Cheesecake Factory tells landlords it won't pay rent after april 1st

MiHighGator

Member
Nov 8, 2018
706
Eviction is a long and complex process and how many judges do you think will be willing to listen to mass eviction cases in the middle of a pandemic?
There was sarcasm implied in my post because it's unrealistic to think all these mortgages will get paid for by evicting tenants. Either everyone is going to need to get mortgage payment deferrals, we get some kind of mortgage/rent pause, or there are going to be a lot of foreclosures happening.
 
OP
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Krejlooc

Krejlooc

Indie Game Dev
Verified
Oct 27, 2017
21,725
There was sarcasm implied in my post because it's unrealistic to think all these mortgages will get paid for by evicting tenants. Either everyone is going to need to get mortgage payment deferrals, we get some kind of mortgage/rent pause, or there are going to be a lot of foreclosures happening.
poes law these days, man. My range for sarcasm is all thrown out of whack lately due to our country being run by Cobra Commander.
 

Zyae

Member
Mar 17, 2020
71
That works on things owned by the government. Less so on things privately held.
This could be done during a national emergency.


Unless they can get lenders to offer deferment and put a freeze on local tax collection, I don't see that happening. All of these counties have only put off evictions, not rent collection.
'
New York State suspended Mortgage payments entirely.
 

LewieP

Banned
Oct 26, 2017
10,841
If the landlords haven't saved up several months of living expenses, that seems extremely reckless to me.
 

Darknight

Member
Oct 25, 2017
8,030
Freeze rent, freeze mortgages.
Rent and mortgages tend to be tied to contracts with explicit terms and dates. This seems like a legal nightmare to implement even though it needs to be done. Even if you keep the end dates the same, all that means is people are going to be behind since they're going to owe for the months that were on freeze. Does anyone know how this would legally work?
 
Oct 27, 2017
8,084
We don't need it guys, my apartment complex left us a note they were removing the 2.00 credit card processing fee this month! We're saved!
Fuckers at my place want $58 to do a credit card charge for rent. Before learning that I was like, "Yeah, rewards for paying my rent!" After that I was like, "Fuck off and continue putting forth the expense and effort of depositing a check."
All rent and mortgages should be suspended for the next month or two. I don't know how that would work and don't care.
 

GamerJM

Member
Nov 8, 2017
3,717
Republicans: "We love our small businesses"

Small businesses: "We can't pay rent"
This is why Republicans think they're doing small businesses a favor by wanting to end the shutdown. They view mass death as inevitable and think UBI/rent freeze are completely out of the question because the free market is sacred and cannot be disrupted even to save lives.
 

Mammoth Jones

Member
Oct 25, 2017
6,660
New York
Some landlords have mortgages though. It’s a whole chain reaction of things.
This. Some folks acting like all landlords are just sitting on a pile of money Scrooge McDuck style being selfish. For many it’s always been a balancing act of income generated by rent going right into mortgages/repairs/service like any small business.

There should be a freeze on everything for a limited time. But Washington is ineptitude will make this historical event far more economically painful than it needs to be.
 

entremet

Member
Oct 26, 2017
17,209
Rent and mortgages tend to be tied to contracts with explicit terms and dates. This seems like a legal nightmare to implement even though it needs to be done. Even if you keep the end dates the same, all that means is people are going to be behind since they're going to owe for the months that were on freeze. Does anyone know how this would legally work?
You can freeze evictions, though. That what Canada is doing and other nations that care about their populace.

This. Some folks acting like all landlords are just sitting on a pile of money Scrooge McDuck style being selfish. For many it’s always been a balancing act of income generated by rent going right into mortgages/repairs/service like any small business.

There should be a freeze on everything for a limited time. But Washington is ineptitude will make this historical event far more economically painful than it needs to be.
Landlords should be helped too!

That's the issue. Shitty safety nets all around.
 

Darknight

Member
Oct 25, 2017
8,030
Correct. You're right on that.
Ya, so it breaks down to two possible takes:

1) Freeze mortgages for everyone, but when the freeze is lifted suddenly you're going to owe all that money for however long the freeze is. That's for sure going to cause a lot of problems with suddenly slapping people with large bills.

2) Freeze mortgages for everyone and then extend the term by however long the freeze is when it's lifted. This seems ideal, but then I think the problem is every rent and mortgage contract has specific terms and dates specified which means you have to amend every single contract in existence that is current which seems like a legal nightmare.

Is there a third option that works that I'm not thinking of? Like I said, it needs to happen, but which path do you take and how do you make that a reality?
 

Cookie

Member
Oct 26, 2017
1,599
Brb, writing a letter to my bank regarding how I will no longer be paying my mortgage. Let’s see how it works out.
 

Mammoth Jones

Member
Oct 25, 2017
6,660
New York
Landlords should be helped too!

That's the issue. Shitty safety nets all around.
The problem sure ain’t lack of snark.

Ya, so it breaks down to two possible takes:

1) Freeze mortgages for everyone, but when the freeze is lifted suddenly you're going to owe all that money for however long the freeze is. That's for sure going to cause a lot of problems with suddenly slapping people with large bills.

2) Freeze mortgages for everyone and then extend the term by however long the freeze is when it's lifted. This seems ideal, but then I think the problem is every rent and mortgage contract has specific terms and dates specified which means you have to amend every single contract in existence that is current which seems like a legal nightmare.

Is there a third option that works that I'm not thinking of? Like I said, it needs to happen, but which path do you take and how do you make that a reality?
#2 is doable if the government in the US could actually do its job in good faith. But if that were the case I don’t think we’d be in this position to the extent we’re in to begin with.
 

MiHighGator

Member
Nov 8, 2018
706
Ya, so it breaks down to two possible takes:

1) Freeze mortgages for everyone, but when the freeze is lifted suddenly you're going to owe all that money for however long the freeze is. That's for sure going to cause a lot of problems with suddenly slapping people with large bills.

2) Freeze mortgages for everyone and then extend the term by however long the freeze is when it's lifted. This seems ideal, but then I think the problem is every rent and mortgage contract has specific terms and dates specified which means you have to amend every single contract in existence that is current which seems like a legal nightmare.

Is there a third option that works that I'm not thinking of? Like I said, it needs to happen, but which path do you take and how do you make that a reality?
I suspect you could accomplish #2 via legislation without needing to amend every contract.
 

Surakian

Avenger
Oct 27, 2017
1,397
This is why we need mortgage and rent freezes across the board without penalty or requirements to backpay when the crisis is over.
 

Tapiozona

Avenger
Oct 28, 2017
1,237
They're still going to pay them. I work in this space, the rents are just being deferred to the end of the leases
 

Bdub79

Member
Oct 25, 2017
363
I have a house I rent out and one of the spouses is a teacher. If they dont have an income, they cant pay the rent. That's ok. They can live there for free until all this shit is dealt with.
 

Hedge

Member
Oct 26, 2017
124
Some of these leases have force majeure clauses that could protect tenants from having to pay. Depends on the language of the clause I guess. But yeah a national rent/mortgage freeze is needed to give the country some peace of mind
 

Frozenprince

Banned
Oct 25, 2017
9,158
It's very depressing though that the concept of rent freeze might only gain traction because a corporation wills it to be.
I think they'll blink because they don't want even the potential of people organizing (which is already happening everywhere) to begin REAL rent strikes, which would show people "oh yeah that's right why to landlords exist again".
 
Oct 27, 2017
2,719
It's nice to see bigger corps making this play if only because it probably makes it easier for smaller restaurants to argue the same.
 

MiHighGator

Member
Nov 8, 2018
706
Not in those cases where there are already tenants lined up at the end of the lease
True, but I think that could still be accomplished via legislation with smartly crafted language; however, the more I'm thinking about it, it doesn't necessarily make sense to me to make the default scenario be a bilateral extension of the lease term.
 

Frozenprince

Banned
Oct 25, 2017
9,158
Because we're paying the mortgage. People choose to rent for a reason.
I mean mostly because landlords, such as yourself, own 2/3rds of all available property and lands in most major US cities. And that your primary function is literally just facilitating something that other people created with their own labor independent from you and could easily maintain with labor independent from you other than your potential injection of capital to simply acquire the property.

As well, we can just create communal spaces within which everybody is entitled to a place to live, instead of forcing people to literally use 2/3rds of THEIR hard earned spoils from THEIR labor simply to have a place to live. Like any rational, humanistic society should simply provide people for nothing because the idea of housing as something commodified is absurd on its face. And is nothing more than an avenue for a transference of Capital towards and ever shrinking funnel of interests.
 
Oct 27, 2017
591
That's what I'm dealing with. I have to pay almost $10,000 for our monthly lease, right now for March which we've been closed most of now, and its looking like good chance we will be closed all of April, so that's $20,000 in rent I have to pay while my business is forced closed cause of all of this. I have to keep paying this as per my lease if we are forced to shut down in May also? Longer? I have a lease till Feb, I have to basically be bleeding money and if I just closed shop I pay a huge penalty to break my lease.
That's exactly the type of business I'm wondering about. Big guys like Cheesecake Factory take up enough square footage that they might be able to negotiate something but what about the small, private businesses? We're probably going to have social distancing in effect for the rest of the year, does that mean that every IT repair store, hobby shop, etc is going to be shut down this year?
 

muteKi

Member
Oct 22, 2018
13,116
a sunken pirate ship
I mean mostly because landlords, such as yourself, own 2/3rds of all available property and lands in most major US cities. And that your primary function is literally just facilitating something that other people created with their own labor independent from you and could easily maintain with labor independent from you other than your potential injection of capital to simply acquire the property.

As well, we can just create communal spaces within which everybody is entitled to a place to live, instead of forcing people to literally use 2/3rds of THEIR hard earned spoils from THEIR labor simply to have a place to live. Like any rational, humanistic society should simply provide people for nothing because the idea of housing as something commodified is absurd on its face. And is nothing more than an avenue for a transference of Capital towards and ever shrinking funnel of interests.
It's...interesting... that a renter would by that account have all their money going to the mortgage but they don't have any stake in their housing. If only there were a way for the tenants to have a collective ownership in the housing they rent. But that's surely impossible.