New Eviction Requirements: Repayment Plans and Waiver of Fees
/By: Tyler O’Brien and Whitny Norton
Back in April, Governor Inslee signed SB 5160 into law. The bill extends a number of new protections to tenants who are behind on rent payments due to the COVID-19 Pandemic. It also provides landlords with the opportunity to be reimbursed for up to $15,000 of lost rent accrued during the pandemic.
I. Special Rules in Favor of Tenants Who Failed to Pay During the Pandemic:
If a tenant has failed to pay rent that became due between March 1, 2020 and December 30, 2021:
(1) a landlord is not allowed to charge or impose late fees or other charges against the tenant.
(2) a landlord may not report the tenant’s nonpayment or an unlawful detainer action brought because of the nonpayment.
A landlord who violates these new rules is liable for up to 2.5 times the amount of monthly rent of the property at issue, court costs, and attorney’s fees.
II. “Reasonable” Repayment Plans Required:
For collection of unpaid rent accrued between March 1, 2020 and, at least, December 2021 (it could be longer if the “public health emergency” is not over at that time), landlords are required to offer tenants a “reasonable schedule” for repayment.
This “reasonable schedule” cannot impose a monthly payment greater than one-third of the monthly rental charges during the period in which the debt was accrued.
A landlord cannot proceed with eviction unless the tenant fails to accept a reasonable payment plan or defaults on the payment plan.
III. The Landlord Mitigation Program:
The bill includes amendments to existing legislation which make it so that some landlords can recover up to $15,000 in defaulted rent accrued between March 1, 2020 and Dec 2021.
This reimbursement program is only available if the tenant was “low-income,” “limited resourced” or “experienced hardship” during the pandemic and voluntarily vacated or abandoned the tenancy.
A landlord who receives reimbursement through the program is barred from collecting remaining unpaid rent from the tenant.
IV. Other Noteworthy Rules
Landlords and prospective landlords cannot inquire about, consider, or require disclosure of a tenant’s or prospective tenant’s medical records unless necessary to evaluate a reasonable accommodation request.
The eviction moratorium created by Washington’s proclamation 20-19.6 ends on June 30, 2021.
Is mitigation the best avenue for me as a Landlord?
When can an action be brought against a tenant under this new law?
What fees am I still allowed to charge a tenant for?
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