CDC Issues Eviction Moratorium

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Tireseas

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So the CDC last night issued an eviction moratorium designed to bridge the gap between the CARES Act and December 31, 2020, notably past the end of the election. This move appears to be prompted by the (constitutionally dubious) executive orders issued by the President directing DHS, the CDC, and other agencies to explore eviction moratoriums as a possible means of curbing the spread of COVID-19. The rule is effective immediately.

The moratorium is limited to non-payments of rent by individuals making $99,000 or less or families making $198,000 or less. It expressly does not cover any other potential grounds for eviction (failure to adhere to contractual terms, damage to property, danger to others, etc.) nor does it waive rental payments (it explicitly requires covered individuals to use their "best efforts to make timely partial payments that are as close to the full payment as the individual’s circumstances may permit"). It also does not bar foreclosures.

Some context: I am an attorney and my main specialty is in Landlord-Tenant law (though my practice is rather expansive overall). I am generally in support of eviction and foreclosure moratoriums, though my preference is for renters and owners to be bailed out completely rather than just preventing the primary means of enforcement, as I'm deeply worried about a foreclosure crisis that no one appears to be trying to stop. Despite a substantial chunk of my business being effectively shut down due to various emergency orders, I've managed to simply shift to other work (a not unsubstantial amount of which is advising owners and managers on what each moratorium covers and what their obligations are). I am unsure if the CDC has the authority to make such a sweeping order (constitutionally and within the Administrative Procedures Act) and I suspect there will be lawsuits in a relatively short amount of time to see. Washington, where I practice, isn't covered as the existing moratorium is substantially stricter than the CDC's moratorium, but many other jurisdictions are now effectively covered.

In my opinion, it's a half measure designed to cover-up the lack of a deal between the two houses of Congress and the White House. It has clear holes that can be exploited ("contractual obligation" is not well defined and could theoretically cover late fees not covered by the moratorium) and likely will create a bigger crisis down the road if funds to bail out renters and owners are not authorized to avoid a foreclosure crisis. The lack of federal action on the no-longer-impending-but-now-here housing crisis is a serious problem that needs more attention overall.

What are your thoughts on the CDC (or other) eviction moratorium? Are you covered? Will this help you or are you going to be harmed by its implementation?

Note: for those needing a declaration, I've attached a PDF with the language that can be quickly filled out if you or someone you know needs it.

Disclaimer: The provision of this form and the content of this post is solely as a courtesy and does not constitute legal advise nor create an attorney-client relationship. You should consult an attorney in the event you are or may be subject to legal proceedings such as an eviction or other legal action against you.
 

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tippy2k2

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This just seems like more POLITICS 101; throw a band-aid on the problem and kick it down the road.

It's certainly not a bad thing in the immediate time but now what happens January 1st? Another band-aid and down the road the can goes or will something actually be done to try to fix the problem? Or in this case, are they hoping if they keep kicking the can away, the problem will fix itself as Corona (hopefully) eventually gets dealt with?
 

lil devils x

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I don't even really see it as a bandaid. Does this actually change anything? People can still be evicted and homes are still being foreclosed on and both the tenants and the landlords are still responsible for their payments owed. I see this as a horse and pony show without teeth that does absolutely NOTHING to help the problem,.

The ONLy thing that will help slow this down right now is if the government GIVES people a bunch of money they do not have to pay back to pay past missed payments, overdue bills and then FORCE lenders and landlords to waive all late fees while simultaneously giving people money they do not have to pay back to pay to pay their current bills via unemployment underemployment and preventing credit agencies from holding any overdue/ missed payments on their credit records because peoples credit is being slaughtered in this as well. That is just to slow down the tidal wave coming because there is a whole lot more behind the first one that is coming behind it as well that we ALSO have to deal with on top of this mess.
 

lil devils x

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This just seems like more POLITICS 101; throw a band-aid on the problem and kick it down the road.

It's certainly not a bad thing in the immediate time but now what happens January 1st? Another band-aid and down the road the can goes or will something actually be done to try to fix the problem? Or in this case, are they hoping if they keep kicking the can away, the problem will fix itself as Corona (hopefully) eventually gets dealt with?
They aren't even giving it a Bandaid or kicking the can. This is toothless and completely ineffective at stopping or slowing the coming tidal wave of unemployment+ housing+ Credit disaster.
 

Iron

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If I send you a dollar through paypal can we have a lawyer-client relationship or does that only happen in Gilligan's TV shows?
 

Shadyside

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Donald is being smart with these orders. The average person will see this as the president helping them out when sleepy Joe and the Democrats have been dropping the ball in congress.
 

Trunkage

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Donald is being smart with these orders. The average person will see this as the president helping them out when sleepy Joe and the Democrats have been dropping the ball in congress.
Yep, very good timing as eviction only effects people after the election
 

CM156

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EDIT: Double posed for some reason. Sorry about that.
 

Dreiko

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This is better than nothing but at the same time they're putting a bandaid on a gunshot hole. Unless the moratorium is in place until the economy is where it was before the couf hit, you will still end up with a ton of evicted people.

Also, this doesn't do anything to help the landlords who rely on their rent fees they collect to pay their mortgages and what have you so now a lot of banks won't be getting the money they need, so this is just kicking the ball up some and someone else will end up getting screwed anyways.
 
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09philj

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Buy-to-let mortgages were always a nakedly terrible idea and the banks should have to eat the majority of the humble pie for selling such an irresponsible product in the first place, followed by the landlords who bought them, in order to protect the renters who just wanted somewhere to live. The eviction ban should probably be extended to cover other reasons beyond nonpayment, but in that case the government should also be obliged to cover some of the legal costs of removing problem tenants.
 
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Trunkage

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This is better than nothing but at the same time they're putting a bandaid on a gunshot hole. Unless the moratorium is in place until the economy is where it was before the couf hit, you will still end up with a ton of evicted people.

Also, this doesn't do anything to help the landlords who rely on their rent fees they collect to pay their mortgages and what have you so now a lot of banks won't be getting the money they need, so this is just kicking the ball up some and someone else will end up getting screwed anyways.
It's pretty much not fair on anybody
 

lil devils x

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Donald is being smart with these orders. The average person will see this as the president helping them out when sleepy Joe and the Democrats have been dropping the ball in congress.
Yep, very good timing as eviction only effects people after the election
Unless they are one of the people actually evicted or at risk of eviction because this doesn't actually stop it from happening right now or before November. This only makes those who are not actually being evicted think that Trump did something when he really didn't. People are still being evicted with this in place they just go around it. People were still being evicted around here in Texas under the previous eviction rules as well, and this one doesn't even have as much teeth as that one did.
This is better than nothing but at the same time they're putting a bandaid on a gunshot hole. Unless the moratorium is in place until the economy is where it was before the couf hit, you will still end up with a ton of evicted people.

Also, this doesn't do anything to help the landlords who rely on their rent fees they collect to pay their mortgages and what have you so now a lot of banks won't be getting the money they need, so this is just kicking the ball up some and someone else will end up getting screwed anyways.
This really isn't better than nothing and people will be evicted just as they were before without this in place, as this has no real power or authority to stop it at all really. How is what they did going to actually stop anyone from being evicted before November, if they want to evict you they will do it regardless, they just write in another excuse and done?
 

Trunkage

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Unless they are one of the people actually evicted or at risk of eviction because this doesn't actually stop it from happening right now or before November. This only makes those who are not actually being evicted think that Trump did something when he really didn't. People are still being evicted with this in place they just go around it. People were still being evicted around here in Texas under the previous eviction rules as well, and this one doesn't even have as much teeth as that one did.
What are people doing right now for housing in texas?
 
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lil devils x

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What are people doing right now for housing in texas?
SupahEwok pretty much nailed it. Many actually just commit suicide. Most are living in their cars, vans, I have family living in a borrowed RV. Some are staying with other families, even not related to them and others are in whatever they can find. Even when the courts were not doing evictions, the landlords were still taking it upon themselves to use their own private security and go throw all the peoples stuff out by the road and change the locks anyways. The landlords simply do not care and are not waiting.

Overnight parking for the homeless to try and find places to park their vehicles sleep has been getting more difficult and overcrowded. Some cities are willing to address this, but others just make it harder on the homeless trying to make them leave to elsewhere instead. Texas has long been known to be hard on the homeless regardless where most cities refuse to offer any help at all as a measure to force the homeless to leave to try and find assistance elsewhere. Many just still practice their long tradition of buying them a bus ticket to become someone else's problem as they always have.

 

tstorm823

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Too many. The number has only gone up with time, and at this rate, soon there will be more lawyers here than people.
I thought you couldn't have too many lawyers for the lawyers to be happy.

It's the old story: a small town had one lawyer and just enough work for him to get by; a second lawyer moved to town and they both got rich.
 
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