July 27, 2025 The Newspaper Serving LGBT Los Angeles

Los Angeles City Attorney Sues Over Illegal Rentals, Wildfire Price Gouging

City Attorney Seeks Permanent Ban and Millions in Penalties for Operators

City Attorney Hydee Feldstein Soto has filed a civil lawsuit against a group of individuals and affiliated companies, accusing them of operating an extensive illegal short-term rental operation in violation of city laws and exploiting wildfire-displaced residents through unlawful rent hikes. 

Feldstein-Soto said that her office had received over 1000 complaints of rental price gouging violations. 

The civil enforcement action, announced Monday, targets a group the city says conducted thousands of illegal short-term rental transactions across Los Angeles, including rent-stabilized units that are barred from such use. The lawsuit also alleges the defendants engaged in price gouging in the aftermath of the January 2025 Palisades and Eaton wildfires, violating California’s Anti-Gouging Law by inflating rental prices by as much as 113%.

“The scale of the alleged activity—the illegal short-term rentals and the wildfire-related price gouging—is outrageous,” Feldstein Soto said in a statement. “The defendants not only exacerbated a severe housing shortage but took advantage of Angelenos at their most vulnerable time.”

Filed under California’s Unfair Competition Law, the lawsuit seeks a permanent injunction to bar the defendants from operating short-term rentals outside the city’s ordinance, as well as restitution to affected tenants and potentially tens of millions in civil penalties.

According to the complaint, the group listed and booked short-term rentals for thousands of nights without obtaining proper permits, often employing deceptive tactics such as using fake host identities and falsely labeling properties as located in Beverly Hills or West Hollywood to evade enforcement. The properties were advertised and booked on major platforms despite city laws restricting such activity to primary residences with valid registration.

The defendants named in the complaint include:

  • Akiva Nourollah
  • Micah Hiller
  • Haim Amran Zrihen
  • Rachel Florence Saadat
  • Hiller Hospitality LLC
  • Hiller Hospitality Group LLC
  • 1070 Bedford LLC
  • Red Rock 70 LLC
  • Coastal Charm LLC

Several of the companies are registered in Nevada but authorized to do business in California.

Los Angeles implemented its short-term rental ordinance in 2019 to protect housing stock and neighborhood quality of life. Under the ordinance, only primary residences may be offered as short-term rentals, and hosts must register with the city and comply with limits on rental days, tax collection, and advertising disclosures.

Following Governor Gavin Newsom’s state of emergency declaration for the wildfires on January 7, California’s Anti-Gouging Law came into effect, capping rent increases at 10% for the duration of the emergency. Feldstein Soto alleges that in the weeks following the disaster, the defendants raised rent on some units by more than double, in one case exceeding a 100% increase.

The lawsuit also accuses the defendants of converting long-term housing into illegal short-term rentals and continuing their operations after the fires despite the increased housing demand and legal restrictions.

The City Attorney’s Office encourages any residents who believe they have been victims of price gouging to report the violations through the city’s 311 system or by completing an online complaint form. Reports can be made anonymously.

The litigation is being handled by the Public Rights Branch of the City Attorney’s Office.

Related Posts

In Your Time of Need, Woodlawn Cemetery is Available

July 25, 2025

July 25, 2025

By Susan Payne  For over 125 years, Woodlawn Cemetery, Mausoleum & Mortuary, wholly owned and operated by the city of...

Going for the throat

July 25, 2025

July 25, 2025

Coach Bill Schuman expects protégé Golda Zahra to hold back nothing  By Linda Chase World famous competitors hire special coaches...

Unmasking ICE: Senators Push for Visible IDs After Secretive LA Immigration Raids

July 8, 2025

July 8, 2025

Bill Requires Federal Agents to Display Visible Identification During Raids U.S. Senators Alex Padilla (D-Calif.) and Cory Booker (D-N.J.) on...

Bacio di Latte’s Beverly Hills Gelateria Debut Blends Italian Tradition with California Cool

July 8, 2025

July 8, 2025

Gelateria Features In-House Gelato, Espresso Drinks, and Decadent Signature Flavors Bacio di Latte has officially opened its latest U.S. flagship...

Housing for Health Chief Appointed to Lead Unified Homeless Services Department

July 8, 2025

July 8, 2025

Veteran Housing Advocate to Oversee Streamlined LA County Services The Los Angeles County Board of Supervisors on Tuesday confirmed the...

Rainbow Crosswalk at Pulse Memorial Could Be Removed Under New Federal Rules

July 8, 2025

July 8, 2025

Trump Administration’s Program Urges States to Eliminate “Non-safety” Road Art, U.S. Transportation Secretary Sean Duffy issued a bizarre order for...

Brentwood Feels Impact as Feds Slash Office Leases Across Los Angeles

July 8, 2025

July 8, 2025

New Tracker Reveals Over 70,000 Square Feet Cut in 2025 Alone Los Angeles County’s office market is experiencing a fresh...

Interview: The Dinah Creator Mariah Hanson on Legacy, Change, and the Future of Queer Celebration

July 8, 2025

July 8, 2025

After 34 Groundbreaking Years, Hanson Reflects on Joy, Power, and Her Final Dinah  We spoke with Mariah Hanson, the creator...

Shore Hotel: A Local Destination for Summer Fun

July 8, 2025

July 8, 2025

Bring on all things summer. Walking or biking along Santa Monica Pier, you might find yourself taking a pause at...

One Last Bite: La Novia Bids Farewell with Final Pop-Up at Cardinale du Vin

July 8, 2025

July 8, 2025

Inventive Latin-Asian Pop-up Serves Seasonal Small Plates for One-Night-Only La Novia, the pop-up kitchen known for its inventive Latin-Asian flavors,...

Governor Newsom Unveils Fast-Track Rebuilding Plan on Six-Month Anniversary of Palisades Fire

July 7, 2025

July 7, 2025

State Clears Over 5.5 Billion Pounds of Debris From Fires Ahead of Schedule Marking six months since the devastating Eaton...

Soprano Golda Zahra Returns to BroadStage For a One-Night-Only Musical Celebration

July 7, 2025

July 7, 2025

Hailed as “the rising star of the opera world” by The Hollywood Times, internationally acclaimed soprano Golda Zahra makes her much-anticipated return to BroadStage in...

Transform Your Life: The Free Virtual ONENESS GLOBAL SUMMIT Debuts July 18-20, 2025

July 7, 2025

July 7, 2025

The ONENESS GLOBAL SUMMIT, a transformative three-day virtual event, is coming, July 18-20, 2025, offering participants worldwide a free opportunity...

July 4 ICE Raid on WeHo Car Wash Ends in Deportation of Local Resident

July 7, 2025

July 7, 2025

Longtime West Hollywood Worker with Family’s Rent Money Taken in Raid A group of masked men and women, without official...

Bel Air and Holmby Hills Estates Lead May’s List of America’s Top 10 Home Sales

July 7, 2025

July 7, 2025

LA Claims Two of the Top Three Luxury Home Sales Last Month expensive residential transaction in the U.S. for May,...