BK filing and Landlord notices

[ccsjoe]

Nice of him to kind of kick you while you are down. What is a few hundred dollars to him in the long run? Even if filing BK meant he was no longer gonna get JACK then you would have to leave and he would lease to someone else. I am glad he did not freak out on you totally and ask you to leave. I hope he gets over his jitters soon and as you say maybe he will just let this all go when you are status post discharge.

He would not have been able to "ask" me to leave...I have an 18-month lease under CA state law with no BK clause and severe breach of lease consequences...I drew the lease myself, he signed it...lol. But as I said earlier, yes, hopefully he will realize that this really did not affect him and that he needs to chill.

[nomorebills]

Wow! I just sent out my statement of intentions to my landlord and she's listed on Schedule G and matrix....Hope I have no problems with her. I'm current with my payments and intend on staying to the end of the lease terms with out any problems....I better get on the (phone/email) with her now to stop the drama before there's drama!

[ccsjoe]

Good luck, hopefully your landlord has a bit more of an idea regarding bk than mine. I've identified that my LL's issue was lack of education; he assumed my filing bk meant I was broke, close to destitute. So I've taken it upon myself to attempt to educate him. So far no reply to the last educational email I sent him 4 days ago. I guess no news is good news but it would be nice to know where he stands.

[SweetGeorgia]

We had a lease, but didn't list the landlord because it expired months ago and went to month-to-month. And my mother lives there, not us. That was my reasoning, anyway, but I was happy to leave the guy off because he freaks out over everything.

Plus the guy knows nothing about law and cares less. The first month, he had the water disconnected because we didn't switch the account over fast enough. That's illegal even in this state.

[ccsjoe]

Hey all,

Just to update on this issue here. After much educating my landlord on BK, and how it will not affect him, and making my attorney available for a few minutes on the phone with him, he finally stated that he understands that once we get our discharge, the risk to him will be less than when he signed the lease and it would be foolish to request more deposit in the face of decreased risk.

Finally! Didn't want to slap him with the California Civil Code or point out how he was in breach of lease demanding additional money...

[tyson24]

I am a landlord and would not be freaked out if my tenant told me he was going to file BK. As long as they pay me (and they can inside of BK) I would be fine. This of course, would all be only because I know about BK and I am filing on a rental. When the time comes, I will notify my tenants. When they inquired about paying me because they know the house is in foreclosure, I explained to them that they would have basically a 6 month notice, and they could maybe get cash for keys if they stayed. I told them if they wanted to get stupid and not pay, I would kick them out per our 30 day month to month lease agreement.

They shut up really fast

Arm your landlord with knowledge (I am sure he is doing this as we speak) and he will be fine.
Good luck to you!

[backtoschool]

Leases can be discharged in bk, so of course landlords will freak out about it. I left my lease out of all paperwork and did not list my landlord. My landlord never got a notice and it was one less thing for me to worry about when I was filing.

[kartoons19]

Congrats Joe, glad to hear it worked out for you!

[ccsjoe]

Arm your landlord with knowledge (I am sure he is doing this as we speak) and he will be fine.
Good luck to you!

That was the point of my closing here, was that after wrangling and much educating him, he finally simmered. Education is indeed power.

[tyson24]

Yeah the big bad BK word scares the crap out of some people. It's like they automatically think you have NO money LOL

Glad things went well Joe!

[gman]

What is the downside to NOT including the lease on Schedule G and the Creditor Matrix?

Unless I am missing something, the worst thing that might happen is that the Trustee asks that it is added.

Best case is that there are no objections.

Am I missing something???

[ccsjoe]

What is the downside to NOT including the lease on Schedule G and the Creditor Matrix?

Unless I am missing something, the worst thing that might happen is that the Trustee asks that it is added.

Best case is that there are no objections.

Am I missing something???

Technically, even though the lease is not a credit facility, you have to list it as an executory unexpired lease since it 1. affects your cash flow, and 2. provides the basis for exempting or at least explaining the security deposit (if the deposit was a recent enough transaction, which in my case it was).

Practically, I have never heard of a trustee questioning why someone did not list a lease or not, other than 1 reference where there had been a recent move, hence recent security deposit that showed up on the reviewed bank transactions. Schedule had to be amended, etc.

In my case, we had agreed to leave lease out of filing due to easy fix if questioned about security deposit until one of the paralegals screwed up and put it in writing on an email, effectively putting in writing that we were conspiring to omit known information from the filing. Although unlikely that it would ever get out, it became an understandable matter of CYA for my attorney, which is why we listed it.

[gman]

I wonder what happens if you list the lease and the deposit, but do NOT list the property management company on the creditor matrix?

Will this keep the property management company from being notified?

I am current on my lease and have never been late. I have many months left on the lease and I'd rather not make this an issue with them for now, or for my chances at continuing at lease end.

Ideas?

[ccsjoe]

I wonder what happens if you list the lease and the deposit, but do NOT list the property management company on the creditor matrix?

Will this keep the property management company from being notified?

I am current on my lease and have never been late. I have many months left on the lease and I'd rather not make this an issue with them for now, or for my chances at continuing at lease end.

Ideas?

Read my PM to you, bottom line answer is read my first post on this thread, answer is no, do not list lease and deposit, especially if deposit is outside lookback window. Do not get PM company notified.

[kartoons19]

Gman, I listed my landlord under contracts when I filled out my paperwork, but after speaking with my attorney, she said that since I was current they would not need to be notified and she did not list them under contracts on the final documents. I had just renewed my lease two months prior to filing. The $50 deposit I have with them was listed as an exemption. Since I have never been late with rent and don't plan on being late in the future, my attorney said is was no problem to leave them off of the filing matrix. So far everything has worked out well.