Court Gives Landlords Partial Victory in Rental Laws

The Apartment Association of Greater Los Angeles has scored a partial victory in its legal battle with the City of Los Angeles, as the court ruled to overturn one of two ordinances that landlords said imposed excessive financial burdens and conflicted with state law. The California Court of Appeal ruled that the city’s Relocation Assistance Ordinance — which required property owners to pay tenants relocation fees after lawful rent increases on units exempt from rent control — was preempted by the Costa‑Hawkins Rental Housing Act, according to a press release via Business Wire. The court found that the ordinance undermined Costa‑Hawkins, which explicitly allows landlords of non‑rent‑controlled properties to raise rents to market value. By forcing relocation payments when tenants voluntarily leave, the city’s rule “frustrates the purpose” of the state law, the judges wrote.