Bulletin: CA2020001

Date:
January 13, 2020
To:
All California Issuing Offices
RE:
LEGISLATIVE UPDATE - California 2019 Legislation

Dear Associates:

The following is a summary of the legislation impacting the title industry that passed during 2019; all these bills became effective January 1, 2020.

AB 68 (Chapter 655) Housing - Accessory Dwelling Units*

This act provides for the authorization of accessory dwelling units that were prohibited or fell under certain qualification standards. It provides that an accessory dwelling may be attached to or located within an attached garage, storage area or other accessory structure. The act prohibits limitations on size, lot coverage, floor areas, open space and minimum lot sizes.

AB 327 (Chapter 43) Transfer on Death Deeds

This act provides that the use of an at-death transfer by will, trust or other instrument is exempt from the spouses’ duty of good faith and fair dealing or from taking unfair advantage of the other. Other statutory or common law presumptions may still apply to these transfers.

AB 473 (Chapter 122) Small Estates

With regards to a Small Estate to avoid probate, the net value of the estate to qualify has been raised to $166,250.

AB 587 (Chapter 657) Housing - Separate Conveyance of an Accessory Dwelling Unit*

This act provides that an accessory dwelling unit can be sold or conveyed separately from the primary residence, to a qualified buyer, if all the following applies:

The property is built or developed by a qualified non-profit corporation; the conveyance is subject to a specified enforceable restriction on the use of the land pursuant to a recorded contract between buyer and seller; and, the property is held pursuant to a specific tenancy in common agreement.

AB 670 (Chapter 178) Housing - Common Interest Developments

This act dealing with common interest developments provides that any covenant, restriction or condition contained in a deed, contract, security instrument, or other instrument, that prohibits or unreasonably restricts the construction or use of an accessory dwelling unit, or junior accessory dwelling unit, is void and unenforceable.

AB 800 (Chapter 439) Pseudonyms and Civil Actions

This act allows a person who has been a victim of domestic violence, sexual assault, stalking, human trafficking, or elder abuse and who participates in the address confidentiality program to use their pseudonym in any legal proceeding and legal documents.

AB 874 (Chapter 748) Consumer Privacy Act

This act, dealing with the California Consumer Privacy Act (CCPA) broadens the definition of “privacy” where California businesses are handling the collection, use, and sharing of personal information. The act adds or enhances the right to know, delete, and opt-out. These rights include the right to request personal information that has been collected and what has been sold or disclosed; the right to request deletion of personal information, and; the right to opt-out of the sale of personal information. This may/will result in changes in the way personal information is collected, shared, and otherwise dealt with. Other resources regarding the CCPA are available at www.clta.org/page/ccpa.

Other chaptered laws dealing with privacy are: Ch 757, AB 1355, Ch 750, AB 1130, Ch 753, AB 1202, Ch 759, AB 1564 and Ch 763, AB 25

AB 1106 (Chapter 165) Notice of Recordation (Los Angeles County)

Currently, the Los Angeles County Recorder is authorized, following an authorizing resolution by the Los Angeles County Board of Supervisors, to mail a notice of recording to parties executing a deed or deed of trust, until January 1, 2020. This act extends that date to January 1, 2030.

SB 30 (Chapter 135) Domestic Partnerships

When entering into a domestic partnership, the requirements that the domestic partners be of the same sex or opposite sex and over the age of 62 years have been removed.

This act deletes the requirement that the forms be available at the office of each county clerk and, instead, requires that the Secretary of State make the forms available at the office of the Secretary of State or on the Secretary of State’s website.

SB 190 (Chapter 404) Defensible Space, Abatement Liens

In areas within a very high fire hazard severity zone where local defensible space programs have been adopted, and where those provisions have not been complied with, the local agency may abate the property and file/record a Notice of Abatement and recover the cost of the abatement.

SB 274 (Chapter 504) Mobilehomes

When a mobilehome park is destroyed due to fire or other natural disaster, and management elects to rebuild the park in the same location, previous homeowners now have a right of first refusal to a renewed tenancy.

SB 306 (Chapter 474) Trustees of Deeds of Trust

This act authorizes a Substituted Trustee to resign or refuse to accept appointment at the substituted trustee’s own election by giving prompt written notice to the beneficiary, mailing the notice to the beneficiary, and recording the notice. The resignation or refusal is effective upon recording.

*STGC will be issuing separate bulletins addressing this matter.

For additional information related to these and other laws chaptered in 2019, please see the CLTA’s 2019 Summary of Legislation.

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
None
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
None