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This Agreement is a document that can be used by landlords to create a payment plan to assist tenants who are currently unable to pay their full rent as previously agreed upon due to the coronavirus pandemic. By using this document, the new rental agreement is written down, avoiding misunderstandings and future disputes over the amount of rent.
As a result of the current COVID-19/Coronavirus pandemic, many people have been laid off, dismissed or have found themselves in a less stable work situation. The effects of this sudden increase in unemployment have spilled over into the economy and are manifested in the inability of tenants to pay their rent due to declining incomes. A landlord can use this letter to make an agreement with tenants to change, suspend or defer rent payments so that it is more manageable and realistic in the economic environment we face today.
This letter is intended for a landlord who establishes a payment plan for his tenant. For tenants who wish to request an extension of rent payment due to Coronavirus, the Request for Extension of Rent Payment (COVID-19/Coronavirus) is more appropriate.
How to use this document?
This letter contains all the necessary information for a landlord to inform their tenant of a temporary rent payment plan. The letter clearly explains how the rent payment plan will work and how the deferred rent, if any, will be reimbursed by the tenant once regular rent payments resume. The letter indicates whether the rent payment will be reduced, deferred for later payment or suspended. The letter also indicates the start and, if known, end dates of the plan. It also explains how, if at all, the deferred rent will be paid, whether by a single payment or by multiple payments, and when the refund is due. The landlord may also specify whether the tenant will have to pay interest on the amount of the deferred rent payment.
Once this letter is completed with all the necessary information, the landlord must print and sign it and send it to the tenant by certified mail. By sending the letter by certified mail, the landlord will have documentation of the date the letter was sent and its subsequent receipt. The tenant must sign the letter if he or she agrees to the terms, make a copy for his or her own records and return the original to the landlord. By retaining the letter, both the landlord and the tenant will be able to refer to the payment plan and how it is supposed to work in the event of a future dispute.
There are no specific laws applicable to a landlord who chooses to discount, defer or suspend the payment of rent to his tenant. However, there might be specific conditions in the original rental agreement signed by the tenant that regulate and inform such a request.
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Other names for the document: Rent Payment Letter (Covid-19/Coronavirus), Letter of Change in Rent Payment (Covid-19/Coronavirus), Temporary Rent Deferral Letter (Covid-19/Coronavirus), Letter of Temporary Suspension of Rent (Covid-19/Coronavirus), Reduced Rent Letter (Covid-19/Coronavirus)
Country: Canada (English)