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Richard Alvarez
  • Investor
  • Vista, CA
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Tenant Bankruptcy -- delaying w Skeleton Bankruptcys -- 3rd party taking over space?

Richard Alvarez
  • Investor
  • Vista, CA
Posted Oct 19 2014, 15:48

I need help and hope someone has tried this before. I have a tenant that has not paid for over 6 months rent (becoming dire), they continue with first a Skeleton Bankruptcy, followed by not completing the paperwork properly (30 Days) dismissed, then coming back with a real bankruptcy. Problem is, there are two parties on the lease and both have done this with personal bankruptcy, but now I fear they will now file business bankruptcy. It is a restaurant in Southern California and their chef has left and they have no business, but obviously this party has done this before. I already have a new tenant for the location, that wants to get in. When we have called the police, they don't get involved saying it is a civil matter. My new tenant would like to take possession of the premises, with their signed lease in hand and change the locks (the bad tenant is letting homeless people sleep inside at night). We think upon doing this, she will call the cops, but it is a civil matter and they won't get involved. She is so low on money that she took another job, working at night at a convenience store. Our concern, we are on the last leg of relief of stay and are worried it will piss off the judge and they will not grant relief of stay. Right now we are at the point of requesting the final relief of stay -- 20 days, then back to filing a 3 day pay or quit and unlawful detainer -- another 33 days. Now if they file business bankruptcy, that could delay an additional 20 days -- two and a half months -- could loose property. Has anyone taken possession of the property in that way?

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