Is the estate I administer entitled to money after foreclosure of a destroyed house? I am the administrator of an estate in upstate New York. Unfortunately, there is effectively no money in the estate which would allow me to hire a lawyer, so I'm hoping you folks can help. By the time I found out about the passing, the house had lain fallow for six months. There were break-ins, burst pipes, the cops had been called multiple times but openly refused to investigate (we actually had a voicemail where the police officer explained that they didn't bother investigating reports of looting for that property anymore) which also meant there was no way to file reports with the police to report the stolen goods because they outright refused to have anything to do with the place. The house had been refinanced six months before the passing. By the time I came on the scene, the house was in ruins and the refinancers were going crazy from lack of feeding- er, payment. I tried to ask for a stay from them, explaining the circumstances, and that I was trying to get the various paperwork and such in order. They conveniently lost almost every single document I sent them at their request, and when they did manage to track them down, would dispute them. Meanwhile, the insurance company (as an aside, we were more assuredly not in good hands, they made the whole process into a nightmare and if I had the money I would sue them for fraud) eventually paid out a check for the personal items and a check for the damage to the house. The former went into the estate account, the latter went to the mortgage company. A week before that resolution, the lenders announced that they were foreclosing on the property. An hour ago, I was served with the foreclosure paperwork. I don't particularly see anything that I could do to stop the foreclosure (in part because I'm not really sure what I could do, and I also live several states away so showing up in court would be difficult), and none of the heirs particularly wants the place, especially now, so there doesn't seem much point in fighting it. So. The money from the insurance company to pay for repairs for the house is a substantial percentage of the mortgage on the house ($45,000 on a mortgage of ~$110,000). Assuming the house is foreclosed upon and presumably sold, what happens to the money? Can the loan company do what they want with the money, use it to fix up the house? Or can they short sale it and pocket the difference? What are my options here? Is the estate entitled to any money left after selling the house assuming the sale price plus the insurance money is above the mortgage loan balance?
IANAL. I am not your lawyer. The following is not legal advice. The insurance company, regardless of how you feel about their process, has it appears, to have discharged their duties, namely they have paid out two separate claims. The personal property claim has been paid to the estate as the beneficiary, while the property claim has been paid out with the mortgage company as the beneficiary. The mortgage company seems, to me (disclaimer, I work at a financial institution, albeit in an IT role), to also be reasonable. Six months is an extremely long time without contact or payment (where I work, the loss mitigation department is sent all loans that are 3 months delinquent); the fact that you, the estate executor were not aware of the passing of the debtor is of no consequence. Also, many loans contain clauses that allow the lender to accelerate the loan (i.e. demand "immediate" payment of the whole outstanding balance). So they've started foreclosure proceedings, probably about 3 months ago. As for the foreclosure proceedings: The received $45,000 will be applied to the loan. The property (not just the house, but the entire lot) will be sold at public auction, as all foreclosed houses are in the state of New York. Proceeds from the sale of the house shall be applied to paying off the loan. If the proceeds exceed the outstanding mortgage amount, the estate will be sent the remaining proceeds. If the proceeds are less than the remaining amount, the estate is retains (i.e. owes) the remaining debt. EDIT: As an example of why the noting of jurisdiction is important on this stack-exchange, Nate Eldredge has informed me that in New York, it is possible for a judge to reduce the "remaining debt" of the estate by declaring that the sold house had a higher "fair market value" than it sold for.
we would like to know whether we have sufficient legal grounds to sever/terminate/exit this contract with Superior Management Co.*, if the company does not mutually agree to do so. No. In that event the HOA is stuck with the contract at least for the remaining part of the current period. The HOA's concern that the provider could breach the contract by significantly underperforming seems speculative and does not entitle the HOA to breach it first. Changes in the name and/or ownership of a party does not alter the parties' rights and obligations pursuant to the contract. This implies that neither party is entitled to disavow his obligations by terminating the contract altogether. For early &amp; unilateral termination to be an option, it would have to be provided in the terms of the contract itself.
If three people inherited a house in equal shares, then a new deed should have been prepared and filed with the appropriate governmental authority (the county in most US states) before probate is closed. When that is done the authority of the executors over the house as executors has ended. However, if I understand you correctly, the two former executors are also two of the three heirs to the house. Thus they own a 2/3rds interest in the house. At least they can sell their interests without your consent, leaving you a minority owner with the purchaser owner a majority. In some jurisdictions they may be able to force a sale, paying you your share of the purchase price. But this would be because of their majority ownership, not because of their former status as executors. Addition: In some states co-owners who are joint tenants may not sell their interests without the consent of the other co-owners, but this is jnot true in North Carolina According to the site of the Hutchens Law office: ownership as tenants in common provides each party with the right to sell, gift, devise, or otherwise convey their interest in the property without the permission of the other owners. This means that the ownership interest is freely alienable or transferable. As a result, an owner may sell or give their interest in the property to anyone they want, or they may willingly or by judgment use their interest in the property to secure or satisfy a debt with a creditor. Therefore, parties entering into an agreement to purchase property as tenants in common should be aware that they may ultimately end up owning the property with a stranger. If this were to happen, there is a way out, but it may be costly. At any time, if the parties can't agree, any owner may petition the court for a partition of the property. The court could require one owner to buy another out or force the sale of the property. The court will decide the ultimate outcome based on equity. ... [I]f the intent of co-owners holding interest as joint tenants is to automatically transfer their interest at death to the survivor, the language must be on the conveying instrument as right of survivorship is not automatic with joint tenancy in North Carolina and if the language in not included, the decedent's interest will pass to his heirs. ... However, any owner has the right to convey their ownership interest during their life; and if they do, the survivorship agreement ends, and owners simply become joint tenants by operation of law. In North Carolina there seems to be little practical difference between co-owners who are tenants in common, and those who are joint tenants without a right of survivorship. But whichever form of co-ownership is chosen: tenants in common, joint tenants without a right of survivorship, or joint tenants with a right of survivorship, each of the co-owners has a right during his or her lifetime to sell, give away, or use as collateral on a loan his or her share of the property, without consulting the other co-owners. They cannot force the other co-owner(s) to sell, except by starting an action of partition in a court, when a judge would decide. An unrelated buyer might be unwilling to purchase only a 1/3 or 2/3rds interest, because the remaining co-owner(s) would still have full rights to use and occupy the house, can could sell to a different buyer. All co-owners are responsible for their proportionate shares of all expenses, including mortgage payments, repairs, and taxes.
Unfortunately, your relative is more in the wrong here First, the COVID situation does not change anyone's rights and obligations under a contract (see What effect does an event like the current Covid-19 pandemic have on contractural obligations?). So the landlord (through their agent) is obliged to provide the property and your relative is obliged to pay the rent and to occupy the premises (most residential leases contain a requirement for the tenant to live in the premises and not leave it empty). Your relative (through you) has indicated that she will be in breach of her contract. The agent has considered her position and has offered two (IMO generous) alternatives: Allow her to continue with the lease without taking possession providing the rent is paid. To release her from her obligations under the contract and return the rent. To put it in perspective, if your relative simply "walked away", she would be liable for the rent until a new tenant was found and, if that new tenant was paying less rent than she was, the difference for the duration of the lease plus the costs of finding a new tenant - advertising, agent's fees (usually 1 month's rent) etc. Now, the landlord has an obligation to minimise your costs so advertising the property could just be prudent. However, if they lease it when your relative's contract has not been properly terminated then it is they who are in breach. Surely they can't take the rent and offer to re-let the property at the same time? Surely they can. What they can't do is relet the property without properly terminating your relative's lease. Would they even be entitled to retain the deposit under these circumstances? Absolutely. The deposit is to cover their losses if your relative breaks the lease - as she has indicated she is going to do (this is called anticipatory breach). Finally, I'd rather not go down this route but is there any protection for my relative for not being forcefully 'evicted' - since she's paid the deposit, rent - and those haven't been returned? Having never taken possession, she is not being evicted.
There are two very important points you should keep in mind here: You are not under any obligation whatsoever to investigate the owner of a vehicle parked on your property. You have full rights to tow any unauthorized vehicle off of your property. So, by far the easiest thing for you to do is to shift all responsibility off of yourself. Make it somebody else's problem. Try the police first. The safest thing you can do is simply dial 911 (or try to find a non-emergency number if you live in a major city, but Nebraska suggests just calling 911 directly) and report the abandoned vehicles to police. Their process for declaring a vehicle abandoned can take a bit longer (takes seven days in Nebraska). Essentially they'll document the vehicles' location and tag them, and probably run the license plates (if they come back stolen, they'll be towed by law enforcement immediately). Then they'll come back seven days later and, if the vehicles are still there, have them towed as abandoned vehicles. Law enforcement will sometimes only respond to private parking complaints that are actually on paved surfaces, and it sounds like these vehicles are just parked out in the middle of a field somewhere, so they may not actually care. But it doesn't hurt to check. If that fails, just have it towed. If law enforcement says it's ok or doesn't care about the vehicles, the next easiest thing for you to do is to call around to different tow companies, and see if one will tow it off your property for free in hopes of recovering tow costs and other fees from the actual owner of the vehicle, or through sale of the vehicle if it's never claimed. Let them do all the research and contact the owner, or report the vehicle to the police if necessary. You don't need to do any of the work yourself. Sure that doesn't get you any money, but any scenario that gets you money will be a very long process and it sounds like you just want the vehicles gone. You do not own the vehicles. The previous owner saying you bought the vehicles with the land is blatantly wrong. Ignore him, completely. By that logic, someone buying an apartment complex would subsequently take ownership of all vehicles on its private parking lot. That's not how vehicle ownership works in any state, and you do not own the vehicles, nor do you have any right to dispose of them. Even if the vehicle is abandoned, there is still a legal process that must be followed to claim ownership of an abandoned vehicle with the state. Unless you really want to take ownership of the vehicle, those processes are probably way more time and effort than you're willing to expend (usually resulting in years of waiting). Taking it to a scrap yard could be very bad for you. Since you do not have ownership of the vehicles, you definitely should not take them to a scrap yard. Destroying the vehicles without giving a person the chance to come claim the vehicles could get you into a lot of trouble. You're basically destroying someone else's property. If the person came back looking and found out you destroyed them, they may even be able to press charges against you, the scrap yard, or a combination of both (a Class IV felony in Nebraska, since vehicles are worth more than $1500). As an aside, any legitimate and reputable scrap yard should outright refuse to destroy the vehicles for you, because you won't be able to provide them with any documents that verify your ownership of the vehicles. Make sure you don't destroy the vehicles in any other way, though. Again, shift the responsibility. Don't put yourself into situations if you don't have to. Law enforcement and tow companies deal with this stuff every single day, and are much more qualified to handle this situation in a legal way than you are. Let them take all the responsibility off of you, and don't worry about doing anything yourself. It will make sure you don't do anything illegal, and thus don't open yourself up to repercussions later on down the line.
From a comment on the question: They did damage the trailer door and headlight is smashed This seems like the best thing to focus on, especially if you can show that it was not damaged before they towed it. The unusual method of towing (with video evidence) may be a factor in whether they are considered negligent. If the damage to the door looks like they caused it directly by breaking in, that would also help your case. You also asked in your comment if you should go to the police or to a lawyer first. Might as well go to the lawyer and see what they tell you to do. I'm not sure what the police would do if there is no clear crime that has been committed. (The lawyer should have better advice about whether/why to go to the police.)
Disclosures are prescribed by state law. Fair housing, which is a federal concept, pertains to issues such as using prohibited personal facts to determine whether to accept an offer. (Hazardous materials disclosures are also mandated at the federal level, but are are included in state requirements which can get pretty broad). If you are buying in Washington state, RCW 64.06.020 says what and how you must disclose. The list of disclosures is very detailed, covering title and covenants, water, sewer, structure, systems and fixtures, environment, and mobile home related. The only one of the 86 questions about smoke is whether smoke alarms are present. Thus smell of smoke is not a legally material fact that must be disclosed, in this state. The California disclosures, even longer, are here, and there is likewise no "smells bad" disclosure. It is unlikely that any state in the US mandates such a disclosure, since it is somewhere between a subjective evaluation and a self-evident fact. Some people are very sensitive to certain smells while others do not care. The burden is on the buyer to pursue matters of personal concern (in writing!), such as whether any dog has been present in the house in the past 5 years (some people care). You have to look carefully at the response. "Don't know" is usually a safe bet, unless you actually have factual knowledge. From what I can determine, Massachussetts is on the opposite end of the spectrum from California. There are some requirements imposed on real estate agents, and there is the federal lead paint disclosure, but otherwise it appears that nothing is mandated by law. This form seems to be used by the real estate association, and there is a question about "history of smoke/fire damage to structure". The reasonable interpretation of that is "has the house caught fire and suffered damage", so "no" from a cigar-smoker would not be fraudulent. If the intent of the question were to reveal if someone has smoked frequently in the house, that would he the question they'd ask. You can check whether you have this form and see what it says, but "smoke damage" would not normally be interpreted as meaning "smells a bit funny".
Often, evictions are bifurcated. An initial hearing determines all evidence necessary to determine if there is a default existing sufficient to justify an eviction, and if so, the eviction goes forward immediately despite the fact that not all issues in the case have been resolved. A later hearing resolved the precise dollar amount of any damages claim. If the grounds for eviction is non-payment of rent, and the amount of payments or the amount of obligations of the landlord that can be setoff against the rent due exceeds the amount of rent found to have not be paid, then it is a defense to an eviction in the initial possession phase. If the counterclaim is smaller than the amount of rent owed (or cannot for some reason be set off against the amount owed) then it is only at most, a setoff against a damages award in favor of the landlord. I'm have not researched, in particular, how this is handled in New Jersey, but I am providing this answer on the theory that some insight is better than nothing. For the purpose of this question assume the landlord does not dispute the tenants underlying claim. His only argument is that the tenant should counter sue and that it should not be raised as a defense for non payment / stop the eviction. If this is true, it is both an affirmative defense to the eviction claim and a basis for a counterclaim in most cases. The better practice would be to raise it both ways in the same lawsuit. But, if the counterclaim is not sufficient to overcome the claim that rent is owed and not paid in full, or triggers some other different alternative ground for an eviction (e.g., maybe the lease provides that application of a security deposit against rent owed is itself an event of default), then that wouldn't prevent an eviction.