Governor Newsom recently signed Assembly Bill 3182. Like last year’s Senate Bill 323, this new law is a disaster for California’s HOAs. Effective January 1st, AB 3182:
- voids CC&R and other governing document provisions that require minimum lease terms of longer than 30 days, such as provisions that require minimum six month or one year leases;
- voids provisions that cap rentals at less than 25% of the homes, with ADUs and JADUs largely exempt from higher caps;
- voids provisions that prohibit new owners from leasing;
- voids provisions that “unreasonably restrict” renting, such as provisions that ban dormitory-style lodging or restrict the number of vehicles per home; and
- requires HOAs to amend their CC&Rs and other governing documents by December 31, 2021 to remove voided provisions or face damages claims and civil penalties of up to $1,000.