BILL ANALYSIS                                                                                                                                                                                                   
                                                                   SB 2088


Date of Hearing:  July 6, 1994

                     ASSEMBLY COMMITTEE ON JUDICIARY
                         Phillip Isenberg, Chair


               SB 2088 (Mello) - As Amended:  June 13, 1994


PRIOR ACTION

Sen. Com. on JUD. 11-0                        Sen. Floor 37-0

PURPOSE:  This bill clarifies situations in which a hotel or motel may 
šhave a person removed from the premises without the necessity of using the 
šlegal eviction processes that is required when a person is considered a 
š"tenant."

KEY ISSUE:

SHOULD A "TENANCY" AT A HOTEL OR MOTEL (A STATUS THAT DOES NOT ALLOW 
šTERMINATION OF THE PERSON'S OCCUPANCY WITHOUT LEGAL EVICTION PROCESS AND 
šCOURT ORDER) BE DEFINED TO EXCLUDE ANY PERSON WHO HAS NOT MADE VALID 
šPAYMENT FOR ALL ROOM AND OTHER RELATED CHARGES OWING ON THE 30TH DAY OF HIS 
šOR HER OCCUPANCY? 

SHOULD THE REQUIREMENTS FOR "EXEMPT" HOTELS AND MOTELS (I.E., HOTELS AND 
šMOTELS IN WHICH "GUEST" ARE NOT GIVEN "TENANT" STATUS) BE MODIFIED TO 
šDELETE THE REQUIREMENTS THAT THEY PROVIDE "CENTRAL DINING" AND 
š"RECREATIONAL SERVICES"?

SHOULD THE CRIMINAL TRESPASS LAW BE CLARIFIED TO PROVIDE THAT ANY OCCUPANCY 
šIN A HOTEL OR MOTEL FOR A CONTINUOUS PERIOD OF 30 DAYS OR LESS, ABSENT A 
šWRITTEN AGREEMENT TO THE CONTRARY, NOT BE CONSIDERED A TENANCY?

DIGEST

Existing law provides various provisions regarding the hiring of real 
šproperty. Generally, the law requires termination of the right of 
špossession and eviction of a "tenant" only takes place through the judicial 
šprocess.

Existing law:

1)  Provides that "persons who hire" 
    real property (a "tenant") does 
    not include a person who 
    maintains transient occupancy at 
    a hotel or motel when that 
    occupancy is subject to a room 
    tax.  (Generally, occupancy of 
    less than 30 consecutive days is 
    considered transient.)

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This bill:

1)  Clarifies that tenant status is 
    not acquired based on occupancy 
    of more than 30 consecutive days 
    where the person has not made 
    valid payment for all room and 
    other related charges on the 30th 
    day of occupancy.

2)  Provides that a "tenant" does not 
    include persons who maintain 
    occupancy at an "exempt" hotel or 
    motel where the innkeeper 
    retains a right of access to and 
    control of the dwelling unit and 
    the hotel or motel provides 
    "central dining," maid, mail room 
    and recreational services.


2)  Deletes the requirement that 
    "exempt" hotels and motels 
    provide:  (a) "central dining" 
    service (and instead specifies 
    "food service" such hotels and 
    motels must provide) and (b) 
    recreational services.

3)  Makes punishable, as a 
    misdemeanor criminal trespass, 
    the refusal or failure to leave a 
    hotel or motel where a person has 
    refused to pay for accommodations 
    and the occupancy is not a 
    "tenancy" under Civil Code 
    Section 1940.














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3)  Provides that an occupancy at a 
    hotel or motel for a period of 30 
    consecutive days or less shall 
    not be deemed to be a tenancy in 
    the absence of a written 
    agreement to the contrary or 
    other written evidence of a 
    periodic tenancy of an indefinite 
    duration.

FISCAL EFFECT

No significant fiscal impact on state or local entities is anticipated.  
šThis bill will not be referred to the Assembly Committee on Ways and 
šMeans.

COMMENTS

1)   Sponsor's Statement.  The California Hotel and Motel Association, 
     the sponsor, states that this bill "is the result of a carefully 
     crafted compromise reached between the hotel/motel industry, the 
     Western Center on Law and Poverty, and various legal aid organizations 
     to better define the specific circumstances under which a hotel/motel 
     'guest' will become a 'tenant'."  The sponsor argues that because of 
     the "significant legal and practical differences between these two 
     classes of occupants," this issue is extremely important.

     According to the sponsor, its members are facing increasing incidences 
     of hotel "guests" suddenly claiming that they are "tenants" and, 
     therefore, cannot be evicted without an unlawful detainer action.

     Under Civil Code (CC) Section 1940, an occupancy of certain types of 
     hotels or motels (which do not provide food or maid service, etc.) for 
     more than 30 consecutive days may create a "tenancy."  As a tenant, 
     the person cannot be evicted without due process and the right to a 
     jury trial.  As a guest, however, the person may be evicted without 
     court process or order and even arrested for trespass upon the non-
     payment of rental charges.

     This bill, the sponsor argues, clarifies distinctions between a hotel 
     or motel "guest" and "tenant" to better enable a hotel or motel to 
     enforce its rights against non-paying guests.

2)   Clarification of trespass laws.  According to the sponsor, law 
     enforcement agencies rarely enforce the trespass law to evict non-
     paying hotel and motel guests because of the fear of liability for an 
     unlawful arrest and eviction.  This bill, proponents argue, will 
     clarify the law to provide guidance to law enforcement agencies.  The 
     proponents contend that under this bill a law enforcement officer can 
     better and more easily determine whether the accused violator is a non-
     paying guest or tenant and act accordingly.

3)   Requirements for "exempt" hotels and motels.  This bill changes 

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     the requirements for certain hotels and motels to be exempt from CC 
     Section 1940 (i.e., their g                                              
     uests can never acquire tenant status).  Under current 
     laws, these hotels and motels must provide, among other amenities, 
     "central dining, maid, mail, room, and recreational services."  This 
     bill repeals the requirement to provide "recreational services" and 
     require the provision of "food service," as defined, rather than 
     "central dining."

     According to the sponsor, recent development trends have led to the 
     building of some "four-star" facilities that do not provide 
     "recreational services," but for all intents and purposes are like 
     other four-star facilities.  Proponents argue that these facilities, 
     like "Embassy Suites," should not be denied the protections offered to 
     other similar establishments simply because of the failure to provide 
     recreational services.  Similarly, many of these newer establishments 
     may offer dining in an affiliated food establishment that is located 
     on or adjacent to the hotel or motel, but is not "central dining."  
     The changes proposed in this bill, proponents contend, update the law 
     to reflect development trends.

4)   Technical amendment.  Committee staff is advised that the author 
     will offer the following technical amendment:

               On page 2, line 15, after the word "and" insert:

     other

           On page 7, line 14, following the word "agreement", strike "of," 
     and insert:

     to the contrary

               On page 7, line 15, following the words evidence of, 

     strike the comma 


SUPPORT                                       OPPOSITION

California Hotel and Motel Association        Unknown
  (sponsor)
California Lodging Industry Association










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