UNDERSTANDING NEW LANDLORD RESPONSIBILITES IN SANTA BARBARA COUNTY FOR JUST CAUSE

California law restricts a landlord’s ability to terminate a residential lease, evict the tenant, and retake possession of the property. Except for limited circumstances of exemption, when a tenant has lawfully occupied the residential property for 12 months or more, the landlord is prohibited from ending the tenancy without “just cause.” As a landlord or tenant in Santa Barbara County, it is essential to stay updated with the current laws and regulations that govern the relationship between landlords and tenants. One of the latest laws is Chapter 44 – Residential Property-Landlord and Tenants’ Rights and Duties of the Santa Barbara County Ordinances, which outlines newly added rules for landlords. Specifically, the newly added rules focus on “no-fault” just-cause evictions and impeding landlords from circumventing tenant eligibility for eviction and rent-ceiling protections.

For the purposes of this article, we will focus on one of the “no-fault” just causes, outlined in Civil Code section 1946.2(b)(2)(D), based on a landlord’s intent to demolish or to substantially remodel the rental property. It is important to note that California law defines “substantially remodel” as the replacement or substantial modification of any structural, electrical, plumbing, or mechanical system that requires a permit from a governmental agency or the abatement of hazardous materials, including lead-based paint, mold, or asbestos, in accordance with applicable federal, state, and local laws that cannot be reasonably accomplished safely with the tenant in place and that requires the tenant to vacate the residential real property for at least 30 days. Cosmetic improvements alone, including painting, decorating, and minor repairs, or other work that can be performed safely without having the residential real property vacated, do not qualify as substantial rehabilitation.

In addition to ensuring that the intended work meets the above criteria, Santa Barbara County landlords must also:

1. Give tenants early notice.
2. Obtain and serve all necessary permits upon the tenant.
3. Provide the tenant with a right of first refusal.

Early Notice

Defined under Section 44-25 of the County of Santa Barbara notices, a landlord must provide tenants with an “early tenant alert notice” 60 days before a notice of termination. The notice must state in full the facts and circumstances constituting the cause for termination. This early notice, when based upon “no-fault” just cause such as substantial repairs, shall inform each tenant who has continuously and lawfully occupied a rental unit for twelve months of their right to receive relocation assistance as well as the amount of relocation assistance they are entitled to receive.

Necessary Permits

Upon serving the requisite early tenant alert notice, a landlord must also obtain all permits necessary to carry out the demolition or substantial remodel. A mere quote estimating that the repairs will take 30 or more days or that permits may be required will not suffice. Once the landlord has obtained the permits from the applicable government agencies, it must then serve the tenants with copies of the permits and an accompanying notice, which can be incorporated into a termination notice or served concurrently with one, stating:

• The reason for the termination;
• The type and scope of work to be performed;
• Why the work cannot be reasonably accomplished in a safe manner with the tenant in place; and
• The reasons why the work requires the tenant to vacate the residential real property for at least thirty days.

Finally, the landlord must then file the documents and notices served to the tenant with Santa Barbara County’s Department of Community Services.

Mandatory Right of First Refusal

For termination of tenancy based on a “no-fault” just cause, a landlord shall provide the tenant of the unit at the time of termination a written right of first refusal to re-occupy the unit when it is ready to be occupied or for up to two years, whichever is earlier, if:

1. The tenant has provided current contact information at which to receive a right of first refusal to re-occupy the unit.
2. The tenant returns an affirmative written acceptance of the offer to return to and rent the unit within thirty days of delivery.

The written right of first refusal to re-occupy must include a written rental price, the proposed terms, and any required security deposit.

It is important to note that landlords should carefully review state law and county ordinances carefully before proceeding with evictions based on just cause, whether at-fault or no-fault. There are also additional rules regarding the amounts of relocation assistance that must be provided pursuant to the new rules. In the next article, we will discuss the new rules regarding a landlord’s obligation to offer one-year leases.