Eaton Fire Attorneys
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The Eaton Fire has caused significant hardship for homeowners, renters, and businesses across Los Angeles County. At MSD Lawyers, we are committed to providing trusted legal guidance and advocacy to those affected by the disaster. We understand the complexities of insurance claims, mortgage relief, eviction protections, and financial assistance, and we are here to help you navigate these challenges. Below, you will find key information on your legal rights and available resources.
Mortgage Relief & Foreclosure Protections
Generally, homeowners remain responsible for their mortgage obligations even if their property has been damaged or destroyed. However, relief options are available:
Mortgage Forbearance – AB 238 (Pending Legislation)
Currently, legislation is moving forward to make it easier for LA County homeowners experiencing financial hardship from the fires. Assembly Bill 238 would authorize affected homeowners to pause mortgage payments for up to 180 days with no fees, penalties or interest, and extend for another 180 days upon request.
To request mortgage forbearance, a homeowner would need to:
- Submit a request to their mortgage loan servicer, and
- Affirm that they are experiencing financial hardship during the wildfire disaster.
The only requirement is the homeowner’s self-attestation of financial hardship. The mortgage servicer cannot require additional documentation.
On Feb. 18, 2025, the bill was referred to the Committees on Budget and Finance and Judiciary for hearing.
NEW: $125 Million Mortgage Relief Program (Pending Approval)
On Feb. 19, 2025, Governor Newsom proposed a new mortgage relief program that would provide $100 million in direct mortgage assistance for homeowners facing foreclosure due to recent natural disasters, with an additional $25 million to expand existing mortgage counseling services and FEMA disaster assistance guidance.
- Available to homeowners whose property was destroyed or substantially damaged in declared emergencies since Jan. 1, 2023.
- To be considered at the California Housing Finance Agency meeting on Feb. 20, 2025.
Bank-Approved Mortgage Payment Relief
On Jan. 18, 2025, several federally and state-chartered banks voluntarily agreed to assist homeowners whose properties were damaged or destroyed by the wildfires:
- 90-day forbearance from loan payments with no late fees or negative credit reporting.
- Their agreement also suspends new foreclosure actions for at least 60 days.
- How to Apply: Contact your lender and request wildfire hardship relief.
Take Action Now
Given the scale of the disaster, loan servicers may experience backlogs. The key to obtaining relief is for homeowners to be proactive throughout their request for assistance.
- Contact your mortgage servicer immediately.
- Follow up in writing and document all communications.
- Keep copies of all documents related to your request.
If you need legal assistance securing relief, MSD Lawyers is here to help.
Tenant Rights & Eviction Protections
NEW: LA County Six-Month Eviction Moratorium (Pending Final Vote)
Low-income renters who lost their jobs as a result of the fires will receive eviction protection upon the passage of a resolution that will face a second and final vote for approval by the LA County Board of Supervisors on Feb. 25, 2025.
Eligible tenants can stay in their home, motel, or rental unit without paying rent for up to 6 months, between Feb. 1, 2025 and July 31, 2025.
To qualify, tenants must:
- Show at least a 10% loss in monthly income due to the fires.
- Have a 2024 household income equal to or less than 150% of the Area Median Income.
- Be enrolled in or have applied for a wildfire relief program and unemployment benefits or other income assistance program.
Importantly, tenants would be required to repay any rental debt incurred or still owed the landlord during the time of the protection within 12 months after the end of the State of Emergency.
California’s Anti-Price Gouging Law
Governor Newsom’s Jan. 7, 2025 declaration of a State of Emergency caps rent increases at 10% through March 8, 2025 (unless extended). This applies to Los Angeles and Ventura counties.
This protection, however, falls short of a bill that was rejected by the Los Angeles City Council. Assembly Bill 246 proposed a sweeping rent freeze and eviction moratorium tied to the wildfires, mirroring previous COVID-era restrictions. The bill would have implemented a citywide rent freeze at price levels charged as of Jan. 7, 2025, prohibit evictions for non-payment of rent, and ban various other reasons for evictions.
AB 246 faced criticism by the California Apartment Association as being overly broad and lacking targeted relief because it would override the existing rent caps under California laws.
Although the bill was rejected, alternative tenant protections have been proposed.
On Feb. 14, 2025, a proposal to prohibit evictions for nonpayment of rent due to fire-related economic hardship failed once again. Additionally, a separate proposal to give tenants 3 months to repay back rent was also rejected after facing criticism from multiple council members.
Concerns included potential unintended consequences on the existing housing crisis and verification challenges for determining financial hardship.
Although the bill was rejected, the LA City Council is moving forward with other protections for tenants who have lost their homes or jobs in the wildfires.
New LA City Ordinance: Eviction Prohibition for Sheltering the Displaced
- Effective Feb. 4, 2025, landlords cannot evict or raise the rent of tenants who temporarily house displaced tenants or pets.
- Duration: One year.
Insurance Protections
California law provides enhanced protections for homeowners facing coverage cancellations or expenses related to displacement from the fire.
Mandatory Moratorium on Insurance Cancellations
A mandatory one-year moratorium on cancellations and non-renewals of policies of residential property insurance went into effect when Governor Newsom declared the State of Emergency on Jan. 7, 2025.
Residential property insurers must reinstate homeowners’ policies canceled or non-renewed due to wildfire risk since Jan. 7, 2025. Non-renewals issued up to 90 days prior to Jan. 7, 2025 must also be reinstated if the notices were set to take effect after the start of the wildfires.
Properties located in any zip code within or adjacent to the fire perimeter of any of the following wildfires are included in the mandatory moratorium:
- Eaton Fire
- Palisades Fire
- Hurst Fire
- Lidia Fire
- Sunset Fire
- Woodley Fire
- Olivas Fire
What this means is that all policyholders in the specified zip codes are covered by the one-year moratorium even if they did not sustain a loss.
Find out if your zip code is included in the mandatory moratorium.
- If your insurance company violates this law, MSD Lawyers will fight for your rights.
Additional Living Expenses Coverage (ALE)
Many consumers are unaware that they may have coverage under their homeowners’ and renters’ insurance policies to help them with evacuation and recovery expenses. ALE coverage is available to residents in LA County who have been ordered to evacuate due to the fires and includes costs related to:
- Food and housing
- Furniture rental
- Relocation and storage
- Transportation
Policy provisions vary by company, so residents should check with their insurance company as soon as possible to confirm coverage, limits, and requirements.
California Executive Orders & Additional Relief
Governor Newsom has issued multiple Executive Orders providing relief:
Tax Relief
- LA County taxpayers have until Oct. 15, 2025, to file 2024 income tax returns and make any tax payments that would have been due Jan. 7, 2025, through Oct. 15, 2025.
- This mirrors a federal extension announced by the IRS extending various tax filing and payment deadlines for individuals and businesses affected by the LA wildfires to Oct. 15, 2025.
Temporary Housing & Price Gouging Protections
- Expedites creation of temporary homes for displaced residents, including the placement of temporary trailers and other housing on properties damaged by the fires.
- Extends anti-price gouging protections for hotels, motels, and rental housing, hotels in LA County through Mar. 8, 2025.
- Report price-gouging, disaster-related scams, and other misconduct to the California Attorney General’s Office.
Real Estate Fraud Prevention
- Investors cannot make unsolicited, undervalued offers on fire-damaged properties by offering fast cash to impacted families through April 14, 2025.
- This prohibition is especially important for the Altadena community, comprising working-class neighborhoods that were hit particularly hard by the Eaton Fire. If you receive an unsolicited offer, consult an attorney before making any decisions.
Reconstruction
- Suspends permitting and review requirements under the California Environmental Quality Act (CEQA) and the California Coastal Act to accelerate rebuilding.
- Extends anti-price gouging protections on building materials, storage services, construction, and other essential goods and services in LA County to 7, 2026.
Schools
- Eliminates barriers faced by youth in getting back to school, by:
- Allowing displaced students to attend school outside their district.
- Facilitates the use of temporary facilities by schools damaged in the fires.
- Enables schools to avoid penalties for falling short of school year requirements.
Small Businesses and Workers
- Helps small businesses and workers recover quickly by deferring annual licensing fees with a renewal date between Jan. 1, 2025 and July 1, 2025 for one year.
- Waives various other requirements that may present barriers to recovery, such as relocation requirements or fees for requesting replacements of license certificates destroyed in the fires.
Financial Assistance & Disaster Relief
A range of financial relief programs are available for affected homeowners, renters, workers, and small businesses:
LA County Disaster Relief Fund (Opens February 2025)
The LA County Relief Fund provides direct financial assistance to homeowners, tenants, workers, small businesses, and nonprofits most affected by the fires. Priority is given to marginalized and vulnerable communities.
Residents Relief Fund
- Offers up to $18,000 for displaced homeowners and renters.
- Eligibility:
- Must have been physically displaced due to the fires.
LA Region Worker Relief Fund
- Offers up to $2,000 for workers who lost wages due to the fires.
- Eligibility:
- Must be an LA County resident aged 18+, and
- Must demonstrate employment or income loss as a direct result of the fire.
LA Region Small Business Relief Fund
- Grants between $2,000 and $25,000 for eligible small businesses impacted by the fire.
- Eligibility:
- Must have 100 or fewer employees, and
- Must have an average annual gross revenue of $6 million or less.
Visit lacounty.gov/relief to apply.
How MSD Lawyers Can Assist
At MSD Lawyers, we are dedicated to helping Eaton Fire victims recover and rebuild. Our team provides:
- Free initial consultations for fire victims.
- Legal assistance with insurance claims and disputes.
- Representation to establish liability and recover compensation, including for emotional distress.
You don’t have to face this alone. Let our experienced legal team advocate for your rights and help you rebuild.
