Midpeninsula Citizens for Fair Housing v. Westwood Investors

221 Cal. App. 3d 1377, 271 Cal. Rptr. 99, 1990 Cal. App. LEXIS 714
CourtCalifornia Court of Appeal
DecidedJuly 2, 1990
DocketH005191
StatusPublished
Cited by38 cases

This text of 221 Cal. App. 3d 1377 (Midpeninsula Citizens for Fair Housing v. Westwood Investors) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Midpeninsula Citizens for Fair Housing v. Westwood Investors, 221 Cal. App. 3d 1377, 271 Cal. Rptr. 99, 1990 Cal. App. LEXIS 714 (Cal. Ct. App. 1990).

Opinion

Opinion

BAMATTRE-MANOUKIAN, J.

Midpeninsula Citizens for Fair Housing (MCFH) sued Westwood Investors and Richard Gregersen, the owners and manager of a Cupertino apartment building, claiming that the rental policy at the apartment complex limiting occupancy to one person per bedroom was discriminatory within the meaning of the Unruh Civil Rights Act (Civ. Code, § 51 et seq.; hereafter Unruh Act.) The trial court entered judgment in favor of the Westwood defendants solely on the basis that MCFH did not have standing to sue under the Unruh Act.

In this appeal MCFH argues that it has standing both under the Unruh Act and under California’s unfair competition statute, Business and Professions Code section 17204. We agree with the trial court that MCFH did not have standing under the Unruh Act. However, the recent case of Consumers Union of United States, Inc. v. Fisher Development, Inc. (1989) 208 Cal.App.3d 1433 [257 Cal.Rptr. 151] persuades us that standing is nonetheless proper under Business and Professions Code section 17204. But since that section provides only for injunctive relief, and the one person per bedroom policy challenged by MCFH is no longer in effect at the Westwood apartments, no remedy is available to MCFH and the case is consequently moot.

Because we regard the matter of standing to be an issue of “continuing public interest,” we will proceed to address that issue in spite of the mootness of MCFH’s case-in-chief. (John A. v. San Bernardino City Unified School Dist. (1982) 33 Cal.3d 301, 307 [187 Cal.Rptr. 472, 654 P.2d 242].)

Background

MCFH is a nonprofit corporation which works to eliminate discriminatory housing practices and to secure equal housing opportunities for all people. MCFH carries out its work by means of educating the community concerning fair housing laws, investigating complaints of discrimination in housing and assisting victims of housing discrimination. It is a membership *1381 organization and receives funding from its members, from grants and from the municipalities and counties it serves. Its membership has varied from 800 to 2,000 over the years. Its service area, which encompasses southern San Mateo County and northern Santa Clara County, includes the City of Cupertino.

Defendants Westwood Investors, a limited partnership, and Richard Gregersen, its general partner (collectively Westwood), are the owners and manager of an apartment complex located in Cupertino and known as The Westwood. The Westwood contains 116 apartments, of which 53 have 2 bedrooms and 63 have 3 bedrooms. Defendants acquired the property in 1982. At that time they instituted a policy that the two-bedroom units could be occupied by no more than two people and the three-bedroom units by no more than three people.

From 1982 through April of 1986, MCFH received seven complaints concerning the one person per bedroom rule at The Westwood.

In September of 1986, MCFH filed its first amended complaint against Westwood, alleging four causes of action.

1) Westwood’s occupancy limitation policy violated the Unruh Act (Civ. Code, §§ 51 & 51.2) by discriminating against families with children, since it automatically excluded households comprised of two parents with more than one child or single parents with more than two children;

2) The occupancy policy had a discriminatory impact on Blacks and other non-Whites who tend to have larger families than Whites;

3) The occupancy policy violated the privacy rights of potential renters; and

4) The occupancy policy constituted unfair competition within the meaning of Business and Professions Code section 17200.

MCFH sought compensatory damages, punitive damages, injunctive relief and attorney’s fees.

Shortly after the complaint was served, Westwood changed its rental policy. The new policy allows for one person per bedroom and full bathroom.

The issue whether MCFH had standing to sue was severed and tried separately before the court on August 30, 1988. The trial court determined *1382 that MCFH did not have standing under the provisions of the Unruh Act (Civ. Code, § 52), and entered judgment in favor of Westwood. MCFH appeals from that judgment.

Discussion

MCFH claims three separate bases for standing: 1) As a “person aggrieved” under the Unruh Act, Civil Code section 52, subdivision (c);

2) As a representative of its members and clients under the Unruh Act; and

3) As a person or corporation “acting for the interests of itself, its members or the general public” under Business and Professions Code section 17204.

I.

Standing as a “Person Aggrieved” Under the Unruh Act

The Unruh Act in general prohibits discrimination in the provision of accommodations and services in all business establishments. (Civ. Code, § 51.) Civil Code section 52 sets forth the available remedies. Subdivision (a) of section 52 provides that anyone who engages in discriminatory practices in violation of the provisions of the act may be liable for triple the amount of “actual damages . . . suffered by any person denied the rights provided in section 51 . . . .”

In addition, a civil action to enjoin any alleged discriminatory pattern or practice may be brought by “the Attorney General, any district attorney or city attorney, or any person aggrieved by the pattern or practice.” (Civ. Code, § 52, subd. (c).)

MCFH contends that it is an aggrieved party within the meaning of Civil Code section 52. It argues that Westwood’s rental policy caused a drain on its limited resources, thus diverting needed funds from important educational and counseling services. For example, a declaration by an employee of MCFH showed that MCFH spent approximately $900 in staff time and expenses investigating claims of discrimination at The Westwood and approximately $2,595 for administrative time and overhead.

Westwood argues that the operating expenses of an organization like MCFH in the course of carrying out its work are not what the act intended *1383 as “actual damages” to compensate a person who has suffered from discriminatory treatment. Basically, Westwood maintains that MCFH is not a “person aggrieved” within the meaning of the act. We agree with Westwood.

The Unruh Act is found in part 2 of the Civil Code, entitled “Personal Rights.” Its language strongly suggests that it was intended to provide recourse for those individuals actually denied full and equal treatment by a business establishment. The courts have acknowledged that a cause of action under the Unruh Act is of an ’’individual nature” (Koire v. Metro Car Wash (1985) 40 Cal.3d 24, 34 [219 Cal.Rptr. 133, 707 P.2d 195]), and that “the rights protected by the act are enjoyed by all persons,

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Askins v. CRST Expedited, Inc.
California Court of Appeal, 2026
Gilbert v. 7-Eleven, Inc.
Ninth Circuit, 2025
Velocity Investments v. Canul CA6
California Court of Appeal, 2025
Saurman v. Peter's Landing Property Owner, LLC
California Court of Appeal, 2024
Liapes v. Facebook, Inc.
California Court of Appeal, 2023
Futterman v. Kaiser Foundation Health Plan
California Court of Appeal, 2023
Futterman v. Kaiser Foundation Health Plan, Inc.
California Court of Appeal, 2023
Howitson v. Evans Hotels
California Court of Appeal, 2022
Roman v. Acclaim Mobility, LLC
N.D. California, 2020
Thurston v. Midvale Corporation
California Court of Appeal, 2019
White v. Square, Inc.
446 P.3d 276 (California Supreme Court, 2019)
Prescott v. Rady Children's Hospital-San Diego
265 F. Supp. 3d 1090 (S.D. California, 2017)
Robinson v. U-Haul Co. of California
4 Cal. App. 5th 304 (California Court of Appeal, 2016)
Osborne v. Yasmeh
1 Cal. App. 5th 1118 (California Court of Appeal, 2016)
Flowers v. Prasad
238 Cal. App. 4th 930 (California Court of Appeal, 2015)
AG Land Trust v. Marina Coast Water Dist. CA6
California Court of Appeal, 2014
Durham v. Live Nation Worldwide CA6
California Court of Appeal, 2014
Campion v. Old Republic Home Protection Co.
861 F. Supp. 2d 1139 (S.D. California, 2012)

Cite This Page — Counsel Stack

Bluebook (online)
221 Cal. App. 3d 1377, 271 Cal. Rptr. 99, 1990 Cal. App. LEXIS 714, Counsel Stack Legal Research, https://law.counselstack.com/opinion/midpeninsula-citizens-for-fair-housing-v-westwood-investors-calctapp-1990.