60 Day Notice to Terminate Tenancies for Properties Sold in Foreclosure

November 12, 2008

The recent passage of Senate Bill 1137 mandates a 60 day notice requirement for new purchasers to terminate any tenancy after the property is sold in foreclosure. This new law is effective July 8, 2008 through January 1, 2013.

Prior to the enactment of this law, Assembly Bill 1169 (effective January 1, 2007 through December 31, 2009), reinstated the 60 day notice requirement in California to terminate a tenancy where the tenant is not at fault. However, under AB 1169, a 60 day notice requirement only applied to tenancies where all of the tenants resided in the unit for at least one year. Under the new law, SB 1137, the 60 day notice requirement applies to all tenants who are not in default.

Keep in mind that this new law does not apply to, or otherwise affect, the rights of any party to the note who remains in the property as a tenant, subtenant, or occupant. Further, this law does not apply to, or otherwise affect, the rights of tenants who reside in units governed by local rent control laws.

© 2008 Szeto Law Group. These materials do not constitute legal advice and are for general informational purposes only. They may be reproduced for personal use and for non-commercial distribution. All copies must include this copyright statement.
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