Proceed With Caution: Accepting Partial RAFT Payments Means Dismissing Evictions
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By Kimberly Rau, MassLandlords, Inc.
A Massachusetts law firm recently sent a warning letter stating that changes to the Residential Assistance for Families in Transition (RAFT) program agreement could mean landlords who accept RAFT funds will be unable to continue an eviction process, even if RAFT does not cover all owed rent.
A recent Northeast Housing Court decision has interpreted the law to mean landlords who accept RAFT payments must dismiss their related eviction case, or reject the funds. [Image: Public Domain]
“While in the past, RAFT had agreed that the landlord and tenant were required to enter into an agreement on how the balance would be paid, the foregoing provision could be interpreted to require landlords to dismiss the case,” the letter continued.
Before RAFT applications were entirely online, there was a chance that landlords could strike the provision requiring them to drop their eviction case, but there is no such option with an electronic form.
This puts landlords in a tough spot: They can refuse partial RAFT funds, and continue their eviction case (potentially losing even more rent during the court process), or they can accept partial payment, and hope their tenant will be able to pay going forward. Whether that is likely will depend largely on why the renter is facing eviction for nonpayment to begin with.
Irelander v. Chaisson: Reject RAFT Funds, or Stop the Eviction
Though the letter from the law office does not specifically mention which case it is referencing, it was easy for us to find one that matches a relevant scenario.
In Irelander v. Chaisson, an eviction case was dismissed after the court learned the landlord had accepted RAFT assistance on behalf of the renter they were trying to remove for nonpayment. This dismissal was reportedly based on multiple factors, but the written decision included a lengthy comment on accepting RAFT payments.
“A landlord has the option not to accept RAFT funds if the landlord's intention is to proceed with the removal of a tenant in an eviction case,” the August 2024 court decision reads.
“What a landlord cannot do is accept RAFT funds and proceed with the removal of a tenant if the landlord, as was the case here, accepts RAFT funds subject to the promise to discontinue the eviction action. The plain language of the EOHLC contract requires dismissal of a pending eviction action even if the RAFT payment does not cover the totality of a rental arrearage,” it continues.
There’s not much room for interpretation there. Landlords can have RAFT funds, even if they do not cover all of the missing rent, or they can move forward with the eviction, but not both. This seems logical (why would they offer rental assistance payments meant to prevent eviction if you could just evict someone anyway?), but there’s no guarantee that the funding will pay back all the owed rent, or that the renter will be able to pay the rent going forward.
That means it’s up to you to do the math and figure out what the best choice is for your situation.
RAFT purports to help families avoid eviction, but the numbers show that many families are not helped long-term. [Image: CC by SA 4.0 MassLandlords, Inc.]
With RAFT Diminished, Landlords Must Carefully Choose Next Steps
RAFT used to guarantee families facing eviction $7,000 in rental assistance over a rolling 12-month period. But the governor’s proposed budget for Fiscal Year 2026 effectively cuts that in half, by extending that time period to a rolling 24 months. If the budget is approved, that means renters and landlords receive the same amount of assistance, but must wait twice as long for it to be available again.
If this is your renter’s first time applying for RAFT benefits, and they are approved quickly (this is not always the case), then $7,000 might be enough to make you whole and keep eviction off the table. If the tenant was unable to pay due to temporary illness or job loss, then you might be fine moving forward. However, if this renter has a chronic issue with being able to pay the rent, and has already accessed RAFT benefits in the last 24 months, there’s a chance RAFT funding will be unavailable, or greatly decreased.
RAFT may be able to keep your tenant from being evicted, and also repay you all your lost rent, but a lot of things would have to line up to make this a sustainable option. You would have to file your notice to quit as soon as you can after your renter misses a rent payment. Depending on the market in your area, even a handful of months of missing rent could exhaust the RAFT benefit. Then, you/your tenant must apply for RAFT and complete the application as soon as possible. If you do these things, and if RAFT is approved within a reasonable time frame and in an amount that will make you whole, and your renter is in a situation where you are confident they can pay the rent moving forward, then it may make sense for you to take the funding and drop the eviction.
If, on the other hand, you don’t file as soon as you can, or you or your renter take more time to complete the RAFT application, or the application is initially denied, the owed rent may pile up to an amount greater than the program’s limits. In that case, especially if you are not sure your tenant will be able to pay the remainder owed or keep current on future rent, it may make more sense to refuse the partial money and continue with the eviction.
Once again, it’s on you to figure out what makes the most sense for your particular situation.
Conclusion
Eviction is a long and expensive process, and the road to regaining possession of your rental doesn’t always include repayment of lost rent, particularly if your renters are judgment proof.
Remember, accepting a partial RAFT payment means that you must drop your eviction case, or risk having it dismissed by the court. Do the math, and speak with your attorney if you’re not sure. But essentially, you have two options: Refuse the partial assistance and continue with the eviction, or take the partial money and drop the court case.
Are you a landlord who has had to choose between partial rental assistance or possession of your rental? Let us know at hello@masslandlords.net.
Frequently Asked Questions
What if RAFT is not a partial payment but a full cure for the nonpayment eviction?
General Law Chapter 151B Section 4 prohibits refusing to rent to someone on the basis of their receiving public assistance. You should therefore consider that if RAFT fully cures the eviction, you should take it. Legal services attorneys have communicated to MassLandlords that they argued triple damages under 93A for RAFT monies denied. In other words, if the rent arrears are for $7,000, RAFT would pay the full $7,000, and the landlord refuses RAFT, that's a violation of 151B. Furthermore, that's a violation of 93A calling for triple damages, or $21,000 owed to the renter.
This whole article was meant to be about partial payments, where RAFT is inadequate to cure, and specifically, where you have a choice as to whether to sign the RAFT contract. The law against discrimination does not require a landlord to accept less money than they are asking for.
What is the actual wording?
Look at your wording, not our example, because the state or regional administering agency may change wording for your exact contract. Here is an example shared with us:
The contract reads, "By accepting payments for rent arrears, you agree not to pursue eviction based on rent amounts reimbursed by these funds and agree to dismiss any pending eviction case that is based on or seeks to recover the reimbursed arrears. You may bring an eviction case in the future if the tenant fails to pay future rent due after the date of this award."
Your attorney may parse this clause one way or another.
