"Guess that means don't include it in California return?" - Correct.
"Do I still have a legal obligation to file in those non resident states?" - As always in the world of tax, the answer is "it depends".
Please look at the California 540NR nonresident and part-year booklet. Start on page 3 and read from the heading "Do I have to File?".
You probably would have to file because of your gross income (step 1), but might not have to file because of your CA AGI (step 2). Go through it, and if you decide not to file the state return, write down your logic and stick it in your tax file in case the state decides to write and ask you where your return is.
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