Recent Answers to Real Estate Law Questions
I have found gas lines in my newly leased restaurant building that never had tge proper permits. The last restaurant owner went into bankruptcy. How could this happen? I am now being told that I have to pay $ 350,000 to make this right before i can open.0
Real Estate
Commercial Building Lease
Tennessee
There is also a large pizza oven that the property owner will not remove . Isn't it owned by creditors?
Fema B.
This situation should be reviewed before you agree to pay the $350,000. The first documents I would examine are your commercial lease, any landlord representations regarding code compliance or permitted use of the premises as a restaurant, the certificate of occupancy and permit history, and the notices or reports identifying the gas-line violations. Tennessee currently applies the International Fuel Gas Code to regulated construction, but the governmental authority responsible for permitting and inspection can depend on where the property is located. Whether the cost ultimately falls on you or the property owner will depend heavily on the lease. Commercial leases frequently allocate responsibility for code compliance, repairs, pre-existing conditions, tenant improvements, and governmental requirements differently. If the gas work predated your tenancy and the premises were represented as suitable for restaurant use, there may be substantial issues concerning the landlord's obligations, representations, and potentially your remedies under the lease. I would not assume that simply because the municipality is requiring corrective work before opening, you are contractually responsible for the entire cost. The pizza oven is a separate ownership issue. The fact that the prior restaurant operator filed bankruptcy does not automatically mean the oven belongs to its creditors. You would need to determine whether the oven was owned by the former tenant, leased, subject to a perfected security interest, abandoned or transferred through the bankruptcy, or legally became a fixture of the real property. Tennessee law recognizes separate creditor and priority rules for goods and fixtures, including circumstances in which a secured creditor may have rights to remove fixtures. Before removing, using, or disposing of the oven, I would review the prior tenant's bankruptcy docket and asset schedules, run a UCC lien search, and determine whether the landlord received title to or abandoned-property rights in the equipment. I would also obtain the complete permitting history for the building and have counsel review the lease before accepting responsibility for a remediation bill of this magnitude.
I have rent to own lease agreement the owner passed away and his conservator sold the property what can I do
Real Estate
Property Lease
California
I explained in the first box
Matthew K.
After the sale, did you continue living there and paying the lease amount? It's difficult to expand on my answer without reading the agreement (it cannot be oral). Assuming the agreement is what you say, you might consider recording a Lis Pendens on the property. That will get everyone's attention, I can assure you. Probably also consider a quiet title action. None of that advice is necessarily relevant; it depends on what the agreement says.
How to get my home equity after foreclosure
Real Estate
Property Deed
Texas
My home got foreclosed for 120 thousand and it's worth 250 thousand
Jerome L.
If your Texas home sold for more than what you owed, you may be entitled to what is called surplus or excess funds. These funds are held by the county or trustee after foreclosure. To claim them, you must file a petition for release of surplus funds with proof of ownership and sale details. An attorney can help confirm eligibility and make sure you recover the full amount before others claim it.
Do I need a building permit for installing a fence in my backyard?
Real Estate
Contractor Permit
Florida
I recently purchased a new home and I'm planning to install a fence in my backyard for privacy and security reasons. However, I am unsure if I need to obtain a building permit for this project. I've heard conflicting information from friends and neighbors, and I want to ensure that I am in compliance with all local regulations and codes before proceeding with the installation.
Jorge G.
That depends on your municipality. However, most—if not all—require a permit to ensure compliance with local code requirements for a fence. I recommend contacting your county or city building department to confirm the specific requirements before starting your project.
Can a release of lien be obtained without paying off the underlying debt?
Real Estate
Release of Lien
Florida
I purchased a property that had an existing lien on it, and the seller promised to obtain a release of lien before the closing, but now they are refusing to do so unless I pay off the remaining debt, even though the lien was filed against them, not me - I want to know if it is possible to obtain a release of lien without having to pay off the underlying debt.
Jorge G.
The standard practice is that any lien against the property should be paid off at or before closing. You should also have obtained title insurance, which generally covers liens that were not satisfied. You should have received a copy of your title insurance policy sometime after closing, and the lien coverage (or any exception) should appear on the policy. At this point, you should contact an attorney to review all of your closing documents and advise you on the best course of action.
Can an option agreement for real estate be terminated if the option holder fails to exercise their right within the specified timeframe?
Real Estate
Real Estate Option Agreement
Washington
I have entered into a real estate option agreement with a potential buyer, where they have the right to purchase the property within a specified timeframe. However, the option holder has failed to exercise their right within the agreed-upon timeframe. I would like to know if I have the legal grounds to terminate the option agreement and explore other potential buyers for the property.
Merry K.
Based on what you’ve described, once the option period has expired without the buyer exercising their right to purchase, the option agreement is generally no longer enforceable and you are free to market the property to other buyers. To protect yourself, review the exact language of the option agreement to confirm whether it provides for automatic termination upon expiration, and consider sending the buyer a written notice—ideally by both regular and certified mail—confirming that the option has lapsed and that you are releasing the property for sale to others. Please be advised that I provided this information for educational purposes, and no attorney client relationship has been formed.