Bulletin: CA2025011
Dear Associates:
Assembly Bill 851 (AB 851) was signed into law by the Governor and effective on October 10, 2025, as Chapter 535 with an operative date 30 days after the effective date. Chapter 535 has a repeal date of January 1, 2027, unless otherwise extended.
Chapter 535 adds Section 2079.26 to Article 3, Chapter 3 of Title 6 of Part 4 of Division 3 of the California Civil Code preventing unsolicited offers to purchase real property that was affected by the January 2025 Fires in the counties of Los Angeles and Ventura in specified zip codes. Chapter 535 (linked here for your convenience) identifies 15 such zip codes in Los Angeles and Ventura counties, defines what is meant by unsolicited offers, and provides for remedies to owners where violations of Section 2079.26 occur.
Further, and most significantly, Chapter 535 requires an attestation of sellers and buyers regarding compliance with this law and requires that the attestation is to be recorded as part of the conveyance document. Chapter 535 also provides for licensure violations, civil actions, and a seller’s right to cancel a purchase agreement (exercisable until four months after the date of its execution). However, Chapter 535 does provide protection to any subsequent bona fide purchaser or encumbrancer if there is a failure to record the executed attestation.
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