Key Points:
- The U.S. Supreme Court declined to hear an appeal from Los Angeles landlords seeking $20M in damages for unpaid rent during the pandemic.
- Landlords argued the city’s eviction moratorium constituted an unconstitutional “taking” under the 5th Amendment.
- Only Justices Thomas and Gorsuch dissented, expressing concern over unresolved legal questions on landlords’ rights.
- Lower courts cited long-standing precedent allowing rent control and emergency tenant protections.
- L.A.’s eviction ban ended in January 2023, but landlords argue these regulations are becoming the “new normal.”
Why It Matters for Arizona Investors:
- This case underscores the judiciary’s unwillingness to reinterpret property rights under emergency rental policies—important context as Arizona considers new tenant protection proposals.
- Legal precedent continues to favor municipalities in balancing public emergencies against property rights.
- Investors in Maricopa and Pinal counties should consider legal risk mitigation, especially through professional property management, which 85% of landlords agree helps reduce liability.