United States: West Coast Real Estate Update: Feb. 1, 2016

Stacie Andra Goeddel is a Partner in our San Francisco office, Susan Jennifer Booth, Karl J. Lott and Douglas A. "Doug" Praw are partners and Ashley K. Jason and Paul J. Park are Associates all in our Los Angeles office.

Residential Communities: Proposed Amendment to Allow Owners' Attorneys at Association Board Meetings

In an attempt to further broaden when a member of a common interest development association can bring his or her attorney to association meetings, Assembly Bill 1720 was introduced to the California Legislature on Jan. 27, 2016, which proposes amending California Civil Code Section 4925 to permit members' attorneys to attend association board meetings. Currently, Section 4925 permits members to attend and speak at board meetings, except executive sessions. This amendment would allow a member to bring an attorney to a board meeting or have an attorney attend a board meeting on behalf of such member. This proposed amendment would supersede a recent California case that held that a community association board could exclude a member's attorney from attending its open board meetings because the right to attend board meetings runs to the members and not their third-party representatives. See SB Liberty, LLC v. Isla Verde Association, Inc., 217 Cal. App. 4th 272 (2013).

This proposed amendment should raise many of the same concerns raised by the 2015 amendment to the Internal Dispute Resolution (IDR) provisions of the Davis-Stirling Act, which allow members to bring an attorney to an IDR meeting without notice to the association board. These concerns include the increase in costs to the association in preparing for the possibility of a member's attorney being present at an association meeting and the risk that any issues discussed could be used in later litigation. Although many vocal advocates stood up against the IDR amendment, consumer protection concerns prevailed. This could happen again with Assembly Bill 1720, requiring managers and boards of directors to plan for such presence at their board meetings.

Residential Communities: Energy Efficiency Over Aesthetics – Within Reason

New laws went into effect in January requiring California homeowners associations and landlords to permit outdoor air drying, a use commonly prohibited in community governing documents, but allowing some control over such use through "reasonable" restrictions. Section 4750.10 of the California Civil Code within the Davis-Stirling Common Interest Development Act provides that any provision of a governing document that prohibits the use of a clothesline or drying rack in an owner's exclusive-use backyard is void and unenforceable. While air drying cannot be expressly prohibited, such use can be "reasonably" limited under this new law, which allows an association to maintain some control over the aesthetics of the community. Governing documents may include "reasonable restrictions" regarding air drying so long as the restriction is not a significant cost to the owners. In addition, air drying can be restricted further through "reasonable" rules developed by the homeowners association. To the relief of associations in luxury resort communities, the new law specifically excludes balconies, railings and awnings as "drying racks," and owners and guests can still be prohibited from draping beach towels over balconies.

Section 1940.20 of the California Civil Code creates a similar right for tenants to air dry in their private outdoor areas, subject to landlord approval. In addition, landlords may impose reasonable time or location restrictions.

During El Nino, there may not be much call for use of clotheslines and drying racks. However, associations, landlords and managers should use this rainy season to identify "reasonable" rules and restrictions for air drying in their residential communities once the rains stop.

In re Perl and Loss of an Interest in Real Property

The U.S. Court of Appeals for the Ninth Circuit decided In re Perl on appeal from the Bankruptcy Appellate Panel (BAP) on Jan. 8, 2016, clarifying when an interest in real property is lost in an unlawful detainer action. The Ninth Circuit reversed the BAP's affirmation of the bankruptcy court, holding that upon the issuance of an unlawful detainer judgment and a writ of possession, a debtor no longer has a legal or an equitable possessory interest in a property.

In 2013, Eden Place LLC purchased a duplex property in Los Angeles previously owned and still occupied by Sholem Perl through a nonjudicial foreclosure. Eden Place served Perl with a three-day notice to quit and a subsequent unlawful detainer complaint. The court entered judgment and issued a writ of possession in favor of Eden Place, which resulted in the eviction of Perl. Prior to eviction, but after the issuance of the writ of possession, Perl filed a Chapter 13 bankruptcy petition, triggering an automatic stay. The bankruptcy court held that the eviction violated the automatic stay. On appeal, the BAP agreed and held that under California law, "mere possession" of real estate is often treated as a property interest, and the eviction should have been stayed. The Ninth Circuit reversed, concluding that in an unlawful detainer proceeding, which is expressly designed to determined who has superior title, a prevailing party with a writ of possession has the right to title and a right of immediate possession, and that a resident in actual possession has no remaining interest in the property. Because Perl had no legal or equitable interest in the duplex and no property to become a part of the bankruptcy estate, his eviction did not violate the stay.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

In association with
Related Video
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Check to state you have read and
agree to our Terms and Conditions

Terms & Conditions and Privacy Statement

Mondaq.com (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

Use of www.mondaq.com

You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about Mondaq.com’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.


Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.


Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.

Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

If you do not want us to provide your name and email address you may opt out by clicking here .

If you do not wish to receive any future announcements of products and services offered by Mondaq by clicking here .

Information Collection and Use

We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to unsubscribe@mondaq.com with “no disclosure” in the subject heading

Mondaq News Alerts

In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.


A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

Log Files

We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.


This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

Surveys & Contests

From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.


If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.


This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to webmaster@mondaq.com.

Correcting/Updating Personal Information

If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to EditorialAdvisor@mondaq.com.

Notification of Changes

If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

How to contact Mondaq

You can contact us with comments or queries at enquiries@mondaq.com.

If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at problems@mondaq.com and we will use commercially reasonable efforts to determine and correct the problem promptly.