As an attorney representing landlords across Indiana, I aim to keep you informed about legislative developments that could impact your operations. Senate Bill 142 (SB0142) introduces significant changes, including the expungement of eviction records and updates regarding money judgments. While this bill is still in the legislative process and not yet law, understanding its potential implications is critical.
What Does SB0142 Propose?
SB0142 seeks to revise Indiana’s eviction and judgment laws, with key provisions focusing on:
- Expungement of Eviction Records:
- Tenants may petition for expungement if the case was dismissed, decided in their favor, or under specific mitigating circumstances.
- Courts may grant expungement if it serves the interest of justice, shielding tenants from the long-term consequences of eviction filings.
- Expunged records would no longer appear in public databases, affecting tenant screening processes for landlords.
- Money Judgments and the 7-Year Lapse Period:
- The bill introduces a 7-year lapse period for money judgments related to evictions.
- After 7 years, landlords may be unable to enforce money judgments unless specific exceptions apply, such as instances where active collection efforts have been documented.
- This provision could impact the ability of landlords to collect outstanding amounts from former tenants over time.
Why Does This Matter for Landlords?
If SB0142 becomes law, it will bring significant changes to how landlords manage tenant histories and money judgments:
- Expungement of Records:
- Limits the availability of eviction data for tenant screening, potentially leading to increased risks when evaluating applicants.
- Requires landlords to respond to expungement petitions, introducing administrative and legal costs.
- Money Judgment Enforcement:
- Potentially shortens the enforceable period for collecting money judgments to 7 years, potentially reducing recovery opportunities for unpaid rent or damages.
- Landlords must ensure timely and consistent collection efforts to avoid lapses in enforcement rights.
Current Status of SB0142
SB0142 is under review in the Indiana General Assembly. It has not yet passed into law and remains subject to amendments or rejection. Landlords are not yet required to comply with the proposed changes.
What Should Landlords Do Now?
- Stay Informed:
- Follow updates on SB0142 through official legislative channels or consult with legal counsel.
- Review Practices:
- Assess your tenant screening and record-keeping processes to prepare for potential changes.
- Consider proactive measures to enforce outstanding money judgments within the 7-year window.
- Engage with Lawmakers:
- Participate in discussions with local representatives or landlord associations to share feedback on SB0142.
Conclusion
SB0142 introduces key changes that could reshape landlord-tenant relationships in Indiana. While the bill is not yet law, preparing for its potential implications now can ensure that landlords are ready to adapt. Access a complete copy of the latest version of Senate Bill 142 on the Indiana General Assembly website. If you have questions about SB0142 or need assistance managing landlord-tenant legal matters, contact my office for personalized guidance.