Lawmakers have attempted on many occasions to erode California’s Ellis Act – the 1985 law that provides landlords in California with a legal route to exit the rental housing business. The most common scenario for an Ellis Act eviction is a landlord that wants to sell off individual units as tenancies-in-common, a topic we covered in this post.
Although local governments naturally desire a landlord to continue providing housing, the Ellis Act essentially provides a safety valve for landlords operating in rent controlled jurisdictions, guaranteeing investment property owners can walk away from their business when rent control becomes too burdensome.
The latest campaign to weaken the law has again fell short. It came in the form of AB 423 and AB 982. Most notably, if adopted, AB 982 would require landlords to give a year’s notice to all tenants, if the property owner decides to close a building. Currently, only tenants that are age 62+ or are disabled are entitled to a one year notice. Other tenants need only a 120-day notice, if the landlord decides to leave the rental business.
At Bornstein Law, while we applaud the California Apartment Association’s efforts to protect the rights of property owners, we hasten to say that the Ellis act does not give landlords unbridled power. Landlords still have specific responsibilities they must adhere to in Ellis Act evictions, a subject we will expound upon in a later post.
Although recent measures to weaken the Ellis Act have not passed, the law is constantly in flux and there are sure to be additional efforts to undermine landlord protections. This makes it vital to consult with a competent real estate attorney to keep abreast of all of the changes on a local and state level. The seasoned legal team of Bornstein Law has the knowledge, experience and dedication to see any landlord-tenant disputes to a favorable outcome.
As the founding attorney of Bornstein Law, Broker of Record for Bay Property Group and expert witness, Daniel Bornstein is a foremost and well-respected expert in landlord-tenant disputes and other property management issues with over 23 years of experience in handling real estate and civil litigation related disputes.
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