All Forum Posts by: Leslie Sultan

I'm wondering if anyone out there has successfully sued a buyer or seller for cutting you out of a commission.  I have a client/Broker who is in this boat (oral agreement ONLY, no written contract, just emails) and I'm looking for successful experiential tips.  Any and all suggestions will be greatly appreciated.  

Thanks.

Leslie Sultan, Esq.

The best way a Landlord can protect himself from personal liability is to own the property as a Corporation.  

While this protects the individual, it might require additional costs to form the Corporation, and if the property is not already in the Corporation's name, then there might be additional costs to transfer the property into the corporation's name and transfer all bills, insurance etc.  Also, financing from a lender might be at a higher interest rate and at less favorable terms for a corporation than an individual.  However, if a tenant is ever injured in a property owned by a corporation, at least the Corporation is the only entity exposed to liability, as opposed to an individual homeowner who may be exposed to personal liability.  

If you are an individual homeowner and are aware of dangerous conditions in the property, depending on the laws of your state, it might be considered "negligence" or even "gross negligence" to not repair them.  A hold harmless letter MAY protect you, but the hold harmless might need to state additional "consideration," such as a statement that the price of the rental has been reduced based on X defects and/or that tenant may use said reduction to pay for necessary repairs to the property as his or her sole cost and only through a licensed professional.*

Leslie Sultan, Esq.

*This statement should not be construed as legal advice.  Said statement is offered merely as a hypothetical suggestion to consider.

As an attorney who handles evictions for many homeowners, I can tell you that if not done properly, renting has the potential to be a total nightmare.  Tenants tend to be "judgment proof" making it difficult for Landlords to collect from non-paying tenants.  Depending on the Courts in the State and County the properties you are in, it could take many months to properly evict a non-paying or troublesome tenant.  

As such, I would always recommend employing a strict application and screening process when considering tenants.  Make sure to get copies of tenant's IDs (so you can properly name them in the event of an eviction) and retain copies of work pay stubs (in case you need to collect a money judgment from them if they do not pay).  

If done right, rental income from tenants can be the easiest income you ever make.  

Leslie Sultan, Esq.

[email protected]

Hi Ricardo

I am a real estate lawyer and I live and work in Brooklyn.  If I can be of assistance to you, please dont hesitate to ask.   

Thanks

Leslie Sultan

(917) 740-5789

[email protected]

From a legal perspective, the Landlord should retain the original. If you ever have to go to Court to evict the tenant, you will need to present the original to Court. If an original is not available, you will have to provide the Court with an explanation for why you do not have the original. Better to avoid that mess and keep the original.