Bankruptcy Law Questions? Ask a Bankruptcy Lawyer Now.
Hi - my name is XXXXX XXXXX I'm a Bankruptcy litigation attorney. Thanks for your question.
Do you know if your landlord has a mortgage lien on the real estate you lease, or is it owned free and clear?
No, she has a mortgage lien. Something funny's going on because she got the rent one day late due to New Year's and has filed for dispossessory. I've always made sure payment was postmarked on or before the due date.
Ok. Thanks for the information.
The landlord or tenant (or actually, their trustee) can either:
If your landlord assumes the lease, you have to continue to perform all covenants or "promises" you made in the lease.
If your landlord were to reject the lease, then he would be liable for breaking the lease early. If the landlord-debtor rejects the lease, as you can:
IF your landlord hasn't rejected the lease or included the lease in bankruptcy, you can proceed with business as usual. IF the landlord were to try and reject the lease, you would be able to file a proof of claim against the landlord as a creditor for the obligations remaining under the lease.
If the landlord were to default on the mortgage payment, you would be exposed regardless of whether the landlord was in bankruptcy. Thus, the filing should not affect you as long as you stay current on your lease and as long as the landlord stays current on his mortgage.
Thanks so much. I had done some research on line, but this clears up my obligations.