Landlords File Suit Against State

By Jorge Casuso

Jan. 28 -- Local landlords filed a lawsuit last week against the state claiming that a new law requiring apartment owners in Santa Monica and two other cities to give tenants 60 days written notice of termination, instead of 30, is discriminatory.

The law -- which went into effect on January 1 and covers landlords in Santa Monica, Los Angeles and West Hollywood -- was sponsored by State Senator Sheila Kuehl, whose district covers some of those areas.

Filed last Wednesday by the ACTION Apartment Association, the suit charges that Kuehl introduced the law as "political payback to her constituents."

"There is no rational basis upon which to distinguish residential rental property owners in those cities affected by the ordinance from other cities throughout the state," the suit said. "All landlords in the state are engaged in substantially similar types of business and activities.

"There are not facts which would distinguish them sufficient so as to create a class of landlords who should be specially limited under this statute," the suit argued. "This state law was introduced by Assemblywoman (sic) Sheila Kuehl as a political payback to her constituents in three cities which comprise her assembly (sic) district."

Kuehl dismissed the "payback" allegation and said that the law establishes a pilot program intended to target specific cities as test cases for particular legislation. Santa Monica, West Hollywood and Los Angeles were chosen because the municipalities agreed to participate and because their tight housing markets made them a "rational" choice.

"We do bills all the time where we designate pilot programs," said Kuehl. "All three cities were willing to have this as part of the pilot project and it seemed like a good, concentrated way to look at the problem.

"The combination of what is happening in those towns made them a rational choice because of the low vacancy rate and difficulty of turnover," Kuehl said. "I'm happy to take credit and blame for trying to help renters."

Kuehl said that she is preparing to introduce a bill this year that would allow other cities to opt into the law, which is in effect until 2005, when it can be extended.

"We were asked by several other communities to allow other cities to opt in," Kuehl said.

Laurie Newman, Kuehl's senior deputy, added that the bill was narrowed down because it did not have the legislative support to be applied statewide.

"It was a negotiated compromise," Newman said. "It was either that or nothing."

The law - which covers tenants who have lived in their apartments for more than a year -- is intended to buy them extra time to find a new apartment if they are evicted through no fault of their own, said Carie McNeil, a staff member for Kuehl. The law is particularly important for "vulnerable" tenants in tight housing markets, she said.

"This was intended to protect the elderly, families with kids," said McNeil, who helped with the legislation. "You know how tough it is to find an apartment. It's such a burden for people in special circumstances.

But landlord attorney Rosario Perry, whose office filed the suit on behalf of ACTION, countered that the law is no less discriminating because it is implemented as a pilot program.

"No individual should be a victim of some legislative experiment," Perry said. "She's experimenting with the property owners of three cities, depriving them of their rights. She got so much opposition for a statewide law she backed down.

"You can't violate someone's rights because it's a pilot program," Perry said. "Whatever legislation she passes has to be statewide. She can't pick on us."