The Eviction Moratorium Phaseout
By signing the 2021 Omnibus Housing Finance Bill, Governor Tim Walz voided all previous eviction moratorium rules outlined in the Executive Orders and began the next return phase to pre-pandemic eviction laws. Aptly titled “Eviction Moratorium Phaseout,” the new law relating to residential tenants provides a process of gradually removing restrictions on filing eviction actions, providing a notice to vacate, or terminating a lease.
New Rules: Notice of Intent to File an Eviction
Minnesota Executive Order 20-79 required a 7-day notice of intent to file an eviction prior to filing all eviction actions. The phaseout requires a 15-day notice of intent to file an eviction only for eviction actions based on nonpayment of rent.
For all nonpayment eviction actions, a written notice provided to tenants at least 15 days prior to filing an eviction is required until October 12, 2021. This notice must contain information including: “(1) the state eviction moratorium has ended and the tenant may soon be subject to an eviction action; (2) the total amount of rent past due; and (3) a tenant should visit Rent Help MN or call 211 to see if they are eligible for financial assistance.”
The phaseout does not reference the method by which the notice is to be served on the tenant. To avoid further delay or defenses, our advice is to send the notice by first-class mail and post it on the property to ensure the resident receives the notice.
Eviction actions based on seriously endangering the safety of others, significant damage to property, or violations of Minn. Stat. § 504B.171 (unlawful activity).
Currently, eviction actions can be filed for seriously endangering the safety of others, significant damage to property, and violations of Minnesota Statutes § 504B.171 which includes tenant covenants related to unlawful activity, including controlled substances, prostitution, unlawful use or possession of a firearm, and stolen property. Under the phaseout law, there is no longer a requirement to provide a notice of intent to evict prior to filing these evictions.
Eviction actions based on tenant’s refusal to apply for specified rent assistance.
Once the 15-day notice is sent via first-class mail and posted, you may now also proceed with an eviction action for nonpayment of rent if the tenant is eligible for rental assistance through a COVID-19 emergency rental assistance program but refuses to apply for the specified rent assistance.
Eviction actions based on material violations of the lease.
On or after June 30, 2021, you can provide notices of lease termination or nonrenewal of lease to tenants that have materially violated the lease other than nonpayment of rent. On or after July 14, 2021, you can proceed with eviction actions for material violations of the lease other than nonpayment of rent. You are not required to provide the 15-day notice of intent to file an eviction prior to filing these evictions.
Eviction actions based on nonpayment of rent and tenant is not eligible for rental assistance.
On or after August 13, 2021, leases can be terminated for tenants who are not eligible for COVID-19 rental assistance and are past due on rent. On or after September 12, 2021, you can proceed with eviction actions against tenants with outstanding rent balances who are ineligible for rental assistance. You are required to provide the 15-day notice of intent to file an eviction prior to filing these evictions.
Expiration of Moratorium and Phaseout Procedures
On or after October 12, 2021, all eviction actions will be allowed, other than matters involving nonpayment for tenants eligible for applicable rental assistance with a pending application.
For additional information regarding the phaseout legislation or specific questions related to your properties, contact Bernick Lifson.
Disclaimer: The information provided is based only on current Minnesota law. Conflicts may arise with existing federal rules and statutes.