fbpx Supervisors back protections for renters hurt financially by wildfires; AG announces more price gouging charges
The Votes Are In!
2024 Readers' Choice is back, bigger and better than ever!
View Winners →
Vote for your favorite business!
2024 Readers' Choice is back, bigger and better than ever!
Start voting →
Subscribeto our newsletter to stay informed
  • Enter your phone number to be notified if you win
  • This field is for validation purposes and should be left unchanged.

Home / News / Fire / Supervisors back protections for renters hurt financially by wildfires; AG announces more price gouging charges

Supervisors back protections for renters hurt financially by wildfires; AG announces more price gouging charges

The Andrew McNally House in Altadena lays in ruins following the Eaton Fire.
by
share with

The Los Angeles County Board of Supervisors on Tuesday OK’d protections from eviction for renters and small business owners financially burdened as a result of the recent wildfires.

The 4-0 vote, with 5th District Supervisor Kathryn Barger abstaining, directed staff from the Office of County Counsel to write a resolution expected for consideration at the upcoming board meeting Tuesday.

The safeguards are for tenants countywide who have suffered at least a 10% loss of monthly income because of the January wildfires and who have signed up for relief programs, unemployment insurance or emergency benefits.

The board’s action will prohibit landowners from imposing late fees, interest or other added charges on owed rent, but the will have the option of challenging a tenant’s claim for rent relief.

If approved, the amended resolution will be in effect until July 31 rather than the initially proposed Jan. 31 termination date.

Supervisors also directed the county CEO and the Department of Consumer and Business Affairs to report in about two weeks on coming up with the financial structure of a third-party-managed fund totaling at least $10 million to support fire-affected tenants and landlords.

County staff will also report on possible alternative programs available for residents coping with job loss and financial insecurity and recommend priorities for rental debt relief based on the COVID-19 rental assistance initiatives.

“Even before the fires, the LA housing market was in crisis,” said Supervisor Lindsey Horvath, who introduced the motion. “Los Angeles is one of the most unaffordable areas in the nation, with an unhoused population of more than 75,000 people and more people are falling into homelessness as fast as our system is able to rehouse others.”

Supervisor Holly Mitchell raised concerns that a prior fund she supported to aid workers and businesses impacted by the wildfires would be duplicative with the new initiative.

Supervisors Kathryn Barger and Janice Hahn emphasized that the board had already taken measures to protect victims of the wildfires, and homeowners and landlords also were in need of the board’s attention.

During the a public comment period, speakers included housing providers who slammed the move, saying pandemic debt was still unpaid. Others urged county supervisors to approve the motion to expedite much-needed rental assistance for low-income families.

Price gouging charges

California Attorney General Rob Bonta on Tuesday announced charges against a Hermosa Beach-based real estate agent and a landlord for allegedly price gouging an Eaton Fire evacuee. 

A California Department of Justice investigation found that after the victim rented a home in Hermosa Beach on Jan. 9, two days after Gov. Gavin Newsom’s emergency declaration with anti-gouging protections took effect. The defendants — real estate agent Edward E. Kushins and landlord Willie A. Baronet-Israel — allegedly increased the rental price by 36%, exceeding state law’s 10% limit.

“The California Department of Justice remains focused on putting a stop to price gouging,” Attorney General Bonta said in a statement. 

“DOJ will continue relentlessly pursuing those who are trying to capitalize off of the chaos and pain of Southern California’s natural disaster,” Bonta added.  

He urged the public to report price gouging to local authorities or to his office via oag.ca.gov/report or 800-952-5225.
 
“Working alongside our District Attorneys, City Attorneys, and other law enforcement partners, DOJ has opened active investigations into price gouging as it continues to ramp up deployment of resources to Los Angeles County to investigate and prosecute price gouging, fraud, scams, and unsolicited low-ball offers on property during the state of emergency,” according to the department. “DOJ has been working diligently to tackle this unlawful and unscrupulous conduct since a state of emergency was declared on January 7, 2025, and to further those efforts, the launch of a website dedicated to its response: oag.ca.gov/LAFires.”
 
California Penal Code section 396 prohibits charging a price over 10% of the cost a seller charged for an item prior to a state or local emergency declaration, according to prosecutors. For items sold after an emergency order, “the law generally prohibits charging a price that exceeds the seller’s cost of the item by more than 50%.” Applicable items for sale include food, emergency supplies, medical supplies, building materials and gasoline. Repair and reconstruction services, emergency cleanup work, transportation, freight and storage, hotel accommodations and long- and short-term rental housing also fall under the law’s jurisdiction. 

“Exceptions to this prohibition exist if, for example, the price of labor, goods, or materials has increased for the business,” according to Bonta’s office. 

The charge carries a potential penalty of a $10,000 maximum fine and the possibility of 12 months in jail. 

This was the latest anti-gouging action following the deadly wildfires that devastated large areas of Altadena, Pasadena, Pacific Palisades and Malibu. To date Bonta’s office and Los Angeles City Attorney Hydee Feldstein Soto have charged several individuals and businesses for allegedly price gouging fire victims. 

As of Feb. 3, the City Attorney’s Office has issued more than 250 cease and desist letters to owners, landlords and property management companies based on reports of price gouging.

The DOJ has sent more than 700 warning letters to hotels and landlords accused of price gouging, and additional active gouging investigations are underway, according to Bonta’s office. 

More from Fire

Skip to content