BILL ANALYSIS Ó SENATE JUDICIARY COMMITTEE Senator Hannah-Beth Jackson, Chair 2015 - 2016 Regular Session SB 244 (Vidak) Version: February 18, 2015 Hearing Date: April 7, 2015 Fiscal: No Urgency: No TH SUBJECT Mobilehomes: Injunctions DESCRIPTION Existing law, until January 1, 2016, authorizes 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. This bill would eliminate that sunset date, thus extending the provision indefinitely. BACKGROUND Enacted in 1978, the Mobilehome Residency Law (MRL) governs the relationship between mobilehome park owners or managers and the residents of the more than 4,800 mobilehome parks and manufactured housing communities in California. In most of these parks, residents own their home but lease the land on which their home is installed. Although they have historically been called "mobilehomes," it is often 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. Originally limited to protecting a lessee against physical interference, the right to quiet enjoyment has been expanded to protect "the tenant against any act or omission on the part of the landlord, or anyone claiming under him, which interferes with a tenant's right to use and enjoy the premises SB 244 (Vidak) Page 2 of ? for the purposes contemplated by the tenancy." (Petroleum Collections Inc. v. Swords (1975) 48 Cal.App.3d 841, 846.) 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 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, until January 1, 2016, a petition by park management for an order enjoining a continuing or recurring violation of a reasonable rule or regulation of a mobilehome park may be filed as a limited civil action in the superior court of the county in which the mobilehome park is located. This bill would remove the January 1, 2016, sunset date, thus extending indefinitely this authority to seek injunctive relief within the limited jurisdiction of the superior court. 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 states that a mobilehome tenancy shall be terminated by the management for, among other reasons: conduct by the homeowner or resident, upon the park premises, that constitutes a substantial annoyance to other homeowners or residents; or failure of the homeowner or resident to comply with a reasonable rule or regulation of the park that is part of the rental agreement or any amendment thereto. (Civ. Code Sec. 798.56.) Existing law provides that, in addition to other rights to terminate the tenancy of a homeowner, any person in violation of a reasonable rule or regulation of a mobilehome park may be enjoined from the violation as follows: until January 1, 2016, a petition for an order enjoining a SB 244 (Vidak) Page 3 of ? continuing or recurring violation of any reasonable rule or regulation of a mobilehome park may be filed by the management thereof within the limited jurisdiction of the superior court of the county in which the mobilehome park is located; and after January 1, 2016, a petition for an order enjoining a continuing or recurring violation of any reasonable rule or regulation of a mobilehome park may be filed by the management thereof with the superior court of the county in which the mobilehome park is located. (Civ. Code Sec. 798.88 (a) and (b).) Existing law provides that at the time of filing the petition, the petitioner may obtain a temporary restraining order, with notice, upon the petitioner's affidavit showing to the satisfaction of the court reasonable proof of a continuing or recurring violation of a rule or regulation of the mobilehome park by the named homeowner or resident and that great or irreparable harm would result to the management or other homeowners or residents of the park from continuance or recurrence of the violation. (Civ. Code Sec. 798.88 (b).) Existing law provides that a temporary restraining order shall be personally served upon the respondent homeowner or resident with the petition for injunction and the notice of hearing. The restraining order shall remain in effect for a period not to exceed 15 days, except as modified or limited by the court. (Civ. Code Sec. 798.88 (c).) Existing law specifies that a hearing shall be held within 15 days of filing the petition for an injunction. If the court, by clear and convincing evidence, finds the existence of a continuing or recurring violation of a reasonable rule or regulation of the mobilehome park, the court shall issue an injunction prohibiting the violation. The duration of the injunction shall not exceed three years, but not more than three months prior to its expiration the management may petition for a new injunction where there has been recurring or continuous violation of the injunction or there is a threat of future violation of the mobilehome park's rules upon termination of the injunction. (Civ. Code Sec. 798.88 (d) and (e).) This bill would strike the January 1, 2016, sunset date attached to the authorization to 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, thus extending this provision SB 244 (Vidak) Page 4 of ? indefinitely. COMMENT 1.Stated need for the bill The author writes: AB 2272 (Wagner, Ch. 99, Stats, 2012), until January 1, 2016, [permits] the management to file a petition for an order to enjoin violations within the limited jurisdiction of the superior court of the county in which the mobilehome community is located. . . . Without new legislation mobile home park owners will be unable to utilize injunctions to enforce the rules of the park. SB 244 will remove the sunset date thereby allowing mobile home park owners to continue using this tool in enforcing the rules of the park instead of having to resort to the eviction process. Prior to the enactment of AB 2272 park owners had few options available to deal with residents that were not following the park rules and engaging in disruptive behavior. If the disruptive behavior became . . . a problem park owners were only able to utilize the eviction process[,] which was burdensome to park owners, [the] evicted resident, and the entire mobile home park community. 2.Limited vs. Unlimited Civil Cases Civil 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 jurisdictionally be granted in a limited civil case. Generally, in a limited civil case, the amount in controversy may not exceed $25,000, and the court cannot grant permanent injunctions (except as otherwise authorized), determine title to real property, or provide declaratory relief. Filing fees are also lower in limited civil cases - for example, in San Francisco County, the filing fee for a complaint in an unlimited civil case is $450 while the filing fee for a limited civil complaint may be as low as $225. Limited cases also differ in various procedural ways - for SB 244 (Vidak) Page 5 of ? example, an answer to a verified complaint in a limited civil case need not be verified. (See Code Civ. Proc. Sec. 92.) Prior to the enactment of AB 2272 (Wagner, Ch. 99, Stats. 2012), then-existing law required petitions to enjoin continuing or recurring violations of the rules or regulations of a mobilehome park to be filed as unlimited civil cases. This bill would extend indefinitely the current authorization for mobilehome park management to file these petitions within the "limited" jurisdiction of the superior court. By lowering the cost and effort required to secure an injunction through a limited civil proceeding, the existing authorization helps ensure that petitions for injunctions are not more burdensome and costly than the comparatively more intrusive remedy of eviction. A letter from Terry Dowdall, an attorney in Orange County, on the effectiveness of AB 2272 makes this point, stating: AB 2272 put injunctions on the same footing (costs, convenience, efficiency) as evictions. Previously, it was easier and cheaper to evict! (than to keep the resident and order compliance with the rules). Since eviction actions are tried in limited jurisdiction courts, speed, convenience and cost continue to attract the park management. So, the same speed and convenience should continue to be provided for the much less harsh remedy of no more than an order to behave. This encourages enforcement of rules instead of eviction. This avoids the resident's parade of horribles which always follow mobilehome tenancy termination (e.g. housing dislocation, removal or sale of the home, uprooting of family, fall in credit rating). From a policy standpoint, existing law should arguably not encourage an action for eviction, which may leave a resident without affordable housing, if an injunction would equally resolve the issue and not force the resident to leave his or her home. It should be noted that the distinction between "limited" and "unlimited" civil cases is a result of the unification of the 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 SB 244 (Vidak) Page 6 of ? 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." (Unnecessary Procedural Differences Between Limited and Unlimited Civil Cases (Feb. 2001) Vol. 30 California Law Revision Commission Report (2001) p. 448.) 3.Experience Under AB 2272 When AB 2272 was heard by this Committee in 2012, the bill analysis stated: In order to allow the Legislature (and this Committee) to reevaluate 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 reevaluate 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. Since the time AB 2272 entered into force in 2013, the Committee has not received any information suggesting that allowing mobilehome park managers to pursue injunctive relief through the limited civil jurisdiction of the superior courts has had any unintended consequences. To the contrary, a letter from Terry Dowdall, an attorney in Orange County, recounts several instances where mobilehome park tenancies were spared by court-ordered injunctions and the more drastic remedy of eviction was avoided. One such example from Mr. Dowdall states the following: In 2013, San Diego, a resident intentionally engaged in conduct for the alleged express purpose of irritating her neighbors. She installed several wind-chimes and then intentionally and frequently struck them to create more noise. She allegedly constantly "beeped" her automobile horn with her remote control key, for no reason. She decorated a portion of her driveway immediately adjacent to her neighbor's bedroom window with indoor furniture and furnishings (couches, end tables, statues, plants, etc.) to make it look like a SB 244 (Vidak) Page 7 of ? living room, then sat there on the couch all day facing them while singing loudly about them and everything she thought about them in a sing-song voice so they could hear. She ignored notices from park [management]. She always timely paid her rent and her home and space were otherwise immaculate. We demanded that she desist from the disturbing conduct and conditions, all rule violations for which an eviction action could be brought under the Mobilehome Residency Law. . . . She finally complied. This and other examples provided to the Committee, and the lack of any countervailing evidence, suggest that expanding limited civil jurisdiction to include injunctive relief for continuing or recurring violations of reasonable rules or regulations of a mobilehome park seems to be working as intended. Support : None Known Opposition : None Known HISTORY Source : Western Manufactured Housing Communities Association Related Pending Legislation : SB 419 (McGuire) would authorize the seller of a mobilehome to display a "for sale" sign of a generally accepted yard-arm type design and would require the management of a mobilehome park, upon request, to provide in writing the information and standards management will use to review a prospective homeowner to prospective homeowners or the seller. This bill is currently in the Senate Judiciary Committee. AB 999 (Daly) would authorize the management of a mobilehome park to dispose of a mobilehome 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 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. This bill is currently in the Assembly Judiciary Committee. Prior Legislation : SB 244 (Vidak) Page 8 of ? AB 2272 (Wagner, Ch. 99, Stats. 2012) authorized, until January 1, 2016, the management of mobilehome parks to file petitions for orders to enjoin violations of reasonable rules or regulations of mobilehome parks within the limited jurisdiction of the superior court. SB 459 (Lockyer, Ch. 270, Stats. 1991) authorized the management of mobilehome parks to obtain injunctions for three years against continuing or recurring violations of the reasonable rules and regulations of the park. This bill entitled the management to an injunction upon showing such a violation by clear and convincing evidence, and authorized the court to grant a temporary order restraining the violation for up to 15 days pending a hearing on the injunction. **************