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CORRESPONDENCE - 85B
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CORRESPONDENCE - 85B
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City Clerk
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85B
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12/4/2018
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tenant can be evicted at all. This leaves good tenants with a Hobson's choice: live with disruptions until <br />the bad neighbor can be evicted or find a new place to live (which likely means paying more in rent). <br />B. Less Notice and Tarnished Rental Histories <br />Those who advocate for just cause policies seem to assume that because "no cause" termination notices <br />can be served for any reason or no reason at all (but not an illegal reason) that landlords do not have <br />reasons for serving such notices. Of course, this isn't generally the case. It is not good business to evict <br />good tenants for no reason. Rather, 30 and 60 day notices of termination notices are generally served for <br />a reason. Sometimes that reason is not related to the tenant's conduct; for example, if the owner plans to <br />move into the unit (which is also allowed underjust cause ordinances). But often, a 30- or 60 -day notice <br />is precipitated by a tenant's bad conduct. For example, a landlord may choose to serve a "no cause" 30 - <br />or 60 -day termination notice to a tenant who is excessively noisy. Even though the landlord could have <br />terminated the tenancy for cause in these circumstances, it is usually more economical for the landlord to <br />serve a "no cause" termination notice in order to avoid the expense and complexity associated with for - <br />cause eviction (discussed above). But it is not just the landlord who benefits from opting to serve a "no <br />cause" 30- or 60 -day termination notice rather than a for -cause 3 -day notice. The tenant receiving the <br />notice also benefits because he or she is allowed substantially more time to find a new place to live, and <br />the tenant also avoids the negative mark on his or her rental history associated with being served a 3 - <br />day notice. <br />An often overlooked benefit of "no cause' termination notices is that because they can be served for any <br />reason or no reason at all (but not an illegal reason), it cannot be presumed that the tenant did or failed <br />to do something that caused their tenancy to be terminated. For this very reason, CAA's Rental Applicant <br />Reference Form (Form 3.7) does not ask whether the tenant was served a 30- or 60 -day notice, but it <br />does ask whether the tenant was served with a 3 -day notice for cause. Because 3 -day notices can only <br />be served as a result of the tenant doing something they were not supposed to do, or failing to do <br />something they were supposed to, so a landlord considering an application can make a negative <br />inference against a tenant who has been served with a 3 -day notice. <br />Because just cause policies take away the landlords discretion to serve a "no cause" termination notice, <br />they have no choice but to use the 3 -day notice procedure to remove tenants who violate the lease. This <br />means that more tenants will end up with negative marks on their rental histories, which will make it more <br />difficult to find new housing in an already tight housing market. The short notice timeframes also make it <br />more difficult for tenants to move out and avoid an unlawful detainer action. Thus, a tenant who is served <br />with a 3 -day notice is more likely to have an unlawful detainer judgment entered against him or her. <br />Many landlords perform unlawful detainer checks as part of their screening procedure and will not accept <br />the application of a person who has had an unlawful detainer judgment entered against them. <br />C. Increased Costs for Tenants <br />Most rental/lease agreements contain some sort of attorney's fees provision which provides that in the <br />event of legal action between the parties, the losing party must pay some or all of the prevailing party's <br />legal fees. These provisions are enforceable in unlawful detainer actions. While these provisions have <br />the benefit of dissuading unscrupulous landlords from filing frivolous cases, they can also result in <br />judgments against tenants that often include hefty attorney fee awards. In cases based upon "no cause" <br />termination notices, this is not often the case because many courts have local rules that limit awards of <br />attorney's fees to a couple hundred dollars in "ordinary" cases. However, because for -cause evictions <br />are not ordinary — they tend to be complex and expensive — the court will award attorney's fees beyond <br />the amount allowed by the local rules. In addition to attorney's fees, the prevailing party is also entitled, <br />by law, to their "costs," which include things like filing fees, process server fees, and legally mandated - <br />witness fees. As a result of these rules, tenants who are evicted for cause may end up with judgments <br />California Apartment Association <br />www.caanet.org <br />Revised 06/2017 — O 2017 — All Rights Reserved <br />Page 7 121 <br />
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