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Your Legal Corner - Client Alert Blog

CA Landlords Prohibited From Demanding Cash or Electronic Deposit of Rent

Written By: Melissa C. Marsh, Esq., California Attorney, October 2013 Add to Favorites
This is a reminder to ALL California landlords demanding payment of the rent by bank deposit, or cash.

Effective January 1, 2013, a landlord must allow a tenant to pay his or her rent and security deposit by money order, cashier's check, or check. California Civil Code Section 1947.3 prohibits a landlord from demanding cash, and/or electronic deposit, as the exclusive forms of payment for rent or a security deposit.

However, if a tenant issues a stop payment on a check previously written, the landlord may demand cash as the sole means of payment for a period of three consecutive months so long as the landlord provides the tenant with a written notice and attached copy of the dishonored payment that states that the payment was dishonored and informs the tenant that the tenant shall pay in cash for a period determined by the landlord, up to three months. If paying in cash is a change in terms of the lease, the notice must further comply with Civil Code Section 827.


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Posted In: Real Estate Reporter 


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Disclaimer: The information presented on this web site was prepared by Melissa C. Marsh for general informational purposes only and does not constitute legal advice. The information provided in my articles and alerts should not be relied upon, or used as a substitute for professional legal advice from an attorney you retain to advise or represent you. Your use of this Internet site does not create an attorney- client relationship. Transmission of this article is not intended to create, and receipt of it does not constitute, an attorney-client relationship. All uses of the contents of this site, other than personal uses, are prohibited. You may print or email a copy of any information posted on this web site for your own personal, non-commercial, use, but you may not publish any of the articles or posts on this web site without the Express Written Permission of Melissa C. Marsh.


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Located in Los Angeles, California, the Law Office of Melissa C. Marsh handles business law and corporation law matters as a lawyer for clients throughout Los Angeles including Burbank, Sherman Oaks, Studio City, Valley Village, North Hollywood, Woodland Hills, Hollywood, West LA as well as Riverside County, San Fernando, Ventura County, and Santa Clarita. Attorney Melissa C. Marsh has considerable experience handling business matters both nationally and internationally. We routinely assist our clients with incorporation, forming a California corporation, forming a California llc, partnership, annual minutes, shareholder meetings, director meetings, getting a taxpayer ID number (EIN), buying a business, selling a business, commercial lease review, employee disputes, independent contractors, construction, and personal matters such as preparing a will, living trust, power of attorney, health care directive, and more.