I am about to close on a Note purchase in OH. I read a post by another Note buyer that he ran into a problem recording his Deed in Lieu because he had not registered his out of state entity with the State of OH.
Has anyone else had this experience in OH (or any other state)?
Hi Desi. Hope you are well. I use a local Ohio Attorney and so far have not had any problems with any of our FCs or DILs. My LLC is not registered in Ohio... I know other people had said they are having issues, but that has not been my experience. maybe I have just been lucky :)
Desi I had to set up a LLC in OH
By the way did you get those notes I sent you?
I've had a similar issue with LLCs from other states needing to file evictions. I imagine that you'd need your LLC to be registered in Ohio for foreclosures too. The good news is that it's a quick and easy fix. I believe the filing fee with Ohio is $125.00 and it doesn't take a ton of time (re: legal fees) for your attorney to handle. Turn around time from the State of Ohio is typically just a couple of days.
I actually had to do this to satisfy a lender on an apartment building purchase at the end of last year. We were under a very tight deadline to get everything done because the seller had a deadline to sell for 1031 tax deferred exchange purposes. Fortunately, we were able to get the foreign LLC registered on a quicker timeline in that particular case.
It makes sense if you step back. We're asking for an action against an Ohio citizen. Wouldn't it be logical that the State would protect its citizens from foreign civil actions? Internet lending scams have made these kinds of rules useful for protecting citizens from predatory practices.
Straight forward process. And of course there's a registration fee.
Thank you Wayne Snell, Don DeMarco, C. Timothy Murphy and Steve Hodgdon for the feedback.
It's great to have access to such a deep "well of knowledge".
I appreciate your input.