Amended in Assembly April 10, 2014

California Legislature—2013–14 Regular Session

Assembly Bill No. 2405

Introduced by Assembly Member Ammiano

February 21, 2014

An act to amend Section begin insert 1161.2 of the Code of Civil Procedure, and to amend Section end insert 7060.6 of, and to add Section 7060.8 to, the Government Code, relating to landlord tenant.

LEGISLATIVE COUNSEL’S DIGEST

AB 2405, as amended, Ammiano. Landlord tenant: Ellis Act.

(1) Under the Ellis Act, public entities generally are prohibited from adopting any statute, ordinance, or regulation, or taking any administrative action, to compel the owner of residential real property to offer or to continue to offer accommodations in the property for rent or lease. The act authorizes, if an owner seeks to displace a tenant or lessee from accommodations withdrawn from rent or lease by an unlawful detainer proceeding, the tenant or lessee to assert by way of defense that the owner has not complied with the act, or statutes, ordinances, or regulations of public entities adopted to implement the act.

This bill would require, if an owner seeks to displace a tenant or lessee from accommodations withdrawn pursuant to the act begin delete solely on the basis of this withdrawal, the case to civil action other than a civil action for unlawful detainer in which the tenant or lessee may assert the above-described defenses end delete begin insert , the plaintiff to state in the caption of the complaint that the civil action is described in a specified provision of the Ellis Act end insert .

(2) Existing law authorizes a court clerk to allow access to limited civil case records filed in unlawful detainer proceedings to specified persons and, after 60 days after the complaint has been filed, to any other person, with a specified exception.

This bill would prohibit the clerk of the court from allowing access to court records filed in the above-described civil action to displace a tenant or lessee from withdrawn accommodations, begin insert when the caption of the complaint states that it is a civil action described above, end insert except as specified.

(3) The Planning and Zoning Law requires each city, county, and city and county to prepare and adopt a general plan that contains certain mandatory elements, including a housing element that includes an assessment of housing needs.

This bill begin delete would, end delete begin insert would authorize, end insert if a begin delete county or city and county fails to identify or make available adequate sites to accommodate its portion of the regional housing need allocated to specified income levels, authorize the county or city and county end delete begin insert public entity, as defined, finds that the prohibition of the Ellis Act decreases the total number of affordable rental units within a jurisdiction, the board of supervisors end insert to compel the owner of a residential real property to offer, or continue to offer, accommodations in the property for rent or lease by adoption of a resolution or by a majority vote of the electors within the county.

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

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

SECTION 1.  

The Legislature hereby finds and declares:

begin delete

(a)  Legal issues in an Ellis Act eviction proceeding are complex,
unlike unlawful detainer proceedings for nonpayment of rent and
other common evictions.

(b)  Briefs in an Ellis Act eviction proceeding are often
extensive. Drafting or responding to pleadings on an unlawful
detainer timeline is a challenge. Exhibits are extensive in an Ellis
Act eviction proceeding and need to be thoroughly reviewed to
determine whether “strict compliance” has been achieved.

(c)  Owners that invoke the Ellis Act are using a draconian
remedy - removal from rental use - and careful court review is
warranted. Unlike a typical eviction for nonpayment of rent, which
forces a tenant out, but doesn’t otherwise restrict the unit, an Ellis
Act eviction results in a deed restriction on the unit, removing it
from the rental market.

(d)  The detriment to owners from a longer civil action to recover
rental property is fundamentally different. In an Ellis Act eviction
proceeding, the owner does not allege damage or misconduct by
a tenant that would otherwise require a prompt eviction.

(e)  It is very difficult for tenants to find representation in part
because Ellis Act eviction proceedings are complex and attorneys
are required to drop everything to deal with tight timelines. Tenants
cannot be expected to competently represent themselves in Ellis
Act eviction proceedings. Converting these proceedings to be civil
actions other than those for unlawful detainer could make it easier
to get representation or low income tenants.

end delete begin insert

(a) The Ellis Act was enacted in 1985 by the Legislature after
the California Supreme Court found that landlords do not have
the right to evict tenants to go out of the business of being a
landlord.

end insert begin insert

(b) Having suffered a mortgage crisis, foreclosure crisis, and
the loss of jobs and wages, local governments have had little
flexibility with limiting the abuses that are occurring subsequent
to the enactment of the Ellis Act.

end insert begin insert

(c) Current public policy reflects a growing trend towards local
control. Examples include realignment of corrections and social
services, the Local Control Funding Formula in education, and
local housing element requirements.

end insert begin insert

(d) Allowing local jurisdictions the flexibility to voluntarily
suspend Ellis Act evictions will allow participating jurisdictions
to reign in Ellis Act abuses that are preventing these jurisdictions
from meeting their supply of affordable housing.

end insert begin delete

(f)

end delete

begin insert (e) end insert  To the extent that a civil action is brought to evict a tenant
solely because the property owner wants to remove the residential
unit from the rental market and the tenant did not engage in acts
that would constitute a breach of the lease, the interest of the tenant
in protecting his or her reputation as a responsible tenant outweighs
the public interest in the outcome of the proceeding to evict the
tenant.

begin insert

begin insert SEC. 2. end insert   

end insert

begin insert Section 1161.2 of the end insert begin insert Code of Civil Procedure end insert begin insert is
amended to read: end insert

1161.2.  

(a) The clerk may allow access to limited civil case
records filed under this chapter, including the court file, index,
and register of actions, only as follows:

(1) To a party to the action, including a party’s attorney.

(2) To any person who provides the clerk with the names of at
least one plaintiff and one defendant and the address of the
premises, including the apartment or unit number, if any.

(3) To a resident of the premises who provides the clerk with
the name of one of the parties or the case number and shows proof
of residency.

(4) To any person by order of the court, which may be granted
ex parte, on a showing of good cause.

(5) Except as provided in paragraph (6), to any other person 60
days after the complaint has been filed, unless a defendant prevails
in the action within 60 days of the filing of the complaint, in which
case the clerk may not allow access to any court records in the
action, except as provided in paragraphs (1) to (4), inclusive.

(6)  begin insert ( end insert begin insert A) end insert begin insert   end insert In the case of a complaint involving residential property
based on Section 1161a as indicated in the caption of the complaint,
as required in subdivision (c) of Section 1166, to any other person,
if 60 days have elapsed since the complaint was filed with the
court, and, as of that date, judgment against all defendants has
been entered for the plaintiff, after a trial. If judgment is not entered
under the conditions described in this paragraph, the clerk shall
not allow access to any court records in the action, except as
provided in paragraphs (1) to (4), inclusive.

begin insert

(B) Notwithstanding subparagraph (A), in the case of a
complaint involving residential property described in Section
7060.6 of the Government Code, as indicated in the caption of the
complaint, as required in subdivision (b) of Section 7060.6 of the
Government Code, the clerk shall not allow access to any court
records in the action, except as provided in paragraphs (1) to (4),
inclusive.

end insert

(b) For purposes of this section, “good cause” includes, but is
not limited to, the gathering of newsworthy facts by a person
described in Section 1070 of the Evidence Code. It is the intent of
the Legislature that a simple procedure be established to request
the ex parte order described in subdivision (a).

(c) Upon the filing of any case so restricted, the court clerk shall
mail notice to each defendant named in the action. The notice shall
be mailed to the address provided in the complaint. The notice
shall contain a statement that an unlawful detainer complaint
(eviction action) has been filed naming that party as a defendant,
and that access to the court file will be delayed for 60 days except
to a party, an attorney for one of the parties, or any other person
who (1) provides to the clerk the names of at least one plaintiff
and one defendant in the action and provides to the clerk the
address, including any applicable apartment, unit, or space number,
of the subject premises, or (2) provides to the clerk the name of
one of the parties in the action or the case number and can establish
through proper identification that he or she lives at the subject
premises. The notice shall also contain a statement that access to
the court index, register of actions, or other records is not permitted
until 60 days after the complaint is filed, except pursuant to an
order upon a showing of good cause therefor. The notice shall
contain on its face the following information:

(1) The name and telephone number of the county bar
association.

(2) The name and telephone number of any entity that requests
inclusion on the notice and demonstrates to the satisfaction of the
court that it has been certified by the State Bar as a lawyer referral
service and maintains a panel of attorneys qualified in the practice
of landlord-tenant law pursuant to the minimum standards for a
lawyer referral service established by the State Bar and Section
6155 of the Business and Professions Code.

(3) The following statement:

“The State Bar of California certifies lawyer referral services in
California and publishes a list of certified lawyer referral services
organized by county. To locate a lawyer referral service in your
county, go to the State Bar’s website at www.calbar.ca.gov or call
1-866-442-2529.”

(4) The name and telephone number of an office or offices
funded by the federal Legal Services Corporation or qualified legal
services projects that receive funds distributed pursuant to Section
6216 of the Business and Professions Code that provide legal
services to low-income persons in the county in which the action
is filed. The notice shall state that these numbers may be called
for legal advice regarding the case. The notice shall be issued
between 24 and 48 hours of the filing of the complaint, excluding
weekends and holidays. One copy of the notice shall be addressed
to “all occupants” and mailed separately to the subject premises.
The notice shall not constitute service of the summons and
complaint.

(d) Notwithstanding any other provision of law, the court shall
charge an additional fee of fifteen dollars ($15) for filing a first
appearance by the plaintiff. This fee shall be added to the uniform
filing fee for actions filed under this chapter.

(e) This section does not apply to a case that seeks to terminate
a mobilehome park tenancy if the statement of the character of the
proceeding in the caption of the complaint clearly indicates that
the complaint seeks termination of a mobilehome park tenancy.

begin delete SEC. 2. end delete
begin insert SEC. 3. end insert   

Section 7060.6 of the Government Code is amended
to read:

7060.6.  

(a) If an owner seeks to displace a tenant or lessee
from accommodations withdrawn from rent or lease pursuant to
this chapter begin delete solely on the basis of this withdrawal, the case shall
be a civil action, other than a civil action for unlawful detainer, in
which the tenant or lessee end delete begin insert by an unlawful detainer proceeding, the
owner shall state the following in the caption of the complaint: end insert

begin insert

“Civil Action Described in Section 7060.6 of the Government
Code.”

end insert

begin insert (b) end insert begin insert   end insert begin insert If an owner seeks to displace a tenant or lessee from
accommodations withdrawn from rent or lease pursuant to this
chapter by an unlawful detainer proceeding, end insert begin insert the end insert begin insert tenant or lessee end insert begin insert end insert
may begin insert appear and answer or demur pursuant to Section 1170 of the
Code of Civil Procedure and may end insert assert by way of defense that
the owner has not complied with this chapter, or statutes,
ordinances, or regulations of public entities adopted to implement
this chapter, as authorized by this chapter.

begin delete

(b) The clerk of the court shall not allow access to court records
filed in a civil action described in subdivision (a), including the
court file, index, and register of actions, except as follows:

(1) To a party to the action, including a party’s attorney.

(2) To any person who provides the clerk with the names of at
least one plaintiff and one defendant and the address of the
premises, including the apartment or unit number, if any.

(3) To a resident of the premises who provides the clerk with
the name of one of the parties or the case number and shows proof
of residency.

(4) (A) To any person by order of the court, which may be
granted ex parte, on a showing of good cause.

(B) For purposes of this paragraph, “good cause” includes, but
is not limited to, the gathering of newsworthy facts by a person
described in Section 1070 of the Evidence Code. It is the intent of
the Legislature that a simple procedure be established to request
the ex parte order described in subparagraph (A).

end delete

begin delete SEC. 3. end delete
begin insert SEC. 4. end insert   

Section 7060.8 is added to the Government Code, to
read:

7060.8.  

Notwithstanding Section 7060, if a begin delete county or city and
county fails to identify or make available adequate sites to
accommodate its portion of the regional housing need allocated
to low-income and moderate income levels pursuant to Section
65584, end delete begin insert public entity, as defined in Section 811.2, finds that the
prohibition of Section 7060 decreases the total number of
affordable rental units within a jurisdiction, end insert the board of
supervisors, by the adoption of a resolution or by a majority vote
of the electors within the county, may compel the owner of any
residential real property to offer, or continue to offer,
accommodations in the property for rent or begin delete lease until the county
or city and county meets its portion of the regional housing need end delete
begin insert lease end insert .