Maximum number of tenants per house/unit?

[Andrew Wong]

So I dug this up: 1997 Uniform Housing Code Section 503(b), Health and Safety Code Section 17958.1

It states something along the lines of...

Every dwelling unit must have at least one room which must have at least 120 feet of floor area. Other habitable rooms must have an area of not less than 70 square feet. The code states that when more than two person occupy a room used for sleeping purposes, the square area must be increase by 50 square feet for each additional occupant.

1 person 70 square feet 

2 people 120 square feet

3 people 170 square feet

Is this a law? Are there ramifications if I decide to cram 20 people in a one bedroom? Confused!