Judge: Michael Shultz, Case: 23CMCV02022, Date: 2024-05-20 Tentative Ruling

Case Number: 23CMCV02022    Hearing Date: May 20, 2024    Dept: A

23CMCV02022 Susana Road Investors v. Infinity Energy, Inc.

[TENTATIVE] ORDER GRANTING COURT JUDGMENT (WITH MODIFICATIONS)

      This unlawful detainer action arises from the alleged breach of a commercial lease agreement. Plaintiff alleges Defendant failed to pay rent totaling $36,985.52. The clerk entered Defendant’s default on January 22, 2024.

      Plaintiff did not credit the security deposit of $20,583.11, which Plaintiff intends to retain pending inspection of the premises for wear and tear. (Brenda Joy decl., ¶ 6.) The landlord of non-residential property must refund the deposit within 30 days after landlord receives possession of the premises. (Civ. Code, § 1950.7 subd. (c).) A landlord in a commercial lease may not retain the security deposit to cover damages for future rent; it is applied only against unpaid rent accrued as of the date required for return of the deposit. (250 L.L.C. v. PhotoPoint Corp. (2005) 131 Cal.App.4th 703, 712 [otherwise “landlords could retain security deposits well beyond the statutory deadline in every case, on the ground that the deposit ‘might’ not cover prospective damages, and could do so with relative impunity given the modest penalty for acting in bad faith. Such a result would thwart the statutory purpose of compelling the prompt refund of security deposits."].)

      The supplemental declaration of Brenda Joy otherwise substantiates back rent owed. When credited for the amount of security deposit and adding holdover damages, total damages is $21,333.77.

      Plaintiff asks for attorney’s fees of $2,207.51 pursuant to Orange County Superior Court rules. The court applies the fee schedule applicable to default judgments in actions involving breach of a note, totaling $1,030.01. (CA R LOS ANGELES SUPER CT Rule 3.214.)

      Accordingly, the Court enters judgment as follows:

WORKSHEET

Principal Damages

·     Supplemental Declaration of Brenda Joy, custodian of records, submits the client ledger report.

Costs

Attorney’s fees  Per Local Rule 3.214. Default schedule based on contract or note.

$10,000.01 to $50,000, $690 plus 3% of the excess over $10,000.

(CA R LOS ANGELES SUPER CT Rule 3.214.)