Bill Text: CA AB579 | 2011-2012 | Regular Session | Introduced


Bill Title: Mobilehome parks: liability: attorney's fees.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2012-02-01 - Died pursuant to Art. IV, Sec. 10(c) of the Constitution. From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB579 Detail]

Download: California-2011-AB579-Introduced.html
BILL NUMBER: AB 579	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Monning

                        FEBRUARY 16, 2011

   An act to amend Sections 1021.5 and 1036 of, and to add Section
425.20 to, the Code of Civil Procedure, and to amend Section 800 of
the Government Code, relating to mobilehome parks.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 579, as introduced, Monning. Mobilehome parks: liability:
attorney's fees.
   Existing law permits a court to award attorney's fees to a
successful party in an action that has resulted in the enforcement of
an important right affecting public interest, but does not allow an
award of attorney's fees in favor of public entities, except in
limited circumstances. Existing law requires the court to determine
and award a successful plaintiff in an inverse condemnation
proceeding certain costs, disbursements, expenses, and fees, as
provided. Existing law permits a complainant to collect specified
attorney's fees in a civil action to appeal or review an
administrative proceeding where the proceeding was the result of
arbitrary or capricious action or conduct by the public entity or
officer.
   This bill would permit the award of attorney's fees and, in some
cases, other litigation expenses, to a local governmental entity in
an action brought by the owner of a mobilehome park to challenge the
validity or application of a local ordinance, rule, regulation, or
initiative measure that regulates space rent or is intended to
benefit or protect residents in a mobilehome park, if the local
governmental entity is determined to be the prevailing party.
   Existing law provides that a cause of action against a person
arising from the person's right of petition or free speech is subject
to a special motion to strike, unless the court determines there is
a probability that the plaintiff will prevail on the claim.
    This bill would also subject certain causes of action against a
local government regarding mobilehome parks to a special motion to
strike. The motion would apply to a cause of action that challenges
the validity or application of a local ordinance, rule, regulation,
or initiative measure that regulates space rent, as specified, or a
cause of action that challenges a local government's application or
enforcement of any statute that is intended to benefit or protect
residents in a mobilehome park, unless the court determines that the
plaintiff has established that there is a probability that the
plaintiff will prevail on the claim.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


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

  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) Many local jurisdictions, in an effort to preserve and support
affordable housing options, and to protect the investments of all
mobilehome owners, have adopted mobilehome rent ordinances to protect
mobilehome owners from excessive rent increases. Various state
statutes also require local jurisdictions to review and rule upon
park owner applications to close or convert rental mobilehome parks
and to ensure that proper mitigation is provided to all mobilehome
owners who may be displaced from their mobilehome parks due to its
closure or conversion.
   (b) Under current law, cities and counties that successfully
defend their mobilehome rent ordinances, their administrative
decisions under their ordinances, and their decisions on park owner
closure and conversion applications must bear the costs of their
legal defense, even if they win. On the other hand, pursuant to
several current state statutes that this bill amends, they must pay
the other side's attorney's fees if they prevail under these statutes
that allow them to challenge mobilehome rent ordinances, local
administrative decisions under those ordinances, and local
administrative decisions on park owner applications to close and
convert rental mobilehome parks.
   (c) There has been a disturbing increase in lawsuits brought by
mobilehome park owners challenging the adoption and retention of
local mobilehome ordinances, challenging local administrative
decisions under those ordinances, and challenging local decisions on
mobilehome park owner applications to close and convert rental
mobilehome parks. These lawsuits often have little likelihood of
success, involve excessive, unnecessary, and expensive discovery
procedures and, in many instances, cause local jurisdictions to
abandon the above protections of mobilehome owners because of the
great expense of defending against these lawsuits regardless of the
local jurisdictions chances of prevailing. These circumstances have
caused these lawsuits to have a chilling effect on local
jurisdictions' willingness and ability to continue to preserve and
support affordable housing in mobilehome parks, and to protect the
investments of all mobilehome owners, through the adoption and
retention of mobilehome rent ordinances, and through the proper
enforcement of both these ordinances and the state statutes regarding
the closure and conversion of rental mobilehome parks.
   (d) It is in the public interest to encourage cities to continue
to adopt and retain these local ordinances and continue to properly
enforce both these mobilehome park rent ordinances and state statutes
regulating the closure and conversion of rental mobilehome parks. To
this end, the provisions enacted by this measure shall be construed
broadly.
  SEC. 2.  Section 425.20 is added to the Code of Civil Procedure, to
read:
   425.20.  (a) (1) The following causes of action shall be subject
to a special motion to strike, unless the court determines that the
plaintiff has established that there is a probability that the
plaintiff will prevail on the claim:
   (A) A cause of action brought by the owner of a mobilehome park,
as defined in Section 798.4 of the Civil Code, to challenge the
validity or application of an ordinance, rule, regulation, or
initiative measure adopted by any local governmental entity that
regulates space rent, or is otherwise intended to benefit or protect
residents in the park.
   (B) A cause of action that challenges a local government's
application or enforcement of any state statute that is intended to
benefit or protect residents in the mobilehome park.
   (2) In making its determination, the court shall consider the
pleadings and supporting and opposing affidavits stating the facts
upon which the liability or defense is based.
   (3) If the court determines that the plaintiff has established a
probability that he or she will prevail on the claim, neither that
determination nor the fact of that determination shall be admissible
in evidence at any later stage of the case, or in any subsequent
action, and no burden of proof or degree of proof otherwise
applicable shall be affected by that determination in any later stage
of the case or in any subsequent proceeding.
   (b) In any action subject to subdivision (a), a prevailing
defendant on a special motion to strike shall be entitled to recover
his or her attorney's fees and costs. If the court finds that a
special motion to strike is frivolous or is solely intended to cause
unnecessary delay, the court shall award costs and reasonable
attorney's fees to a plaintiff prevailing on the motion, pursuant to
Section 128.5.
   (c) The special motion may be filed within 60 days of the service
of the complaint or, in the court's discretion, at any later time
upon terms it deems proper. The motion shall be scheduled by the
clerk of the court for a hearing not more than 30 days after the
service of the motion unless the docket conditions of the court
require a later hearing.
   (d) All discovery proceedings in the action shall be stayed upon
the filing of a notice of motion made pursuant to this section. The
stay of discovery shall remain in effect until notice of entry of the
order ruling on the motion. The court, on noticed motion and for
good cause shown, may order that specified discovery be conducted
notwithstanding this subdivision.
   (e) For purposes of this section, the following apply:
   (1) "Complaint" includes a cross-complaint or a petition.
   (2) "Plaintiff" includes a cross-complainant or a petitioner.
   (3) "Defendant" includes a cross-defendant or a respondent.
   (f) An order granting or denying a special motion to strike shall
be appealable under Section 904.1.
  SEC. 3.  Section 1021.5 of the Code of Civil Procedure is amended
to read:
   1021.5.   (a)    Upon motion, a court may award
 attorneys'   attorney's  fees to a
successful party against one or more opposing parties in any action
which has resulted in the enforcement of an important right affecting
the public interest if:  (a)   (1)  a
significant benefit, whether pecuniary or nonpecuniary, has been
conferred on the general public or a large class of persons, 
(b)   (2)  the necessity and financial burden of
private enforcement, or of enforcement by one public entity against
another public entity, are such as to make the award appropriate, and
 (c) such  (3) the  fees should not in the
interest of justice be paid out of the recovery, if any. 
With respect to   Except as provided in subdivision (c),
in  actions involving public entities, this section applies to
allowances against, but not in favor of, public entities, and no
claim shall be required to be filed therefor, unless one or more
successful parties and one or more opposing parties are public
entities, in which case no claim shall be required to be filed
therefor under Part 3 (commencing with Section 900) of Division 3.6
of Title 1 of the Government Code. 
    Attorneys' 
    (b)     Attorney's  fees awarded to a
public entity pursuant to this section shall not be increased or
decreased by a multiplier based upon extrinsic circumstances, as
discussed in Serrano v. Priest, 20 Cal. 3d 25, 49. 
   (c) In an action brought by the owner of a mobilehome park, as
defined in Section 798.4 of the Civil Code, to challenge the validity
or application of an ordinance, rule, regulation, or initiative
measure adopted by any local governmental entity that regulates space
rent, or is otherwise intended to benefit or protect residents in
the park, or is an action that challenges a local government's
application or enforcement of any state statute that is intended to
benefit or protect residents in the park, if the local governmental
entity is determined to be the prevailing party in the action, or in
the defense against the action, meets the criteria of subdivision
(a), the court shall award attorney's fees to the local governmental
entity. 
  SEC. 4.  Section 1036 of the Code of Civil Procedure is amended to
read:
   1036.   (a)    In any inverse condemnation
proceeding, the court rendering judgment for the plaintiff by
awarding compensation, or the attorney representing the public entity
who effects a settlement of that proceeding, shall determine and
award or allow to the plaintiff, as a part of that judgment or
settlement, a sum that will, in the opinion of the court, reimburse
the plaintiff's reasonable costs, disbursements, and expenses,
including reasonable attorney, appraisal, and engineering fees,
actually incurred because of that proceeding in the trial court or in
any appellate proceeding in which the plaintiff prevails on any
issue in that proceeding. 
   (b) In an inverse condemnation proceeding brought by the owner of
a mobilehome park, as defined in Section 798.4 of the Civil Code, to
challenge the validity or application of an ordinance, rule,
regulation, or initiative measure adopted by any local governmental
entity which regulates space rent, or is otherwise intended to
benefit or protect residents in the park, or is an inverse
condemnation proceeding that challenges a local government's
application or enforcement of any state statute that is intended to
benefit or protect residents in the park, if the local governmental
entity is determined to be the prevailing party and the action meets
the criteria of subdivision (a), the court shall award attorney's
fees to the local governmental entity. 
  SEC. 5.  Section 800 of the Government Code is amended to read:
   800.  (a) In any civil action to appeal or review the award,
finding, or other determination of any administrative proceeding
under this code or under any other provision of state law, except
actions resulting from actions of the California Victim Compensation
and Government Claims Board, if it is shown that the award, finding,
or other determination of the proceeding was the result of arbitrary
or capricious action or conduct by a public entity or an officer
thereof in his or her official capacity, the complainant if he or she
prevails in the civil action may collect from the public entity
reasonable attorney's fees, computed at one hundred dollars ($100)
per hour, but not to exceed seven thousand five hundred dollars
($7,500), if he or she is personally obligated to pay the fees in
addition to any other relief granted or other costs awarded.
   (b) This section is ancillary only, and shall not be construed to
create a new cause of action.
   (c) The refusal by a public entity or officer thereof to admit
liability pursuant to a contract of insurance shall not be considered
arbitrary or capricious action or conduct within the meaning of this
section. 
   (d) In any civil action brought by the owner of a mobilehome park,
as defined in Section 798.4 of the Civil Code, pursuant to this
section, to challenge the validity or application of an ordinance,
rule, regulation, or initiative measure adopted by any local
governmental entity that regulates space rent, or is otherwise
intended to benefit or protect residents in the park, if the local
governmental entity is determined to be the prevailing party, the
court shall award attorney's fees and other litigation expenses to
the local governmental entity. 
                                    
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