California sets no fixed dollar or percentage cap on rent late fees, but a late fee in a residential lease is treated as liquidated damages. Under Civil Code § 1671, such a fee is valid only if it reasonably estimates the landlord's actual loss from late payment; arbitrary penalty fees are unenforceable.
California has no statute setting a maximum late fee. Instead, a late fee is a liquidated-damages clause governed by Civil Code § 1671(d), which makes such provisions in residential leases "void except that the parties... may agree... upon an amount which shall be presumed to be the amount of damage sustained by a breach thereof, when, from the nature of the case, it would be impracticable or extremely difficult to fix the actual damage." California courts (e.g., Orozco v. Casimiro) have voided late fees that function as penalties rather than genuine estimates of the landlord's costs, such as administrative expense and lost use of funds. A fee unrelated to actual damages is unenforceable even if the lease recites it.
An unenforceable penalty late fee cannot be collected, and amounts already paid may be recoverable by the tenant. Relying on an unlawful penalty fee in an eviction can defeat the unlawful detainer if it inflates the rent demanded.
Other ordinances people look up for this city. Green dot = verified primary-source excerpt.
Tracy, CA
Tracy Municipal Code Chapter 5.08 (Animals) prohibits keeping any animal or bird that by frequent or long-continued loud noise disturbs the comfort or repose...
Tracy, CA
Tracy Municipal Code Chapter 4.12 restricts the operation of pile drivers, hammers, and heavy construction equipment to the hours before 10 PM. After-hours c...
Tracy, CA
Tracy Municipal Code Article 9 (§4.12.710-§4.12.800) sets sound-level limits at residential property lines by zone and bans motorized refrigeration units run...
Tracy, CA
Tracy Municipal Code Chapter 3.08 governs street parking. The 72-hour maximum parking rule applies to all vehicles. RVs and large commercial vehicles on city...
Tracy, CA
Tracy restricts commercial vehicles and semi-trucks from parking on residential streets except during active loading and unloading. TMC Chapter 3.08 governs ...
Tracy, CA
Tracy requires all parking areas, including driveways, to be paved with an approved surfacing material under TMC §10.08.3530. Parking on unpaved surfaces is ...
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