Below are questions asked by rental property owners regarding California rent control laws followed by answers provided by eviction attorney Dennis Block.
Question One: I recently bought a building with nine units. I was told by the seller that one unit had not paid rent in the last six months. As part of the escrow, I was assigned the right to collect this past rent. My attorney has told me that I cannot include that rent in an eviction, but I can bring forth a Small Claims Court action. Am I getting proper advice?
Answer One: Under the Civil Code, an owner can only demand rent once the tenant is properly informed of a change of ownership. This written notice must include whether the ownership is in the name of an individual or an entity. This notice must include a physical address where the tenant may serve notices or legal process and the name and phone number of the owner or agent. In addition, it must state where rent is to be paid and the hours in which rent can be received. It is permissible to have rent sent to a P.O. Box or a direct deposit to a bank account. If payment is to be made to a bank, the bank must be located within five miles of the premises. It is only permissible to include the rent owed from the time you became the owner of the premises. Past rent cannot be included.
Question Two: My tenants, without my permission, rented a bounce house and placed it in the common areas of my building. They were having a birthday party for one of their children. They invited scores of people and the party lasted for over five hours. I only became aware of this after the event. I am so concerned that I could be liable if any injury occurred. Could this be a ground to evict these tenants? My property is located in El Segundo and is subject to Statewide Rent Control.
Answer Two: Clearly, the tenant should have sought your permission before scheduling this event. Since the event occurred without your knowledge or permission, I doubt you could be held liable for any injuries. Since this appears to be a one-time incident, it would not rise to the level where an eviction action could be brought.
Question Three: My tenant suffered a leak from the past storm. Within one day, I placed tarps on the roof. The roof was fixed in approximately three weeks, as it was very difficult to obtain the services of a roofer at that time. When my tenant tendered the rent, I realized he deducted 35% due to the inconvenience that he suffered. I do not believe this is fair. Any suggestions on how I should handle this?
Answer Three: There is no basis upon which a tenant can deduct rent in this situation. You acted reasonably and prudently in the repair of the roof. I would inform the tenant that the entire rent is owed and if the balance of rent is not received, you should issue a 3-Day Notice to Pay the Rent or Quit.
Question Four: I understand that we are not allowed to have a security deposit in an amount which exceeds the monthly rent. When did this law become effective?
Answer Four: This law will become effective as of July 1, 2024. This law applies even for a furnished unit. There is an exception where a security deposit may equal two months’ rent. The exception applies where the building’s title is held by a natural person and this person owns no more than two residential rental properties, which do not exceed four dwelling units.
Question Five: My property is subject to rent control for the city of Los Angeles. When the apartment was leased, I had the tenant sign a separate agreement for parking. What are my rights to increase the rent for parking and may I just terminate this parking privilege?
Answer Five: Your parking agreement would be considered a commercial lease. If the agreement is currently month-to-month, you may increase the rent without limitation or you can terminate the lease by serving a 30-day notice to quit.
Question Six: I just had a tenant move into my two-bedroom apartment. The tenant is a lady with three children, which is noted on the rental agreement. I have just found out that a male companion is now occupying the apartment. This male companion appears to be temperamental, possibly into drugs, and was very hostile toward my manager. I want them all to move out. I offered to give her back the security deposit and rent. The lady said she would move, but I have my doubts whether she will move out. What are your suggestions?
Answer Six: This is a clear violation of the rental agreement. You should immediately serve a 3-Day Notice to Perform or Quit. This will give your tenant three days to have this stranger vacate. If she does not comply with the notice, an unlawful detainer action should be filed.
Question Seven: When serving a rent increase, is it permissible to just mail it to the tenant? Also, is it possible that the tenant will just claim that it was not received?
Answer Seven: A rent increase notice may be personally delivered or may be mailed to your tenant. If you choose to mail it, you must allow an additional five days for mailing. For example, if you wanted to have your rent increase effective for May 1st, you would need to mail it by March 25th. If mailing, you should do it with a “proof of mailing” from the post office.
Question Eight: My tenant owes me over $40,000 from the Covid rental period. He keeps promising that he will start making payments towards this outstanding balance. While he is paying current rent, he has yet to pay a single payment towards this lump sum. He has now come to me with a business proposition. He tells me that he has a product that will be coming to the market in early 2025. He states that he will write a contract which grants me 10% of the profits if I apply this debt to this business venture. He is allowing me to review his business plan. Do you have any advice?
Answer Eight: Tell your tenant that you do not believe in “April Fool Jokes” and that the money needs to be paid or an eviction will proceed.
Dennis Block, of Dennis P. Block & Associates can be reached for information on landlord/tenant law or evictions at any of the following offices: Los Angeles: 323.938.2868, Encino: 818.986.3147, Inglewood: 310.673.2996, Long Beach: 310.434.5000, Ventura: 805.653.7264, Pasadena: 626.798.1014, Orange: 714.634.8232, San Diego: 619.481.5423 or by visiting www.evict123.com. Now, you can also read Dennis Block on Twitter, www.twitter.com/dennisblock or text him at (818) 570-1557. “Landlord Tenant Radio Weekly Podcasts can be heard at any time at www.EVICT123.com or download the app “EVICT123”.