New ownership and tenant debt??

Question

After purchasing a multi family, I have come to find out that a few of the tenants have back rents owed. Do I have rights to pursue the back rent? My thoughts are that I have purchased the tenant debt along with the property ownership, since I’m honoring their leases.

Can I pursue back rents since the old leases are still active?

I haven’t started new leases with the tenants yet.

Per Florida tenant landlord law.

Thanks !

Can I pursue back rents since the old leases are still active?

I haven’t started new leases with the tenants yet.

Per Florida tenant landlord law.

Thanks !

Scott M. · Answer

Legally, no.  Your rights to collect rent start the day you buy the property unless you didn't buy property and you bought a LLC that owned property, then you might be able too.  The old owner can pursue that if they wish, but not you.

Morally, no.  I mean, why would you even?  Not your money to collect or keep assuming you bought property and not a company.

Patricia Steiner · Answer

What did you purchase?  When did you become the owner?  Can a former tenant sue YOU for wrongful eviction or offset of security deposit?

No-o-o-o...

If you purchased the real estate, your ownership and P&L starts on the day the property transferred to you.  If you bought a company - with the assets, liabilities - then you would have the right of collection and the joy of being sued for the actions of the past principals.

Doesn't starting day 1 sound a whole lot better!

Aaron K. · Answer

I don't believe so unless it was specifically written into your purchase contract, but I'm no expert on FL law.  My gut tells me the previous owner has the right to pursue those debts because they were accrued under their ownership of the property.