Liability and Responsibility
Originally posted by @Bill G. in another thread:Different types of notes require different compliance requirements. When you buy a note, any note, you take on the liability of it's origination and all past servicing. Yes, someone may held harmless from past operations, that doesn't mean you still aren't responsible.
My question is one of liability and responsibility.
I purchased a performing note through a broker ( not licensed ), which I now know was my first mistake.
The note came from a licensed fund. The fund sold the property with seller financing using a Land contract. In the purchase and sale agreement, dated in 2012, part of the agreement was that the seller would bring all taxes current to the sale date. These taxes were never paid by the fund and consequently when I approached the fund about paying the previous taxes, they told me that since I purchased the note, I did so with all responsibility for it.
I, on the other hand believe the taxes owing were and are the responsibility of the seller of the property.
Who is right?