CHAPTER 7.5. Protections [400. - 409.15.]

Cal. Military and Veterans Code - MVC 7.5.
in effect

Cal. Military and Veterans Code - MVC § 400. Section 400.

For the purposes of this chapter, the following definitions apply: (a) “Armed Forces” means the Army, Navy, Air Force, Marine Corps, Space Force, and Coast Guard. (b) “Military orders,” with respect to a service member, means official military orders, or any notification, certification, or verification from the service member’s commanding officer with respect to the service member’s current or future military duty status. (c) “Military service” means, as to a member of the militia, full-time active state service or full-time active federal service. As to a person who is not a member of the militia, “military service” means full-time active duty for a period in excess of seven days in any 14-day period. (d) “Service member” means all of the following: (1) A member of the militia, as defined in Section 120, called or ordered into active state or federal service pursuant to Section 143 or 146 or federal law. (2) A member of an active or reserve component of the Armed Forces who is ordered into active duty pursuant to federal law.

Cal. Military and Veterans Code - MVC § 401. Section 401.

(a) Application by a service member for, or receipt by a service member of, a stay, postponement, or suspension pursuant to this chapter in the payment of any tax, fine, penalty, insurance premium, or other civil obligation or liability of that person shall not itself, without regard to other considerations, provide the basis for any of the following: (1) A determination by any lender or other person that the service member is unable to pay any civil obligation or liability in accordance with its terms. (2) With respect to a credit transaction between a creditor and the service member, any of the following: (A) A denial or revocation of credit by the creditor. (B) A change by the creditor in the terms of an existing credit arrangement. (C) A refusal by the creditor to grant credit to the service member in substantially the amount or on substantially the terms requested. (3) An adverse report relating to the creditworthiness of the service member by or to any person or entity engaged in the practice of assembling or evaluating consumer credit information. (4) A refusal by an insurer to insure the service member. (5) An annotation in a service member’s record by a creditor or a person engaged in the practice of assembling or evaluating consumer credit information identifying the service member as a member of the active militia, as defined in Section 120, or an active or reserve component of the Armed Forces. (b) A person shall not, in connection with the collection of any obligation, including any debt or payment, falsely claim to be a member or civilian employee of the Armed Forces, a component of the active militia, as defined in Section 120, the Department of Defense, the Department of Homeland Security, or the Military Department, or identify themselves through the use of any military rank, rating, or title. (c) A person shall not, in connection with the collection of any obligation, including any debt or payment, from a member of the active militia, as defined in Section 120, or a member of an active or reserve component of the Armed Forces, contact the member’s military unit or chain of command without the written consent of the member given after the obligation becomes due and payable. (d) A person shall not, in connection with any transaction or any sale of goods or services, electronically access a Common Access Card (CAC) issued to a service member, place or require the placement of such a CAC in a smart card reader, request or request entry of the personal identification number (PIN) associated with such a CAC, or require a service member to log in to any Department of Defense or, in the case of a member of the Coast Guard, Department of Homeland Security computer system. A transaction or sale entered into in violation of this subdivision is void. (e) (1) A person shall not condition the receipt of a military or veteran discount, in any form, on the waiver by a recipient of the discount of any right the person has under state or federal law. Any such waiver is void. (2) Any other waiver of a right provided to service members, former service members, or their dependents by this code is void. (f) Any person violating any provision of this section is liable for actual damages, reasonable attorney’s fees, and costs incurred by the injured party. (g) Any person violating any provision of this section is guilty of a misdemeanor, and shall be punishable by imprisonment not to exceed one year or by a fine not to exceed one thousand dollars ($1,000), or both.

Cal. Military and Veterans Code - MVC § 402. Section 402.

(a) In any action or proceeding commenced in any court, if there shall be a default of any appearance by the defendant, the plaintiff, before entering judgment shall file in the court a declaration under penalty of perjury setting forth facts showing that the defendant is not in the military service. If unable to file that declaration, the plaintiff shall, in lieu thereof, file a declaration setting forth either that the defendant is in the service or that the plaintiff is not able to determine whether or not the defendant is in the service. If a declaration is not filed showing that the defendant is not in the military service, judgment shall not be entered without first securing an order of court directing that entry, and an order shall not be made if the defendant is in the military service until after the court appoints an attorney to represent the defendant and protect their interest, and the court shall, on application, make that appointment. If an attorney appointed under this section to represent a service member cannot locate the service member, actions by the attorney in the case shall not waive any defense of the service member or otherwise bind the service member. Unless it appears that the defendant is not in the military service the court may require, as a condition before judgment is entered, that the plaintiff file a bond approved by the court conditioned to indemnify the defendant, if in the military service, against any loss or damage that they may suffer by reason of any judgment should the judgment be thereafter set aside in whole or in part. The court may make other orders or enter that judgment as in its opinion is necessary to protect the rights of the defendant under this section. (b) Any person who shall, for purposes of this section, make or use a declaration declared to be true under penalty of perjury, knowing it to be false, is guilty of a misdemeanor and shall be punishable by imprisonment not to exceed one year or by a fine not to exceed one thousand dollars ($1,000), or both. Any person violating any provision of this section is also liable for actual damages, reasonable attorney’s fees, and costs incurred by the injured party. (c) In an action covered by this section in which the defendant is in military service, the court shall grant a stay of proceedings for a minimum period of 90 days under this subdivision upon application of counsel, or on the court’s own motion, if the court determines that there may be a defense to the action and a defense cannot be presented without the presence of the defendant, or, after due diligence, counsel has been unable to contact the defendant or otherwise determine if a meritorious defense exists. (d) In any action or proceeding in which a service member is a party, if the service member does not personally appear therein or is not represented by an authorized attorney, the court may appoint an attorney to represent them. In that case a bond may be required and an order made to protect the rights of the service member. However, an attorney appointed under this chapter to protect a service member shall not have the power to waive any right of the person for whom they are appointed or bind them by their acts. (e) If judgment is rendered in any action or proceeding governed by this chapter against any service member during the period of that service or within 30 days thereafter, and it appears that the service member was prejudiced by reason of their military service in making their defense thereto, the judgment may, upon application made by the service member or their legal representative not later than 90 days after the termination of the service, be opened by the court rendering the same and the defendant or their legal representative let in to defend; provided the application states a meritorious or legal defense to the action or some part thereof. Vacating, setting aside, or reversing any judgment by reason of this chapter shall not impair any right or title acquired by any bona fide purchaser for value under that judgment. (f) For purposes of this section and any declaration made under this section, a defendant shall be deemed to be “in the military service” if they are either: (1) Currently in the military service. (2) Were in the military service within the preceding 120 days.

Cal. Military and Veterans Code - MVC § 403. Section 403.

(a) At any stage in any action or proceeding in which a service member is involved, either as plaintiff or defendant, during a period of military service or within 120 days thereafter, the court may, in its discretion on its own motion, and shall, on application to it by the service member or some person on their behalf, stay the action or proceeding unless, in the opinion of the court, the ability of the plaintiff to prosecute the action or the defendant to conduct their defense is not materially affected by reason of their military service. (b) When an action for compliance with the terms of any contract is stayed pursuant to this section, no fine or penalty shall accrue by reason of failure to comply with the terms of the contract during the period of the stay, and when a person fails to perform any obligation and if a fine or penalty for the nonperformance is incurred a court may, on those terms as may be just, provide relief against the enforcement of that fine or penalty if it appears that the person who would suffer by that fine or penalty was in the military service when the penalty was incurred and that by reason of military service the ability of the person to pay or perform was thereby materially impaired. (c) In any action or proceeding against a service member, before or during the period of the service, or within 120 days thereafter, the court may, in its discretion on its own motion, or shall, upon application to it by the service member or some person on their behalf, unless in the opinion of the court the ability of the defendant to comply with the judgment or order entered or sought is not materially affected by reason of their military service, do either of the following: (1) Stay the execution of any judgment or order entered against a service member. (2) Vacate or stay any attachment or garnishment of property, money, or debts in the hands of another, whether before or after judgment. (d) Any stay of any action, proceeding, attachment, or execution ordered by any court under this section may, except as otherwise provided, be ordered for the period of military service and three months thereafter or any part of that period, and subject to those terms as may be just, including terms with respect to payment in installments of those amounts at those times as the court may fix. If the service member is a codefendant with others the plaintiff may nevertheless, by leave of court, proceed against the others. (e) A service member who is granted a stay of a civil action or proceeding under this section may apply for an additional stay based on continuing material effect of military duty on the service member’s ability to appear. If the court refuses to grant an additional stay of proceedings, it shall appoint counsel to represent the service member in the action or proceeding. (f) An application for a stay under this section does not constitute an appearance for jurisdictional purposes and does not constitute a waiver of any substantive or procedural defense, including a defense relating to lack of personal jurisdiction.

Cal. Military and Veterans Code - MVC § 404. Section 404.

(a) A period of military service shall not be included in computing any period now or hereafter to be limited by any law, regulation, or order for the bringing of any action or proceeding in any court, board, bureau, commission, department, or other agency of government by or against any service member or by or against their heirs, executors, administrators, or assigns, whether the cause of action or the right or privilege to institute the action or proceeding accrued prior to or during the period of service, nor shall any part of the period be included in computing any period now or hereafter provided by any law for the redemption of real property sold or forfeited to enforce any obligation, tax, or assessment. (b) This section shall not apply with respect to any period of limitation prescribed by or under the federal Internal Revenue Code.

Cal. Military and Veterans Code - MVC § 405. Section 405.

(a) No obligation or liability bearing interest at a rate in excess of 6 percent per year incurred by a service member before that person’s current period of military service shall, except as provided in subdivision (b), bear interest at a rate in excess of 6 percent per year as follows: (1) For an obligation or liability consisting of a mortgage, trust deed, or other security in the nature of a mortgage, or any student loan, during any part of the period of military service and one year thereafter. (2) For any other obligation or liability, during any part of the period of military service and 120 days thereafter. (b) Notwithstanding subdivision (a), if in the opinion of a court, upon application thereto by the obligee, the ability of the service member to pay interest upon an obligation or liability at a rate in excess of 6 percent per year is not materially affected by reason of that service, the court may make that order as in its opinion may be just. (c) As used in this section, “interest” includes service charges, renewal charges, fees, or any other charges, except bona fide insurance, in respect of any obligation or liability. (d) Interest at a rate in excess of 6 percent per year that would otherwise be incurred but for the prohibition in this section is forgiven. The amount of any periodic payment due from a service member shall be reduced by the amount of the interest forgiven under this section that is allocable to the period for which the payment is made. (e) Any person violating this section shall be liable for actual damages, reasonable attorney’s fees, and costs incurred by the injured party.

Cal. Military and Veterans Code - MVC § 406. Section 406.

(a) No eviction or distress shall be made during the period of military service specified in Section 400, until 120 days after the service member is released from active service or duty if the premises are occupied primarily for dwelling purposes by the spouse, children, or other dependents of a service member, except upon leave of court granted upon application therefor or granted in an action or proceeding affecting the right of possession. (b) On any application or in any action under this section, the court may on its own motion, and shall, on application, stay the proceedings for the period specified in subdivision (a) or rather than granting a complete stay, the court may require the tenant to make regular partial payments during the service member’s period of military service, or the court may make any other order that it finds to be just, unless the court finds that the ability of the tenant to pay the agreed rent is not materially affected by that military service. Where that stay is made by the court, the owner of the premises shall be entitled, upon application therefor, to relief in respect of those premises similar to that granted persons in military service in Sections 407, 408, and 409.1 to that extent and for that period as may appear to the court to be just. (c) Any person violating this section shall be liable for actual damages, reasonable attorney’s fees, and costs incurred by the injured party. (d) Any person who knowingly takes part in any eviction or distress as provided in this section or who attempts to do so, is guilty of a misdemeanor, and shall be punishable by imprisonment not to exceed one year or by a fine not to exceed one thousand dollars ($1,000), or both.

Cal. Military and Veterans Code - MVC § 407. Section 407.

(a) No person who has received, or whose assignor has received, under a contract for the purchase of real or personal property, a deposit or installment of the purchase price, or a deposit or installment under the contract, from a person or from the assigner of a person who, after the date of payment of the deposit or installment, has entered into a period of military service, shall exercise any right or option under that contract to rescind or terminate the contract or resume possession of the property for nonpayment of any installment due or for any other breach of its terms occurring prior to or during the period of that military service, or for 120 days thereafter, except by action in a court of competent jurisdiction. (b) Upon the hearing of that action as provided in subdivision (a), the court may order the repayment of prior installments or deposits or any part, as a condition of terminating the contract and resuming possession of the property, or may, in its discretion, on its own motion, and shall, on application to it by the service member or some person on the service member’s behalf, order a stay of proceedings as the court deems just, unless in the opinion of the court, the ability of the defendant to comply with the terms of the contract is not materially affected by reason of the service; or it may make any other disposition of the case as may be equitable to conserve the interests of all parties. (c) Any person violating this section shall be liable for actual damages, reasonable attorney’s fees, and costs incurred by the injured party. (d) Any person who shall knowingly resume possession of property that is the subject of this section in a manner other than as provided in subdivision (a), or attempts to do so, is guilty of a misdemeanor, and shall be punishable by imprisonment not to exceed one year or by a fine not to exceed one thousand dollars ($1,000), or both.

Cal. Military and Veterans Code - MVC § 408. Section 408.

(a) This section shall apply only to obligations secured by mortgage, trust deed, or other security in the nature of a mortgage upon real or personal property owned by a service member. (b) In any proceeding commenced in any court during, or within one year after, the period of military service to enforce that obligation as provided in subdivision (a), the court may, after hearing and in its discretion on its own motion, and shall, on application to it by the service member or some person on the defendant’s behalf, unless in the opinion of the court the ability of the defendant to comply with the terms of the obligation is not materially affected by reason of the defendant’s military service, do either of the following: (1) Stay the proceedings for any period as the court deems just. (2) Make any other disposition of the case as may be equitable to conserve the interests of all parties. (c) No sale, foreclosure, or seizure of property for nonpayment of any sum due under any obligation as provided in subdivision (a), or for any other breach of the terms thereof, whether under a power of sale, under a judgment entered upon warrant of attorney to confess judgment contained therein, or otherwise, shall be valid if made during the period of military service or within one year thereafter, except pursuant to an agreement between the parties made after the nonpayment or breach, unless upon an order previously granted by the court and a return thereto made and approved by the court. (d) Any person violating this section shall be liable for actual damages, reasonable attorney’s fees, and costs incurred by the injured party. (e) Any person who shall knowingly make or cause to be made any sale, foreclosure, or seizure of property, defined as invalid by subdivision (c), or attempts to do so, is guilty of a misdemeanor, and shall be punishable by imprisonment not to exceed one year or by a fine not to exceed one thousand dollars ($1,000), or both.

Cal. Military and Veterans Code - MVC § 408.1. Section 408.1.

(a) For purposes of this section, “covered member” has the same meaning as in the Military Lending Act pursuant to Section 987 of Title 10 of the United States Code. (b) A security interest in personal property other than a motor vehicle, off-highway vehicle, trailer, vessel, or aircraft is void, and cannot be perfected, if it would cause a loan procured by a covered member in the course of purchasing the personal property to be exempt from the requirements of Section 987 of Title 10 of the United States Code. (c) A security interest in a motor vehicle is void, and cannot be perfected, if it would cause a loan procured by a covered member in the course of purchasing the motor vehicle to be exempt from Section 987 of Title 10 of the United States Code, and the loan also funds the purchase of a credit insurance product or credit-related ancillary product.

Cal. Military and Veterans Code - MVC § 409. Section 409.

(a) The lessee on a lease described in subdivision (b) may, at the lessee’s option, terminate the lease at any time after the lessee’s entry into military service, or the date of the lessee’s military orders described in subdivision (b). A lessee’s termination of a lease pursuant to this subdivision shall terminate any obligation a dependent of the lessee has under the lease. (b) This section applies to the following leases: (1) A lease of premises occupied, or intended to be occupied, by a service member or a service member’s dependents for a residential, professional, business, agricultural, or similar purpose if the lease is executed by or on behalf of a person who does either of the following: (A) During the term of the lease, enters a period of military service. (B) While in a period of military service, executes the lease and then receives military orders for a permanent change of station or to deploy with a military unit, or as an individual in support of a military operation, for a period of not less than 90 days. (2) A lease of a motor vehicle used, or intended to be used, by a service member or a service member’s dependents for personal or business transportation if the lease is executed by or on behalf of a person who does any of the following: (A) During the term of the lease, enters a period of military service under a call or order specifying a period of not less than 180 days. (B) During the term of the lease, enters a period of military service under a call or order specifying a period of less than 180 days, and then receives orders extending the period of military service to a period of not less than 180 days. (C) While in a period of military service, executes the lease and then receives military orders for a change of permanent station to a location that is more than 100 miles from the prior duty station or to deploy with a military unit, or as an individual in support of a military operation, for a period of not less than 90 days. (c) (1) Termination of a lease under subdivision (a) shall be made by delivery by the lessee of written notice of that termination, and a copy of the service member’s military orders, to the lessor or the lessor’s grantee, or to the lessor’s agent or the agent’s grantee, and in the case of a lease of a motor vehicle, by return of the motor vehicle by the lessee to the lessor or the lessor’s grantee, or to the lessor’s agent or the agent’s grantee, not later than 15 days after the date of the delivery of written notice. (2) Notice under paragraph (1) may be accomplished by hand delivery, private business carrier, or by placing the written notice in an envelope with sufficient postage and with return receipt requested, and addressed as designated by the lessor or the lessor’s grantee, or to the lessor’s agent or the agent’s grantee, and depositing the written notice in the United States mail system. (d) (1) In the case of a lease described in paragraph (1) of subdivision (b) that provides for monthly payment of rent, termination of the lease under subdivision (a) is effective 30 days after the first date on which the next rental payment is due and payable after the date on which the notice under subdivision (c) is delivered. In the case of any other lease described in paragraph (1) of subdivision (b), termination of the lease under subdivision (a) is effective on the last day of the month following the month in which the notice is delivered. (2) In the case of a lease described in paragraph (2) of subdivision (b), termination of the lease under subdivision (a) is effective on the day on which the requirements of subdivision (c) are met for that termination. (e) (1) Rent amounts for a lease described in paragraph (1) of subdivision (b) that are unpaid for the period preceding the effective date of the lease termination shall be paid on a prorated basis. The lessor may not impose an early termination charge, but any taxes, summonses, or other obligations and liabilities of the lessee in accordance with the terms of the lease, including reasonable charges to the lessee for excess wear, that are due and unpaid at the time of termination of the lease, shall be paid by the lessee. (2) Lease amounts for a lease described in paragraph (2) of subdivision (b) that are unpaid for the period preceding the effective date of the lease termination shall be paid on a prorated basis. The lessor may not impose an early termination charge, but any taxes, summonses, title and registration fees, or other obligations and liabilities of the lessee in accordance with the terms of the lease, including reasonable charges to the lessee for excess wear or use and mileage, that are due and unpaid at the time of termination of the lease, shall be paid by the lessee. (f) Rents or lease amounts paid in advance for a period after the effective date of the termination of the lease shall be refunded to the lessee by the lessor, or the lessor’s assignee or the assignee’s agent, within 30 days of the effective date of the termination of the lease. (g) Upon application by the lessor to a court before the termination date provided in the written notice, relief granted by this section to a service member may be modified as justice and equity require. (h) Any person who knowingly seizes, holds, or detains the personal effects, clothing, furniture, security deposit, or other property of any person who has lawfully terminated a lease covered by this section, or in any manner interfered with the removal of that property from the premises covered by that lease, for the purpose of subjecting or attempting to subject any of the property to a claim for rent accruing subsequent to the date of termination of the lease, or attempts to do so, is guilty of a misdemeanor and shall be punishable by imprisonment not to exceed one year or by a fine not to exceed one thousand dollars ($1,000), or both that fine and imprisonment.

Cal. Military and Veterans Code - MVC § 409.1. Section 409.1.

(a) When a life insurance policy on the life of a service member in military service has been assigned prior to that person’s period of military service to secure the payment of any obligation of the person, an assignee of the policy, except the insurer in connection with a policy loan, shall not, during the period of military service of the insured or within one year thereafter, except upon the consent in writing of the insured made during that period or when the premiums thereon are due and unpaid or upon the death of the insured, exercise any right or option by virtue of that assignment unless upon leave of court granted upon an application made therefor by the assignee. The court may thereupon refuse to grant that leave unless in the opinion of the court the ability of the obligor to comply with the terms of the obligation is not materially affected by reason of their military service. (b) A person shall not exercise any right to foreclose or enforce any lien on the property or personal effects of a service member, including liens for storage, repair, or cleaning, during that person’s period of military service and for 120 days thereafter, except upon an order previously granted by a court upon application therefor and a return thereto made and approved by the court. In a proceeding to foreclose or enforce a lien subject to this section, the court may on its own motion, or if requested by a service member whose ability to comply with the obligation resulting in the proceeding is materially affected by military service, stay the proceeding for a period of time as justice and equity require, or adjust the obligation to preserve the interests of all parties. (c) Any person violating this section shall be liable for actual damages, reasonable attorney’s fees, and costs incurred by the injured party. (d) A person violating any provision of this section is guilty of a misdemeanor, and shall be punishable by imprisonment not to exceed one year or by a fine not to exceed one thousand dollars ($1,000), or both.

Cal. Military and Veterans Code - MVC § 409.2. Section 409.2.

(a) This section shall apply when any taxes or assessments, whether general or special, other than taxes on income, whether falling due prior to or during their most current period of military service, in respect of personal property, money, or credits, or real property owned and occupied for dwelling, professional, business, or agricultural purposes by a service member or their dependents at the commencement of the service member’s most current period of military service and still so occupied by the service member’s dependents or employees are not paid. (b) Sale of this property shall not be made to enforce the collection of any tax or assessment, or any proceeding or action commenced for that purpose, except upon leave of court granted upon application made therefor by the collector of taxes or other officer whose duty it is to enforce the collection of taxes or assessments. The court thereupon, unless in its opinion the ability of the service member to pay the taxes or assessments is not materially affected by reason of that service, may stay the proceedings or sale, as provided in this section, for a period extending not more than six months after the termination of the most current period of military service. (c) When by law this property may be sold or forfeited to enforce the collection of any tax or assessment, the service member shall have the right to redeem or commence an action to redeem that property, at any time not later than six months after the termination of the period of military service. (d) Whenever any tax or assessment shall not be paid when due, the tax or assessment due and unpaid shall bear interest until paid at the rate of 6 percent per year, and no other penalty or interest shall be incurred by reason of that nonpayment. Any lien for any unpaid taxes or assessments shall also include that interest thereon.

Cal. Military and Veterans Code - MVC § 409.3. Section 409.3.

(a) A service member may, at any time during their most current period of military service or within six months thereafter, petition a court for relief in respect of any obligation or liability incurred by the service member before the effective date of the orders for their most current period of military service or in respect of any tax or assessment whether falling due before or during their most current period of military service. (b) The court shall set a hearing on the petition within 25 days from the date the petition is filed, unless the court shows good cause for extending the date of the hearing. The petition shall be served at least 10 days before the hearing. The respondent shall file and serve a response to the petition at least five days before the hearing. (c) The court shall not charge a filing fee or court costs for a petition filed pursuant to this section. (d) If, after notice and hearing, the court finds the ability of the service member to comply with the terms of any such obligation or liability, or to pay any such tax or assessment, has been materially affected by reason of their most current period of military service as defined in this chapter, the court may grant the following relief: (1) In the case of an obligation payable in installments under a contract for the purchase of real estate, or secured by a mortgage or other instrument in the nature of a mortgage upon real estate, a deferment of the payments due on the obligation for a period of time equal to the period of military service, even if the service member requests the relief after the start of their current period of military service, subject to subdivision (a), and even if such payments extend beyond the termination of the period of military service. The obligation shall be extended, except as specified in subdivision (f), for the period of time that payments were deferred, and the deferred payments shall be paid in equal installments during the combined period at the rate of interest on the unpaid balance prescribed in the contract, or other instrument evidencing the obligation, for installments paid when due, and subject to any other terms as may be just. Penalties shall not be imposed on the nonpayment of principal or interest during this period. Interest shall not be charged or accumulated during the period of deferment unless otherwise ordered by the court. (2) In the case of any other obligation, liability, tax, or assessment, a deferment of any payments on the obligation during the service member’s period of military service and, from the date of termination of the period of military service or from the date of application if made after the service, for a period of time equal to the period of military service of the applicant or any part of that period, subject to payment of the balance of principal and accumulated interest due and unpaid at the date of termination of the period of military service or the date of application, as the case may be, in equal periodic installments during the extended period at the rate of interest as may be prescribed for the obligation, liability, tax, or assessment, if paid when due, and subject to any other terms as may be just. Penalties shall not be imposed on the nonpayment of principal or interest during this period. Interest shall not be charged or accumulated during the period of deferment unless otherwise ordered by the court. (e) (1) When any court has granted a deferment as provided in this section, no fine or penalty shall accrue during the period the terms and conditions of the deferment are complied with by reason of failure to comply with the terms or conditions of the obligation, liability, tax, or assessment in respect of which the deferment was granted, including penalties on the nonpayment of principal or interest during this period. Interest shall not be charged or accumulated during the period of deferment unless otherwise ordered by the court. Foreclosure or repossession of property on which payment has been deferred shall not take place during the period specified in this section. (2) If a person has charged or accrued a fine, penalty, or interest in violation of paragraph (1), that person shall be liable for actual damages, reasonable attorney’s fees, and costs incurred by the injured party as a result of the violation. (f) An obligation that has been deferred pursuant to paragraph (1) of subdivision (d) becomes due and payable upon either of the following: (1) The sale of the property or other event specified in the documents creating the obligation permitting the lender to accelerate the loan, other than a deferment of payments authorized by this section. (2) Further encumbrance of the property other than for preservation or protection of the property that would cause the obligation to become due and payable under the terms of the contract or other instrument evidencing the obligation. (g) This section shall not relieve a service member with a mortgage subject to an impound account for the payment of property taxes, special assessments, mortgage insurance, and hazard insurance from making monthly payments of an amount that is at least sufficient to pay these amounts, unless the borrower and lender agree to a lesser amount. (h) This section shall not preclude a service member from making payments toward the mortgage payments deferred before the occurrence of any of the events in subdivision (d). (i) This section shall not permit a service member ordered to military service to obtain a delay, deferment, or stay on an obligation to pay child support. This section shall not preclude a service member ordered to military service from seeking a modification of an order to pay child support due to a reduction in income resulting from the order to service, or from seeking the imposition of the maximum interest rate provided by this chapter on arrearages in child support payments existing before the order to service.

Cal. Military and Veterans Code - MVC § 409.4. Section 409.4.

(a) A person who by reason of military service is entitled to the rights and benefits of this chapter shall also be entitled upon release from that current period of military service to reinstatement of any health insurance that was in effect on the day before the current period of service commenced, and was terminated effective on a date during the period of the service. (b) An exclusion or a waiting period may not be imposed in connection with reinstatement of health insurance coverage of a health or physical condition of a person under subdivision (a), or a health or physical condition of any other person who is covered by the insurance by reason of the coverage of that person, if any of the following apply: (1) The condition arose before or during that person’s current period of service. (2) An exclusion or waiting period would not have been imposed for the condition during a period of coverage resulting from participation by that person in the insurance. (3) The condition of the person has not been determined by the Secretary of Veterans Affairs to be a disability incurred or aggravated in the line of duty within the meaning of Section 105 of Title 38 of the United States Code. (c) Any person violating this section shall be liable for actual damages, reasonable attorney’s fees, and costs incurred by the service member or other person entitled to the benefits and protections of this chapter.

Cal. Military and Veterans Code - MVC § 409.5. Section 409.5.

Dependents of a service member shall be entitled to the benefits accorded to service members under Sections 405 to 409.4, inclusive, upon application to a court therefor, unless in the opinion of the court the ability of the dependents to comply with the terms of the obligation, contract, lease, or bailment has not been materially impaired by reason of the military service of the person upon whom the applicants are dependent.

Cal. Military and Veterans Code - MVC § 409.6. Section 409.6.

The collection from any service member of any tax on the income of the person, whether falling due prior to or during their period of military service, shall be deferred for a period extending not more than six months after the termination of their period of military service if the person’s ability to pay the tax is materially impaired by reason of the service. Interest on any amount of tax, collection of which is deferred for any period under this chapter, and penalty for nonpayment of the amount during that period, shall not accrue for any period of deferment by reason of that nonpayment. The running of any statute of limitations against the collection of any tax by distraint or otherwise shall be suspended for the period of military service of any individual the collection of whose tax is deferred under this section, and for an additional period of nine months beginning with the day following the period of military service.

Cal. Military and Veterans Code - MVC § 409.7. Section 409.7.

Where in any proceeding to enforce a civil right in any court, it is made to appear to the satisfaction of the court that any interest, property, or contract has been transferred or acquired since the effective date of this chapter with the intent to delay the just enforcement of that right by taking advantage of the benefits provided under this chapter, the court shall enter judgment or make an order as might lawfully be entered or made, notwithstanding any contrary provision of this chapter.

Cal. Military and Veterans Code - MVC § 409.8. Section 409.8.

(a) In any proceeding under this chapter, a certificate signed by an appropriately authorized officer of the military department, branch, or unit in which a service member is serving shall be prima facie evidence as to any of the following facts stated in that certificate: (1) That a person named has not been, is, or has been in the military service. (2) The time when and the place where the person entered military service. (3) The person’s residence at that time, and the rank, branch, and unit of the service that the person entered. (4) The dates within which the person was in the military service. (5) The monthly pay received by the person at the date of issuing the certificate. (6) The time when and the place where the person died in or was discharged from the service. (b) It shall be the duty of the authorized officer to furnish that certificate on application, and any certificate, when purporting to be signed by an officer purporting on the face of the certificate to have been so authorized, shall be prima facie evidence of its contents and of the authority of the signer to issue the certificate. (c) Where a person in military service has been reported missing, they shall be presumed to continue in the service until accounted for, and no period herein limited that begins or ends with the death of the person shall begin or end until the death of the person is in fact reported to or found by the United States Department of Defense or any court or board thereof, or the Military Department or any court or board thereof, or until the person’s death is found by a court of competent jurisdiction.

Cal. Military and Veterans Code - MVC § 409.9. Section 409.9.

Any interlocutory order made by any court under the provisions of this chapter may, upon the court’s own motion or otherwise, be revoked, modified, or extended by it upon notice to the parties affected as it may require.

Cal. Military and Veterans Code - MVC § 409.10. Section 409.10.

The provisions of this chapter are severable. If any provision of this chapter or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.

Cal. Military and Veterans Code - MVC § 409.11. Section 409.11.

It is the intent of the Legislature that qualification for the benefits and protections conferred upon service members, as defined by Section 400, by this chapter apply retroactively to September 11, 2001. However, it is also the intent of the Legislature that the benefits and protections that attach to qualified service members under this chapter apply only on a prospective basis.

Cal. Military and Veterans Code - MVC § 409.13. Section 409.13.

(a) To the extent permitted by federal law and the California Constitution, any principal and interest on any financial obligation or liability bearing interest and incurred by a member of the California National Guard or their surviving spouse, or surviving domestic partner, or any principal and interest on any financial obligation or liability bearing interest incurred by a member of the California National Guard for which the beneficiary of that member is liable, shall be deferred for a period of six months after the death of the member without penalty or accrual of any additional interest. (b) For purposes of this section, the following terms have the following meanings: (1) “Interest” includes service charges, renewal charges, fees, or any other charges with respect to any obligation or liability. (2) “Beneficiary” means a beneficiary of the deceased member of the California National Guard who is or has become, after the member’s death, liable for any of the member’s financial obligations or liabilities bearing interest. (c) This section shall only apply: (1) To a member of the California National Guard that is killed in the line of duty in the service of the state or federal government. (2) When a member’s surviving spouse, surviving domestic partner, or other beneficiary provides written notice of the death of the member to the financial institution to which they are liable and from which they are requesting deferral of interest and payments as set forth in this section. (3) To a financial obligation or liability bearing interest that was created between a private entity and a member of the California National Guard or their surviving spouse or surviving domestic partner, or to a financial obligation or liability bearing interest that was created between a private entity and a member of the National Guard for which the beneficiary of that member is liable, before that member’s entry into service.

Cal. Military and Veterans Code - MVC § 409.15. Section 409.15.

(a) Any person who receives a good faith request from a service member for relief pursuant to this chapter and who believes the request is incomplete or otherwise not legally sufficient, or that the service member is not entitled to the relief requested, shall, within 30 days of the request, provide the service member with a written response acknowledging the request, setting forth the person’s basis for believing or asserting that the request is incomplete or not legally sufficient, or that the service member is not entitled to the relief requested. The response shall clearly identify the specific information or materials that are missing from the request and that would be required to grant the relief requested, and provide contact information, including a mailing address and telephone number, which the service member can use to contact the person. (b) If the person fails to make such a response in the timeframe set forth in this section, the person waives any objection to the request, and the service member shall be entitled to the relief requested.
Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026

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