BILL NUMBER: AB 999 ENROLLED
BILL TEXT
PASSED THE SENATE SEPTEMBER 1, 2015
PASSED THE ASSEMBLY SEPTEMBER 3, 2015
AMENDED IN SENATE JULY 15, 2015
AMENDED IN SENATE JUNE 24, 2015
AMENDED IN SENATE JUNE 15, 2015
AMENDED IN ASSEMBLY APRIL 20, 2015
AMENDED IN ASSEMBLY APRIL 7, 2015
INTRODUCED BY Assembly Member Daly
FEBRUARY 26, 2015
An act to amend Sections 798.56a and 798.61 of the Civil Code, and
to amend Section 18080.5 of the Health and Safety Code, relating to
mobilehomes, and making an appropriation therefor.
LEGISLATIVE COUNSEL'S DIGEST
AB 999, Daly. Mobilehomes: disposal.
The Mobilehome Residency Law governs tenancies in mobilehome parks
and, among other things, authorizes the management of a mobilehome
park, under specified circumstances, to either remove the mobilehome
from the premises and place it in storage or store the mobilehome on
its site. Existing law provides the management with a warehouse lien
for these costs and imposes various duties on the management to
enforce this lien. Existing law also imposes various duties on the
management of a mobilehome park when seeking to sell an abandoned
mobilehome and its contents. Existing law requires a court to enter a
judgment of abandonment if the criteria for abandonment has been
satisfied and no party establishes an interest in the mobilehome at
the hearing. 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.
Existing law, the Manufactured Housing Act of 1980, requires the
Department of Housing and Community Development to enforce various
laws pertaining to manufactured housing, mobilehomes, park trailers,
commercial coaches, special purpose commercial coaches, and
recreational vehicles. Existing law requires all fees accruing to the
department pursuant to the act to be deposited within the Mobilehome
Revolving Fund, which is continuously appropriated to the department
for carrying out the act.
This bill would amend the Mobilehome Residency Law to, among other
things, authorize the management to enforce a warehouse lien and to
designate a mobilehome for disposal without requiring the management
or other person enforcing the lien to pay past or current vehicle
license fees or obtain a tax clearance certificate. The bill would
require a court to enter a judgment of abandonment if, instead, the
criteria for abandonment has been satisfied and no party establishes
an interest in the mobilehome and tenders all past due rent and other
charges. The bill would authorize a procedure for the management of
a mobilehome park to dispose of an abandoned mobilehome and its
contents without requiring the management to pay past or current
vehicle license fees or 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 that management
will either apply to have the mobilehome designated for disposal
after a warehouse lien sale or dispose of an abandoned mobilehome and
its contents pursuant to these provisions. This bill would also
require the management to file a notice of disposal, as specified,
and to submit certain information required for completing the
disposal process under penalty of perjury. This bill would require
the Department of Housing and Community Development to charge a fee,
as specified, for processing the notice of disposal and any
information required for completing the disposal process. By
establishing additional fees to be deposited into the Mobilehome
Revolving Fund, this bill would make an appropriation.
By expanding the crime of perjury, this bill would impose a
state-mandated local program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
Appropriation: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 798.56a of the Civil Code is amended to read:
798.56a. (a) Within 60 days after receipt of, or no later than 65
days after the mailing of, the notice of termination of tenancy
pursuant to any reason provided in Section 798.56, the legal owner,
if any, and each junior lienholder, if any, shall notify the
management in writing of at least one of the following:
(1) Its offer to sell the obligation secured by the mobilehome to
the management for the amount specified in its written offer. In that
event, the management shall have 15 days following receipt of the
offer to accept or reject the offer in writing. If the offer is
rejected, the person or entity that made the offer shall have 10 days
in which to exercise one of the other options contained in this
section and shall notify management in writing of its choice.
(2) Its intention to foreclose on its security interest in the
mobilehome.
(3) Its request that the management pursue the termination of
tenancy against the homeowner and its offer to reimburse management
for the reasonable attorney's fees and court costs incurred by the
management in that action. If this request and offer are made, the
legal owner, if any, or junior lienholder, if any, shall reimburse
the management the amount of reasonable attorney's fees and court
costs, as agreed upon by the management and the legal owner or junior
lienholder, incurred by the management in an action to terminate the
homeowner's tenancy, on or before the earlier of (A) the 60th
calendar day following receipt of written notice from the management
of the aggregate amount of those reasonable attorney's fees and costs
or (B) the date the mobilehome is resold.
(b) A legal owner, if any, or junior lienholder, if any, may sell
the mobilehome within the park to a third party and keep the
mobilehome on the site within the mobilehome park until it is resold
only if all of the following requirements are met:
(1) The legal owner, if any, or junior lienholder, if any,
notifies management in writing of the intention to exercise either
option described in paragraph (2) or (3) of subdivision (a) within 60
days following receipt of, or no later than 65 days after the
mailing of, the notice of termination of tenancy and satisfies all of
the responsibilities and liabilities of the homeowner owing to the
management for the 90 days preceding the mailing of the notice of
termination of tenancy and then continues to satisfy these
responsibilities and liabilities as they accrue from the date of the
mailing of that notice until the date the mobilehome is resold.
(2) Within 60 days following receipt of, or no later than 65 days
after the mailing of, the notice of termination of tenancy, the legal
owner or junior lienholder commences all repairs and necessary
corrective actions so that the mobilehome complies with park rules
and regulations in existence at the time the notice of termination of
tenancy was given as well as the health and safety standards
specified in Sections 18550, 18552, and 18605 of the Health and
Safety Code, and completes these repairs and corrective actions
within 90 calendar days of that notice, or before the date that the
mobilehome is sold, whichever is earlier.
(3) The legal owner, if any, or junior lienholder, if any,
complies with the requirements of Article 7 (commencing with Section
798.70) as it relates to the transfer of the mobilehome to a third
party.
(c) For purposes of subdivision (b), the "homeowner's
responsibilities and liabilities" means all rents, utilities,
reasonable maintenance charges of the mobilehome and its premises,
and reasonable maintenance of the mobilehome and its premises
pursuant to existing park rules and regulations.
(d) If the homeowner files for bankruptcy, the periods set forth
in this section are tolled until the mobilehome is released from
bankruptcy.
(e) (1) Notwithstanding any other provision of law, including, but
not limited to, Section 18099.5 of the Health and Safety Code, if
neither the legal owner nor a junior lienholder notifies the
management of its decision pursuant to subdivision (a) within the
period allowed, or performs as agreed within 30 days, or if a
registered owner of a mobilehome, that is not encumbered by a lien
held by a legal owner or a junior lienholder, fails to comply with a
notice of termination and is either legally evicted or vacates the
premises, the management may either remove the mobilehome from the
premises and place it in storage or store it on its site. In this
case, notwithstanding any other provision of law, the management
shall have a warehouse lien in accordance with Section 7209 of the
Commercial Code against the mobilehome for the costs of dismantling
and moving, if appropriate, as well as storage, that shall be
superior to all other liens, except the lien provided for in Section
18116.1 of the Health and Safety Code, and may enforce the lien
pursuant to Section 7210 of the Commercial Code either after the date
of judgment in an unlawful detainer action or after the date the
mobilehome is physically vacated by the resident, whichever occurs
earlier. Upon completion of any sale to enforce the warehouse lien in
accordance with Section 7210 of the Commercial Code, the management
shall provide the purchaser at the sale with evidence of the sale, as
shall be specified by the Department of Housing and Community
Development, that shall, upon proper request by the purchaser of the
mobilehome, register title to the mobilehome to this purchaser,
whether or not there existed a legal owner or junior lienholder on
this title to the mobilehome.
(2) (A) Notwithstanding any other law, if the management of a
mobilehome park acquires a mobilehome after enforcing the warehouse
lien and files a notice of disposal pursuant to subparagraph (B) with
the Department of Housing and Community Development to designate the
mobilehome for disposal, management or any other person enforcing
this warehouse lien shall not be required to pay past or current
vehicle license fees required by Section 18115 of the Health and
Safety Code or obtain a tax clearance certificate, as set forth in
Section 5832 of the Revenue and Taxation Code, provided that
management notifies the county tax collector in the county in which
the mobilehome is located of management's intent to apply to have the
mobilehome designated for disposal after a warehouse lien sale. The
written notice shall be sent to the county tax collector no less than
10 days after the date of the sale to enforce the lien against the
mobilehome by first class mail, postage prepaid.
(B) (i) In order to dispose of a mobilehome after a warehouse lien
sale, the management shall file a notice of disposal with the
Department of Housing and Community Development in the form and
manner as prescribed by the department, no less than 10 days after
the date of sale to enforce the lien against the mobilehome.
(ii) After filing a notice of disposal pursuant to clause (i), the
management may dispose of the mobilehome after obtaining the
information required by applicable laws.
(C) (i) Within 30 days of the date of the disposal of the
mobilehome, the management shall submit to the Department of Housing
and Community Development all of the following information required
for completing the disposal process:
(I) Photographs identifying and demonstrating that the mobilehome
was uninhabitable by the removal or destruction of all appliances and
fixtures such as ovens, stoves, bathroom fixtures, and heating or
cooling appliances prior to its being moved.
(II) A statement of facts as to the condition of the mobilehome
when moved, the date it was moved, and the anticipated site of
further dismantling or disposal.
(III) The name, address, and license number of the person or
entity removing the mobilehome from the mobilehome park.
(ii) The information required pursuant to clause (i) shall be
submitted under penalty of perjury.
(D) For purposes of this paragraph, "dispose" or "disposal" shall
mean the removal and destruction of an abandoned mobilehome from a
mobilehome park, thus making it unusable for any purpose and not
subject to, or eligible for, use in the future as a mobilehome.
(f) All written notices required by this section, except the
notice in paragraph (2) of subdivision (e), shall be sent to the
other party by certified or registered mail with return receipt
requested.
(g) Satisfaction, pursuant to this section, of the homeowner's
accrued or accruing responsibilities and liabilities shall not cure
the default of the homeowner.
SEC. 2. Section 798.61 of the Civil Code is amended to read:
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.
(D) It is not permanently affixed to the land.
(2) As used in 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).
(C) "Dispose" or "disposal" shall mean the removal and
destruction of an abandoned mobilehome from a mobilehome park, thus
making it unusable for any purpose and not subject to, or eligible
for, use in the future as a mobilehome.
(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) (1) 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.
(2) To dispose of an abandoned mobilehome pursuant to subdivision
(f), the management shall also do all of the following:
(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.
(B) Declare in the petition whether the management intends to sell
the contents of the abandoned mobilehome before its disposal.
(C) Notify the county tax collector in the county in which the
mobilehome park is located of the declaration that management will
dispose of the abandoned mobilehome by sending a copy of the petition
by first class mail.
(D) Declare in the petition that management intends to file a
notice of disposal with the Department of Housing and Community
Development and complete the disposal process consistent with the
requirements of subdivision (f).
(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
and tenders all past due rent and other charges, 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) To sell an abandoned mobilehome, the management shall do all
of the following:
(1) (A) 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.
(B) During this period the management shall post and mail a notice
of intent to sell the abandoned mobilehome and its contents under
this section, and announcing the date of sale, in the same manner as
provided for the notice of determination of abandonment under
subdivision (b). The management shall also provide notice to the
county tax collector in the county in which the mobilehome park is
located.
(C) At any time prior to the sale of an abandoned mobilehome or
its contents under this section, any person having a right to
possession of the abandoned 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
abandoned 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.
(2) Following the judgment of abandonment, but not less than 10
days following the notice of sale specified in paragraph (1), the
management may conduct a public sale of the abandoned mobilehome, its
contents, or both. 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.
(3) Within 30 days of the date of the sale, 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 paragraph (1).
(4) The management shall provide the purchaser at the sale of an
abandoned mobilehome with a copy of the judgment of abandonment and
evidence of the sale, as shall be specified by the Department of
Housing and Community Development, which shall register title in the
abandoned mobilehome to the purchaser upon presentation thereof
within 20 days of purchase. 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.
(f) To dispose of an abandoned mobilehome, the management shall do
all of the following:
(1) (A) 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.
(B) During this period the management shall post and mail a notice
of intent to dispose of the abandoned mobilehome and its contents
under this section, and announcing the date of disposal, in the same
manner as provided for the notice of determination of abandonment
under subdivision (b). The management shall also provide notice to
the county tax collector in the county in which the mobilehome park
is located.
(C) (i) The management shall file a notice of disposal with the
Department of Housing and Community Development in the form and
manner as prescribed by the department.
(ii) Notwithstanding any other law, when filing a notice of
disposal pursuant to clause (i), the management shall not be required
to pay past or current vehicle license fees required by Section
18115 of the Health and Safety Code or obtain a tax clearance
certificated as set forth in Section 5832 of the Revenue and Taxation
Code, provided that the management notifies the county tax collector
in the county in which the mobilehome is located of the management's
intent to apply to have the mobilehome designated for disposal
pursuant to this subdivision. The written notice shall be sent to the
county tax collector no less than 10 days after the date of the
abandonment judgment by first class mail, postage prepaid.
(D) At any time prior to the disposal of an abandoned mobilehome
or its contents under this section, any person having a right to
possession of the abandoned 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
abandoned mobilehome from the premises pursuant to this
subparagraph, the management shall immediately file an acknowledgment
of satisfaction of judgment pursuant to Section 724.030 of the Code
of Civil Procedure and a cancellation of the notice of disposal with
the Department of Housing and Community Development.
(2) Following the judgment of abandonment and approval of the
notice of disposal by the Department of Housing and Community
Development, but not less than 10 days following the notice of
disposal specified in paragraph (1), the management may dispose of
the abandoned mobilehome after obtaining the information required in
subparagraph (A) of paragraph (3).
(3) (A) Within 30 days of the date of the disposal of an abandoned
mobilehome and its contents, the management shall do both of the
following:
(i) Submit to the court and the county tax collector in the
county in which the mobilehome park is located a statement that the
abandoned mobilehome and its contents were disposed with supporting
documentation.
(ii) (I) Submit to the Department of Housing and Community
Development all of the following information required for completing
the disposal process:
(ia) Photographs identifying and demonstrating that the mobilehome
was uninhabitable by the removal or destruction of all appliances
and fixtures such as ovens, stoves, bathroom fixtures, and heating or
cooling appliances prior to its being moved.
(ib) A statement of facts as to the condition of the mobilehome
when moved, the date it was moved, and the anticipated site of
further dismantling or disposal.
(ic) The name, address, and license number of the person or entity
removing the mobilehome from the mobilehome park.
(II) The information required pursuant to subclause (I) shall be
submitted under penalty of perjury.
(B) 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 and the county tax
collector in the county in which the mobilehome park is located 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 paragraph (1) and a statement that the
abandoned mobilehome was disposed with supporting documentation.
(g) 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 dispose of an
abandoned mobilehome and its contents pursuant to subdivision (f).
However, any sale pursuant to this section shall be subject to the
registration requirements of Section 18100.5 of the Health and Safety
Code and the tax clearance certificate requirements of Section
18092.7 of the Health and Safety Code.
SEC. 3. Section 18080.5 of the Health and Safety Code is amended
to read:
18080.5. (a) A numbered report of sale, lease, or rental form
issued by the department shall be submitted each time the following
transactions occur by or through a dealer:
(1) Whenever a manufactured home, mobilehome, or commercial coach
previously registered pursuant to this part is sold, leased with an
option to buy, or otherwise transferred.
(2) Whenever a manufactured home, mobilehome, or commercial coach
not previously registered in this state is sold, rented, leased,
leased with an option to buy, or otherwise transferred.
(b) The numbered report of sale, lease, or rental forms shall be
used and distributed in accordance with the following terms and
conditions:
(1) A copy of the form shall be delivered to the purchaser.
(2) All fees and penalties due for the transaction that were
required to be reported with the report of sale, lease, or rental
form shall be paid to the department within 10 calendar days from the
date the transaction is completed, as specified by subdivision (e).
Penalties due for noncompliance with this paragraph shall be paid by
the dealer. The dealer shall not charge the consumer for those
penalties.
(3) Notice of the registration or transfer of a manufactured home
or mobilehome shall be reported pursuant to subdivision (d).
(4) The original report of sale, lease, or rental form, together
with all required documents to report the transaction or make
application to register or transfer a manufactured home, mobilehome,
or commercial coach, shall be forwarded to the department. Any
application shall be submitted within 10 calendar days from the date
the transaction was required to be reported, as defined by
subdivision (e).
(c) A manufactured home, mobilehome, or commercial coach
displaying a copy of the report of sale, lease, or rental may be
occupied without registration decals or registration card until the
registration decals and registration card are received by the
purchaser.
(d) In addition to the other requirements of this section, every
dealer upon transferring by sale, lease, or otherwise any
manufactured home or mobilehome shall, not later than the 10th
calendar day thereafter, not counting the date of sale, give written
notice of the transfer to the assessor of the county where the
manufactured home or mobilehome is to be installed. The written
notice shall be upon forms provided by the department containing any
information that the department may require, after consultation with
the assessors. Filing of a copy of the notice with the assessor in
accordance with this section shall be in lieu of filing a change of
ownership statement pursuant to Sections 480 and 482 of the Revenue
and Taxation Code.
(e) Except for transactions subject to Section 18035.26, for
purposes of this section, a transaction by or through a dealer shall
be deemed completed and consummated and any fees and the required
report of sale, lease, or rental are due when any of the following
occurs:
(1) The purchaser of any commercial coach has signed a purchase
contract or security agreement or paid any purchase price, the lessee
of a new commercial coach has signed a lease agreement or lease with
an option to buy or paid any purchase price, or the lessee of a used
commercial coach has either signed a lease with an option to buy or
paid any purchase price, and the purchaser or lessee has taken
physical possession or delivery of the commercial coach.
(2) For sales subject to Section 18035, when all the amounts other
than escrow fees and amounts for uninstalled or undelivered
accessories are disbursed from the escrow account.
(3) For sales subject to Section 18035.2, when the installation is
complete and a certificate of occupancy is issued.
(f) The department shall charge a fee, not to exceed forty-five
dollars ($45), for processing the notice of disposal and any
information required for completing the disposal process required
pursuant to Section 798.56a and 798.61 of the Civil Code.
SEC. 4. No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.