Upon Successful Defense of Rent Control Challenges, New Law Would Allow Government Agencies to Recover Attorneys' Fees

We've reported on a number of rent control regulatory takings claims making their way through the court system, most notably the Guggenheim v. City of Goleta case.  Apparently, some cities and counties are fed up with the onslaught of challenges to their rent control ordinances, and they're looking for a way to recoup the attorneys' fees they expend in preserving the ordinances. 

According to an article in the Santa Cruz Sentinel, "Monning researching bill to address rent control lawsuits," Assemblyman Bill Monning looks to address this concern by considering a bill that would "allow city and county governments, when successful in defending rent control ordinances, to charge the party who brought the challenge for the government's legal expenses."  While the bill is still in the research phase, all new bills must be proposed to the legislature by February 18.

While such a bill would likely be supported by any city or county with a rent control ordinance, property owners, property rights advocates, and mobile home park owners in particular would likely be vociferously opposed to any such bill and the chilling effect it would have on legal challenges to rent control ordinances.  If this type of bill is proposed to the California legislature, you can expect a major battle.  We'll follow this closely and keep you updated.

  • Bradford B. Kuhn
    Partner

    Brad Kuhn, Chair of Nossaman's Eminent Domain & Valuation Group, guides private and public sector clients through complex real estate development and infrastructure projects – particularly with eminent domain/inverse ...

California Eminent Domain Report is a one-stop resource for everything new and noteworthy in eminent domain in California. We cover all aspects of eminent domain in California, including condemnation, inverse condemnation, and regulatory takings. We also keep track of current cases, project announcements, budget issues, legislative reform efforts, and report on all major California eminent domain conferences and seminars.

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