Tenant Move-Out Negotiations


A Property Owner Certification Prior to Move-Out Negotiations Form Required by Tenant Move-Out Agreement Ordinance

The Oakland City Council passed the Tenant Move-Out Agreement Ordinance (TMOO, O.M.C. 8.22.700 et seq.), effective May 1, 2018, which provides that owners must do the following if they wish to offer a tenant compensation to vacate their rental unit :

The owner must file a Property Owner Certification Prior to Move-Out Negotiations with the Rent Adjustment Program prior to entering into Move-Out Negotiations.

The owner must give this Property Owner Certification to the tenant prior to entering into Move-Out Negotiations. The owner must also file the executed Move-Out Agreement with the Rent Adjustment Program within 45 days of the tenant and landlord signing the Move-Out Agreement.

Under the Tenant Move-Out Agreement Ordinance, a tenant has the following rights when considering a Move-Out Agreement :

The right not to accept - A tenant is not required to enter into a Move-Out Agreement or engage in Move-Out Negotiations, and the landlord may not retaliate against a tenant for not accepting the offer. Offering payments to a tenant to vacate more than once in six (6) months after the tenant has notified the owner in writing that the tenant refuses to enter into a Move-Out Agreement or engage in Move-Out Negotiations constitutes harassment under the Tenant Protection Ordinance (O.M.C. 8.22.600, et seq.)

The right to consult an attorney - A tenant has the right to consult an attorney before entering into a Move-Out Agreement or engaging in Move-Out Negotiations.

The right to rescind - A tenant may rescind the Move-Out Agreement at any time during the twenty-five (25) days after the agreement has been signed by both the landlord and tenant , unless the parties agree in writing to a shorter period of no less than fifteen (15) days . During this period, the tenant may rescind the agreement as long as the tenant has not moved out, and the decision to rescind is unanimous among the tenants who are parties to the Move-Out Agreement.

Extended right to rescind if the Move-Out Agreement does not comply with the Ordinance - A Move-Out Agreement can be rescinded within six months if it does not meet the specifications required under the ordinance.

Additional Information Relocation amounts for July 2023 – June 2024: The Uniform Relocation Ordinance requires owners to provides tenants displaced by code compliance activities, owner or relative move-ins, the Ellis Act, and condominium conversions with relocation payments. The payment amount depends on the size of the unit and adjusts for inflation annually. The base payment amounts from July 1, 2023, until June 30, 2024, are:

$7,861.52 per studio/one-bedroom unit

$9,675.72 per two-bedroom unit

$11,943.47 per three or more-bedroom unit

Tenant households in rental units that include lower income, elderly or disabled tenants, and/or minor children are entitled to a single additional relocation payment of two thousand five hundred dollars ($2,500) per unit from the owner.

Right to return: Tenants have an option or right to return to their rental unit after certain no-fault evictions, such as code compliance evictions after the repairs are completed or Ellis evictions if t he units are re-rented. Waiver of these rights, if applicable, may make a Move-Out Agreement more valuable.

Market rents may be much higher: Market rate rents in the area may be significantly higher than your current rent and that you may wish to check rents for comparable rental units before entering into a Move-Out Agreement, particularly a Move-Out Agreement that waives any options or rights to return to the rental u nit that you may have.

Payments may be taxable : Payments pursuant to a Move-Out Agreement may be subject to federal and/or state taxation. You should consult taxing authorities or a tax professional for more information or advice on taxability.

Public records: Move-Out Agreements and documents related to Move-Out Agreements that are submitted to the City may be public, but the City may redact personal information to the extent possible consistent with Oakland, state, and federal public records laws or policies. Parties to a potential Move-Out Agreement should be advised that information a party believes to be private may be subject to public disclosure.

For additional assistance: You may find information regarding tenants’ rights and contact information for tenants’ assistance organizations at the City’s Rent Adjustment Program office or on the Rent Adjustment Program website at http://oaklandca.gov/RAP .