Efforts to cancel rent payments are hotly discussed at the moment with several drafted bills circulating at both the federal and state levels. However, don’t expect these bills to move forward. An Allen Matkins attorney says that they do not pass legal muster.

Each drafted bill takes a different approach to rent cancelation. Some, provide funding to cover rent payments for qualifying renters. In those versions, the government would make a partial or full payment directly to the landlord. Other versions would cancel rent completely without compensation to landlords. According to Tony Natsis, chair of Allen Matkins’ Global Real Estate Group, these more extreme versions could be considered an illegal reclamation of property by the government. “This is legislating owners out of existence. If you forgive rent totally, I think that it will come under attack under a number of legal theories. I don’t think it is supportable,” Natsis tells GlobeSt.com.

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Kelsi Maree Borland

Kelsi Maree Borland is a freelance journalist and magazine writer based in Los Angeles, California. For more than 5 years, she has extensively reported on the commercial real estate industry, covering major deals across all commercial asset classes, investment strategy and capital markets trends, market commentary, economic trends and new technologies disrupting and revolutionizing the industry. Her work appears daily on GlobeSt.com and regularly in Real Estate Forum Magazine. As a magazine writer, she covers lifestyle and travel trends. Her work has appeared in Angeleno, Los Angeles Magazine, Travel and Leisure and more.

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