California Attorney General Rob Bonta announced Thursday his office has issued more than 200 warning letters to hotels and landlords suspected of price gouging during the recent Los Angeles wildfires emergency.
The crackdown comes amid a broader state effort to protect wildfire survivors from fraud and exploitation. Earlier this week, Insurance Commissioner Ricardo Lara and Los Angeles District Attorney Nathan Hochman announced a partnership to combat insurance-related scams targeting fire victims.
"The price gouging that we're seeing and hearing about needs to stop now," Bonta said. "These letters are just one of many tools my office is using to stop this illegal activity."
The letters come as officials at all levels are trying to protect wildfire victims.
Governor Newsom signed an order protecting renters from unfair evictions on Friday. The order prohibits landlords from using the unlawful detainer process – a legal process landlords use to evict tenants who violate their lease - to evict a tenant for violating a term of their lease that would otherwise prohibit them from sheltering one or more people displaced by the recent emergency. The order does not prohibit landlords from enforcing other lease terms, such as those regarding criminal activity or property damage. The order is in effect until March 8, 2025.
"At a time when so many have been suddenly displaced, we need more housing and shelter than ever. Opening your place of residence to help shelter those in need is not only encouraged and generous, but deserves to be protected, ” said Newsom.
Under California law, raising rental housing prices by more than 10 percent after an emergency declaration is prohibited. For previously unrented properties, rates cannot exceed 160 percent of the fair market value determined by federal housing authorities.
The price gouging protections, triggered by the January 7 emergency declaration, will remain in effect until January 2026. Violations can result in one year of jail time and fines up to $10,000, plus civil penalties of $5,000 per violation.
The Department of Justice has launched active criminal investigations into price gouging complaints. Bonta said some landlords have already reduced rates to legal limits after renters cited the price gouging laws.
The announcement follows a comprehensive state response to protect wildfire survivors. The Department of Insurance has extended service hours and scheduled support workshops, while FEMA has activated multiple housing assistance programs for displaced residents.
State officials urge residents to document all correspondence with landlords and businesses, including screenshots of listings, text messages, and price histories. Suspected price gouging can be reported at oag.ca.gov/report or by calling (800) 952-5225.
The anti-fraud initiative comes as thousands of Los Angeles County residents seek temporary housing and begin navigating insurance claims following the devastating fires that began January 7.
