KEVIN BANUELOS, Plaintiff and Appellant, v. LA INVESTMENT, LLC, et al., Defendants and Respondents.
No. B239123
Second Dist., Div. One.
Sept. 3, 2013.
323
[CERTIFIED FOR PARTIAL PUBLICATION*]
Law Office of Spix & Martin, Richard L. Spix and D. Elizabeth Martin for Plaintiff and Appellant.
Law Offices of Douglas W. Beck & Associates and Douglas W. Beck for Defendants and Respondents.
OPINION
ROTHSCHILD, J.—The trial court dismissed Kevin Banuelos‘s third amended complaint after sustaining the defendants’ demurrer to all causes of
FACTS AND PROCEEDINGS BELOW
Background: Banuelos I.
In 2008, Banuelos brought an action against the owners and managers of Park Granada, a mobilehome park in the City of Carson. Banuelos alleged that he was the owner of a mobilehome located on space 23 at Park Granada and that defendants refused to accept his application for tenancy of the space in violation of
The trial court granted the defendants’ motion for summary judgment as to each cause of action and we affirmed the judgment in an unreported opinion (Banuelos I).2 We held that Banuelos could not state a cause of action under
Background: Banuelos II.
In May 2009 a new owner of Park Granada rejected Banuelos‘s application for tenancy. Notwithstanding that rejection, Banuelos tendered monthly space rental checks to the owner. The owner returned each check. In May 2010, Banuelos sent a check for $4,200 to the owner‘s attorney, accompanied by a letter stating that the check was for 14 months’ space rent commencing April 2009. The owner‘s attorney did not return this check but deposited it in his client trust account. The following month, however, the owner filed an unlawful detainer action against Banuelos seeking possession of space 23. The case was tried to a jury, which returned a general verdict with special findings in favor of Banuelos. Banuelos maintains his tenancy commenced in May 2010 when defendants accepted his rent check.
Background: Banuelos III.
Prior to the verdict in Banuelos II, Banuelos filed this action against 218 Properties and LA Investment, LLC, which he alleged to be the joint owners of Park Granada. Banuelos also sued the managers of the property. The third amended complaint, filed in August 2011, following the verdict in Banuelos II, charges defendants with statutory and common law retaliation, bad faith, intentional and negligent interference with economic advantage and negligence. Defendants demurred to each count of the complaint on the ground that it failed to state facts sufficient to constitute a cause of action. The trial court sustained the demurrers without leave to amend and dismissed the action as to all defendants except 218 Properties, which had a pending cross-complaint against Banuelos.
Banuelos filed a timely appeal.
DISCUSSION
I. THE COMPLAINT STATES A CAUSE OF ACTION FOR RETALIATION UNDER SECTION 1942.5 BUT NOT UNDER THE COMMON LAW.
A. Retaliation Under Section 1942.5
Under
The complaint states a cause of action for retaliation under
B. Retaliation Under the Common Law
Banuelos cannot state a common law cause of action for retaliatory eviction because that cause of action applies only to conduct that causes the tenant to involuntarily vacate the premises. (Glaser v. Meyers (1982) 137 Cal.App.3d 770, 777.) Banuelos does not allege that he vacated space 23.
II. THE LITIGATION PRIVILEGE DOES NOT BAR BANUELOS‘S SUIT UNDER SECTION 1942.5 FOR RETALIATORY EVICTION BASED ON THE DEFENDANTS’ ACTION TO RECOVER POSSESSION OF THE PREMISES.
Tenants’ protection from retaliation by their landlords for exercising their rights under California law developed simultaneously from legislation,
Less than a year after the Supreme Court‘s decision in Schweiger, the same landlord was before the court in Aweeka v. Bonds (1971) 20 Cal.App.3d 278. Again the tenants petitioned the landlord to repair unsafe conditions in their apartment and again the landlord responded by raising the tenant‘s rent—this time from $75 a month to $145 a month. Instead of
In 1979 the Legislature affirmed the right of a tenant to sue a landlord for retaliatory eviction by repealing and reenacting
Our Supreme Court has described
In Rich v. Schwab (1998) 63 Cal.App.4th 803, 812, the appellate court held that the cause of action for retaliation recognized by
Defendants maintain that insofar as
“The usual formulation” of the litigation privilege is that it “applies to any communication (1) made in judicial or quasi-judicial proceedings; (2) by litigants or other participants authorized by law; (3) to achieve the objects of the litigation; and (4) that have some connection or logical relation to the action.” (Silberg v. Anderson (1990) 50 Cal.3d 205, 212.) The privilege applies without regard to the defendant‘s “motives, morals, ethics or intent.” (Id. at p. 220.)
Despite its broad scope, our high court has recognized that “the Legislature remains free to create exceptions to the litigation privilege . . . .” (Action Apartment Assn., Inc. v. City of Santa Monica (2007) 41 Cal.4th 1232, 1247 (Action Apartment).) The question is whether the Legislature did so in enacting
In Action Apartment, the Supreme Court considered a challenge under the litigation privilege to a city ordinance that penalized a landlord who brought an action to recover possession of a rental unit “without a reasonable factual or legal basis.” (Action Apartment, supra, 41 Cal.4th at p. 1239.) The court held that this provision of the city ordinance was “inimical to the important purposes of the litigation privilege” including ” ‘afford[ing] litigants and witnesses . . . the utmost freedom of access to the courts without fear of being harassed subsequently by derivative tort actions.’ ” (Id. at p. 1243, citation omitted.) Therefore, the litigation privilege “conflicts with and thus preempts” that portion of the city ordinance “regarding filing an action to recover possession of a rental unit.” (Id. at p. 1237.)
The holding in Action Apartment is not controlling here because the conflict in that case was between a statute and a city ordinance while our case involves a conflict between two coequal statutes. Nevertheless, much of the court‘s analysis in Action Apartment is applicable to the case before us.
The court began its analysis by noting that it has given the litigation privilege “a broad interpretation” in order to achieve its ” ‘principal purpose’ ” to afford litigants and witnesses ” ‘the utmost freedom of access to the courts without fear of being harassed subsequently by derivative tort actions.’ ” (Action Apartment, supra, 41 Cal.4th at p. 1241.) Recognizing that invocation of the privilege “has its costs,” the court observed that ” ‘avoiding an unending roundelay of litigation [justifies] an occasional unfair result.’ [Citation.]” (Id. at p. 1244.)
The court acknowledged, however, that although the litigation privilege has been described as “absolute,” the privilege “is not without limit” and cited the examples of private actions for malicious prosecution and government actions, including criminal prosecutions and regulatory actions brought
The Legislature “makes clear” that it does not intend the enforcement of a statute to be barred by the litigation privilege when the statute “is more specific than the litigation privilege and would be significantly or wholly inoperable if its enforcement were barred when in conflict with the privilege.” (Action Apartment, supra, 41 Cal.4th at p. 1246section 1942.5, subdivisions (c) and (f) meets both prongs of this test.5
Moreover, the right of tenants to be free from eviction actions brought by their landlords because the tenants “lawfully and peaceably exercised [their] rights under the law” (
The Legislature made the judgment that raising retaliation as a defense to an unlawful detainer action and a suit for malicious prosecution are not adequate remedies for retaliatory eviction.
Two Court of Appeal opinions, purporting to follow Action Apartment, have held that the litigation privilege bars a tenant from suing a landlord under
In Feldman v. 1100 Park Lane Associates (2008) 160 Cal.App.4th 1467 (Feldman), the landlord brought an unlawful detainer action against the tenants and the tenants cross-complained for retaliatory eviction under
In Wallace v. McCubbin (2011) 196 Cal.App.4th 1169, 1213, the appellate court held that “as a matter of law” the tenant-plaintiffs had no cause of action under
Defendants cite two Supreme Court opinions in which the court found that the plaintiffs’ statutory causes of action were barred by the litigation privilege. Both opinions are distinguishable from our case.
In Rubin v. Green (1993) 4 Cal.4th 1187, residents of a mobilehome park sent a written complaint to the owner listing 23 alleged defects in the operation of the park. The owner sued the park residents and their attorney for unfair business practices under the Business and Professions Code. The Supreme Court held the owner‘s suit was barred by the litigation privilege. Rubin involved a conflict between
Rubin was preceded by Ribas v. Clark (1985) 38 Cal.3d 355 in which the plaintiff sued a person who had admitted during an arbitration hearing that she eavesdropped on a telephone conversation between plaintiff and his former wife. Plaintiff based his suit, in part, on
Rubin and Ribas both addressed statutes that cover a broad spectrum of conduct, none of which specifically relates to litigation. It was only because the facts that gave rise to the causes of action in those cases happened to involve litigation activities that the privilege was implicated. Neither statute “would be significantly or wholly inoperable if its enforcement were barred when in conflict with the privilege.” (Action Apartment, supra, 41 Cal.4th at p. 1246Rubin the court observed that the policy underlying the unfair competition statute could be vindicated by parties other than the plaintiff, including the Attorney General, district attorneys and certain city attorneys. (Rubin v. Green, supra, 4 Cal.4th at p. 1204.)
III., IV.*
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
V. THE COMPLAINT FAILS TO STATE A CAUSE OF ACTION FOR NEGLIGENCE.
Banuelos alleges that the defendants “negligently refused to approve [p]laintiff‘s tenancy and negligently refuse to acknowledge the rightful tenancy created by defendants in favor of Banuelos for Space 23 in violation of
As we explained above the owners and managers of Park Granada had no statutory duty to Banuelos under
*See footnote, ante, page 323.
DISPOSITION
The judgment is reversed as to the cause of action for retaliatory eviction and affirmed as to the remaining causes of action. Each party shall bear its own costs on appeal.
Mallano, P. J., and Johnson, J., concurred.
Respondents’ petition for review by the Supreme Court was denied November 20, 2013, S213972. Baxter, J., did not participate therein. Kennard, J., was of the opinion that the petition should be granted.
