BILL NUMBER: AB 583	CHAPTERED
	BILL TEXT

	CHAPTER   193
	FILED WITH SECRETARY OF STATE   JULY 21, 1998
	APPROVED BY GOVERNOR   JULY 20, 1998
	PASSED THE ASSEMBLY   JULY 8, 1998
	PASSED THE SENATE   JULY 2, 1998
	AMENDED IN SENATE   MARCH 24, 1998
	AMENDED IN SENATE   MARCH 16, 1998
	AMENDED IN ASSEMBLY   JANUARY 26, 1998
	AMENDED IN ASSEMBLY   JANUARY 5, 1998
	AMENDED IN ASSEMBLY   APRIL 15, 1997
	AMENDED IN ASSEMBLY   APRIL 10, 1997
	AMENDED IN ASSEMBLY   MARCH 31, 1997

INTRODUCED BY   Assembly Member Davis
   (Coauthor:  Assembly Member Papan)

                        FEBRUARY 25, 1997

   An act to amend Section 890 of the Civil Code, and to add Section
602.9 to the Penal Code, relating to rent skimming.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 583, Davis.  Residential real property:  trespass:  rent
skimming.
   Existing law defines rent skimming as the use of revenue from the
rental of a parcel of residential property during the first year
after acquiring the property without first applying the revenue or an
equal amount to payments due on all mortgages or deeds of trust
encumbering the property.
   This bill would further define "rent skimming" for purposes of
this provision to include receiving rental income from the rental of
residential real property without the consent of the property owner
or his or her agent, as specified.
   This bill would also provide that claiming ownership or claiming
or taking possession of, or causing another to enter or remain in, a
residential dwelling for the purpose of renting or leasing the
dwelling to another without the consent of the owner or the owner's
lawful agent is a misdemeanor punishable, as specified.  Because this
bill would create a new crime, it would establish 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.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 890 of the Civil Code is amended to read:
   890.  (a) (1) "Rent skimming" means using revenue received from
the rental of a parcel of residential real property at any time
during the first year period after acquiring that property without
first applying the revenue or an equivalent amount to the payments
due on all mortgages and deeds of trust encumbering that property.
   (2) For purposes of this section, "rent skimming" also means
receiving revenue from the rental of a parcel of residential real
property where the person receiving that revenue, without the consent
of the owner or owner's agent, asserted possession or ownership of
the residential property, whether under a false claim of title, by
trespass, or any other unauthorized means, rented the property to
another, and collected rents from the other person for the rental of
the property.  This paragraph does not apply to any tenant,
subtenant, lessee, sublessee, or assignee, nor to any other hirer
having a lawful occupancy interest in the residential dwelling.
   (b) "Multiple acts of rent skimming" means knowingly and willfully
rent skimming with respect to each of five or more parcels of
residential real property acquired within any two-year period.
   (c) "Person" means any natural person, any form of business
organization, its officers and directors, and any natural person who
authorizes rent skimming or who, being in a position of control,
fails to prevent another from rent skimming.
  SEC. 2.  Section 602.9 is added to the Penal Code, to read:
   602.9.  (a) Except as provided in subdivision (c), any person who,
without the owner's or owner's agent's consent, claims ownership or
claims or takes possession of a residential dwelling for the purpose
of renting that dwelling to another is guilty of a misdemeanor
punishable by imprisonment in a county jail not exceeding six months,
or by a fine not exceeding one thousand dollars ($1,000), or by both
such imprisonment and fine.  Each violation is a separate offense.
   (b) Except as provided in subdivision (c), any person who, without
the owner's or owner's agent's consent, causes another person to
enter or remain in any residential dwelling for the purpose of
renting that dwelling to another, is guilty of a misdemeanor
punishable by imprisonment in a county jail not exceeding six months,
or by a fine not exceeding one thousand dollars ($1,000), or by both
such imprisonment and fine.  Each violation is a separate offense.
   (c) This section does not apply to any tenant, subtenant, lessee,
sublessee, or assignee, nor to any other hirer having a lawful
occupancy interest in the residential dwelling.
  SEC. 3.  No reimbursement is required by this act pursuant to
Section 6 of Article XIIIB 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 XIIIB of the California Constitution.
   Notwithstanding Section 17580 of the Government Code, unless
otherwise specified, the provisions of this act shall become
operative on the same date that the act takes effect pursuant to the
California Constitution.