COVID-19 - Reinforcement of the temporary suspension of evictions
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The main measures relating to evictions in the context of the Covid-19 Crisis are contained in Royal Decree-Law 11/2020 of 31 March, as successively amended (most recently by Royal Decree-Law 16/2021 of 3 August, which approved a term extension).
The main measures are:
Until 31 October 2021, vulnerable tenants may request the extraordinary suspension of any eviction in any verbal trials that deal with claims of rent or other amounts owed by the tenant or the expiration of the term of lease agreements signed under Spanish Law on Urban Leases 24/1994 and that seek to recover possession of the property. The tenant may request the suspension, whether or not a date has been set for the effective eviction.
In order to request the suspension, the tenant must prove to be in one of the situations of economic vulnerability mentioned in RDL 11/2020 (which do not vary and you can see in our newsletter on RDL 11/2020 accessible through this link). The court clerk (letrado de la administración de justicia) will send this documentation to the plaintiff who, within a maximum period of 10 days, may accredit before the court, by the same means, that he is also in the situation of vulnerability or at risk of being in such situation if the measure of suspension of the eviction is adopted.
Following the above, the court clerk will forward the file to social services requesting from these services a report assessing the vulnerability of the tenant and, where appropriate, of the landlord, and identifying the measures to be implemented. The social services must issue this report within 10 days.
The judge, taking into account all the documentation filed, including the social services' report, will pass judgement suspending the eviction if the tenant's vulnerable situation is deemed to have been proved and it is considered that the vulnerability of the landlord, where appropriate, should not prevail. If the vulnerability is not accredited by the tenant, or the vulnerability of the landlord should prevail, the judge will pass judgement ordering the continuation of the the proceedings. In any case, the judgment setting the suspension will expressly state that, as from 9 August 2021, the calculation of the days referred to in Article 440.3 of the Spanish Law on Civil Procedure will be automatically resumed or a date will be set for the hearing and, if applicable, the effective eviction.
During the suspension, the relevant public bodies must implement the measures indicated in the social services' report or any others deemed appropriate to satisfy the housing needs of the person in situation of vulnerability. Once these measures have been applied, the relevant public body must immediately notify the court and, within three days, the court clerk will issue an order lifting suspension.
As mentioned, there is a scenario for eviction suspension which only applies if the relevant residential unit is owned by a legal person or an individual holding more than 10 residential units.
If the owner is under the above definition, the judge can suspend the eviction until 31 October 2021 in criminal proceedings involving eviction from residential units of persons living there without title and also in verbal trials dealing with any of the following claims:
The judge, before deciding on whether or not the eviction should be suspended, will carefully consider the case having into account the following circumstances, among others:
To apply for eviction suspension in these scenarios, it is not enough for the person who lives in the property to prove that he or she is in one of the situations of economic vulnerability of RDL 11/2020, but it is also necessary for at least one inhabitant to be a dependent person, this being understood to mean people who for reasons derived from their age, illness or disability, and linked to the lack or loss of physical, mental, intellectual or sensory autonomy, require the attention of one or more other persons or significant assistance to carry out basic activities of daily living or, in the case of persons with intellectual disability or mental illness, other support for their personal autonomy. All these circumstances must be accredited to the court and the court clerk who will forward the file to social services so that they can issue a report within 15 days.
The judge, if the situation of the inhabitants has been duly accredited and all other circumstances have been assessed, will pass judgement suspending the eviction. During the suspension, the relevant public bodies must implement the measures indicated in the social services' report or any others deemed appropriate. Once these measures have been applied, the relevant public body must immediately notify the court and, within three days, the court clerk will issue an order lifting the suspension.
On the other hand, if the vulnerability and dependence of the inhabitants are not considered duly proved, or some of the exceptional situations listed below occur, the judge will pass judgement ordering the continuation of the proceedings. The exceptional situations that determine the continuation of the proceedings are:
Landlords affected by the general suspension (which affects any type of landlord) will have the right to request compensation when the relevant administration, within three months of the date on which the social services report is issued, has not taken the measures indicated in that report.
The compensation will be the average residential rental income in the area in which the property is located, determined from the relevant reference indexes or other objective references that are representative of the rental market, plus the current expenses of the property that the landlord can prove that it has assumed, for the period between the judgement providing for the suspension and until 31 October 2021. If this value is higher than the rent received by the landlord, the compensation will consist of the rent not received during the same period, plus current expenses.
This request for compensation may be made up to 30 November 2021.
Those affected by the suspension scenario which refers to legal persons or individuals holding more than 10 residential units will be entitled to the same compensation mentioned above but only if they can prove that the suspension of the eviction has caused them economic damage because the relevant property was in the market when the entry took place.
For more details on this compensation see our newsletter on Royal Decree 401/2021 here.
The information provided is not intended to be a comprehensive review of all developments in the law and practice, or to cover all aspects of those referred to.
Readers should take legal advice before applying it to specific issues or transactions.