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Serious Problem with Evicted Tenant

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  • 07-30-2010, 12:51 AM
    Interpol
    Serious Problem with Evicted Tenant
    My question involves landlord-tenant law in the State of: California

    Hi everyone, I am at my wit's end and hoping I can get some useful advice here. Here's the story:

    I evicted the tenants from my condominium back on November 15, 2009, for non-payment of rent that eventually totalled more than $20,000. The tenants are a middle-aged couple that are very personable but apparently have very, very poor business sense. This couple left the residence at my request and I had them sign a contract specifying that starting in January 2010, they would repay the balance of the outstanding rent at a rate of $250/month.

    The husband is a commercial contractor and offered some his contracting services to help pay down the outstanding balance, so I took him up on his offer. I commissioned him to replace the carpeting in the condominium with laminate flooring, and to remove the popcorn ceiling and repaint it. The condominium is small, 2br, approximately 1400 square feet. The work started in January 2010.

    It is now nearing the end of July 2010 and the work is STILL not completed. I purchased all of the flooring materials at my expense, and they are still sitting on the floor of the condominium, which is currently bare concrete. Over the last 7 months I have had to endure delays and excuses every few weeks from the guy, and every time I have received assurances that everything "will be done", he just needs a few more weeks.

    At this point in time I have had enough. I told him that I will no longer grant any more extensions after July 31, and will be requesting return of the door keys and gate opener on that date, and I will hire a different person to complete any unfinished work (which appears to be the whole project).

    Not only that, but this couple has fallen delinquent on their repayment of the back rent by 3 months now. I confronted the husband about this, and was told that currently he has NO funds to give me and I would simply have to wait.

    This situation is killing me. I have no idea what recourse I have. At this point I am stuck paying the mortgage on a condominium that is half-finished and un-rentable, and the tenants that owe me over $20000 are flaking out on repaying me under terms that I let them define.

    What can I do? I really need some help/advice. Thank you!
  • 07-30-2010, 01:46 AM
    SChinFChin
    Re: Serious Problem with Evicted Tenant
    Congrats for having the finances to carry this empty condo unit since Nov 2009, plus a $20,000 back rent debt, so I figure you had no income from this for over a year.

    I was in such a situation once, so if I were you, get someone working on this immediately, as I don't think your Jul 31 deadline means anything at this point. I can see him doing other projects paying his rent and bills, while your project is just paying down debt.

    You can go back and start collection efforts on your judgment, against his bank accounts, business assets etc. I would concentrate on getting the place rented, and then get after him.

    I had a deal with a tenant in a similar situation, he was supposed to do some repairs and painting while he was there, and after six months, it was clear to me he want' going to do anything, so I hired the sheriff to remove his belongings to start work on it.

    I hate to say you been snookered, but I am saying it, since I was similarly snookered by a very personable tenant, and I was very stupid for falling for it.
  • 07-30-2010, 06:32 AM
    Interpol
    Re: Serious Problem with Evicted Tenant
    Thanks for the response.

    Yes, thankfully my financial situation is good enough that any income from this rental property is merely supplemental for me.

    I really feel bad taking action against these people because I sincerely believe that they are in an extremely difficult financial situation themselves, and are not being malicious. They have had many opportunities to leave this area without giving me contact information, and they have not done so. However, I am at my wits' end, since at the current rate of work, we won't be finished for at least a year. The problem is that now I feel they are taking advantage of my leniency and considering their debt to me as secondary to all the other issues they are having with their personal lives.

    How do I start initiating collection procedures? Do I contact a collection agency, or do I need to hire a lawyer first?
  • 07-30-2010, 09:29 AM
    SChinFChin
    Re: Serious Problem with Evicted Tenant
    Quote:

    Quoting Interpol
    View Post
    Thanks for the response.

    Yes, thankfully my financial situation is good enough that any income from this rental property is merely supplemental for me.

    I really feel bad taking action against these people because I sincerely believe that they are in an extremely difficult financial situation themselves, and are not being malicious. They have had many opportunities to leave this area without giving me contact information, and they have not done so. However, I am at my wits' end, since at the current rate of work, we won't be finished for at least a year. The problem is that now I feel they are taking advantage of my leniency and considering their debt to me as secondary to all the other issues they are having with their personal lives.

    How do I start initiating collection procedures? Do I contact a collection agency, or do I need to hire a lawyer first?

    For $20,000 I would get an attorney "in your area" to start the collection process locally on a contingency basis.

    This is because when you refer an item to a collection agency, they start off by making some threatening phone calls, and when that doesn't work, they have to refer the claim to an attorney in your area anyway, and then you got two people making a commission on it.

    You can call the bar association, mention that you need an attorney to do collections on a judgement, and they should be able make some referrals to you, and these attornies would then give you a free initial consultation.

    I'm suggesting ths direct attorney route because I beleive you are wasting your time getting "collectors" making threatening calls first, because they're probably used to it by now, and another call is like water rolling off the back of a duck.
  • 07-30-2010, 10:53 PM
    Interpol
    Re: Serious Problem with Evicted Tenant
    SChinFChin, thank you very much for the advice. I will solicit referrals for a lawyer and get the ball rolling next week.

    If anyone else has any other advice, I would certainly welcome and appreciate it.
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