What is in SB3066 that is bad for Illinois Landlords?

What’s Wrong Here?

Obviously, there is quite a bit of activity going on today (5/22/20) regarding SB3066.  This law has it all – rent cancellation, government control of landlords, eviction moratorium, and eviction sealing.  This is going to HURT housing providers.  What if the State of Illinois passed a law allowing people to just take what they want from the 7-11 store because of Covid-19 hardship?  That’s what they are proposing here.  Government sponsored theft.

Let’s take a look at some of the key points:

  • Full moratorium on residential and commercial evictions for 60 days after the law is enacted.  Prohibition during the moratorium on filing any cases or the sheriff enforcing any evictions.
  • Invalidates any eviction notice issued during the moratorium.
  • Any eviction notice issued prior to the moratorium for which no case was filed will be invalid.
  • Any process service during the moratorium is invalid.
  • In any eviction proceeding that was pending or commenced prior to the moratorium, a landlord cannot make claims for rent or late fees that became due on or after March 9, 2020
  • Illinois Housing Development Authority will administer a program to repay some (but probably not all) landlords who can prove hardship and are willing to agree to the “strings attached” to getting repayment.
  • Sealing of all eviction records.

This law is like the tenant advocate Christmas list.  There is no differentiation between a tenant with a Covid-19 related hardship and a tenant who just doesn’t want to pay the rent.  It is a get out of rent “free” card.

Even worse, this law will really hurt landlords who need to serve a notice of intent not to renew under section 5-12-130(j).  So, if they serve on May 5 a notice that the tenant’s lease ends on July 31, 2020, then that notice is not good and a new one can’t be served until July 23, 2020 with a new termination date of September 30, 2020?  That is a travesty.

The law doesn’t clearly define when Covid-19 events end.  Instead, it bases things on when the employment rate gets back to normal (which might never happen) . The eviction cases that were underway will be disturbed costing landlords time and money refiling.  This is just an overreach.


About Richard Magnone

Co-founding member of Reda | Ciprian | Magnone, LLC, attorney at law and Illinois licensed lawyer since 1996.
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