$285,000 Settlement

Case:California Superior Court
Legal Theory: 28 Day Shuffle – Violation of Civil Code Section 1940.1

The JCL Law Firm, APC obtained approval for a $285,000 class action settlement against the owners and operators of a residential hotel in San Diego for unlawful housing practices. Generally, hotel guests with stays exceeding 30 consecutive days become tenants under California law. As tenants, they are entitled to valuable protections, including but not limited to, due process prior to eviction. Moreover, tenants, unlike hotel guests, are not subject to transient occupancy taxation for their stays. In this action, the class members resided at the defendant’s hotel in San Diego for more than 30 consecutive days and, in some cases, for more than one year. Nevertheless, the defendants treated these class members like hotel guests rather than tenants by forcing them to check-out and reregister every 30 days and by collecting nightly transient occupancy tax payments.  This unlawful housing practice is commonly referred to as the “28 Day Shuffle” and intended to make it appear as though a tenancy is interrupted but, when in fact, it is not. This fraudulent scheme violates various provisions of the California Civil Code, the California Revenue & Taxation Code and the California Health & Safety Code.  The class action attorneys at the JCL Law Firm represent long-term hotel guests with stays exceeding 30 days at hotels and motels throughout California.  If you are a long-term hotel guest and believe you are the victim of the unlawful housing practice commonly known as “28-day shuffle” call the class action attorneys at the JCL Law Firm for your free consultation.