Bill Text: CA AB500 | 2023-2024 | Regular Session | Amended


Bill Title: Rent increases: noticing.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2024-02-01 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB500 Detail]

Download: California-2023-AB500-Amended.html

Amended  IN  Assembly  February 27, 2023

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Assembly Bill
No. 500


Introduced by Assembly Member Davies

February 07, 2023


An act to amend Section 827 of the Civil Code, relating to rent increases.


LEGISLATIVE COUNSEL'S DIGEST


AB 500, as amended, Davies. Rent increases: noticing.
Existing law requires a landlord of a residential dwelling to give notice at least a specified number of days, either 30 or 90, before the effective date of the change based upon the percentage increase in the amount of rent charged to the tenant at any time during the 12 months before the effective date of the increase, either in and of itself or when combined with any other rent increases for the 12 months before the effective date of the increase. Existing law also specifies that if the proposed rent increase for a tenant is caused by a change in a tenant’s income or family composition as determined by a recertification required by statute or regulation, the notice of the rent increase shall be delivered at least 30 days before the effective date. Existing law authorizes a landlord of a residential dwelling to give notice either by personal service or mail, as specified.
This bill would instead require that notice of a proposed rent increase of any percentage be delivered at least 90 days before the effective date of the increase. additionally authorize a landlord of a residential dwelling to give notice by electronic mail, as defined.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  

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


SECTION 1.

 Section 827 of the Civil Code is amended to read:

827.
 (a) Except as provided in subdivision (b), in all leases of lands or tenements, or of any interest therein, from week to week, month to month, or other period less than a month, the landlord may, upon giving notice in writing to the tenant, in the manner prescribed by Section 1162 of the Code of Civil Procedure, change the terms of the lease to take effect, as to tenancies for less than one month, upon the expiration of a period at least as long as the term of the hiring itself, and, as to tenancies from month to month, to take effect at the expiration of not less than 30 days, but if that change takes effect within a rental term, the rent accruing from the first day of the term to the date of that change shall be computed at the rental rate obtained immediately prior to that change; provided, however, that it shall be competent for the parties to provide by an agreement in writing that a notice changing the terms thereof may be given at any time not less than seven days before the expiration of a term, to be effective upon the expiration of the term.
The notice, when served upon the tenant, shall in and of itself operate and be effectual to create and establish, as a part of the lease, the terms, rents, and conditions specified in the notice, if the tenant shall continue to hold the premises after the notice takes effect.
(b) (1) In all leases of a residential dwelling, or of any interest therein, from week to week, month to month, or other period less than a month, the landlord may increase the rent provided in the lease or rental agreement, upon giving written notice to the tenant, as follows, by either of the following procedures:
(A) By delivering a copy to the tenant personally.
(B) By serving a copy by mail under the procedures prescribed in Section 1013 of the Code of Civil Procedure.

(2)The notice for a proposed rent increase of any percentage shall be delivered at least 90 days before the effective date of the increase, and shall be subject to Section 1013 of the Code of Civil Procedure if it is served by mail.

(C) By serving a copy by electronic mail, as defined in subdivision (f) of Section 17529.1 of the Business and Professions Code.
(2) If the proposed rent increase for that tenant is 10 percent or less of the rental amount charged to that tenant at any time during the 12 months before the effective date of the increase, either in and of itself or when combined with any other rent increases for the 12 months before the effective date of the increase, the notice shall be delivered at least 30 days before the effective date of the increase, and subject to Section 1013 of the Code of Civil Procedure if served by mail.
(3) (A) If the proposed rent increase for that tenant is greater than 10 percent of the rental amount charged to that tenant at any time during the 12 months before the effective date of the increase, either in and of itself or when combined with any other rent increases for the 12 months before the effective date of the increase, the notice shall be delivered at least 90 days before the effective date of the increase, and subject to Section 1013 of the Code of Civil Procedure if served by mail.
(B) If the proposed rent increase for that tenant is caused by a change in a tenant’s income or family composition as determined by a recertification required by statute or regulation, the notice shall be delivered at least 30 days before the effective date of the increase as described in paragraph (2), and subparagraph (A) of this paragraph shall not apply.
(c) If a state or federal statute, state or federal regulation, recorded regulatory agreement, or contract provides for a longer period of notice regarding a rent increase than that provided in subdivision (a) or (b), the personal service or mailing of the notice shall be in accordance with the longer period.

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