Brief

Councilmember Adrin Nazarian introduced a resolution in support of AB 1406 (authored by State Assemblymember Ward), which would increase the cap on liquidated damages in new condominium development agreements. The resolution positions Los Angeles in favor of this state legislation as part of the city's coordinated advocacy on housing and development policy. The measure remains pending before the Rules, Elections and Intergovernmental Relations Committee; it was referred there on March 10, 2026, and consideration was waived on May 12, 2026.

Full summary

AB 1406 is a state bill authored by Assemblymember Ward that proposes to raise the cap on liquidated damages imposed on new condominium developments. Liquidated damages are penalties that developers must pay if they fail to meet contractual obligations—such as completing construction on time or meeting specific project milestones. The bill aims to adjust the financial incentives and constraints governing condo development under state law. Councilmember Adrin Nazarian introduced a Los Angeles City Council resolution on March 10, 2026, with Katy Yaroslavsky as second, to formally support AB 1406. This resolution is part of the city's 2025-2026 legislative program, which identifies state and federal bills that align with Los Angeles' policy priorities. By adopting such resolutions, the City Council signals its backing for state legislation and may coordinate advocacy efforts with the state. The resolution was referred to the Rules, Elections and Intergovernmental Relations Committee on the date of introduction. On May 12, 2026, the committee waived consideration of the item, a procedural step that typically means the resolution was either approved informally or deferred without further discussion at that stage. The file remains open and will expire on March 10, 2028, unless extended or finally acted upon. As of the last recorded activity, the resolution has not been brought before the full City Council for a final vote.

Activity (2)

• 2026-05-12 Rules, Elections and Intergovernmental Relations Committee waived consideration of item .
• 2026-03-10 Resolution referred to Rules, Elections and Intergovernmental Relations Committee.

Documents (1)

• 2026-03-10 Resolution · other