pinkerton

Hello! As people have posted, landlord/tenant law is controlled by state law, and there are usually substantial protections for tenants, even under circumstances like these. You've got to evict tenants properly or you will end up in court as the defendant with a Legal Aid lawyer on the other side ready, willing and able to hammer you in a way that you'll never forget! Do not, I repeat DO NOT just move their belongings out on the street, unless you want to be the next poster person for just how much state law protects tenants from nasty-old-landlords. Believe me, you don't want this to happen. See your lawyer or, I bet you a nickle that there's a "how to" book on landlord/tanant law at your local bookstore on how to properly evict someone. It's a pain to do it right, but soooooo much more of a pain to do it wrong, and get called on it. Mike P. The Legal Eagle

Murphy, Sorry to get in on this so late...been in Europe trying to find myself. The Naked Italian is correct, this is a state law issue. A judgment in and of itself may not do the trick...that is, get the $ out of the deadbeat's pocket and into yours. You may need a writ of execution or some other legal order...best to check with a local attorney. The last thing you want to do is something improper that will give the bad guy a reason to sue you. I know this sounds like a Lawyers' Full Employment Act, but...well I guess it is. Good luck, Mike P. The Legal Eagle

Friends, This is all a balancing act. One of the things that we all should remember is that we are deling with an expensive commodity...real estate. That's good and bad. Good because there's a lot of upside potential, i.e. money to be made when things go right. Bad, because there's a lot of potential liability. Why? Because there's a lot of money to be lost if things go wrong (or someone thinks they went wrong).. Given this, and the fact that a judgment against you hangs around for a long time, I'd think twice before going it alone with no LLC or corporate entity to protect me. As for MC's contracts...I'm a hugh fan of the Naked Italian, but there's no such thing as a bullet proof contract. When the stakes go up, so does the incentive for the other side to spend more money to hire the legal power to find a problem with the contract, the way it was filled out, etc., etc. Insurance? Not a bad idea. Again, it's a balancing act. Ask yourself. "Is investing my way of earning my living, or is it my way of supplementing my income?" If you're relying on investing to make a substantial amount of your income, it wouldn't hurt to talk to an insurance agent. It doesn't cost a cent to have a conversation and get a quote. I'd be interested in if insurance is available, and if so, how much it costs. Let us know what you fine out, Gene. Whew! A bunch to chew on! Mike P. The Legal Eagle

Ok, if I understand this question, when you form an LLC you have to do so under a business name that hasn't already been used or reserved by someone else in the state. Don't worry, the folks at the Secretary of State will check to determine whether the name you want is "available." They usually ask for several potential names...if the first one is unavailable, they go to the next, and so on. Once you actually form your LLC, the name of the company is, as Tony pointed out, your "dba"--the name you're "doing business as." The purpose of the dba is so that folks are put on notice that its really John E. Blow who is putting out all those bandit signs using the name "We Sell-em Fast, LLC." :ph34r: Remember, you still have to publish a dba notice in a newspaper of general circulation (and perhaps perform some other acts such as writting out more checks) before you're "good to go." Best of Luck, Mike P. The Legal Eagle

Hello Joe, I agree with Michael C.---forming an LLC (or other appropriate legal entity) just makes sense. When you're dealing with real estate, if there is a dispute, the amount of money at issue tends to be relatively great...e.g. $500,000, - $750,000 wouldn't be unusual at all in California. With a properly formed LLC your liability is limited to the assets in your real estate business...assuming you use the "LLC" designation on your cards, letters, emails, etc. Without this type of protection, all of your non-exempt personal assets are available to satisfy a judgment. Sure, it costs a few bucks to form and maintain an LLC, but its well worth the peace of mind you get...after all, this is called "Creative Real Estate" for a reason...and some stick in the muds don't appreciate the "Creative" aspect of it! Regards, Mike P. The Legal Eagle p.s. As soon as you sell or lease property you are offering services to "other people."

Hi-Lo Guest, Thanks for asking the question, but I'm with Tony...I don't understand what you're asking...Want to try again? Mike P. The Legal Eagle

Simply put, mortgages are liens...but for real property for specified purposes. Liens are like tools...the right tool (lien) for the right job! I suppose you could record a mechanics liens on real property, but they are generally used to ensure payment for services rendered to the property...like a mechanic working on your car. This would all be controlled by state debtor/creditor law, but I hope this general explaination helps. Mike P. The Legal Eagle

My, that was quite a nap...but I needed it...batteries got ran down too low... But I'm back in business...so let's chat! Mike P. The Legal Eagle

Lydia et al.: The number of responses to the ad was disappointing, although they have been from folks who are interested...I'm still working on putting something together on two responses. The price on media buys varies quite a bit...it all depends on a number of factors beyond our control. For example, when the Sacramento Kings made the Western play offs the prices shyrocketed as the station I was using is pretty sports oriented. I've got to put deals together on what I've got hanging, then move on and think through my next marketing move. Mike P. The Legal Eagle

Friends, I'm out of pocket for a few days...be back soon. Mike P. The Legal Eagle

Thanks Christian, that's very helpful. option8 is the Bomb! What a wealth of information and assistance!! Mike P. The Legal Eagle

MC--Know of anything on neurosurgery, plastic surgery or liposuction? Then we'd be smart, good looking and thin.. Mike P. The Legal Eagle

Nolo Press has a series of excellent self-help books on the law. One of them is on forming LLC's. They also have another on operating them. Good for lay people, bad for lawyers. The next thing you know some wise guy will publish a book on performing your own simple surgery. Anyway...head for your local book store and get the Nolo Press books...and "LLC-on." Mike P. The Legal Eagle

Thanks, MC! Just wanted to confirm that I wasn't missing something here... Mike P The Legal Eagle

MC and other Friends-- I know I've seen it posted before on the board, but could you re-suggest responses to owners who like the whole L/P idea until they find out their equity is in the property until the option is exercised? I know that one response might be: "With interest rates so low, why not get a home equity loan to free up some equity?" If tried that but folks respond that it's too much trouble...they want the equity now. What are some others? Thanks, Mike P. The Legal Eagle

Hi Doug, That's the problem...the spammers in California use regular sounding names so if you're doing an email marketing campaign there's a real dilemma. To open or not to open? And with the number of seemingly legitimate emails in your in box, it could literally take several hours a day just weeding through them. Spammers are killing the goose that laid the golden egg. Mike P. The Legal Eagle

Hello to all, Email marketing is very interesting...congrats to all on the successes! Out here in California, I think we may have a different situation. The "spammers" are rampant and they've pretty much ruined email marketing for everyone! Every day I get 300-500 spam email on my business account. In the past I bought email lists and marketed to them for educational seminars in my "day job" but its getting tough because folks are just clearing their inboxes out without reading the mail if they don't recognize the name of the sender. I'm glad the situation is different in other parts of the country! Market On! Mike P. The Legal Eagle

Both MC and I tried to get MP3 link on the post...with no luck. If you send me your email adress, I'll forward it to you. Mike P. The Legal Eagle

Friends, My radio ad campaign, inspired by Lydia, starts today in the Sacramento California area. It's running for three weeks in the #2 AM Talk Radio station in the afternoon and afternoon drive time slots with some "rotators" thrown in. The ad is aimed at sellers and let's them know that they have options that enable them to get the most out of their investment and avoid fees and commissions. You can listen to the spot by using the MP3 file below. Because of the booming sellers' market in the area, I'm geared up for cooperatives, while remaining flexible if sellers want something else. Keep your fingers crossed for me...and I'll keep you posted! Mike P. The Legal Eagle Option_Properties_30.mp3

MC et al.-- In light of the above, what about another form in the Naked-Investor arsenal that is essentially recitals regarding the option consideration? It could be a document where the investor acknowledges receipt of $X for option consideration and the tenant buyer specifically acknowledges that the $X option consideration is non-refundable. I know it's another form to hassel with , but it might help in the long run. What-da-ya-think? Mike P. The Legal Eagle p.s. I would still use the "stare-um-down" strategy for Angela's case.

Tony, Of course!!! First I triple my usual hourly rate, bill excess hours then write off that amount as legal fees. Then because I don't pay my own bill, I write it off again as a bad debt. Not bad, huh? Mike P. The Legal Eagle

Hi Michael T., I'm reviewing the forms on a "as I go basis"--e.g. I'm gearing up for cooperatives so I modified the assignment form. Not because of California law, but because I thought it was somewhat ambiguous. (I know, I know...its hard to improve perfection, but...) Mike P. The Legal Eagle

Angela, Looks like you've hit the "inverse lottery." What are the chances that you'd have these problems in such short order? Marital property is always controlled by state law. Its really impossible to say much about your situation from this distance--MC and Option8's observations are valid. Perhaps I would add that if there's a divorce floating around a transaction you should certainly be sure to actually examine the relevant documents...the settlement or court order that disposes of the husband and wife's interest in the property you're dealing with. And you're right...you probably need a local lawyer who is familar with both divorce and real property law to unravel situations like this. Sorry this came down on you...better news has got to be on its way! Mike P. The Legal Eagle

Hi Julia, The more I learn about lease purchasing, the more I like cooperative assignments.... Mike P. The Legal Eagle p.s. Our fearless leader, Michael C is right...if there's one thing we have here, its folks with opinions...lots of different ones!

"It was the best of times, it was the worst of times." Boy what a rollercoaster ride! Can Andrew bail you out of this one? Mike P. The Legal Eagle