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SACRAMENTO, Calif. – Governor Gavin Newsom has signed Assembly Bill 1384, authored by Assemblymember Stephanie Nguyen (D-Elk Grove) and sponsored by the California Business Properties Association (CBPA), to ensure courts promptly schedule hearings in commercial unlawful detainer cases when a demurrer or motion to strike is filed.
The bill provides a targeted, technical clarification to the timelines established under AB 2347 (Kalra, 2024), which standardized court hearing procedures in unlawful detainer cases. AB 1384 ensures that the “good cause” delay provisions apply only to residential tenancy cases, preventing unnecessary delays in commercial proceedings that can leave small property owners and businesses in limbo for months.
“AB 1384 is a practical solution that helps ensure fairness and efficiency in our courts,” said Assemblymember Stephanie Nguyen. “Small business owners and commercial depend on timely resolution of disputes to stay afloat and reinvest in their communities. This measure provides clarity and balance while maintaining flexibility for the courts.”
In California, commercial unlawful detainer cases represent a small fraction of total filings, yet delays in hearings can lead to prolonged vacancies, lost rent, and missed opportunities to re-lease properties. By ensuring courts adhere to existing hearing timelines for commercial cases, AB 1384 promotes consistency and economic stability while keeping residential tenant protections intact.
“We thank Assemblymember Nguyen for her leadership and collaborative approach in advancing this important fix,” said Matthew Hargrove, President and CEO of the California Business Properties Association. “AB 1384 restores balance and predictability to the court process for commercial properties—helping small property owners and businesses resolve disputes efficiently and keep California’s commercial real estate economy moving forward.”
The measure passed both houses of the Legislature with strong bipartisan support and was crafted with input from judicial stakeholders to ensure workability in practice.
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