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BK & damage to leased condo

Posted: Mon Dec 22, 2014 2:47 pm
by Yahoo Bot

Just because the damage may be dischargeable does not mean you can assume
this lease. In general a Debtor must cure or provide adequate assurance of
prompt cure if he would like to assume a lease. Depending on the Judge,
Debtor may also be on the hook for expenses incurred due to the bk like
LL's attorney fees.
In light of the contemplated bankruptcy, and if your client has been paying
rent on time, the landlord may be willing to work something out. Maybe both
parties contribute half and your client can remain on the premises.
Otherwise, the landlord is stuck repairing the whole thing AND will have to
look for a new tenant.
If landlord does not budge you should consider renting a new place before
filing for bk. While the credit is still good. My disclaimer is there may
be something unique about residential leases that I don't know about since
I typically deal with commercial leases.
Sincerely,
Michael Avanesian
On Mon, Dec 22, 2014 at 12:29 AM, lyounglaw@yahoo.com [cdcbaa] wrote:
>
>
> I have not come across this problem before: I meet Monday with a friend
> of a friend who is a potential client to get more information, but I
> thought if someone has dealt with this issue before, it would be helpful to
> find out options.
>
> Client has a lease on a condo; his girlfriend, who was living with him,
> left client, moved out and did about $30,000 worth of damage to the condo.
> The client is current on the rent, but the owner keeps asking about
> reimbursement for the damage because client is the only one on the lease. I
> dont know if the owner filed a lawsuit yet, but I know there is no
> judgment. My client wants to file a Ch 7 BK and list the owner as
> non-secured debt for the damages done by his girlfriend. The client wants
> to continue living at the condo and would like to assume the lease post-BK
> if he can. In this case, the damage was willful and malicious, but it was
> done by the girlfriend to cause harm to the client, not to the landlord.
> What BK options are available to the client when a third party is involved
> like this?
>
> Client doesnt have the resources to pay for the damage done by the
> girlfriend. But, if the damages are dischargeable, he will walk away from
> the place if necessary.
>
> I would appreciate any advice.
>
> *Laura E. Young*
> *Law Offices of Laura E. Young*
> *5090 E. Los Coyotes Diagonal*
> *Long Beach CA 90815*
> *Ph: 562-986-9900 *
> *Fax: 562-986-9100 *
>
> *Additional location: 2122 Broadway Santa Ana CA 92706*
>
> lyounglaw@yahoo.com
>
>
>
>
Just because the damage may be dischargeable does not mean you can assume this lease. In general a Debtor must cure or provide adequate assurance of prompt cure if he would like to assume a lease. Depending on the Judge, Debtor may also be on the hook for expenses incurred due to the bk like LL's attorney fees.In light of the contemplated bankruptcy, and if your client has been paying rent on time, the landlord may be willing to work something out. Maybe both parties contribute half and your client can remain on the premises. Otherwise, the landlord is stuck repairing the whole thing AND will have to look for a new tenant.If landlord does not budge you should consider renting a new place before filing for bk. While the credit is still good. My disclaimer is there may be something unique about residential leases that I don't know about since I typically deal with commercial leases.Sincerely, Michael Avanesian
On Mon, Dec 22, 2014 at 12:29 AM, lyounglaw@yahoo.com [cdcbaa] <
I have not come across this problem before: I meet Monday with a friend of
a friend who is a potential client to get more information, but I thought if
someone has dealt with this issue before, it would be helpful to find out
options. Client has a lease on a condo; his girlfriend, who was living with him,
left client, moved out and did about $30,000 worth of damage to the condo. The
client is current on the rent, but the owner keeps asking about reimbursement
for the damage because client is the only one on the lease. I dont know if the
owner filed a lawsuit yet, but I know there is no judgment. My client wants to
file a Ch 7 BK and list the owner as non-secured debt for the damages done by
his girlfriend. The client wants to continue living at the condo and would like
to assume the lease post-BK if he can. In this case, the damage was willful and
malicious, but it was done by the girlfriend to cause harm to the client, not to
the landlord. What BK options are available to the client when a third party is
involved like this?Client doesnt have the resources to pay for the damage done by the
girlfriend. But, if the damages are dischargeable, he will walk away from the
place if necessary.I would appreciate any advice.Laura E. YoungLaw Offices of Laura E. Young5090 E. Los Coyotes DiagonalLong Beach CA 90815Ph: 562-986-9900Fax: 562-986-9100Additional location: 2122 Broadway Santa Ana CA 92706
lyounglaw@yahoo.com

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