Monday, June 22, 2015

Foreclosing Lender Required To Attempt to Ascertain Identity of Any Tenants Occupying Foreclosed Real Property

Court holds that a foreclosing lender may potentially be liable to for interference with the implied covenant of quiet enjoyment where the lender failed to take steps to ascertain the identity of any tenants, never asked for a copy of the lease, never determined whether the tenants had the right to continue occupying the property, and unreasonably failed to inform or misinformed the police as to the tenants’ right to occupy the premises, which resulted in tenants being prevented by the police from accessing the property. (Nativi v. Deutsche Bank Nat'l Trust Co. (2014) 223 CA4th 261)

For further information, please contact Ruzicka, Wallace & Coughlin, LLP at (949) 748-3600; website: www.rwclegal.com. 

The law firm of Ruzicka, Wallace & Coughlin, LLP represents landlords, property management companies, institutional and private lenders, employers and insurance companies throughout the State of California in real estate, business and employment litigation. The information provided herein is for general interest only and should not be relied upon or construed as legal advice. 


© 2015 Ruzicka, Wallace & Coughlin, LLP.

Government Notice to Vacate Due To Substandard Conditions Does Not Terminate Lease

A property deemed “substandard” under the State Housing Law does not affect a tenant’s rights under the tenancy. Thus, where the enforcing agency posts a code enforcement notice—or “red-tag”—requiring that the property be vacated due to its “substandard” condition, the tenancy survives the red-tagging and the lease is not terminated. (Erlach v. Sierra Asset Servicing (2014) 226 CA4th 1281)

For further information, please contact Ruzicka, Wallace & Coughlin, LLP at (949) 748-3600; website: www.rwclegal.com. 

The law firm of Ruzicka, Wallace & Coughlin, LLP represents landlords, property management companies, institutional and private lenders, employers and insurance companies throughout the State of California in real estate, business and employment litigation. The information provided herein is for general interest only and should not be relied upon or construed as legal advice. 


© 2015 Ruzicka, Wallace & Coughlin, LLP.

Bankruptcy Case Filed After Entry of Unlawful Detainer (Eviction) Judgment Does Not Stay Sheriff Lockout

In cases filed on and after October 17, 2005, a tenant's bankruptcy filing does not stay eviction under an unlawful detainer judgment obtained before the filing with respect to residential property in which the tenant debtor resides as a tenant under a lease or rental agreement. (11 USC § 362(b)(22))

For further information, please contact Ruzicka, Wallace & Coughlin, LLP at (949) 748-3600; website: www.rwclegal.com. 

The law firm of Ruzicka, Wallace & Coughlin, LLP represents landlords, property management companies, institutional and private lenders, employers and insurance companies throughout the State of California in real estate, business and employment litigation. The information provided herein is for general interest only and should not be relied upon or construed as legal advice. 


© 2015 Ruzicka, Wallace & Coughlin, LLP.

Initial Term of HUD-VASH Section 8 Voucher Tenancy Can Be Less Than One Year

Under the HUD Section 8 Voucher Program, the initial term of the lease is generally required to be at least one year. However, this requirement does not apply to the HUD-Veterans Affairs Supportive Housing (HUD-VASH) program. The HUD-VASH program combines Housing Choice Voucher (HCV) rental assistance for homeless Veterans with case management and clinical services provided by the Department of Veterans Affairs (VA). VA provides these services for participating Veterans at VA medical centers (VAMCs) and community-based outreach clinics. To provide a greater range of housing opportunities for HUD–VASH voucher holders, initial leases may be less than 12 months.

For further information, please contact Ruzicka, Wallace & Coughlin, LLP at (949) 748-3600; website: www.rwclegal.com. 

The law firm of Ruzicka, Wallace & Coughlin, LLP represents landlords, property management companies, institutional and private lenders, employers and insurance companies throughout the State of California in real estate, business and employment litigation. The information provided herein is for general interest only and should not be relied upon or construed as legal advice. 


© 2015 Ruzicka, Wallace & Coughlin, LLP.

Tenant Under Expired Lease Cannot Require Return of Security Deposit as a Condition of Surrendering Possession of Real Property

Upon expiration of the term of a lease, the tenant is required to vacate and surrender possession of the premises to the landlord (unless the lease provides otherwise such as where the lease contains an automatic renewal provision). A tenant cannot require return of the security deposit as a condition of surrendering possession of the premises. The landlord is entitled to 21 days after the tenant vacates to account for the security deposit and return any unused portion. (See, Civil Code section 1950.5) If the tenant fails to surrender possession of the premises upon expiration of the term, the landlord is entitled to file an unlawful detainer (eviction) action against the tenant without further notice to recover possession of the premises, holdover damages (the daily fair market rental value for each day the tenant remains in possession of the premises), court costs and, if the lease contains an attorney’s fee provision, reasonable attorney’s fees.

For further information, please contact Ruzicka, Wallace & Coughlin, LLP at (949) 748-3600; website: www.rwclegal.com. 

The law firm of Ruzicka, Wallace & Coughlin, LLP represents landlords, property management companies, institutional and private lenders, employers and insurance companies throughout the State of California in real estate, business and employment litigation. The information provided herein is for general interest only and should not be relied upon or construed as legal advice. 


© 2015 Ruzicka, Wallace & Coughlin, LLP.

Foreclosure Purchaser Must Remedy Habitability Defects.

The purchaser at foreclosure sale becomes the new landlord of the existing tenant and is obligated to remedy habitability issues. (See, Erlach v. Sierra Asset Servicing, LLC (2014) 226 Cal. App. 4th 1281, 1295) The Court of Appeal stated: “We point out that new owners of rental property are required to address outstanding code violations even if they were caused by the previous owner of the property.

For further information, please contact Ruzicka, Wallace & Coughlin, LLP at (949) 748-3600; website: www.rwclegal.com. 

The law firm of Ruzicka, Wallace & Coughlin, LLP represents landlords, property management companies, institutional and private lenders, employers and insurance companies throughout the State of California in real estate, business and employment litigation. The information provided herein is for general interest only and should not be relied upon or construed as legal advice. 


© 2015 Ruzicka, Wallace & Coughlin, LLP.

Can a rent increase notice be served by email?

No. For residential tenancies, the notice may be hand delivered or served by first class U.S. mail. (See, Civil Code § 827) If served by mail, the notice must bear “a notation of the date and place of mailing or be accompanied by an unsigned copy of the affidavit or certificate of mailing.” (See, Code of Civil Procedure § 1013) Also, mailing via first class U.S. mail adds 5 days to the notice. (See, Code of Civil Procedure § 1013)

For further information, please contact Ruzicka, Wallace & Coughlin, LLP at (949) 748-3600; website: www.rwclegal.com. 

The law firm of Ruzicka, Wallace & Coughlin, LLP represents landlords, property management companies, institutional and private lenders, employers and insurance companies throughout the State of California in real estate, business and employment litigation. The information provided herein is for general interest only and should not be relied upon or construed as legal advice. 


© 2015 Ruzicka, Wallace & Coughlin, LLP.

How much is required to increase the rent for a month-to-month tenant of residential property?

The landlord is required to provide a minimum of 30 days' prior written notice if the increase is 10 percent or less of the rental amount charged to the tenant at any time during the 12 months prior to the effective date of the increase. If the increase is more than 10 percent of the rental amount charged to the tenant at any time during the 12 months prior to the effective date of the increase, 60 days prior written notice is required. (See, Civil Code § 827)

For further information, please contact Ruzicka, Wallace & Coughlin, LLP at (949) 748-3600; website: www.rwclegal.com. 

The law firm of Ruzicka, Wallace & Coughlin, LLP represents landlords, property management companies, institutional and private lenders, employers and insurance companies throughout the State of California in real estate, business and employment litigation. The information provided herein is for general interest only and should not be relied upon or construed as legal advice. 


© 2015 Ruzicka, Wallace & Coughlin, LLP.