Rent gouging charges after the LA fires were rare. This Altadena couple is now filing their own case

A couple who paid nearly $15,000 in monthly rent while displaced by the Eaton Fire are now taking their landlords to court, alleging they violated bans on price gouging in the wake of a disaster.

The lawsuit was filed Thursday in Los Angeles County Superior Court, during the same week the county is set to end its post-fire rent gouging protections.

Over the last 16 months, state prosecutors have filed a handful of criminal rent-gouging charges. But the couple’s lawyer, Josh Nuni with the People's Law Project, said to his knowledge this is the first civil rent gouging case filed by private citizens following the January 2025 fires.

“They want to get back the money that was taken from them, and they also want to make sure to send a message to others that this shouldn't be done to other families when they're in times of crisis,” Nuni said.

How the alleged rent gouging began

Candy Renick’s home in Altadena was left standing after the Eaton Fire, but it was severely smoke damaged. Until it could be professionally cleaned, it would remain uninhabitable.

Renick said when she started looking for temporary housing, she quickly realized thousands of other families were competing for the same listings.

“I started feeling pretty desperate, like I needed to move on something fast,” Renick said.

Less than two weeks after the fires, Renick and her daughter spotted a new Zillow listing for a three-bedroom home in Glassell Park. She said the landlords were asking for $12,990 per month on a one-year lease.

When Renick and her husband asked for a shorter, six-month lease, the owners agreed to a higher monthly rent of $14,938.50, she said.

“I was telling friends what we were paying and everybody was like, ‘Are you kidding? That is crazy,’” Renick recalled. “But we had to do it… We were just kind of desperate to get settled so that we could move on with our lives and move on with fixing our house.”

Candy Renick stands outside her family's home in Altadena.

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David Wagner/LAist

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How rent gouging laws worked 

Once the Palisades and Eaton fires erupted on Jan. 7, 2025, state and local governments quickly passed emergency declarations that triggered price-gouging bans. These laws made it illegal for landlords to increase rents by more than 10% from pre-fire levels.

For properties that were not listed for rent before the fires, a different limit applied: Landlords offering furnished properties could not charge more than 165% of the area’s fair market rent, as determined by the U.S. Department of Housing and Urban Development.

For the ZIP code where the Glassell Park property is located, the legal monthly limit for a furnished three-bedroom unit was $5,032.50. The Renicks paid nearly triple that amount.

A warning letter and a short text exchange

Shortly after moving in, the Renicks got a letter from the L.A. City Attorney’s Office, according to the lawsuit. It alerted the tenants and the landlord that the listing may have violated post-fire rent gouging bans.

The letter said if the landlords were violating the law, they should “immediately lower the rental rate” and “refund the tenant the overcharged amount plus 10 percent interest.”

According to the lawsuit, the Renicks texted a screenshot of this letter to their landlord, Catalina Chow, and she responded: “We did not increase rent due to the state of emergency.”

Her text went on to say, “I hope this does not apply to me. Thanks for sending anyway!”

When LAist called Chow to ask about the lawsuit, she picked up but said she was on another call and ended the conversation. LAist was later unable to reach her or Terrence Chow, another defendant named in the complaint.

LAist also contacted the City Attorney’s Office to ask why it did not pursue the case beyond the warning letter. No one from the office responded.

Why tenants are taking cases into their own hands

Tenant advocates have expressed disappointment over what they see as a lack of price gouging prosecution in the wake of the Palisades and Eaton fires.

By the one-year anniversary of the fires, a group called The Rent Brigade had found more than 18,000 listings that appeared to have broken the law. The group found that few criminal charges were ever filed, and laws that allowed private citizens to file their own cases and gave county departments the ability to fine landlords directly went largely unused.

Chelsea Kirk, a founding organizer of The Rent Brigade, said tenants like the Renicks are taking action on their own because governments failed.

“Tenants should never have been put in the position of having to enforce disaster protections themselves,” Kirk said. “After thousands of reports and virtually no meaningful action from the city attorney or county and state agencies, people have realized they can’t rely on government enforcement to protect them from exploitation.”

What the plaintiffs say they want

The Renicks returned to their Altadena home in November after it was professionally remediated. The complaint alleges they paid $95,758 more than what should have been legally allowed during their stay at the home in Glassell Park. The lawsuit asks the court to award damages, civil penalties and attorney’s fees.

Candy Renick said money was not the primary reason she and her husband decided to file the case. Any overpaid rent they manage to recover will largely go back to their insurance company, she said.

Instead, Renick said, she hopes the lawsuit sends a public message.

“People should not tolerate being overcharged for rent again, especially when they're in a very difficult situation,” she said. “And landlords need to know they can't take advantage of people in a crisis.”