Executive Order 2020-08D: The Governor’s Request for a 90-day Forbearance on Commercial Evictions and Foreclosures
On April 1, 2020, Ohio Governor Mike DeWine signed Executive Order 2020-08D in aid of small business tenants and commercial real estate borrowers impacted by the COVID-19 pandemic and the ensuing emergency orders. The Order is to remain in effect for 90 days from April 1, 2020, unless modified or rescinded by further order. A copy of the Order can be found here.
The Order requests that:
- Landlords suspend rent payments for small business commercial tenants, and provide for a moratorium on evictions for small business commercial tenants for a period of 90 days; and
- Lenders provide commercial real estate borrowers an opportunity for a forbearance of at least 90 days on any commercial real estate loan secured by property located in Ohio.
The Order expressly provides that it shall not be construed to (i) negate the obligation of a small business commercial tenant to pay rent, (ii) restrict a landlord from recovering rent at a future time, (iii) negate the obligations of a borrower in a commercial real estate loan or (iv) suspend any federal or state law.
As noted, the Order is requesting actions (and forbearances) by private parties; it does not contain any enforcement provisions or identify any consequences for a party’s failure to comply with the requests.
This client alert is intended for informational purposes only and is a non-exhaustive overview of Executive Order 2020-08D. It should not be relied upon as legal advice. Please consult with an SMDK attorney to provide you with advice specific to your situation.