EVICTIONS AND LOCKDOWN

Evictions and Lockdown

During these uncertain times, one of the questions that has been asked is – Will evictions be allowed?

The Minister of Human Settlements, Water and Sanitation, Lindiwe Sisulu has given her assurance that no residents will be evicted during this time. Government has banned any evictions during lockdown and sheriff services are not allowed to serve any documents relating to evictions.

But in this time there has nevertheless been a rise of approximately 30% in the amount of letters of demand that has been sent out. It is clear that landlords are still demanding rent and are preparing for cancellation of leases and possible evictions post-lockdown.

However, when lockdown is ended, or gradually ended, the uncertainty still remains. Some tenants may be able to return to work, while others will have to endure a while longer. The major issue is that not all tenants are able to afford the full or any part of the rent, since they are possibly not earning an income or is receiving a reduced salary. This must however be weighed against the landlord’s dependency on the income that they receive from the rent.

It is expected that the courts will require the landlords and tenants to show that they have applied the principles of Ubuntu when eviction matters are being enrolled.  It will therefore have to be showed that the parties tried to accommodate each other. This could mean that landlords will have to show that they gave the tenants opportunity to pay a reduced rent or to make up for the missed rent at a later stage, while the tenants would likely have to show that they made every possible attempt to pay rent fully, or at least in part. It is likely that every matter will be considered on their own merits and that a fixed set of rules will not be applied.

It is advised that landlords and tenants make all attempts to enter into a very specific agreement, preferably in writing,  regarding the payment of rent and/or deferred payment during this time, in order to ensure that there are no uncertainties regarding the arrangements during and/or after the lockdown. This agreement can make provision for the use of a deposit in lieu of rent.

It is expected that May will show a clearer picture of the effect of the lockdown, with specific reference to the number of employees that will lose employment and the other adverse effects that will surely follow.

We encourage both tenants and landlords to engage with each other in order to attempt to reach an agreement that suits both parties and to remove the uncertainty of each party’s responsibilities during and after the lockdown.

If you require assistance with drafting such an agreement please contact us for assistance.