What You Need to Know About Evictions During COVID-19
With COVID still active around the country, many landlords are facing a crucial moment as eviction moratoriums extend with many tenants many months behind on paying rent. Now more than ever, you need to stay informed about evictions and what you can do about them during COVID.
Illinois’ Temporary Orders for Eviction Cases
The Illinois Supreme Court announced a new temporary order regarding eviction cases during the pandemic.
Temporary Eviction Orders
The new order gives authorization to every Illinois judicial court to establish ‘early resolution programs’ to help give an alternative dispute resolution in eviction cases. The courts will decide whether they make these programs voluntary or to require mandatory participation.
This was in response to the impending end of the eviction moratorium which was expected to release a surge of potential evictions on April 1st 2021 for the millions of Americans who have fallen behind on rent due to the pandemic.
What Can You Do If a Tenant Stops Paying Rent During the Moratorium?
With many landlords and property investors losing money due to tenants becoming increasingly late on rent, they’re left wondering what they can do with their hands tied by the law.
The eviction moratorium was extended by the CDC until June 30, 2021 which means tenants cannot be evicted for nonpayment (though they can be evicted for other reasons). Tenants must provide a written declaration to their landlord proving that they have sought rental assistance due to lower hours, cut wages, medical expenses, or loss of job.
However, recently litigation has been brought forward by property owners across the country, who claim that the federal government lacked the legal authority to stop evictions.
U.S. District Judge J. Campbell Barker of the Eastern District of Texas, along with two other district judges in Northern District of Ohio and Western District of Tennessee, ruled in favor of the property owners, stating that the moratorium set forth by the CDC & federal government was unlawful.
In his ruling, Barker mentioned that the federal government had never exercised its power to enforce residential eviction moratoriums in past national crisis, such as the Spanish Flu or the Great Depression, until this year. The Justice Department has appealed the judge’s ruling and is currently awaiting the ruling of the appellate court.
Still, President Biden has further extended the eviction moratorium through June 30th 2021 so stimulus aid can be distributed, allowing homeowners and renters to catch up on past due payments to avoid eviction.
Once the moratorium subsides, tenants will again have to go through the proper legal channels to take back control of the unit, but you do have the choice to allow the renter to pay back the owed rent and some laws will allow renters to avoid eviction by doing so.
Try to Work Out a Repayment Plan—The National Apartment Association recommends that you attempt to work out a repayment plan with tenants who fall behind to keep them in place and avoid any legal hassles of evicting during a pandemic.
Do Not Lock Your Tenants Out or Shut Off Utilities—The National Apartment Association (NAA) says that the only way to regain possession of a unit is through the courts and eviction process. Do not put yourself into a difficult legal position by deciding to take the law into your own hands. The consequences will be dire for any landlord who does this.
As the clock has been set back for lifting the moratorium, landlords need to know that they have many difficult decisions to make and being informed of your options is key to making the correct choices for you and your tenants.
To learn more about the eviction moratoriums, schedule an appointment with a residential real estate attorney at Lee Scott Perres, P.C.