How can there be such an obvious loophole in landlord-tenant laws?

[christos]

I have a rental in Utah and my tenants stopped paying rent back in July. They fed me lies to stall the eviction saying things like their parents are getting a loan and the rich brother will come along and help them out. I finally had enough of their stories and gave them the eviction notice. When they didn't leave, I hired a lawyer to file a judgement against them. Then that's when they filed for chapter 7 bankruptcy and because of the automatic stay, my judgement is stalled and they are allowed to remain living in my house for free while they settle their bankruptcy. All the while I'm losing big money in my investment and nobody can do anything about it. I'm essentially paying $1300 a month for a bunch of deadbeats to live in my house. So my question is why are the laws structured in a way to allow irresponsible and dishonest people to take advantage of honest hardworking people? And is there really nothing I can do to get my money back or get any sort of compensation? I know they have like 4 cars, but I'm sure I'm not the only creditor. My lawyers are not being very helpful and I don't trust them so that's why I came here to get a second opinion. </venting>

[vohkinne]

The bankruptcy laws are pretty debtor-friendly and so are most bankruptcy judges. However, it is possible that you can evict these deadbeats. It is the rule in most federal circuits that, once the landlord has declared a lease forfeited for nonpayment of rent, and commenced an eviction action, the tenant no longer has any interest in the rented premises, the tenant's interest in the lease is no longer "property of the estate" and therefore the automatic stay does not apply to an eviction action. Talk to your lawyer about whether this principle applies in the Tenth Circuit (the circuit that includes Utah).

[delron72]

Take the eviction notice and call the cops. have them throw the bums out.

Or you can get under handed and sabotage stuff like the plumbing and electricity. refuse to fix it.

[alleyne]

There isn't much you can do except deal with it and be more careful about who you rent to. Somteimes investments lose money.

[lathrop]

sell the key to the apartment to some black kids. im sure they'll break in and smash everything they dont steal.

[ardwyad]

"When a tenant files for bankruptcy, the "automatic stay" will prevent the continuation of eviction proceedings until the bankrupcy is resolved, or the bankruptcy court otherwise permits eviction proceedings to continue by lifting the stay. THIS MAY NECESSITATE BRINGING A MOTION BEFORE THE BANKRUPTCY COURT, ASKING THAT THE STAY BE LIFTED. (Caps added for emphasis)

Please note that while a bankruptcy action may result in the full or partial discharge of a rent arrearage, the tenant is obligated to pay any new rent obligations which arise from continued tenancy after the bankuptcy is filed. While it is still necessary to have the automatic stay lifted before proceeding with an eviction, bankruptcy courts are typically sympathetic to landlords in this position."


You can also have them evicted for safety or health reasons, if you can find anything they are doing that fits under that category. Be careful doing this, however, as they may get spiteful and trash the place before they leave, thinking the bankruptcy protects them. If they do this, you can file a charge of vandalism, provided you can prove the house was in good shape and was trashed after that date.

You can also stop paying the utilities. When the notice comes that they are turning off the gas and/or electricity, post it to their door and give them the option of paying the utilities. You aren't requesting a shutoff, but you aren't required to pay the utilities they are using. If they want to do something about it, they can pay the utility bills of go without light and heat.

One more thing - If they have four cars, you might as well call the car repo agencies in the area and check each of their VIN numbers for repo status Any that are in repo status can be reported to the agencies. This won't do anything for your eviction problem, but it would sure feel good. If they have four cars, they may likely be breaking the law for maximum vehicles per residence, or may be parking them illegally. Find out and report those things to the law enforcement in the area.