Property managers and owners received welcome news from the Arizona Court of Appeals this week.

For years, housing providers have faced challenges based on the argument that CARES Act properties must continue using a 30-day notice before filing nonpayment evictions. Different courts reached different conclusions, creating uncertainty and additional litigation costs.

That uncertainty may finally be ending.

In Barrera v. Sedona Pointe LLC, the Arizona Court of Appeals held that the CARES Act's 30-day notice provision was tied to the temporary COVID-era eviction moratorium and does not continue to apply to current nonpayment cases. The Court concluded that Arizona landlords may rely on the state's normal 5-day notice procedures under A.R.S. § 33-1368(B).

This decision provides much-needed clarity for Arizona housing providers and represents one of the most significant landlord-tenant appellate decisions issued this year.

If your company has continued using modified procedures because of CARES Act concerns, now is an excellent time to review your policies and forms. As always, Cullimore & Coleman will continue monitoring developments and advising clients on how appellate decisions affect day-to-day operations.

For questions regarding notices, evictions, or compliance issues, please contact our office.