In response to the wildfires raging in Southern California, Gov. Gavin Newsom on Friday declared states of emergency for Los Angeles and Riverside counties, a move that prohibits rent increases over 10%.
The limit on rent increases is part of the state’s anti-price gouging law. When activated, Penal Code Section 396 makes it illegal to increase the price of many consumer goods and services, including that of rental housing, by more than 10% above pre-emergency levels.
The rent-gouging protections apply to all housing types in the affected areas. Local rent control laws in several jurisdictions in L.A. County also remain in effect.
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