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Landlord didn't want the rent, now wants it [No contract/agreement whatsoever].

Hi,  I rented a room in CA in my landlords house. No written official or unofficial contract/agreement or anything was signed between I and my landlord whatsoever. I would pay my rent every month in cash as we verbally had agreed.   At some point I gave my landlord heads up that I’ll be unable to pay the rent for upcoming month because of financial reasons so I’m going to move out. Landlord said it is ok, you’re like my son, I like you and you can stay another month without paying rent. I said thank you and stayed another month assuming I’m not going to pay rent, and started looking for a new place with lower rate.  After one month, on the day of moving out, she asked for the rent and now she wants to take me to the court.   Since nothing on a paper happened between us whatsoever, is she able to do anything at the court? I’m told the landlord will be even make trouble for herself for not making anything official to avoid paying tax or something. What can/should I do at this point if the landlord takes me to the court? Please advice.  
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Verbal contracts are legal. However, they are difficult to prove. Without a contract there is a very good chance the Court would rule in your favor……If landlord REQUIRED you to pay in “cash”, it’s against CA law. There are exceptions, but not in your situation based on your statement…..If she takes you to court, I would be surprised. She has more to lose, especially if the Court was informed that she required cash only and you explain the situation as told above.  Leave the tax portion out. That’s between landlord and IRS. Judges are smart and know why she’s demanding cash only.  Keep us posted. -----Disclaimer: Since I’ve been answering a lot of questions, I thought I would make the following statement. I’m not affiliated with EZlandlord Forms. I’m just here (not sure how long) to help those that have questions. Having 40+ yrs with Rental Property and done well, it’s my way of “Pay it Forward (check out the movie).” However, it is up to you to become familiar with your State/Local laws. I always like to know if the suggestions I offer are helpful. Feel free to comment anytime. Thanks in Advance.
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