CAL.Regulation
California lets defendants move to strike suits against priority care developments and doubles housing-suit bond cap
Governor Gavin Newsom signed SB 1344 on September 29, 2026. New Code of Civil Procedure section 425.21 lets defendants bring a special motion to strike lawsuits challenging approval or permitting of priority care developments, which provide housing tied to behavioral-health services and other specified purposes. The court denies the motion only if the petitioner shows a probability of prevailing. SB 1344 also raises the cap on undertakings in suits against qualifying housing projects from $500,000 to $1 million.
Enrolled text (California Legislative Information) → · Office of the Governor
Key points
- Creates a special motion to strike challenges to priority care development approvals.California Legislative Information
- Covers behavioral-health and homelessness facilities funded under specified programs.California Legislative Information
- Discovery is stayed once the motion is filed, and a prevailing respondent recovers attorney fees and costs.California Legislative Information
- The cap on a plaintiff's liability under a Section 529.2 undertaking rises from $500,000 to $1 million.Office of the Governor
- Takes effect January 1, 2027; signed September 29, 2026 with the housing and homelessness package.California Legislative InformationOffice of the Governor
Sources2 articles across 2 outlets
California Legislative Information
Office of the Governor
Filed under
RegulationCal.SB 1344 — Priority Care Development Strike MotionHealthcareHousingLitigationReal estateFor practitionersFor governance