Woodland Park Management, LLC v. City of East Palo Alto Rent Stabilization Board

—In 1988, the citizens of the City of East Palo Alto adopted by popular vote the Rent Stabilization and Eviction for Good Cause Ordinance (E. Palo Alto Ord. No. 076; RSO). We are asked here to determine whether the RSO permits recovery of attorney fees by a landlord in successful litigation against the City. The trial court held that it does and awarded fees to the landlord. We hold that it does not and reverse the award.

I. Factual and Procedural Background

In 2008, Woodland Park Management, LLC (Woodland Park), which manages residential rental properties subject to the RSO, filed a petition for writ of mandate, pursuant to section 1085 of the Code of Civil Procedure, alleging City had improperly increased a landlord registration fee due under the RSO.

Woodland Park’s petition alleged that as of January 1, 2008, the registration fee imposed by City was $135 per unit, but that on June 18, 2008, the Board raised the fee to $240. City failed to send registration fee bills by June 1, as required by Board rule 878. Nonetheless, on June 30, 2008, City refused to accept Woodland Park’s payment of $135 per unit. Therefore, Woodland Park alleged that City “refused to comply…