California · Late fees

California late fee law

California law sets no dollar or percentage cap on late fees and no required grace period, so your lease sets the terms.

The rule

Grace period
None required
Cap
No set cap
Grace period
No statutory grace period.
Limits on the fee
No numeric cap. A late fee is a liquidated-damages clause in a residential lease and is void unless actual damages would be impracticable or extremely difficult to fix, so courts require a reasonable estimate of the landlord’s costs.

Law: Cal. Civ. Code § 1671(c)–(d)

Last reviewed September 30, 2026

Not legal advice. Statutes change; check the linked section.