Bill Text: CA SB419 | 2015-2016 | Regular Session | Chaptered


Bill Title: Mobilehomes: homeowners: sale.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2015-09-09 - Chaptered by Secretary of State. Chapter 288, Statutes of 2015. [SB419 Detail]

Download: California-2015-SB419-Chaptered.html
BILL NUMBER: SB 419	CHAPTERED
	BILL TEXT

	CHAPTER  288
	FILED WITH SECRETARY OF STATE  SEPTEMBER 9, 2015
	APPROVED BY GOVERNOR  SEPTEMBER 9, 2015
	PASSED THE SENATE  AUGUST 27, 2015
	PASSED THE ASSEMBLY  AUGUST 20, 2015
	AMENDED IN ASSEMBLY  AUGUST 17, 2015
	AMENDED IN ASSEMBLY  JULY 6, 2015
	AMENDED IN SENATE  MAY 19, 2015
	AMENDED IN SENATE  APRIL 27, 2015
	AMENDED IN SENATE  APRIL 6, 2015

INTRODUCED BY   Senator McGuire

                        FEBRUARY 25, 2015

   An act to amend, repeal, and add Sections 798.70, 798.71, and
798.74 of the Civil Code, relating to mobilehomes.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 419, McGuire. Mobilehomes: homeowners: sale.
   The Mobilehome Residency Law governs tenancies in mobilehome
parks. That law, among other things, sets forth certain rights and
requirements for the management and selling homeowners in connection
with the listing, sale, or exchange of a mobilehome, and, if not
prohibited by management, the rental of a mobilehome, including, but
not limited to, authorizing the display of signs advertising the
sale, exchange, or rental, and authorizing the display of an "open
house" sign unless prohibited by park rules; requiring the signs to
contain specified information and be of an H-frame or A-frame design;
and requiring the management, upon request of a prospective
homeowner, to provide the information the management will use to
determine if the person will be acceptable as a homeowner in the
park. Under that law, the management or owner may be held liable for
damages proximately resulting from the withholding of approval of a
prospective homeowner for any reason not stated in that law.
   On and after July 1, 2016, this bill would no longer condition the
display of an open house sign on the lack of prohibition in park
rules, but would allow a park to establish reasonable rules or
regulations governing the conduct of open houses, as specified; would
additionally authorize a seller to display one sign of an L-frame or
a generally accepted yard-arm type design; would authorize
management to require the use of a step-in L-frame sign; and would
define a "listing." The bill would require the management, upon
written request, to provide in writing the information and standards
the management will use to review a prospective homeowner to the
prospective homeowner or seller and make technical changes. The bill
would additionally condition the liability for damages resulting from
withholding approval of a prospective homeowner for reasons based
upon fraud, deceit, or concealment of material facts by the
prospective purchaser.


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

  SECTION 1.  Section 798.70 of the Civil Code is amended to read:
   798.70.  (a) A homeowner, an heir, joint tenant, or personal
representative of the estate who gains ownership of a mobilehome in
the mobilehome park through the death of the owner of the mobilehome
who was a homeowner at the time of his or her death, or the agent of
any such person, may advertise the sale or exchange of his or her
mobilehome, or, if not prohibited by the terms of an agreement with
the management, may advertise the rental of his or her mobilehome, by
displaying a sign in the window of the mobilehome, or by a sign
posted on the side of the mobilehome facing the street, or by a sign
in front of the mobilehome facing the street, stating that the
mobilehome is for sale or exchange or, if not prohibited, for rent by
the owner of the mobilehome or his or her agent. Any such person
also may display a sign conforming to these requirements indicating
that the mobilehome is on display for an "open house," unless the
park rules prohibit the display of an open house sign. The sign shall
state the name, address, and telephone number of the owner of the
mobilehome or his or her agent and the sign face shall not exceed 24
inches in width and 36 inches in height. Signs posted in front of a
mobilehome pursuant to this section may be of an H-frame or A-frame
design with the sign face perpendicular to, but not extending into,
the street. Homeowners may attach to the sign or their mobilehome
tubes or holders for leaflets which provide information on the
mobilehome for sale, exchange, or rent.
   (b) This section shall remain in effect only until July 1, 2016,
and as of that date is repealed.
  SEC. 2.  Section 798.70 is added to the Civil Code, to read:
   798.70.  (a) A homeowner, an heir, joint tenant, or personal
representative of the estate who gains ownership of a mobilehome in
the mobilehome park through the death of the owner of the mobilehome
who was a homeowner at the time of his or her death, or the agent of
any such person, may advertise the sale or exchange of his or her
mobilehome, or, if not prohibited by the terms of an agreement with
the management, may advertise the rental of his or her mobilehome, by
displaying one sign in the window of the mobilehome, or by one sign
posted on the side of the mobilehome facing the street, or by one
sign in front of the mobilehome facing the street, stating that the
mobilehome is for sale or exchange or, if not prohibited, for rent by
the owner of the mobilehome or his or her agent. Any such person
also may display one sign conforming to these requirements indicating
that the mobilehome is on display for an "open house," if allowed by
the park. The park may allow open houses and may establish
reasonable rules or regulations governing how an open house may be
conducted, including rules regarding the number of houses allowed to
be open at one time, hours, and parking. The sign shall state the
name, address, and telephone number of the owner of the mobilehome or
his or her agent and the sign face shall not exceed 24 inches in
width and 36 inches in height. Signs posted in front of a mobilehome
pursuant to this section may be of an H-frame, A-frame, L-frame, or
generally accepted yard-arm type design with the sign face
perpendicular to, but not extending into, the street. Management may
require the use of a step-in L-frame sign. Homeowners may attach to
the sign or their mobilehome tubes or holders for leaflets that
provide information on the mobilehome for sale, exchange, or rent.
   (b) This section shall become operative on July 1, 2016.
  SEC. 3.  Section 798.71 of the Civil Code is amended to read:
   798.71.  (a) (1) The management may not show or list for sale a
manufactured home or mobilehome without first obtaining the owner's
written authorization. The authorization shall specify the terms and
conditions regarding the showing or listing.
   (2) Management may require that a homeowner advise management in
writing that his or her manufactured home or mobilehome is for sale.
If management requires that a homeowner advise management in writing
that his or her manufactured home or mobilehome is for sale, failure
to comply with this requirement does not invalidate a transfer.
   (b) The management shall prohibit neither the listing nor the sale
of a manufactured home or mobilehome within the park by the
homeowner, an heir, joint tenant, or personal representative of the
estate who gains ownership of a manufactured home or mobilehome in
the mobilehome park through the death of the owner of the
manufactured home or mobilehome who was a homeowner at the time of
his or her death, or the agent of any such person other than the
management.
   (c) The management shall not require the selling homeowner, or an
heir, joint tenant, or personal representative of the estate who
gains ownership of a manufactured home or mobilehome in the
mobilehome park through the death of the owner of the manufactured
home or mobilehome who was a homeowner at the time of his or her
death, to authorize the management or any other specified broker,
dealer, or person to act as the agent in the sale of a manufactured
home or mobilehome as a condition of resale of the home in the park
or of management's approval of the buyer or prospective homeowner for
residency in the park.
   (d) The management shall not require a homeowner, who is replacing
a mobilehome or manufactured home on a space in the park, in which
he or she resides, to use a specific broker, dealer, or other person
as an agent in the purchase of or installation of the replacement
home.
   (e) Nothing in this section shall be construed as affecting the
provisions of the Health and Safety Code governing the licensing of
manufactured home or mobilehome salespersons or dealers.
   (f) This section shall remain in effect only until July 1, 2016,
and as of that date is repealed.
  SEC. 4.  Section 798.71 is added to the Civil Code, to read:
   798.71.  (a) (1) The management may not show or list for sale a
manufactured home or mobilehome without first obtaining the owner's
written authorization. The authorization shall specify the terms and
conditions regarding the showing or listing.
   (2) Management may require that a homeowner advise management in
writing that his or her manufactured home or mobilehome is for sale.
If management requires that a homeowner advise management in writing
that his or her manufactured home or mobilehome is for sale, failure
to comply with this requirement does not invalidate a transfer.
   (b) The management shall prohibit neither the listing nor the sale
of a manufactured home or mobilehome within the park by the
homeowner, an heir, joint tenant, or personal representative of the
estate who gains ownership of a manufactured home or mobilehome in
the mobilehome park through the death of the owner of the
manufactured home or mobilehome who was a homeowner at the time of
his or her death, or the agent of any such person other than the
management. For purposes of this section, "listing" includes
advertising the address of the home to the general public.
   (c) The management shall not require the selling homeowner, or an
heir, joint tenant, or personal representative of the estate who
gains ownership of a manufactured home or mobilehome in the
mobilehome park through the death of the owner of the manufactured
home or mobilehome who was a homeowner at the time of his or her
death, to authorize the management or any other specified broker,
dealer, or person to act as the agent in the sale of a manufactured
home or mobilehome as a condition of resale of the home in the park
or of management's approval of the buyer or prospective homeowner for
residency in the park.
   (d) The management shall not require a homeowner, who is replacing
a mobilehome or manufactured home on a space in the park, in which
he or she resides, to use a specific broker, dealer, or other person
as an agent in the purchase of or installation of the replacement
home.
   (e) Nothing in this section shall be construed as affecting the
provisions of the Health and Safety Code governing the licensing of
manufactured home or mobilehome salespersons or dealers.
   (f) This section shall become operative on July 1, 2016.
  SEC. 5.  Section 798.74 of the Civil Code is amended to read:
   798.74.  (a) The management may require the right of prior
approval of a purchaser of a mobilehome that will remain in the park
and that the selling homeowner or his or her agent give notice of the
sale to the management before the close of the sale. Approval cannot
be withheld if the purchaser has the financial ability to pay the
rent and charges of the park unless the management reasonably
determines that, based on the purchaser's prior tenancies, he or she
will not comply with the rules and regulations of the park. In
determining whether the purchaser has the financial ability to pay
the rent and charges of the park, the management shall not require
the purchaser to submit copies of any personal income tax returns in
order to obtain approval for residency in the park. However,
management may require the purchaser to document the amount and
source of his or her gross monthly income or means of financial
support.
   Upon request of any prospective homeowner who proposes to purchase
a mobilehome that will remain in the park, management shall inform
that person of the information management will require in order to
determine if the person will be acceptable as a homeowner in the
park.
   Within 15 business days of receiving all of the information
requested from the prospective homeowner, the management shall notify
the seller and the prospective homeowner, in writing, of either
acceptance or rejection of the application, and the reason if
rejected. During this 15-day period the prospective homeowner shall
comply with the management's request, if any, for a personal
interview. If the approval of a prospective homeowner is withheld for
any reason other than those stated in this article, the management
or owner may be held liable for all damages proximately resulting
therefrom.
   (b) If the management collects a fee or charge from a prospective
purchaser of a mobilehome in order to obtain a financial report or
credit rating, the full amount of the fee or charge shall be credited
toward payment of the first month's rent for that mobilehome
purchaser. If, for whatever reason, the prospective purchaser is
rejected by the management, the management shall refund to the
prospective purchaser the full amount of that fee or charge within 30
days from the date of rejection. If the prospective purchaser is
approved by the management, but, for whatever reason, the prospective
purchaser elects not to purchase the mobilehome, the management may
retain the fee, or a portion thereof, to defray its administrative
costs under this section.
   (c) This section shall remain in effect only until July 1, 2016,
and as of that date is repealed.
  SEC. 6.  Section 798.74 is added to the Civil Code, to read:
   798.74.  (a) The management may require the right of prior
approval of a purchaser of a mobilehome that will remain in the park
and that the selling homeowner or his or her agent give notice of the
sale to the management before the close of the sale. Approval cannot
be withheld if the purchaser has the financial ability to pay the
rent and charges of the park unless the management reasonably
determines that, based on the purchaser's prior tenancies, he or she
will not comply with the rules and regulations of the park. In
determining whether the purchaser has the financial ability to pay
the rent and charges of the park, the management shall not require
the purchaser to submit copies of any personal income tax returns in
order to obtain approval for residency in the park. However,
management may require the purchaser to document the amount and
source of his or her gross monthly income or means of financial
support.
   Upon written request of any selling homeowner or prospective
homeowner who proposes to purchase a mobilehome that will remain in
the park, management shall inform that person, in writing, of the
information management will require and the standards that will be
utilized in determining if the person will be acceptable as a
homeowner in the park.
   Within 15 business days of receiving all of the information
requested from the prospective homeowner, the management shall notify
the seller and the prospective homeowner, in writing, of either
acceptance or rejection of the application, and the reason if
rejected. During this 15-day period the prospective homeowner shall
comply with the management's request, if any, for a personal
interview. If the approval of a prospective homeowner is withheld for
any reason other than either of the following, the management or
owner may be held liable for all damages proximately resulting
therefrom:
   (1) Reasons stated in this article.
   (2) Reasons based upon fraud, deceit, or concealment of material
facts by the prospective purchaser.
   (b) If the management collects a fee or charge from a prospective
purchaser of a mobilehome in order to obtain a financial report or
credit rating, the full amount of the fee or charge shall be credited
toward payment of the first month's rent for that mobilehome
purchaser. If, for whatever reason, the prospective purchaser is
rejected by the management, the management shall refund to the
prospective purchaser the full amount of that fee or charge within 30
days from the date of rejection. If the prospective purchaser is
approved by the management, but, for whatever reason, the prospective
purchaser elects not to purchase the mobilehome, the management may
retain the fee, or a portion thereof, to defray its administrative
costs under this section.
   (c) This section shall become operative on July 1, 2016.
       
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