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Archive for the ‘Eviction Mediation’ Category

Eviction Mediation in St. Louis Significantly Reduces Evictions

Jennifer Shack, November 23rd, 2020

As the eviction crisis looms, a number of courts around the country are implementing mediation programs. Data collected from a decade-old program in St. Louis County provide more evidence that these new programs are likely going to be effective. Mediation there was found to have a positive effect on outcomes and compliance, helping both landlords and tenants to maintain stability in income and housing. 

In a recent article, “Addressing the Housing Crisis Through Mediation” (Washington University Journal of Law and Policy, 2020), Karen Tokarz, et al, discuss how the program works and the benefits that have accrued to participants. The Washington University School of Law Civil Rights & Mediation Clinic developed the program in partnership with Metropolitan St. Louis Equal Housing and Opportunity Council more than a decade ago. In 2012, mediators affiliated with United States Arbitration & Mediation joined clinic students in providing free mediation services for landlord-tenant cases in which neither side has a lawyer. Originally opt-in, the program was made opt-out in 2018. 

The mediators for the program – lawyers and students alike – attend a training that includes an overview of housing law in St. Louis County, mediator ethics, mediation strategies and agreement drafting. The mediators must observe at least two mediations, co-mediate at least two mediations, and be shadowed for at least two mediations before they begin mediating independently. Mediations are conducted on the first court date for the case, which is generally the trial date.

The program uses two agreement forms that are completed as a part of each mediation agreement. The first, the conditional continuance, lays out the settlement terms. This document continues the case while the parties comply with the terms and notes that if the terms are satisfied, the case will be dismissed. It also notes that if a party breaches the terms of the agreement, the other party may file a consent judgment. The consent judgment is the second form that is completed during the mediation.  It typically grants possession and the full rent owed to the landlord. Should the case come back before the judge to sign the consent judgment, the judge uses both documents to determine whether to do so. The judge may decline to sign if, for example, the landlord has not made repairs agreed to in the conditional continuance. 

The program has been successful. In 2018, 71% of mediated cases resulted in a settlement. The terms of more than half of these agreements were completed, resulting in a dismissal. One-third of agreements resulted in a consent judgment for eviction against the tenant and 25% resulted in the sheriff executing the judgment through forcible removal of the tenant. Cases that went to trial, on the other hand, were significantly more likely to end in eviction. Consent judgments were entered against tenants in 92% of these cases and resulted in forcible removal in 40%. The authors extrapolate from that data that 279 families avoided eviction in 2018 by settling in mediation and completing the terms of their agreement rather than going to trial. It must be noted, however, that the two groups of cases – those that mediated and those that did not – are not similar. Mediated cases, as mentioned above, were limited to those in which neither side had an attorney. Those cases that went to trial included those in which at least one party (generally the landlord) had an attorney. 

The authors note that the impact of the eviction mediation program is limited due to its focus on cases in which neither party is represented and the day-of-trial mediation format. Further, growth is difficult due to the limited number of mediators available. They point to four directions the program can take to widen its impact. The first direction is to offer mediation prior to the first court date, or even before the eviction is filed. This would require greater outreach to landlords, tenants and government agencies to ensure that landlords are on board, tenants know about the program and agencies can urge its use. The second direction is to fund the program so that it can be sustained at a broader scale. Third, the program could be expanded to Municipal Court, where housing and building code enforcements are handled. Landlords and tenants are often unrepresented in this court and mediation in this context could lead to housing improvements and stability. The fourth direction would be to adopt online dispute resolution, allowing mediations to occur during the pandemic.  

The St. Louis County eviction mediation program is one of many recent programs that have been implemented around the country. The data indicating its effectiveness adds to the increasing evidence that such programs are successful at reducing evictions, thus providing stability to landlords, tenants and communities. 

Ohio Launches Mortgage Modification Mediation Program

Nicole Wilmet, October 30th, 2020

At the start of October, the United States Bankruptcy Court for the Southern District of Ohio adopted the Mortgage Modification Mediation Program (“the MMM Program”) for all bankruptcy cases. The MMM Program is optional but is available for debtors and creditors to use when a debtor’s property is at risk of foreclosure or other adverse action. The goal of the program is to facilitate communication and exchange of information between the parties with the hope that they will be able to create a beneficial agreement. 

The debtor must request participation in the MMM Program and if ordered by the court, then deadlines are set for both parties to provide documents, information, and reports through the program’s online portal. The program uses the Default Mitigation Management LLC (“DMM”) DMMPortal which specializes in loan modifications and online loss mitigation services. Upon the order directing mediation, the parties will have 150 days to work with a facilitator and attempt to reach an agreement. The MMM Program’s website provides extensive information on the program’s procedures, the mandatory forms, and general timeline for the program. The website also features an application for facilitators as well as a registry of certified program facilitators. To be eligible as a facilitator for the program, an applicant must be an Ohio attorney who has been admitted to practice for at least five years and has received at least eight hours of training specific to mortgage modification mediation. 

Indiana Supreme Court Launches Residential Eviction Settlement Program

Nicole Wilmet, September 24th, 2020

As I reported last month, several states across the country are in the midst of trying to develop solutions to address the anticipated increase in evictions due to COVID-19. In addition to state preparations, earlier this month, the Center for Disease Control and Prevention (“CDC”) issued an Order to temporarily halt residential evictions in an effort to prevent the further spread of COVID-19. This order went into effect September 4, 2020 and will remain in effect through December 31, 2020.

In an effort to provide clarity and guidance to Indiana attorneys, landlords, tenants and courts in the wake of COVID-19, the Indiana Supreme Court launched a Landlord/Tenant Task Force in July. The Task Force has a dedicated Housing & Eviction During COVID-19 webpage on the Court’s website which includes a report from the Task Force, resources, and the latest updates about COVID-19 and eviction. When addressing the CDC’s recent order, the Task Force clarified that the CDC’s Order does not totally preclude evictions through December 31, 2020 in Indiana. To address confusion arising from the order, the Task Force has compiled an eviction questionnaire that parties can review to assess whether their case may be eligible for eviction. Finally, the Task Force has also developed a list of frequently asked questions, as well as a checklist for courts to use during court hearings if needed.

In the state’s continued effort to find solutions for parties, last month, the Court also launched a new Landlord and Tenant Settlement Conference Program to address the current rise in eviction and foreclosure cases in the state. The program utilizes the Fast-Track Facilitation platform and is available to eligible parties free of charge. Parties interested in participating in the program will use Fast-Track Facilitation to create and submit a new facilitation request. After a request is submitted, the platform will send an email to both the requesting party and the non-requesting party to confirm their interest in participating in the program. Should the non-requesting party fail to reply, the program staff will then contact the non-requesting party to confirm their willingness to participate. Once all parties have agreed, the parties will be assigned a facilitator to see if a settlement can be reached for their dispute.

Individuals interested in learning more about the program may visit the program’s website or contact ltsettlementconference@courts.in.gov.

Nevada Passes Legislation to Address the Upcoming Wave of Expected Evictions

Nicole Wilmet, August 26th, 2020

In response to COVID-19, Nevada’s Governor Steve Sisolak issued a Declaration of Emergency in March to temporarily halt residential evictions and foreclosures across the state. This initial moratorium was set to expire on June 30, 2020. Before the end of June, Governor Sisolak issued a follow-up Declaration of Emergency to extend the moratorium on evictions through the end of August. This month, the Nevada Legislature passed a bill to provide landlords and tenants facing eviction with options once the state’s eviction moratorium is lifted on September 1, 2020.

It’s reported that in 2019, Nevada courts processed more than 45,000 eviction cases. Recently, news outlets are reporting that after September 1st the number of households facing eviction could vary between 135,000-270,000. Under the recently passed bill, if a court establishes a rule to utilize alternative dispute resolution (“ADR”) to address evictions, then the eviction proceedings may be stayed for 30 days to allow parties the opportunity to participate in ADR. Although the bill doesn’t specify the type of ADR to be used, when presenting the proposed legislation to lawmakers, Nevada Supreme Court Justice James W. Hardesty noted that the program would be modeled after the state’s foreclosure mediation program. Moreover, during his presentation Judge Hardesty also told legislatures that, “this is a short bill for a big problem.” Governor Sisolak signed the bill into law on August 7, 2020.

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