California HOA Fine Cap: What AB 130 Changed

What AB 130 Did

AB 130 was signed June 30, 2025 and amended the Davis-Stirling Act's enforcement provisions. Law firm summaries describe the core rules as follows:

• Fines for most governing document violations are capped at the lesser of the amount in the association's fine schedule or $100 per violation (Civil Code section 5850).
• A board may exceed the cap only in limited circumstances, after making a written finding and adopting it at an open board meeting.
• Late fees and interest may not be charged on fines.
• No discipline may be imposed if the member cures the violation before the hearing.
• The cap applies to violations occurring on or after June 30, 2025; it does not undo fines imposed earlier.

Why This Matters for Boards

Many fine schedules include higher amounts, escalating fines, or daily fines that now conflict with the cap. Boards should confirm the exact statutory language with counsel, because several of these details come from secondary summaries.

Update Checklist

• Review your fine schedule and enforcement policy against the $100 cap.
• Remove any late fee or interest charges on fines.
• Confirm your hearing and cure procedures follow the statute.
• Adopt written findings procedures if the board ever intends to exceed the cap.

Our earlier 2025-2026 legislation overview covered proposed fine bills; AB 130 is the enacted result. See also HOA violation enforcement.

APM manages community associations throughout the Bay Area. See our California board and homeowner resources, the California communities we serve, or contact APM to talk through how these changes affect your association.

Legal disclaimer: This article is general information, not legal advice. Statutes and effective dates can change; confirm details with a licensed California attorney before acting.