Refusal to pay storage fees of abandoned property

Refusal to pay storage fees of abandoned property

Homeowner · Philadelphia, PA · Member since 2015 · 70 posts · 24 votes

I have a tenant who was on month to month.  They violated the lease by smoking several times.  I gave them written notice to vacate in 30 days.  The tenants complied but left behind garbage and large furniture.  They left no forwarding address.  However, I have the phone numbers and  email addresses.  First, should I request their forward address to send a  notice about their left behind property?  I checked the laws and know will that they have 10 days to retrieve their property and must pay the storage fees. Secondly, what if they refuse to pay the storage fees?  Do I go to court to order them to pay? Third, do I discard what I think is garbage?  It seems badly.  Or do I put that in storage as well? All the while I am stuck with their property and the hassle of storing it.

Please advise.  Thanks

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Henry R.Pro Member
Rental Property Investor · Saratoga County, NY · Member since 2013 · 178 posts · 73 votes
10y

Hi @Cheryl Daniels

I would do whatever the law would allow at the least cost to me. If the court case cost more than what your storage fees are, I would just let that go. If the large furniture is not junk, I would sell it or give it to a charity and right it off on next year taxes. The best part is you got them out!

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  • Henry R.Pro Member
    Rental Property Investor · Saratoga County, NY · Member since 2013 · 178 posts · 73 votes
    10y

    Hi @Cheryl Daniels

    I would do whatever the law would allow at the least cost to me. If the court case cost more than what your storage fees are, I would just let that go. If the large furniture is not junk, I would sell it or give it to a charity and right it off on next year taxes. The best part is you got them out!

  • Investor · Simpsonville, SC · Member since 2013 · 184 posts · 71 votes
    10y
    Can't you have the personal property removed to a storage unit? Then they can get their stuff once they've paid you for moving it and once they've paid the storage unit?
  • Investor · Cincinnati, OH · Member since 2015 · 374 posts · 120 votes
    10y

    When in doubt, I keep their crap locked up somewhere else for a couple months.  If I don't hear from them then, I throw it out and don't chase them for storage fees.  It's amazing what people have left behind.  Don't just throw everything out on day 1 if in doubt, they could try to sue.

  • Augusta, GA · Member since 2014 · 1k+ posts · 1k+ votes
    10y

    You are correct in regards to storage (you probably read PA Act 129 regarding this matter).  Going to court to get them to pay this storage fee will generally be useless since a judgment is just that; a judgment; nothing more.  The court will do nothing to help you actually collect these fees.

    Did these tenants provide you a security deposit?  If so, take the storage unit cost out of this deposit.

    Anything useful in the stuff they left behind that you can sell to at least help you recoup some of these fees for holding their stuff?

    Old fart story...years ago my father was a "building superintendent" (fancy name for janitor); managed three buildings in a suburb of Chicago.  It would not be unusual that when tenants moved out they left behind something in their storage lockers each had in the basement.  It was up to my father to clean these lockers out, discard the junk and get the locker ready for the new tenant.  Once or twice a year he'd hold a "rummage sale" with things that were left behind and were in good shape.  A previous tenant came by to check this out and told my dad "hey, that's my..." whatever he was claiming.  My father said "nope; you left that behind months ago; it's mine now...but I'll be glad to sell it back to you for storing it".

    Gail

  • Rental Property Investor · Upstate, NY · Member since 2012 · 3k+ posts · 3k+ votes
    10y
    Originally posted by @Stone Teran:

    When in doubt, I keep their crap locked up somewhere else for a couple months.  If I don't hear from them then, I throw it out and don't chase them for storage fees.  It's amazing what people have left behind.  Don't just throw everything out on day 1 if in doubt, they could try to sue.

    we had a similar occurrence with a couple of inherited tenants (she was on welfare & addicted to pharmaceuticals). They always paid on time but when he lost his job they simply walked out leaving a disaster & their security deposit. We stored the belongings it in the barn for 30days as we rehabbed the unit. Apparently they did come by & picked through their trash (probably looking for what's in the pic below) & then it went to the street. They had moved in with her mother who was in the process of losing her home to foreclosure & it was subsequently sold at a Tax Lien auction. 

    NOW

  • Homeowner · Philadelphia, PA · Member since 2015 · 70 posts · 24 votes
    10y

    @Henry R.Good idea! Thank you!@Mark VejnarYes I could move it to a storage unit. Can I refuse to give them their stuff if they don't pay? I'd later sell it. Thank you! @Stone TeranI'll do that. However there is what I consider to be garbage that smells horribly. Should I store that as well?  Thank you! @Gail K.They did not pay the final month's rent, so I used the security deposit for that. Could I put a clause in a future lease that overrides PA Act 129? Something like, any items left behind will be discarded immediately? Great story. lol Thank you! @Pat L.Oh my! The final picture of the unit is nice! Thank you!

  • Investor · Cincinnati, OH · Member since 2015 · 374 posts · 120 votes
    10y

    A landlord I know rented to a couple who stopped paying and moved out.  The couple did not turn in their keys.  They left an older TV and a little of their furniture.  The landlord threw everything out.  The couple came back a few weeks later for the rest of their stuff and then sued after finding out it was gone.  The landlord had to pay $1,500 for a couple raggedy items!

    So that's my fear every time someone abandons their place.  No one is going to win in court over genuine trash but you have to be a little careful with things that one can assign some sort of value, like an old TV that works.

    Also, I'd never hold their stuff hostage until they pay a fee.  That's an easy way to lose in court.

  • Homeowner · Philadelphia, PA · Member since 2015 · 70 posts · 24 votes
    10y

    They turned in the keys. I sent a text message to tenant's phone in official language (PA Act 124) and I received a disparaging text from their phone number. I then sent a notice to an address on the application because they left no forwarding address. The notice asks them  to contact me within ten days to let me know their intentions and to get their items within ten days.  Additionally, I sent a another text message. I received no response after the letter or second text. It's  been three weeks since the tenants' move. How long do I keep these items.

    I need to prepare the unit for the next tenant.  I could store the items in the basement but...the door is too narrow to get the furniture through the opening.  Maybe I could move the items into storage. But how would I collect storage fees given that they left no forwarding address???  Any thoughts?

  • Investor · Henderson, NC · Member since 2016 · 484 posts · 208 votes
    10y
    Originally posted by @Gail K.:

    The court will do nothing to help you actually collect these fees.

     Actually, they do. When you are granted the judgement you aren't finished yet, YOU still need to submit some things to get paid. You need to garnish their bank account, and garnish their wages. The court will do this for you. If they have no bank account, and no job, then you will collect interest for at least 10 years. They might be a loser now but they could also have their act together in 10 years. The only way you can get out of paying a judgement is to go bankrupt or physically hide. It's really hard to hide in 2016 when google knows everything about you.

    But also, they will be left with an unpaid judgement on their record. At least you have warned other landlords and anybody else who they might do business with.

    As for storing their stuff, your state laws will tell you how long you need to keep it. You need to keep all of it, even the garbage. If you don't you could end up getting sued for it.

  • Member since 2016 · 13k+ posts · 12k+ votes
    10y

    Read your state landlord tenant codes and it will outline the details and time lines for when they can pick up their belongings, how long you need to store it and what you can do with it when the storage period is up. Everything is very clear in the regulations.

  • Real Estate Investor · Plymouth, WI · Member since 2013 · 28 posts · 10 votes
    10y

    "Maybe I could move the items into storage. But how would I collect storage fees given that they left no forwarding address???"

    You need to give up on the idea of ever collecting storage fees. That's not going to happen. Just do whatever you have to do to comply with the law, and do it as cheaply as possible. 

    You also need to talk with a lawyer familiar with handling evictions, and you need to do it yesterday. It's obvious you don't understand the process or the potential pitfalls, and you absolutely have to know this stuff if you're going to be in the business. A few hundred bucks for expert advise would be money well spent. It could cost you thousands if you screw it up.

  • Severna Park, MD · Member since 2013 · 7k+ posts · 7k+ votes
    10y

    If the tenants vacated after 30 days as required and handed you the keys . They left trash and you need to charge the security deposit  for hauling it away .  

  • Homeowner · Philadelphia, PA · Member since 2015 · 70 posts · 24 votes
    10y

    Thank you, Matthew Paul :)

  • Homeowner · Philadelphia, PA · Member since 2015 · 70 posts · 24 votes
    10y

    Thank you Jerry. I learned from the experience...If you want to be in this business you cannot sleep on the job.

  • Investor · Century, FL · Member since 2015 · 950 posts · 603 votes
    10y

    >Third, do I discard what I think is garbage?

     We've had a few units where the tenant has upped and left, but generally garbage is thrown out without delay, and by that I mean anything that is unsanitary, anything on the floor like discarded clothes that allow bugs to live in, etc.

    But furniture items if they are still largely complete go into storage. Same with tvs, and we do generally check if an item works. If it doesn't work it goes to the road.

    It's usually obvious that the tenant isn't coming back as all the 'nice' stuff, like their Faberge egg collection, is lone gone.

    Depending on your state laws, if you have an eviction on the property, then you don't have to keep anything, it can all go straight to the road or landfill, and there is no comeback whatsoever.

  • Homeowner · Philadelphia, PA · Member since 2015 · 70 posts · 24 votes
    10y
    Originally posted by @James DeRoest:

    >Third, do I discard what I think is garbage?

     We've had a few units where the tenant has upped and left, but generally garbage is thrown out without delay, and by that I mean anything that is unsanitary, anything on the floor like discarded clothes that allow bugs to live in, etc.

    But furniture items if they are still largely complete go into storage. Same with tvs, and we do generally check if an item works. If it doesn't work it goes to the road.

    It's usually obvious that the tenant isn't coming back as all the 'nice' stuff, like their Faberge egg collection, is lone gone.

    Depending on your state laws, if you have an eviction on the property, then you don't have to keep anything, it can all go straight to the road or landfill, and there is no comeback whatsoever.

     Thank you. I learned from this experience. Tenant screening is essential!

  • Investor · Philadelphia, PA · Member since 2015 · 3k+ posts · 3k+ votes
    10y

    Let the self-storage company worry about collecting storage fees. Use their security deposit to get the stuff into the storage facility, then simply let the former tenants know where to get their stuff.

  • Investor · Lebanon, OH · Member since 2015 · 80 posts · 26 votes
    10y
    Cheryl Daniels We had a tenant leave quite a bit of stuff once as well. Some of it was junk but a good portion was decent stuff. We sold it at our annual community garage sale and made a good chunk of change ($1300). Not sure on your local requirements, but good luck!
  • Homeowner · Philadelphia, PA · Member since 2015 · 70 posts · 24 votes
    10y

    @Merry Briotta Thanks good idea! I considered Craig's list but I don't think that's a good idea.

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