How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Barrister Your Own Question
Barrister
Barrister, Attorney
Category: Legal
Satisfied Customers: 37855
Experience:  16 yrs practice, Civil, Criminal, Domestic, Realtor, Landlord 26 yrs
19958803
Type Your Legal Question Here...
Barrister is online now
A new question is answered every 9 seconds

How can I hold tenants inventory and machinery too collect

Customer Question

how can I hold tenants inventory and machinery too collect back rent in commercial shop?
Submitted: 1 year ago.
Category: Legal
Expert:  Barrister replied 1 year ago.

Hello and welcome! My name is ***** ***** I am a licensed attorney who will try my very best to help with your situation or get you to someone who can. There may be a slight delay in my responses as I research statutes or ordinances and type out an answer or reply, but rest assured, I am working on your question.

.

Do you have a signed security agreement with the tenant where they have pledged the inventory and machinery as collateral for the lease?

.

How much to they owe you currently in back rent?

.

.

thanks

Barrister

Customer: replied 1 year ago.
The tenant owes about $16,000 in back rent. LESSOR'S REMEDIES ON DEFAULT- If lessee defaults in payment of rent, or any additional rent or defaults in performance of any of the covenants or conditions hereof, lessor may give notice of such default and lessee has 10 days to completely cure any default. lessor may terminate this lease. nothing about holding his assets. thanks jim
Expert:  Barrister replied 1 year ago.

Ok, unfortunately, unless you have a "lock out" clause in your lease that allows you to immediately retake possession upon a default or you have a written security agreement where the tenant pledges the business assets as collateral, you can't legally lien or seize their assets. You would have to sue them for breach of contract, get a judgment, and then you can get the sheriff to levy on any of the business assets, bank accounts, and maybe even the lessor's personal assets if they signed to be personally liable.

.

So your first step here is to sue them to get a judgment and then pursue collection of that judgment against their assets.

.

As an aside, in addition to being an attorney, I have also been a landlord for over 26 years...

.

I am very sorry that I don’t have better news, but please understand that I do have an ethical and professional obligation to provide customers with legally correct answers based on my knowledge and experience, even when I know the answer doesn’t make the customer happy...

.

.

thanks

Barrister