presumed to be immediately
subject to salvage, demolition, removal, or other abatement. The
tenant and any lienholder that have been given notice pursuant to
subdivision (c) or (d) shall have no further right, title, or interest
to the mobilehome and may not claim or sell the property.

(2) The Department of Housing and Community Development
shall immediately issue a salvage permit at one-half of the amount
that would otherwise be due.

(h) A landlord shall not keep and retitle a mobilehome unless
all applicable liens, including any lien or secured interest provided
for in Section 18116.1 of the Health and Safety Code, have been
paid.

(i) The landlord is not responsible for any loss to the tenant or
lienholder resulting from storage, demolition, salvage, or removal
of the mobilehome in compliance with this section. Compliance
in good faith with this section shall constitute a complete defense
in any action brought by a tenant or lienholder against a landlord
for loss or damage to a mobilehome disposed of pursuant to this
section.

(j) It is the intent of the Legislature to also enact legislation that
would allow the removal of a mobilehome without first requiring
a tax clearance certificate from the county tax collector.

end delete