Posted by Ed on 12/26/08

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I have a house in Los Angeles with an illegal garage
conversion. Three years ago, a "friend" of mine began
renting the conversion from me. We signed a one-year lease
agreement which ended in 6/2007; the agreement then went
month-to-month. In 1/2008, via email, we extended the
agreement until 12/31/2008.

Beginning in 8/2008, the tenant began to get squirmy
everytime I brought up that the lease was coming due at the
end of the year - he did however, via email, acknowledge
that he was leaving 12/31/2008. Around November, I began
enquiring as to what his plans were and he began to avoid
me. Then mid-December, when I finally got him to tell me
what was going on, he told me that unless I paid him a huge
sum of money, he wasn't going to move out and that he was
going to report me to the city. Not only would I have to
pay him relocation fees, but I would also get fined and
would have to pay to have the conversion brought up to
code. A caveat here: he is a licensed contractor who moved
into the space knowing that it was not permitted - I have
emails attesting to his knowledge. (I also have copies of
his rent checks.)

Not sure where to go from here. On 1/1/09, should I serve
him with a 3-day eviction notice based on the fact that the
lease is over? Does the fact that we exchanged emails in
January stating and acknowledging that the lease is over on
12/31/2008 constitute notification? The tenant feels that
he is due relocation fees under the Ellis act (rent
stabilization), but technically, since the unit isn't
legal, is the rental agreement legal?

If I go the route of evicting him because the unit is not
permitted (and either he or I notify the city), the
questions become: 1. Will I have to pay him relocation
fees? 2. How much time does the city make me give him
before he has to move out? 3. If he does sue me, am I
liable to pay him anything since he moved into the space
knowing that it was not permitted?

Any input or ideas would be MUCH appreciated. Thank you!

Re: Landlord/Tenant Issue Illegal Garage Conversion, 12/27/08, by --.

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