Open House Guidelines
- Pre-dispute Jury Trial Waiver In Loan Documents Is Unenforceable Per CCP 631(f).
In the case of Rincon EV Realty vs. CP III Rincon Towers the 1st District Court of Appeal held that a jury trial waiver in the loan documents was unenforceable hence a judgment against the borrower is reversed. The case was remanded for jury trial on legal issues against the lender for breach of contract, fraud, slander of title and trade misappropriation.
- New Landlord Requirements Regarding Bedbugs.
On or after July 1, 2017, prior to signing a lease the landlord shall provide a written bedbug notice to all prospective tenants.
This notice shall also be provided to all other tenants in landlord’s building starting January 1, 2018. This is pursuant to Assembly Bill 551. The notice shall be in at least 10 point type and shall include general information about bedbug identification, behavior biology, the importance in cooperation for prevention and treatment and the importance of and prompt written reporting of suspected infestations to landlord.
- Open House Guidelines.
The case of Dromy vs. Lukovsky, 219 Cal App. 4th 278 sets forth guidelines for when weekend open houses can be held when you have a tenant who is uncooperative in your attempts to market the unit.In this case the landlord decided to put a Santa Monica condo up for sale. The tenant made it difficult for the landlord to market the unit requiring the landlord’s agent to only show the unit to prospective purchasers by appointment only and she refused to permit open houses on the weekends. This obviously frustrated the agent as it inhibited the agent’s ability to properly market the unit. The case went all the way to the appellate court. The court recognized that a tenant has the right to “quiet enjoyment” in her possession of the premises throughout the tenancy, including the last 30 days of occupancy. The court also determined that the landlord has the right to market the unit for sale during “normal business hours” and landlords have a strong interest to be able to sell their real estate as law favors free alienability.
In order to balance these two competing interests the court approved open houses for dwelling units subject to the following specific conditions:
- Open houses can be conducted on Saturdays and Sundays between 1:00 p.m. and 4:30 p.m.;
- The owner is entitled to host two open houses per month;
- The listing agent is required to be present during such open houses;
- The tenant is allowed to be present during the open houses (in order that the tenant can safeguard their own possessions); and
- The real estate agent must give at least 10 days advance notice to the tenant of the proposed weekend open house dates. The tenant would then have 48 hours to approve those
dates or to provide alternate dates.
The justices did not limit showings to just those 5 conditions. Instead they held that if the 5 elements were satisfied the showings would satisfy the “normal business hours” requirement as authorized in the Civil Code.
The jurists left open whether other dates, time and conditions could also comport with the statute. In other words, the 5 conditions were sufficient to satisfy the statutory requirements, but other conditions might also, based on a case by case determination.
I frequently encounter tenants who believe they have equal ownership rights to a property just because they have a leasehold interest in the property. Often times they don’t understand that they still have to live up to the terms of the Civil Code and the terms of the lease in allowing showing of the property.
About the Author
Scott Souders is a real estate attorney who has practiced real estate law in excess of 42 years in Southern California. The Real Estate Law Update cites cases or statutes which are summarized and should not be relied upon without fully reading the cases or statute in the advance sheets and shepardizing the same and consulting with your own attorney.