Erlach

Joseph R. Erlach (appellant) appeals from a judgment of dismissal of his complaint against Sierra Asset Servicing, LLC (Sierra), entered after the trial court sustained Sierra’s demurrer without leave to amend. Appellant contends that it was error for the trial court to determine that his residential lease was void and that he was a squatter with no legal rights because a code enforcement notice (red tag) terminated his original tenancy, and to determine that any subsequent lease with Sierra was an illegal contract and void. We agree and reverse the judgment of dismissal.

Factual and Procedural Background

Our factual summary is derived from appellant’s complaint.

Starting in 2009, appellant was the tenant/lessee of one bedroom, one bathroom and all the common areas of the residence at 7171 Oak Tree Place in Monterey. Mary Schwann (Schwann) was the owner of the premises. On April 6, 2010, appellant and Schwann entered into a written agreement whereby appellant paid $3,500 in advance to rent the property for seven months ($500 a month) covering the period from April 1, 2010, to October 30, 2010. At some point, appellant had paid a $600 security deposit. On October 9,…