DCBA Stories is an ongoing series of articles showcasing the many ways the staff of the Department of Consumer and Business Affairs answer the call to help the people of Los Angeles County.
In the wake of a disaster, essentials like housing can become hard to find. More than 18,000 homes were estimated to be lost during last year’s Palisades and Eaton fires. Thousands of survivors desperately needed a new place to live. Many faced shockingly high rental prices.
When businesses and landlords drastically raise prices and increase rent to take advantage of an emergency, it’s called price gouging. In California, raising prices by more than 10% after a declared disaster is illegal. In January 2025 alone, DCBA received more than 800 complaints of alleged rental price gouging.
DCBA investigator Stephen has handled many price gouging complaints over the years, but this time complaints about two rental properties stood out. He noticed they were charging thousands of dollars more each month than was legally allowed.
Stephen jumped into action. In his investigations, Stephen found that both properties were only listed for rent after the local emergency had been declared. Neither property had even been rented in the year leading up to the fires – making the listings subject to post-disaster price gouging restrictions.
One of the properties was listed for $12,500, or almost double what was allowed.
The other property was listed at $13,500 per month – nearly $5,000 more each month than was legally allowed to charge. Stephen soon discovered that someone had already signed an 18-month lease at that inflated price.
Stephen acted fast. He notified the property owners and DCBA issued cease-and-desist notices, working to bring the rentals into compliance with the law. Price gouging can result in fines from $10k-$50k, one year in jail, or both.
The results were remarkable and immediate.
Both property owners quickly took corrective action. They changed the leases to the correct pricing, refunded thousands in overpaid rent and deposits and even paid interest on the overcharges.
Thanks to DCBA, and Stephen’s diligent hard work, more than $168,000 was returned to the renters in restitution.
Cases like these are an important reminder that DCBA’s work to protect vulnerable LA County residents is about more than just enforcing rules. It’s about restoring fairness, trust and security when it’s needed the most.
LA County has remained in a local emergency since the January 2025 fires. Price gouging protections are still in effect.
Learn more about price gouging at dcba.lacounty.gov/pricegouging
If you suspect price gouging, file a report online or contact DCBA’s consumer protection team at (800) 593-8222. You can also schedule an appointment to speak with an investigator at a time that’s convenient to you.
