Requires landlords to mitigate damages when commercial tenants vacate premises in violation of the terms of the lease
This bill requires commercial landlords to take reasonable steps to re-rent vacant properties when tenants leave early or break their lease agreements. Under the new rules, landlords must act in good faith to find a new tenant at either the current agreed-upon rate or the current fair market price, whichever is lower. If a new lease is signed, it immediately ends the old tenant's lease and stops the landlord from charging them for the remaining time. The bill also states that any lease clause trying to remove this duty is invalid, and it places the responsibility on the landlord to prove they tried to mitigate losses if they want to collect unpaid rent.
Bill status
passed
3 of 5 stages cleared
Introduction
Jan 2023
Committee Review
Jun 2024
Assembly Passage
Jun 2024
Senate Passage
Governor
Introduced Jan 27, 2023
Last action Jun 5, 2024
Floor votes · Assembly Jun 5, 2024
How they voted
89–54
Passed · 5 other
Total votes 148
Jun 5, 2024
D
Democratic101
88% Yea
R
Republican47
97% Nay
Vote distribution
All Yea
All Nay
Mixed
No data
Full legislative history
Actions timeline
Total actions
10
Key actions
1
Committee
5
Jun 5, 2024
Committee
REFERRED TO RULES
upper
Jun 5, 2024
Lower · Passed
PASSED ASSEMBLY
lower
May 22, 2024
Committee
REPORTED REFERRED TO RULES
lower
Jan 3, 2024
Committee
REFERRED TO JUDICIARY
lower
May 23, 2023
Committee
REPORTED REFERRED TO RULES
lower
Jan 27, 2023
Committee
REFERRED TO JUDICIARY
lower
1 primary · 4 co-sponsors
Sponsors
Role
Legislator
Party
State
District
P
Steve Otis
DDemocratic
Co
Al Stirpe
DDemocratic
Co
Jo Anne Simon
DDemocratic
Co
Nader Sayegh
DDemocratic
Co
Rebecca Seawright
DDemocratic
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