Riddle me this Batman

[Nick J.]

So a property management company who I will obviously never use again has bounce $4217.19 worth of checks to me :roll:

So I show up to his office this morning and tell him he's a SCUMBAG(MikeOH style) and to pay me my money so he wrote me new checks, I go to his bank to cash them instead of my bank to deposit them b/c I already went down that road once already. His bank(Wells Fargo) told me he doesn't have the funds to clear the checks!!! :shoot:

I'm on the phone with him back and forth, he's saying he shows they cleared and I've got the 'returned NSF' check copies sent to me by my bank in my hand.

The tenants have paid him but he's not paying me

Do I send Jose to collect or would you have another option, I know MikeOH will have some words of wisdom, I've never had this issue with any PM companies until now.

ps. I don't know how to upload pics here in the forum or else I would take pics of them and upload to show you

[Michael Rossi]

Nick,

This is what a company looks like that is going out of business (I'm talking about the management company). First, they stop paying the IRS (you might check to see if they have IRS Liens). Then, they stop paying their other bills. My guess is that they've spent your money and simply don't have money to give you.

You could try threatening to go to the prosecutor and have them charged with theft or fraud, but unless they're complete newbies - they'll know that the prosecutor will likely consider this a civil matter. You could sue them for the money, but if they're broke that probably won't work either.

Obviously, the KEY POINT here is that you've got to stop them from collecting any more of your rent - since they're keeping it! If you're local, I would IMMEDIATELY take over the management and inform the tenants that they are only to give rent to you! Give them something in writing saying so.

Also, if they don't have money to pay you, they probably haven't paid any contractors they hired to do maintenance and other jobs. That could be a problem too! I'd talk to a lawyer TOMORROW!

One more reason to manage the property yourself!

Good Luck!

Mike