My boss also owns a storage facility for large objects such as boats, campers, cars, etc. The problem is that he has one or two customers who won't respond to phone or mail asking for payment on their storage. We have a couple of items that have been stored for a couple of years and we are not getting paid. One owner was keeping us informed that he was having a difficult time because his wife had/has cancer and that he would pay when they get back on their feet. Well we havent heard from him in over a year.
In this instance, what can we do and how do we go about collecting or can we take possession of these items and sell them for back storage. How does this all work?
Thanks!
2007-09-26 03:37:16 · 6 answers · asked by MyKidsMom 3 in Business & Finance ➔ Renting & Real Estate
In most states, you can file a lien against the personal property. This works a little different state to state, but the jist is that you follow a set procedure over a course of time to assume the personal property as payment for their debt with you. You must give notice, typically a pre-lien notice, followed by a certified notice of lien. In most states the notice of lien must allow a redemption period and also in some states must specify a sale date. Also, again in some states, the items must be sold at auction or otherwise, meaning you can't move that set of table and chairs that they had that you like into your house that was taken as payment for the debt.
I have to go through this all the time. We have 120 units and 12 warehouse size (800 sqft) units. The key is notification but call your local court house and talk to the clerk for specifics.
2007-09-26 04:06:39 · answer #1 · answered by Property Doc 2 · 0⤊ 0⤋
Doesn't your boss address this possibility in his contract with people.
Some people know its cheaper to rent a space and then abandon the property than to dispose of it in legal fashion. Its exspesive to take big boats to the dump!
Call another chain like storage and ask them (like a potential client) what their policy is and the process if you should get behind.......they'll be glad to tell you and it usually involves publishing your default in the paper, getting a certified letter and then an auction occuring. Some chains actually have an auction 2 -6 times a year!
Good Luck
Open Book Advisorsâ¢
2007-09-26 12:17:21 · answer #2 · answered by Anonymous · 0⤊ 0⤋
you should check with the local authorities. in many cases after a period of time (which varies from state to state) the item can be sold by the person who owns the property that the item is on and that money is then theirs. they are behind on their payments and have not been responding. so he shoudl contact the police or maybe even a lawyer to see what actions he can take that are legal.
2007-09-26 10:46:32 · answer #3 · answered by somebody's a mom!! 7 · 0⤊ 0⤋
serve them with a 3 day pay or quit notice. if they dont pay then u need to take this to the lawyer, if people owe a considerable amoutn of money a lawyer can better advise you on the lagality of recooping funds.
2007-09-26 13:06:50 · answer #4 · answered by spadezgurl22 6 · 0⤊ 0⤋
i would check with a lawyer. i believe there items are now your property and you can take them to court and sue them. this would put a judgment on there credit report.
2007-09-26 10:51:22 · answer #5 · answered by jewls011 3 · 0⤊ 1⤋
lawyer/..........I assume it works like an apartment...........go to court.............you get to sell the property after a certain time period..........
2007-09-26 10:42:57 · answer #6 · answered by richard t 7 · 0⤊ 0⤋