Popular Articles

Follow Us


As Oregon’s Moratorium on Commercial Evictions Comes to an End, Tenants’ Grace Period for Payments Begins

Times are tough for businesses. Many have struggled to stay afloat as they’ve weathered the economic impacts of the pandemic. Those hit the hardest–retailers, restaurants, bars, hotels, and others in the food/beverage and hospitality industries–have faced difficult decisions about whether to close their doors permanently.

On April 1, 2020, Governor Kate Brown issued a 90-day moratorium on commercial evictions, expanding on an earlier executive order prohibiting residential evictions. On June 26, the Oregon Legislative Assembly enacted House Bill 4213 (HB 4213), which extended the temporary evictions moratorium until September 30. Under HB 4213, commercial landlords could not, and could not threaten to:

Pursue evictions against commercial tenants who are unable to pay rent due to the pandemic;
Terminate the lease due to nonpayment of rent; or
Impose late fees or other penalties on overdue rent payments.
When the moratorium ends on September 30, commercial tenants have a six-month grace period (ending March 31, 2021) to pay their outstanding rent balances that became due between April 1 and September 30, 2020.

The bill was a positive development for commercial tenants, providing much-needed relief that may have helped stave off permanent business closures. The Oregon Legislature provided no equivalent relief to the landlords who still had to pay their mortgages and operating costs, despite being forced to keep tenants who could not pay their rent.

Taking Advantage of the Grace Period

Beginning on October 1, landlords may send notices to commercial tenants stating certain information–including the balance the tenant owes and that the tenant must pay the balance within no less than 14 days unless the tenant notifies the landlord that it intends to take advantage of the six-month grace period for repayment. So, in order for a commercial tenant that receives such notice to utilize the grace period, it must give the landlord written notice of its intent to do so. If the tenant fails to give that notice, the landlord can recover 50% of one month’s rent from the tenant after the grace period.

What about Washington?

Commercial tenants in Washington were temporarily protected from evictions and lease terminations until August 1. Although Washington’s moratorium order did not include a grace period for repayment, the order does establish a defense to any lawsuit for tenants if a landlord fails to offer a reasonable repayment plan.

Looking Ahead

Tenants should not count on being able to get out of rent payments entirely. HB 4213 doesn’t forgive those payments; it simply offers temporary relief and prohibits late fees. Additionally, commercial tenants must resume making timely payments under the lease that become due after the emergency period ends on September 30.

If the end of Oregon’s six-month eviction moratorium impacts your business, you should be aware of other possible tenant protections. Certain commercial leases may still be subject to similar federal or local moratoriums. Additionally, you may be able to negotiate modified lease terms or a reasonable repayment plan. An attorney can help you explore all options.

Related Articles

Navigating the Complex World of Bankruptcy Law: A Comprehensive Guide

Bankruptcy law often conjures images of financial despair and loss. However, in reality, it serves as a lifeline, offering individuals and businesses a chance...

Legal Action of Wisconsin: A Comprehensive Guide

Well, butter my biscuit and call me a cheesehead! When you think of Wisconsin, the first things that might pop into your noggin are...

Your Step-by-Step Guide: How to File a Lawsuit and Navigate the Legal Waters

Ever felt like you're drowning in a sea of injustice, and the only lifeboat in sight is the law? Well, you're not alone. Many...

The Law of Immigration: Dive into the Journey of Coming to the United States

So, you're itching to set foot in the Land of the Free, huh? Don't worry, you're not alone. Every year, countless dreamers, just like...

Should I Use Fake or Artificial Flowers at My Wedding?

Flowers are an integral component of every wedding ceremony and reception. Flowers create the ideal ambience and atmosphere on your big day with elegance,...

How do I know which bankruptcy lawyer is right for me?

No two bankruptcy cases or lawyers for bankruptcy are ever the same, making choosing an attorney an intricate task. When searching for one, the...

A Guide to Notary Services

What is a notary public? Notaries public are individuals appointed by their province to serve in the capacity of official witnesses for document signing. Notaries...

Probate Lawyers: What They Do and How They Can Help You

What Is a Probate Lawyer? What Is a Probate Lawyer? An attorney for probate is an official state-licensed lawyer who assists executors and beneficiaries to...

8 Tips for Finding a UK Immigration Lawyer You Can Trust

8 Tips for Finding a UK Immigration Lawyer You Can Trust It is not always easy to find an experienced UK immigration lawyer. Here are...