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Mohan Deep
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Tenant moved out, filed for bankruptcy

Mohan Deep
Posted

My tenant moved out but left a lot of damage to the property. After they moved out, they texted me saying that they filed for Chapter 13 bankruptcy and that I should contact their lawyer. They gave me the lawyer's phone number to call. After talking to a legal analyst at the lawyers office, she indicated that I cannot communicate with my ex-tenant. I have not received any official notification from anyone, yet and the tenant is non-communicative. I have their security deposit but the damages are 3x the security deposit. The property is based in Milwaukee, WI. I saw a lot of threads that talk about tenants filing for bankruptcy while staying in the property but this is a slightly different situation. 

My specific questions are:

1. Am I still required to send a security deposit statement showing the amount they owe to me? 

2. Is there any hope for me to ever recoup my loss? 

3. What are my responsibilities and duties as a landlord in this case? 

Appreciate your input. 

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John Underwood
#1 Short-Term & Vacation Rental Discussions Contributor
  • Investor
  • Greer, SC
17,028
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John Underwood
#1 Short-Term & Vacation Rental Discussions Contributor
  • Investor
  • Greer, SC
Replied

The attorney can't tell you to skip your legal obligation.

I'd send the statement to the tenant certified mail. You could send a copy to their attorney. 

You might be able to file a statement of damage and what is owed with the bankruptcy court. Then I would move on and not expect anything in way of restitution.

Count your blessings this person voluntarily left your property. 

  • John Underwood
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