pinoydarv 0 Report post Posted July 13, 2006 I did a CA a few months ago to an older man who owned was a builder. He recently divorced and had to file bankcruptcy due to the spouse. He had no problem in getting a loan due to the volume he brings in with the bank. Right aftter. Their were a few bumps in the beginning of the transaction. The owner was okey with small dog and cat. When my tenant/buyer filled out the application he mentioned he had a puppy. So no problem right, well come to find out he owned a pitbull and the owner found out through the neighbors. The owner wanted more deposit after already giving them 1,200 of the 5K option money I received from the tenant/buyer. I mean this was already non-refundable. So I tell my tenant/buyer about more deposit but of course he refuses due to the fact that he already gave me $6,200.00 in cash. Their were some minor things that needed to be fixed in the house that my tenant/buyer found like lights on the front yeard weren't working, a piece of vinyl was comming off the house. I informed the owner but they refused to fix this, so I was stuck in the middle in between all this after the tenant/buyer already have moved in. Geez.... So after back and forth conversation I never heard back from neither parties. I gave both parties phone numbers I just thought it was best for both of them to just communicate with each other instead of me being the middle man. I already assigned the contract anyways. A month after the transaction I went for a 1 month trip out of the country. I come back and a month later I get a call from the owner saying the checked bounce for the month. But tenant/buyer wrote them another check and it cleared. Then the next month which was June they didn't get a check at all. Come to find out the tenant/buyer abondoned the house. I HAVE NO IDEA why. Then the tenant/buyer supposedly trashed the house and they have to replace the carpet. I have moved to California before all this happened and I am very limited on what I could do. I can't get a hold of the tenant/buyer and now the owner is pressing on me to pay half of the expenses. I placed all of the transactions into my S-Corp, I have not renewed the licensse as of yet. I don't plan on using the Corporation any longger since I am now in California and not in Florida. I would love to give the owner some of the carpet expenses but I don't have the funds as of now due to my move. If they sue me or the corporation in Florida and I am now a resident of California what happens? Any help would be greatly appreciated. Share this post Link to post Share on other sites
Adam King (MI) 1 Report post Posted July 13, 2006 Darvin,I'm not a lawyer so keep that in mind. This is just my opinion.I would wait for the lawsuit. If he sues you (Which I don't believe he can) he would be coming after you for a small amount of money. He was involved in an assignment where he took responsibility. Shit happens. Your ethics are all right and I agree with your intentions. But what proof does he have? Have you seen the carpets? Long story short, you no longer have responsibility. Plain and simple.Buy a Prepaid Legal membership so your ass is covered if you need legal advice.My two cents,AdamDO NOT LOSE SLEEP OVER SOMETHING SO PETTY!!! Share this post Link to post Share on other sites
pinoydarv 0 Report post Posted July 13, 2006 Thanks ADAM. I have not replied to him as of yet. I just got the E-mail this morning. I just moved to California and the property is in Florida. He told me on E-mail that they will be filling the lawysuit tomorrow and to wait to be served. Should I am going to E-mail him back to remind him about the assignment contract. This is the 2nd property I have done with him. He was my best friend when everything was going right and now I am shit. Geez... I can't believe it. Share this post Link to post Share on other sites
Jonathan RexfordFL 8 Report post Posted July 13, 2006 Two short notes. Not everyone knows about Dog problems. I know for a fact that if the tenant moved into my property and the Pitt Bull was there my Policy at State Farm would have cancelled and that is like the smell of death in Hurricane country. The other thing, is that small claims in FL is 5K I believe. So if he sues he will get a judgment in FL. Just make sure the suit is against your CORP and not you and the CORP. I think that when you took the application you should have asked about the dog on what kind it is. There is a list of breed of animals that is a problem. I am sure that a judge will look over the complaint just like adam said. This is what you bought. By the way did the seller get any of NROF Share this post Link to post Share on other sites
pinoydarv 0 Report post Posted July 13, 2006 Everything under the contract was under the Corporation, I e-mailed him back to remind him about the assignment contract he signed that states I am no longger liable for anything. If he does sue and sues me instead of the corporation, can he do that? Also, how would that work since I am now in California and not in Florida? Share this post Link to post Share on other sites
Jonathan RexfordFL 8 Report post Posted July 13, 2006 You will file a notice of dismal to the judge, of a wrong full suit. Share this post Link to post Share on other sites
pinoydarv 0 Report post Posted July 13, 2006 Does this mean I have to fly back to Florida to handle this? He actually E-mailed me back and said "No, my lawyers said that the contract was a joke. We did find mr hughes and plan to sue you both. You could prevent this with about 1500. You can drive it up to la and I will take you to dinner and call it a day. Travsi" I told him I wish I could just give him the money but I don't have it since I have not worked in 2 months. He replies" Undestand" Thanks for your replies guys! I don't know, never in my life have I been in this situation. I have done everything to be ethical to make all parties happy. But I guess some things is just out of your hands. =o( Share this post Link to post Share on other sites
Jonathan RexfordFL 8 Report post Posted July 13, 2006 No you will not have to drive back to FL. I have seen many times where a Telephone call for the hearing to handle things and paper work is paperwork. They guy is just trying to shake you down. I am sure he will attempt to sue. But don't sweat it. By the way its not will you get sued its when. Use this as a learning experience. Share this post Link to post Share on other sites
pinoydarv 0 Report post Posted July 13, 2006 Thanks again Jonathan. I haven't been doing any deals lately since I have moved and just started a new job as a Loan Officer. Anyways, nice to be back and hope to be doing some deals in the future. Share this post Link to post Share on other sites
SteveR 0 Report post Posted July 13, 2006 He will just end up losing more in the long run with attorney fees etc. You are in the right here, sure it did not go exactly as planned but thats life, and thats why there are contracts which cover your butt lol.. Share this post Link to post Share on other sites
MichaelC 160 Report post Posted July 13, 2006 Darvin, you've received some good advice in this thread. Basically, with 3,000 miles and a Corporation between you and the owner, your chances of facing any loss of money is slim to none. And if this guy's attorney is telling him to go ahead with the suit, be thankful! That tells you his attorney is incompetent. "The contracts are a joke"? I wish he would elaborate on that.The bottom line is money changes people. This is a perfect example. Do you really think the owner is going to pay an attorney a $2,500 retainer, and pick up the court costs, to go after you for $1,500 worth of carpet repairs? If he does, you can deal with it then. In the meantime, don't lose any sleep over this.One question, though: why did you allow yourself to be everyone's shoulder when there were issues? This wasn't a sandwich lease. You assigned the deal and were out of the loop entirely. At least you should have been. Share this post Link to post Share on other sites
JerseyJeff 0 Report post Posted July 13, 2006 Darvin, In addition to what has already been said, I would stop emailing this guy telling him I could just give him the money but I don't have it since I have not worked in 2 months. This is admitting that you feel you are at fault and you're not. Jeff Share this post Link to post Share on other sites
Jason (AL) 1 Report post Posted July 13, 2006 Email him what Adam said: "$hit happens." This should take care of everything. Share this post Link to post Share on other sites
pinoydarv 0 Report post Posted July 14, 2006 Darvin, you've received some good advice in this thread. Basically, with 3,000 miles and a Corporation between you and the owner, your chances of facing any loss of money is slim to none. And if this guy's attorney is telling him to go ahead with the suit, be thankful! That tells you his attorney is incompetent. "The contracts are a joke"? I wish he would elaborate on that.The bottom line is money changes people. This is a perfect example. Do you really think the owner is going to pay an attorney a $2,500 retainer, and pick up the court costs, to go after you for $1,500 worth of carpet repairs? If he does, you can deal with it then. In the meantime, don't lose any sleep over this.One question, though: why did you allow yourself to be everyone's shoulder when there were issues? This wasn't a sandwich lease. You assigned the deal and were out of the loop entirely. At least you should have been. I gave both parties each others contact information. But for some reason they still wanted me to deal with things when shit arises. I guess that is why I always got referrals, I took care of my clients. But no matter how much you bend over backwards, when thigns go wrong. You are still to blame. =( Share this post Link to post Share on other sites
Jason (AL) 1 Report post Posted July 14, 2006 ...yeah, eventhough you're outta the loop (legally and contractually) when you assign your agreements, I reckon they'll still point the finger seeing that you structured everything. Boy, this thread is full of $hit, eh? Adam:I would wait for the lawsuit. If he sues you (Which I don't believe he can) he would be coming after you for a small amount of money. He was involved in an assignment where he took responsibility. Shit happens. I gave both parties each others contact information. But for some reason they still wanted me to deal with things when shit arises. Jason (AL) Posted Today, 05:39 PM Email him what Adam said: "$hit happens." Jonathan RexfordFL Posted Yesterday, 10:05 PM You will file a notice of dismal to the judge, of a wrong full *suit*looks like it after you read this thread and cross your eyes a wee bit Share this post Link to post Share on other sites
