Disputes and Litigation

Disputes and litigation

Disputes and litigation

When a contract, a partnership, a government agency or a landlord–tenant relationship breaks down, we take the matter to negotiation or to court.

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Disputes and litigation

Overview

A business dispute can start with an unpaid invoice, a partner who stops sharing profits, a deal that turned out to be based on lies, or a tenant or landlord who will not follow the lease. California law gives people and businesses ways to resolve these problems, from a demand letter to mediation, arbitration, or a lawsuit in superior court.

Deadlines matter more than most people expect. A claim on a written contract generally must be filed within 4 years, and a claim on an oral contract within 2 years. Claims against a city, county, or state agency usually need a written government claim first, often within 6 months. Eviction cases move very fast, with only days to respond.

This page explains the main types of disputes, the steps of a California civil case, tools to protect assets before judgment, how judgments are collected, and the core rules for landlords and tenants, including notices, the statewide rent cap, just-cause rules, and security deposits.

Key rules and deadlines

  • Statutes of limitation: generally 4 years for breach of a written contract (CCP 337), 2 years for an oral contract (CCP 339), and 3 years for fraud, counted from when the fraud was discovered (CCP 338(d)).
  • Claims against a public entity: a written claim is generally required before suing. Claims for injury to a person or personal property are due within 6 months; most other claims within 1 year (Gov. Code 911.2). If the claim is rejected, a lawsuit is usually due within 6 months of the written rejection (Gov. Code 945.6).
  • Partners, LLC managers, and corporate directors generally owe duties of loyalty and care. Owners may have rights to inspect books and records, demand an accounting, or ask a court to dissolve the business in some situations.
  • Many contracts require mediation or arbitration first. Skipping a required mediation step can cost a party the right to recover attorney fees under some contracts, including common real estate forms.
  • Eviction notices must match the reason: a 3-day notice to pay rent or quit, a 3-day notice to cure or quit, or a 30-, 60-, or 90-day notice for ending a tenancy. The 3-day period does not count weekends or court holidays (CCP 1161).
  • Under the Tenant Protection Act (Civil Code 1946.2 and 1947.12), many tenants who have lived in a unit for 12 months can only be evicted for a listed just cause, and yearly rent increases are generally capped at 5% plus local inflation, with a 10% maximum. Some properties are exempt, and local rules may be stricter.
  • A tenant served with an eviction lawsuit (unlawful detainer) generally has 10 court days to respond, not counting weekends and court holidays, for cases filed on or after January 1, 2025 (AB 2347).
  • Security deposits for residential leases signed on or after July 1, 2024 are generally capped at one month’s rent. Certain small landlords may charge up to two months, except for service members (Civil Code 1950.5, as amended by AB 12).
Disputes and litigation

How we help

Business litigation

  • Contract, partnership and commercial disputes
  • State and federal court
  • Pre-suit demands and settlement negotiation

Government and agency

  • Suits over delayed federal adjudications
  • Disputes with municipalities over permits and occupancy
  • Appeals of civil penalties

Landlord–tenant

  • Unlawful detainer actions and motions
  • Notices and lease disputes
  • Los Angeles Superior Court

Personal injury

  • Vehicle collisions and other injury claims
  • Los Angeles, Orange, San Bernardino and Riverside counties

More ways we help

  • Review contracts and partnership or LLC agreements to identify claims, defenses, and deadlines
  • Prepare and serve eviction notices for landlords, and prepare responses to eviction lawsuits for tenants
  • Draft demand letters and represent clients in mediation and arbitration
  • Enforce judgments through levies, liens, and debtor examinations
Step by step

How the process works

01

Review the facts and deadlines

Gather the contract, emails, invoices, and payment records, and identify every deadline that applies, including limitation periods, government claim deadlines, and contract notice terms.

Timing: As soon as the dispute begins

02

Demand letter and early resolution

A clear written demand explains the claim, the amount owed, and a deadline to respond. Many disputes settle here or in mediation. If the contract has an arbitration clause, the case may go to arbitration instead of court.

Timing: Often 10 to 30 days for a response

03

File or answer the lawsuit

The case starts with a complaint in superior court. The defendant generally has 30 days after service to file an answer, demurrer, or other response. Claims up to $12,500 for individuals may go to small claims court, where lawyers cannot appear for the parties at the hearing.

Form: Complaint; Summons (SUM-100); Civil Case Cover Sheet (CM-010); AnswerTiming: Response generally due 30 days after service

04

Protect assets or stop harm (if needed)

In some contract cases, a plaintiff may ask for a right to attach order so money or property is held until judgment (CCP 483.010). To stop ongoing harm, a party can request a temporary restraining order and then a preliminary injunction.

Form: AT-105 (attachment); CM-010 and TRO papersTiming: Can be requested early in the case

05

Discovery and law and motion

Each side can ask written questions, request documents, and take depositions. Written discovery responses are generally due in 30 days. Motions such as demurrers, motions to compel, and summary judgment narrow or resolve the case.

Form: DISC-001 (Form Interrogatories); DISC-002 (Employment)Timing: Often several months to over a year

06

Case management, trial setting, and trial

The court holds case management conferences and sets a trial date. Many courts require a mandatory settlement conference before trial. Trial may be before a judge or a jury.

Form: CM-110 (Case Management Statement)Timing: Many civil cases reach trial in about 12 to 24 months

07

Collect or satisfy the judgment

A money judgment can be enforced by bank levies, wage garnishment, liens on real property, and a debtor examination. A California money judgment is generally enforceable for 10 years and can be renewed (CCP 683.020, 683.130).

Form: EJ-130 (Writ of Execution); EJ-001 (Abstract of Judgment); AT-138/EJ-125 (Debtor Exam)Timing: Enforceable 10 years; renewable

Documents to gather

  • The signed contract, lease, or operating/partnership agreement, including all amendments
  • Invoices, receipts, bank statements, and a payment history or ledger
  • Emails, text messages, and WeChat or other chat messages about the deal
  • Company records: articles, bylaws or operating agreement, minutes, and capital account records
  • Any demand letters, notices, or responses already sent or received
  • For evictions: the lease, rent ledger, copy of the notice served, and proof of service
  • For security deposit disputes: move-in and move-out photos, the itemized statement, and repair receipts
  • For claims against a government agency: the date of the incident or decision and any claim already filed

Common problems to avoid

  • Waiting too long and missing the statute of limitations or the 6-month government claim deadline.
  • Serving an eviction notice with the wrong amount, the wrong number of days, or missing required just-cause or local-ordinance language, which can force the landlord to start over.
  • Ignoring an unlawful detainer summons; a default judgment can be entered quickly after the 10-court-day response period ends.
  • Filing a lawsuit when the contract requires mediation or arbitration first, which can delay the case or cost fee recovery.
  • Moving or spending business assets during a partner dispute without agreement, which can create new claims.
  • Winning a judgment but not taking steps, such as recording an abstract of judgment, to secure it against the debtor’s property.
Recent developments

What has changed lately

As of Jan 2025

Since January 1, 2025, a tenant served with an unlawful detainer has 10 days to respond, not counting weekends and court holidays, instead of 5 days (AB 2347).

As of Sep 2026

For Los Angeles city units under the Rent Stabilization Ordinance, the allowed yearly increase is 3% from July 1, 2025 through June 30, 2027. The city changed its formula to 90% of average CPI with a 1% to 4% range and ended extra utility add-ons starting February 2, 2026.

As of Jan 2026

Starting January 1, 2026, AB 414 generally requires landlords to return a security deposit electronically when the tenant paid rent or the deposit electronically, unless the parties agree otherwise. The 21-day return deadline did not change.

Rules, fees and processing times change often. Ask us to confirm what applies to your case today.

Questions

Frequently asked questions

How long do I have to sue for breach of contract in California?

Generally 4 years for a written contract and 2 years for an oral contract, counted from the breach. The contract itself or special rules may change this. It is safer to act well before the deadline.

My business partner is taking money from the company. What can I do?

You may be able to demand the company’s books and records, ask for an accounting, and bring claims for breach of fiduciary duty. In some cases a court can appoint a receiver or order dissolution. The operating or partnership agreement often controls the first steps.

Can I sue a city or state agency?

Usually you must first file a written government claim with the agency. For many claims the deadline is 6 months. If the agency rejects the claim, you generally have 6 months from the rejection notice to file suit. Challenges to permits or land-use decisions often have their own short deadlines, and delays by federal agencies may be challenged in federal court under the mandamus statute or the Administrative Procedure Act.

I received an eviction lawsuit. How much time do I have?

For cases filed on or after January 1, 2025, you generally have 10 court days after service to file a response. Weekends and court holidays do not count. If you do not respond, the landlord can ask for a default judgment.

How much can my landlord raise the rent?

If your unit is covered by the Tenant Protection Act, the yearly increase is generally limited to 5% plus local inflation, with a 10% maximum. Units under a local rent control law, such as the Los Angeles RSO, may have a lower cap. Some units, such as many newer buildings and some single-family homes, are exempt.

What is the maximum security deposit in California?

For most leases starting on or after July 1, 2024, one month’s rent. Some small landlords may charge up to two months, but not to service members. The landlord must return the deposit, or an itemized statement of deductions, within 21 days after the tenant moves out.

Is arbitration better than going to court?

It depends. Arbitration can be private and sometimes faster, but appeal rights are very limited and arbitrator fees can be high. If your contract has an arbitration clause, a court will usually enforce it.

Talk to the firm

Protect your rights, we’ll lead the fight.

守护您的权益,我们为您据理力争。

General information only, not legal advice. Contacting the firm does not create an attorney-client relationship. Prior results do not guarantee a similar outcome, and no particular result is promised. Responsible attorney: JJ Zhang, Esq., Tez Law P.C., 4141 S. Nogales St., Suite C102, West Covina, CA 91792.

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