On March 25, 2020, the City Council adopted an emergency ordinance (O-21177) temporarily freezing evictions due to the nonpayment of rent for residential and commercial tenants. I will discuss the requirements for residential tenants only. In order to be protected, YOU must take affirmative action immediately.
What the ordinance means in plain English: Your landlord cannot take action to evict you for not timely paying rent that was due on or after March 12, 2020, if you are able to show that you were unable to pay rent related to financial impacts of COVID-19.
Who Qualifies? Renters who are unable to pay rent due to financial impacts caused by COVID-19.
The ordinance defines "financial impact" as a substantial decrease in household income due to business closure, loss of hours, wages, layoffs, or hospitalization related to COVID-19. A financial impact is "related to" COVID-19 if it is caused by the pandemic itself or any governmental response. Yes, this includes ordered shutdowns of non-essential businesses such as restaurants, breweries, gyms, etc.
What is a substantial decrease in income? The City Manager is expected to define what a substantial decrease is, however, the City Manager does not have the authority to define the substantial loss of income to exceed a 30% reduction.
Is my Rent Forgiven? Unfortunately, no. You will have six months from the date of the ordinance is effective to repay your landlord or withdrawal of Governor Newsome's executive order on rent freeze, whichever is sooner.
How long is this ordinance in effect? Through May 31, 2020.
How to be Protected:
(1) Notify your landlord/property management by written notice (email, text, letter) on or before the date your rent is due that you are unable to pay because of COVID-19.
This step is extremely important. You need to take affirmative action to notify your landlord/property management by written notice ON OR BEFORE the date your rent is due. April rent will be due for most renters before April 3.
(2) Within one week from sending your notice, you need to provide documentation to your landlord/property manager that you are unable to pay rent because of COVID-19. Such documentation may include a lay off notice or other documentation supporting your loss of income. Perhaps, even your eligibility for unemployment benefits.
If you do not provide proof of financial impact, your landlord will be able to proceed with the eviction.
If you take these steps, the landlord cannot do any of the following:
charge or collect any late fees for rent,
send the statutory notice to begin the eviction process,
file/prosecute unlawful detainer against you.
Final Ordinance:
If you are a residential or commercial tenant concerned about eviction, please contact our office.