Table of Statutes

FEDERAL
INTERNAL REVENUE CODE
I.R.C. 528. Taxation Of Homeowner Associations ................................. 293
IRS Revenue Ruling 70-604........................................................................ 295

CALIFORNIA
BUSINESS AND PROFESSIONS CODE
11500. Definitions ................................................................................... 391
11501. Common Interest Development Manager................................. 392
11502. Certified Common Interest Development Manager.................. 393
11502.5. Competency Examinations........................................................ 394
11503. Exception...................................................................................... 395
11504. Disclosures.................................................................................... 395
11505. Unfair Business Practice . ............................................................ 395
11506. Expiration .................................................................................... 396

CIVIL CODE
43.99. Liability Of Independent Quality Review Provider...................... 337
51. Unruh Civil Rights Act............................................................... 353
51.1. Actions Requiring Copy Of Petition And Brief To Be
Served On State Solicitor General ............................................... 354
51.2. Housing Discrimination Based On Age Prohibited...................... 355
51.3. Establishing And Preserving Accessible Housing For
Senior Citizens . ........................................................................... 356
51.4. Senior Housing Constructed Prior To 1982- Exemption
From Design Requirments............................................................ 360
51.5. Discrimination By Business Establishment Prohibited................ 360
51.7. Freedom From Violence; Sexual Orientation Defined ............ 361
51.9. Elements Required For Cause Of Action For Sexual

Harrassment ................................................................................. 361

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52. Penalty For Discrimination . ........................................................ 362

52.1. Interference With Exercise of Civil Rights, Remedies ................ 364
53. Discriminatory Provisions On Ownership Or Use Of
Real Property Void ...................................................................... 366
711. Restraint On Alienation................................................................ 212
712. Real Estate Sales; Prohibition Of Signs Void; Permissible
Displays........................................................................................ 212
713. Display Of For Sale Signs ........................................................ 212
714. Voidability Of Covenants Restricting Solar Energy
Systems; Application For Approval; Penalties............................. 213
714.1. Restrictions By Common Interest Development On
Installation Of Solar Energy Systems In Common Areas............ 214
895. Requirements For Actions For Construction Defects;
Definitions..................................................................................... 313
896. Standards For Original Construction............................................ 314
897. Inclusion Of Items Not Addressed .............................................. 319
900. Warranty Covering Fit And Finish Items .................................... 319
901. Enhanced Protection Agreement ................................................. 320
902. Applicability Of Civ. Code 896 And 897 To
Enhanced Protection Agreement ................................................. 320
903. Enhanced Protection Agreement; Builder Duties . ...................... 320
904. Enforcement Of Construction Standards...................................... 320
905. Action To Enforce Construction Standards ................................. 321
906. Builders Election......................................................................... 321
907. Homeowner Maintenance Obligations......................................... 321
910. Required Procedures Prior To Filing Action For
Violation Of Construction Standards ........................................... 322
911. Builder Defined......................................................................... 322
912. Builders Duties............................................................................ 323
913. Written Acknowledgement Of Receipt Of Notice ...................... 325
914. Nonadversarial Procedure Established ........................................ 325
915. Actions Resulting In Nonapplication Of Chapter . ...................... 326
916. Builders Investigation Of Claimed Unmet Standards ................ 326
917. Offer To Repair ........................................................................... 327
918. Homeowner Acceptance Of Offer To Repair .............................. 328

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919. Offer To Mediate Dispute . .......................................................... 328

920. Actions Resulting In Filing Of Action By Homeowner .............. 328
921. Procedure When Resolution Involves Repair By Builder ........... 329
922. Observation And Recording Of Repair Allowed ........................ 329
923. Full Disclosure Of Repairs .......................................................... 329
924. Written Explanation Of Unrepaired Items . ................................. 330
925. Failure To Timely Complete Repairs .......................................... 330
926. Release Or Waiver In Exchange For Repair Work Prohibited . .. 330
927. Statute Of Limitations .................................................................. 330
928. Mediation Procedure . .................................................................. 331
929. Cash Offer In Lieu Of Repair....................................................... 331
930. Strict Construction Of Requirements; Failure To Conform ........ 331
931. Claim Combined With Other Causes Of Action ......................... 332
932. Subsequently Discovered Claims ................................................ 332
933. Evidence Of Repair Work ........................................................... 332
934. Evidence Of Parties Conduct ..................................................... 333
935. Similar Requirements Of Civil Code 1375................................ 333
936. Liability Of Subcontractors ......................................................... 333
937. Claims And Damages Not Covered By Title .............................. 334
938. Application Of Title . ................................................................... 334
941. Time Limit For Bringing Action ................................................. 334
942. Claims Involving Residential Construction Standards ................ 335
943. Other Causes Of Action; Claims Involving Detached
Single- Family Homes ................................................................. 335
944. Damages ...................................................................................... 335
945. Original Purchasers And Successors-In-Interest ......................... 336
945.5. Affirmative Defenses.................................................................... 336
1134. Required Disclosure Before Sale Of Newly Converted
Condominium .............................................................................. 339
1350. Short Title .................................................................................... 101
1350.5. Headings...................................................................................... 101
1350.7. Delivery ....................................................................................... 101
1351. Definitions ................................................................................... 102
1352. Requirements For Creation Of Common Interest Development.. 106

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1352.5. Covenants in Violation Of Govt Code 12955; Action For

Injunctive Relief .......................................................................... 106
1353. Contents Of Declaration .............................................................. 106
1353.5. Right To Display The American Flag . ....................................... 108
1353.6. Displaying Of Noncommercial Signs Or Flags .......................... 108
1353.7. Fire Retardant Roof Covering Materials ..................................... 108
1353.8. Use Of Low Water-Using Plants ................................................ 109
1353.9 Electric Vehicle Charging Stations........................................... 109
1354. Covenants And Restrictions In Declaration Enforcement............ 111
1355. Amendment Of Declaration ......................................................... 111
1355.5. Amendment To Delete Developer Provisions ............................ 112
1356. Petition To Court To Reduce Percentage Of Affirmative Votes
To Amend Declaration; Recording Amendment; Mailing .......... 113
1357. Extending Term Of Declaration .................................................. 115
1357.100. Operating Rule And Rule Change Defined ..................... 116
1357.110. Validity.................................................................................... 117
1357.120. Application ............................................................................. 117
1357.130. Notice Of Rule Change . ......................................................... 118
1357.140. Special Meeting Of Members To Reverse A Rule Change .... 118
1357.150. Effective Date.......................................................................... 119
1358. Interests Included In Conveyance, Judicial Sale Or Transfer
Of Separate Interests; Transfers Of Exclusive Use Areas;
Restrictions Upon Severability Of Component Interests ............ 120
1359. Restrictions On Partition Of Common Areas .............................. 121
1360. Modification Of Unit By Owner; Facilitation Of Access For
Handicapped; Association Approval............................................ 121
1360.2 Rental Restrictions...................................................................... 122
1360.5. Pet Provision................................................................................ 123
1361. Rights Or Easements In Common Area ...................................... 124
1361.5. Denial Of Access To Owners Separate Interest ........................ 124
1362. Ownership Of Common Areas .................................................... 124
1363. General Powers And Duties Of Association; Meetings;
Access To Records; Disciplinary Action . ................................... 124
1363.001. On-line Education Course . ..................................................... 126

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1363.005. Distribution Of Disclosure Documents . ................................. 126

1363.03. Adoption Of Rules Regarding Election Procedures;
Appointment Of Election Inspectors; Voting By Secret
Ballot; Ballot Instructions; Publication Of Election
Results; Retention Of Ballots; Application Of Article ................ 127
1363.04. Use Of Association Funds For Campaign Purposes
Prohibited ..................................................................................... 132
1363.05. Member Attendance At Board Meetings; Executive

Sessions; Emergency Meetings; Availability Of Board

Minutes; Notice Of Meetings; Owner Right To Speak

At Meetings. ................................................................................ 132
1363.07. Membership Approval Required For Grant Of Exclusive
Use Common Area; Exceptions.................................................... 136
1363.09. One Year Statute of Limitations-Action For Violation Of
Article; Penalties; Small Claims Court Option ............................ 137
1363.1. Prospecitve Managing Agent Disclosure . .................................. 138
1363.2. Managing Agent Duties; Disposition Of Association Funds ..... 139
1363.5. Articles Of Incorporation Disclosure Statement . .................. 141
1363.6. Association Information Statement Submitted To

Secretary Of State; Penalty For Non-Compliance ................. 141
1363.810. Application Of Article ............................................................ 143
1363.820. Dispute Resolution Procedure Required . ............................... 143
1363.830. Dispute Resolution Procedure Minimum Requirements......... 144
1363.840. Statutory Dispute Resolution Procedure . ............................... 144
1363.850. Notice Of Dispute Resolution Procedure . .............................. 145
1364. Responsibility For Maintenance Of Common Area; Damage
By Wood-Destroying Pests Or Organisms; Relocation Costs;
Notice Of Repair; Access To Telephone Wiring . ....................... 145
1365. Financial Documents.................................................................... 147
1365.1. Distribution Of Written Notice of Assessments, Foreclosure,
And Payment Plans ...................................................................... 151
1365.2. Right To Inspect And Copy Association Records; Restrictions
On Use; Cost Of Production; Redaction Of Information To
Prevent Identity Theft; Penalties For Non-Compliance .............. 153
1365.2.5. Assessment And Reserve Funding Disclosure Summary . ...... 159

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1365.3. Association Report Required To Meet Standards Of

Corp.Code 5012 . ...................................................................... 161
1365.5. Board Of Directors; Duties; Reserve Accounts .......................... 162
1365.6. Application Of Corp. Code 310 ............................................... 165
1365.7. Liability Of Volunteer Officer Or Director; Criteria;
Limitations . ................................................................................. 165
1365.9. Liability For Common Areas; Action Against Association;
.
Insurance Requirements .............................................................. 166
1366. Regular And Special Assessments; Limitation On Increases;

Delinquent Assessments; Interest ................................................ 167
1366.1. Excessive Assessments Or Fees ................................................. 169
1366.2. Collection Of Assessments; Recording Of Identifying

Statement ..................................................................................... 169
1366.4 Assessments Based On Taxable Value . ...................................... 170
1367. Lien For Delinquent Assessments ............................................... 170
1367.1. Lien For Delinquent Assessments Recorded After
January 1, 2003 ............................................................................ 172
1367.4. Limitations On Collection Of Delinquent Assessments
Through Foreclosure; Right Of Redemption ............................... 177
1367.5. Lien Filed In Error; Reversal Of Costs And Fees . ..................... 179
1367.6. Payment Of Assessments Under Protest; Small Claims
Option.......................................................................................... 180
1368. Documents Provided To Prospective Purchaser . ................... 180
1368.1. Arbitrary Or Unreasonable Restriction On Owners
Ability To Market Unit Void ....................................................... 184
1368.2. Billing Disclosure Form . .......................................................... 185
1368.3. Association Standing As Real Party In Interest . ........................ 187
1368.4. Damages Allocated By Comparative Fault ................................ 187
1368.5. Civil Action By Association; Notice Prior To Filing ................. 188
1369. Liens For Labor And Materials ................................................... 188
1369.510. Alternative Dispute Resolution And Enforcement
Action Defined ........................................................................... 189
1369.520. ADR Required Prior To Filing An Enforcement Action ........ 189
1369.530. Service Of Request For Resolution ......................................... 190
1369.540. Completion Of Resolution Process Within 90 Days .............. 190

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1369.550. Tolling of Time Limitation For Commencing An

Enforcement Action . ................................................................... 190
1369.560. Filing Certification Of Compliance......................................... 191
1369.570. Stipulated Agreement To Pursue Alternative Dispute
Resolution After Commencement Of Enforcement Action ........ 191
1369.580. Court Discretion In Awarding Fees And Costs Based
Upon Participation In Alternative Dispute Resolution ................ 191
1369.590. Annual Association Distribution Of Alternative
Dispute Resolution Procedures Required..................................... 192
1370. Liberal Construction Of Governing Documents ......................... 192
1371. Boundaries Of Unit . .................................................................... 192
1372. Construction Of Local Zoning Ordinances ................................. 192
1373. Developments Expressly Zoned As Industrial Or

Commercial And Limited To Such Purposes . ........................ 193
1374. Inapplicability Of Law To Developments Without
Common Area............................................................................... 193
1375. Construction Defect Litigation; Prefiling; Dispute
Rsolution Process ........................................................................ 193
1375.05. Construction Defect Litigation; Filing Of Complaint;
Inspection Process; Expert Witness Depositions . ....................... 204
1375.1. Disclosure To Association Members Of Settlement
Agreement Regarding Defects . ................................................... 208
1376. Installation Of Video And Television Antenna ........................... 209
1378. Required Architectural Review Procedures; Exemptions ........... 210

CODE OF CIVIL PROCEDURE

336. Five Year Statute Of Limitation On Violation Of
Restriction On Use Of Real Property .......................................... 301
337. Four Year Statute Of Limitation On Written Contract
And Accounts .............................................................................. 301
337.1. Four Year Statute Of Limitation On Injury Or Death
From Deficient Planning Or Construction ................................... 302
337.15. Ten Year Statute of Limitation On Actions To Recover
Damages From Latent Defects In Planning Or Construction ...... 303
338. Three Year Statute of Limitation On Statutory Suit, Trespass

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Or Injury To Real Property, Fraud And Mistake, Official

Bonds, Slander Of Title, False Advertising, Water Quality
Control Or Physical Damage To Private Property ...................... 304
339. Two Year Statute of Limitation On Oral Contracts, Abstract

Or Guaranty Of Title, Title Insurance Or Recission ................... 307
339.5. Lease Not In Writing; Period For Action After Breach............... 307
415.10. Personal Delivery Of Summons ................................................. 308
415.20. Service Of Summons In Lieu Of Personal Delivery . ................. 308
415.21. Access To Gated Community For Service Of Process ............... 309
425.15. Cause Of Action Against Volunteer Director Or Officer
Of Nonprofit Corporation ............................................................ 309
425.16. Motion To Strike Pursuant To Free Speech Clause Under
California And U.S. Constitutions . ............................................. 310

CORPORATIONS CODE
20. Electronic Transmission Defined ............................................. 249
21. Construction - Electronic Transmission ...................................... 250
310. Transactions Between Corporations And Directors Or
Corporations Having Interrelated Directors ................................ 250
5009. Mailings ....................................................................................... 251
5012. Financial Statements Defined . ................................................... 251
5016. Notices Or Reports Mailed Or Delivered As Part Of
Newsletter Or Magazine .............................................................. 252
5032. Approval By The Board .............................................................. 252
5033. Approval By Majority Of Members ............................................ 252
5034. Approval Of Members ................................................................. 252
5069. Proxy . .......................................................................................... 253
7110. Title Of Part ................................................................................. 219
7111. Lawful Purposes Of Nonprofit Mutual Benefit Corporations ..... 219
7120. Corporation Formed By Execution And Filing Of Articles;

Signatures Required . ................................................................... 219
7121. Change Of Unincorporated Association To Corporation ............ 220
7122. Prohibited Names; Reservation Of Names .................................. 220
7130. Required Provisions . ................................................................... 221
7131. Statement Limiting Purposes Or Powers...................................... 222

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7132. Optional Provisions ..................................................................... 222

7133. Articles As Proof Of Corporate Existence .................................. 224
7134. Powers of Incorporators When Directors Not Named . ............... 224
7135. Sections 7130 And 7131 As Not Limiting Court Power Over

Corporation .................................................................................. 224
7140. Powers Of Corporation ................................................................ 224
7141. Ultra Vires Acts; Corporation Bound By Authorized Or
Ratified Contract .......................................................................... 225
7142. Action For Breach Of Charitable Trust; Who May Bring;
Remedies ..................................................................................... 226
7150. Adoption, Amendment Or Repeal ............................................... 226
7151. Required And Optional Provisions; Number Of Directors ......... 228
7152. Provisions For Delegates ............................................................. 229
7160. Location And Inspection Of Articles And Bylaws . .................... 229
7210. Corporate Powers Exercised By Board; Delegation . .................. 229
7211. Board Meetings; Notice; Quorum; Consent To Act

Without Meeting ........................................................................ 230
7212. Executive Committees; Creation; Authority To Act .............. 232
7213. Corporate Officers Required; Selection; Resignation . .......... 234
7214. Validity Of Instrument Signed By Officers ................................. 234
7215. Proof Of Corporate Bylaws; Resolutions .................................... 234
7220. Term Of Office; Manner Of Selection . ....................................... 235
7221. Removal Of Director For Cause .................................................. 236
7222. Removal Of Director Without Cause .......................................... 236
7223. Removal Of Director By Directors Or Members Suit;
Role Of Attorney General . ......................................................... 238
7224. Filling Vacancies; Resignation .................................................... 238
7225. Provisional Director . ................................................................... 239
7230. Application Of Article To All Directors . .................................... 240
7231. Duties And Liabilities Of Directors . ........................................... 240
7231.5. Liability Of Volunteer Director Or Officer Failure To
Discharge Duties . ........................................................................ 241
7232. Applicability Of 7231 To Selection Of Directors .................... 241
7233. Transactions Involving Director .................................................. 242
7234. Quorum For Purposes Of 7233 . ............................................... 243

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7235. Corporate Loans, Guaranties, And Advances ............................. 243

7236. Directors Liability For Distributions, Loans And Guaranties .... 244
7237. Indemnification Of Corporate Agent ....................................... 245
7238. Law Governing Assets In Charitable Trust ................................. 248
7312. Multiple And Fractional Memberships . ...................................... 253
7341. Expulsion, Suspension, Or Termination; Fairness And

Reasonableness; Procedure . ........................................................ 254
7510. Place, Date, And Time; Failure To Hold Meetings; Quorum;

Special Meetings . ........................................................................ 255
7511. Notice To Members; Waiver ....................................................... 257
7512. Quorum ........................................................................................ 259
7513. Acts Without Meeting; Written Ballot ........................................ 260
7514. Voting By Proxy Or Written Ballot . ........................................... 261
7515. Court Order For Meeting Or Written Ballot . .............................. 261
7516. Written Consent Of Members . .................................................... 262
7517. Acceptance Or Rejection Of Ballot, Consent, Waiver, Or
Proxy Appointment . .................................................................... 262
7520. Election Of Directors By Members; Procedure . ........................ 263
7521. Nomination................................................................................... 264
7522. Close Of Nominations; When Elections Not Required ............... 265
7523. Publication Of Material Soliciting Votes; Nominees Rights ..... 265
7524. Request To Corporation To Mail Election Material . .................. 265
7525. Refusal To Publish Or Mail Material; Liability For Contents . ... 266
7526. Use Of Corporate Funds To Support Nominee ........................... 266
7527. Time To Contest Election, Appointment, Or Removal Of
Director; Defect In Notice ........................................................... 266
7610. One Vote Per Member; Exceptions ............................................. 267
7611. Record Date; Determining Voting Eligibility ............................. 267
7612. Memberships In Two Or More Names ........................................ 268
7613. Proxies ......................................................................................... 268
7614. Inspectors Of Election ................................................................. 270
7615. Cumulative Voting; Determining Winner; When Ballots
Are Required . .............................................................................. 271
7616. Action To Determine Validity Of Election Or Appointment
Of Director; Notice To Attorney General . ................................. 271

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7810. Permissible Amendments To Articles Of Incorporation ............. 273

7811. Amendment By Incorporators ..................................................... 273
7812. Approval Of Board And Members Required; Exceptions . ......... 274
7813. Amendments Affecting Rights Of Class ..................................... 274
7813.5. Amendments To Change Status . ................................................ 275
7814. Filing Certificate Of Amendment................................................. 275
7815. Filing Of Amendment By Incorporators ..................................... 276
7816. Contents Of Certificate Of Amendment ...................................... 276
7817. Effect Of Filing Certificate Of Amendment................................. 277
7818. Extension Of Term Of Corporate Existence By Amendment ..... 277
7819. Restated Articles Of Incorporation .............................................. 277
7820. Effect Of Limitations Of Charitable Trust.................................... 278
8210. Articles Of Incorporation; Biennial Updating ........................ 278
8310. Records Subject To Inspection To Be Written ............................ 280
8311. Inspection By Agent Or Attorneys; Right To Copy .................... 280
8313. No Limitation On Inspection Rights ........................................... 280
8320. Records Required To Be Kept; Form Of Records........................ 280
8321. Notice Of Annual Report . ........................................................... 281
8322. Annual Statements Of Transactions With Interested
Persons And Of Indemnification ................................................. 281
8325. Demand For Election Results ...................................................... 282
8330. Demand For Members Names, Addresses, And Voting
Rights By Member . ..................................................................... 283
8331. Petition By Corporation To Set Aside Demand; Time;
Procedure; Grounds ..................................................................... 284
8332. Power Of Court To Limit Rights Under Section 8330;
Temporary Order Suspending Time Limit .................................. 286
8333. Inspection Of Accounting Books, Records, Minutes
By Member .................................................................................. 286
8334. Directors Right Of Inspection .................................................... 287
8335. Court Order Postponing Meeting When Records Not Obtained ... 287
8336. Power Of Superior Court To Enforce Inspection Rights Or
Appoint Inspectors Or Accountants ............................................ 287
8337. Award Of Costs, Expenses, Attorneys Fees . ............................. 288
8338. Prohibited Uses Of Membership Lists; Damages For Misuse ..... 288

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GOVERNMENT CODE
434.5. Restrictions On Right To Display U.S. Flag Void ...................... 211
12955. Discrimination In Housing Prohibited ......................................... 367
12955.1. Discrimination Defined.......................................................... 369
12955.1.1. Covered Multifamily Dwellings And Multistory
Dwelling Unit Defined ............................................................... 371
12955.2. Familial Status Defined ......................................................... 372
12955.3. Disability Defined ................................................................. 372
12955.4. Religious Preference Allowed ................................................. 372
12955.5. Data Collection By Government Allowed . .............................. 372
12955.6. Fair Housing Amendments Acts Of 1988 Is Minimum
Standard ....................................................................................... 373
12955.7. Retaliation For Compliance Prohibited .................................... 373
12955.8. Elements Of Violation Of Article ............................................. 373
12955.9. Qualifying Senior Housing Allowed To Discriminate
Based On Familial Status.............................................................. 374
12956. Relevant Records Maintained During Legal Action . .................. 374
12956.1. Amending Documents To Remove Discriminatory Language.... 375
12956.2. Recording A Restrictive Covenant Modification....................... 375
66469. Amendment Of Parcel Map ......................................................... 289
66470. Recording Certificate Of Correction . ......................................... 289
66471. Time Limitations On Approval And Recording Of
Certificate Of Correction.............................................................. 290
66472.1. Modification Of Parcel Map By Local Agency; Public
Hearing ........................................................................................ 291
HEALTH & SAFETY CODE
1597.40. Restrictions Against Group Homes Void; Increased Security

......................................................................................................
Deposit Allowed .............................................................................. 356
1597.531. Liability Insurance Or Signed Affidavits Required;
Naming Association As Additional Insured ................................ 357
13132.7. Mandatory Fire Retardant Roof Covering Materials In

Designated Fire Hazard Zones .................................................... 215

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REVENUE & TAXATION CODE

2188.3. Condominiums . .......................................................................... 295
2188.5. Planned Developments; Assessment; Application Of
Amendment To Subd.(b) ............................................................. 296
2188.6. Separate Unit Assessment And Tax Bill; Lien On Unit Only .... 297
23701. Exemption Of Specified Organizations ....................................... 297
23701t. Homeowners Association Conditions; Definitions ................... 298

VEHICLE CODE
22658. Removal From Private Property .................................................. 379
22658.1. Damage To Fence While Removing Vehicle; Location
And Notification Of Property Owner By Towing Company . ..... 388
22853. Notice To Department Of Justice And Proprietor Of Storage

Garage; Reports; Notice To Owner ............................................. 388

WELFARE & INSTITUTIONS CODE

5115. Lanterman Development Disabilities Services Act ..................... 376
5116. Residential Use Zoning Of Group Homes . ................................. 217

Code sections added or amended by legislation enacted during the 2011
Legislative Session are in bold print.