Re: Buyer threatening to sue - Posted by B.L.Renfrow
Posted by B.L.Renfrow on July 01, 2001 at 12:42:00:
“The lender also called the seller saying that they are thinking about calling the loan due. They (lender) are okay with the buyer being in the house, but not with the profit I am making.”
Who told you this? Let me guess…maybe the seller? Hmmmm…think you can believe ANYTHING he tells you?
Now, it IS possible that the seller, or the T/Ber, in trying to cut you out of the deal, did notify the lender that the property is leased by you with the option to purchase. The existence of a purchase option probably does violate the due-on-sale clause on the existing loan. But would the lender realistically call due a performing loan for NO OTHER REASON than the seller entering into a purchase option? Highly unlikely. And the lender most certainly wouldn’t give a hoot about any profit anyone else might make on sale of the property, as long as their loan was paid off.
“The buyer is now threatening to take me to small claims if I don’t assign him the contract.”
Take you to court for what? Making too much profit? I wouldn’t give that argument more than 30 seconds in front of the judge.
"He say’s I have three days in order to comply or I will be assimulated or something to that nature.
What would you do?"
Well, if I thought assimilation was a possibility, I’d be calling Starfleet Command to request some of those nanoprobes to use against the Borg. Or maybe Species 572, or whoever it was, that was able to defeat the Borg and prevent assimilation. I most definitely wouldn’t want to be running around the galaxy with those nasty Borg implants.
In all seriousness, these clowns are working in cahoots to steal your profit. They are no better than con artists who prey on the elderly or weak. This is no time to be kind or weak. It’s time to draw the line in the sand and arm your weapon.
As the others have suggested, I’d do this…first thing tomorrow:
Go record a memorandum of option as soon as the clerk’s office opens (if you have not already done so). It may or may not have much effect, but it certainly can’t hurt anything.
Serve notice to terminate the T/Ber’s tenancy immediately for the multiple lease violations. I would not give them the opportunity to correct it, unless required by law. This guy has demonstrated already beyond a shadow of a doubt that he’s trouble. This is not someone you want to be dealing with.
Send (or have your lawyer send) the cease and desist letter to the seller as outlined below.
Make absolutely certain you are in compliance with every letter of your lease and option agreements with the seller, so he can’t claim YOU are in default.
Document and record EVERYTHING. Make notes describing phone calls, conversations, hang-ups, etc.
If you are unsure of your ability to handle this yourself, it might be time to turn it over to your attorney, or find one, if you don’t already have one lined up. It would be money well spent, when you’re talking about a $20k profit.
When you are able to get this T/Ber evicted, I’d try very hard to find a CASH buyer, or even consider getting a loan myself in order to get the lying, cheating, untrustworthy seller out of the picture for good. You don’t want to be dealing with this jerk any longer than necessary.
If either of these bozos do file suit, be sure to show up and defend yourself. From what you’ve presented, their arguments will get laughed out of court faster than they can say, “But…yer honor…” Again, if you’re uncomfortable with any part of this, hire an attorney to represent you.
Unfortunately, dealing with scumbags like this is part of the business. I myself have a tendency to trust people, and give them the benefit of the doubt when I should probably be reaching for the ammunition, so to speak. But my tolerance for sorry canned excuses is growing thinner all the time…sad to say, at the expense of MY profits. Don’t let these morons intimidate you out of what is rightfully yours.