Not Exactly Final Rent Update

Let me recap... last month, on the 23rd of the month, I had about 3/4 of the rents from the new multi-family property. My last hold-out was Mr. Deadbeat, a somewhat clueless young 'un who, after being taken to eviction court, finally paid the last of his July rent on August 1st. Fortunately, I was able to get a continuance from the court to ensure that August rent was paid by 8/10.

This month - on 8/8/13, 7 of 8 rents were paid. Tenant training works, never doubt that. Today was the follow up court date and naturally, Mr. D had not paid his rent. Judge calls the docket. Yep, we're both there. Sends everyone with two parties present out into the hall to settle their differences. Mr. D - "I don't know why you won't take my word that I'll pay you." Me - "Because you haven't yet paid when you said you would, that's why we're here" Mr. D - "I really like your house" Me - "Of course you do, it's a nice place, I pay all the bills, and you don't pay the rent." (This conversation is much friendlier than it sounds) We agree to disagree and go forward to the hearing. This is my first hearing, up until now we've either won or settled.

We dance through all the paperwork. Mr. D keeps insisting he'll pay the rent tomorrow. Judge asks me if I will accept that. I explain that rent hasn't been received on time yet and I have no reason to think it will be in September, October, etc. Judge starts a long speech about how if we have taken the rent late for the term of the lease, we have have effectively given Mr. D reason to think the terms have changed.

WHOA - TIME OUT !!! Sir - if I may... we bought the properties in June, the tenants were notified timely and given an additional notice in July. Mr. D has had to receive quit notices in all months we have owned the properties and the only reason he paid last month is because the court ordered him to. Judge stops. Requests copies of all the extra notices we provided. I give them to him. He scratches his beard. And STILL doesn't give me possession. Aarghh. He does give Mr. D an order to pay the rent tomorrow, the court fees on Friday and continues the case until Monday. He also orders Mr. D. to pay all future rents on or before the 5th of the month and enters that into the record, telling me that if I have to file again, this will ensure that Mr. D. isn't allowed an additional delay again.

On the bright side, I am receiving the rents. So I'm not in the hole and of course, every landlord can use the cash. On the not so bright side, it takes a half day to go to court and I know for certain I'll be there again. Also on the bright side, as a result of attending a number of hearings recently, I was very well prepared and it did help.