Legislative Update - January 11, 2024

Legislative Updates,

Members Reporting Resurgence of Drive-By LawsuitsAs SCRHA reported last week, members are reporting that disability-related drive-by lawsuits against multifamily properties have resurfaced in the region. These lawsuits have been a problem for rental properties and other businesses for many years. They often peak in one year and disappear for a while, only to rear their ugly heads again. Members report that plaintiffs and plaintiffs’ attorneys are utilizing internet searches to find possible property traits and/or amenities that are unfriendly to those with disabilities. Usually, the plaintiff has never visited the property and/or been directly impacted. SCRHA supported legislation in California that thwarted demand-for-money letters, but lawsuits can still be filed in federal court. Unfortunately, efforts to prevent the abuse at the federal level have stalled over the years. If you are on the receiving end of one of these lawsuits, SCRHA recommends you contact your attorney immediately.

Review Noncompete Agreements for Compliance by 2/14
Employers are strongly recommended to review noncompete agreements to ensure compliance with SB 699 and AB 1076 by February 14, 2024. Specifically, review provisions that may impede an employee's engagement in lawful professions or trade.