Contract for Deed, dating couple split

[helpmefast]

What is the name of your state? MN

About 4 years ago, my sister and her boyfriend entered into a contract for deed together. Well, you know what comes next, they split up. He left about 6 months ago and did return about a month later to pick up his personal belongings. Today, she came home and there are items missing... value over $10K. He left a note saying he took 'his things" was left inside the house. Also, in the mail, was a letter from his lawyer saying she had 2 weeks to pay him $20K or the property would be listed for sale.

During the time they were together they ran a home business. He handled the paperwork and she did the services. They shared one bank account with his name on it only. He was paid an amount of money to buy him out of the business 5 months ago. An amount that they both agreed would settle things.

What rights does he have here? The police were called and a report was filed. If a person abandoned the property and the deed do they really have rights to it? Both of their names are on the contract at this point.

Any advice?

 

[divgradcurl]

What rights does he have here? The police were called and a report was filed. If a person abandoned the property and the deed do they really have rights to it? Both of their names are on the contract at this point.

This isn't clear -- who's names are on the deed?

 

[helpmefast]

My sister and her ex-boyfriends names are both on the contract for deed.

 

[divgradcurl]

If the payments on the contract are up-to-date, they both have the right to occupy the premises. The fact that he left the note inside the house is irrelevant, because, based on what you have written, he has a right to enter the house.

Also, in the mail, was a letter from his lawyer saying she had 2 weeks to pay him $20K or the property would be listed for sale.

How can they list the property for sale? If the contract isn't fully paid off, neither he nor your sister actually own the house, so neither has the right to sell.

He was paid an amount of money to buy him out of the business 5 months ago. An amount that they both agreed would settle things.

Was this in writing? What "things" were to be settled?

What rights does he have here? The police were called and a report was filed. If a person abandoned the property and the deed do they really have rights to it? Both of their names are on the contract at this point.

There is an obligation to pay for the property under the contract -- you can't just walk away from that responsibility. Based solely on what you have written, it sounds like both your sister and her ex are on the contract, and his leaving isn't going to change that.

If they had a settlement agreement, and it was written, then that might have some bearing -- but even if he did agree to "give up" his rights to the property, the question is, did the holder of the contract give your sister and her ex the right to modify the contract?

 

[helpmefast]

Thanks for the info!

The letter from the lawyer did state they would put the property up for sale if the money wasn't received. I didn't understand how they could do that either without it being fully paid off.

I don't know the specifics on the business deal. I know nothing was in writing, just a verbal agreement to dissolve the business. She would take over the business and he wanted no part of it anymore. The letter from the lawyer acknowledged that he did receive those funds but did not state what they were for or in settlement of. Nothing more was mentioned about the business in the letter.

The owner of the contract, as far as I know, hasn't authorized anything. The contract remains with both names on it.

They split up property, again verbal agreement, nothing in writing. He took everything they had agreed he should when he got his belongings approx. 5 months ago.

She was left with the real estate, a car (she is on the title), lawnmower, tractor and a trailer. He took the lawnmower, tractor and trailer and a horse. Of course, none of those things have titles. I guess I'm asking if he still has the right to that property? I hope I am misunderstanding, that you are saying he has every right to come and take whatever he wants for as long as the Contract for Deed lists both of them and has an outstanding balance?

The police came and took a report and said they would investigate to see if they could locate the property. Is she just out of luck? Is it 'possession is 9/10 of the law' here?

 

[divgradcurl]

They split up property, again verbal agreement, nothing in writing. He took everything they had agreed he should when he got his belongings approx. 5 months ago.

It's oftentimes difficult to prove just what exact a verbal agreement covered when a dispute comes up -- that's why you do things in writing. Too late for that now, here, of course. Plus, if they "verbally agreed" about what to do with the house, that is irrelevant anyway because any agreements or contracts concerning real property must be in writing.

'm asking if he still has the right to that property? I hope I am misunderstanding, that you are saying he has every right to come and take whatever he wants for as long as the Contract for Deed lists both of them and has an outstanding balance?

I didn't say that at all -- I didn't say anything about personal property. What I said was the he had a right to enter the house, that's all. He has a right to enter and occupy the house so long as he is on the contract.

The police came and took a report and said they would investigate to see if they could locate the property. Is she just out of luck? Is it 'possession is 9/10 of the law' here?

She can sue him in small claims court for the value of the things he took, Without any written agreements, it may be tough to prove what he was and was not entitled to take. The phrase "possession is 9/10 of the law" has no legal meaning whatsoever.

 

[helpmefast]

Oh thank God I misunderstood you!

This morning the police told her that when they interviewed him last night he said he took her things so she would pay the $20K. When he received the money he would give them back. According to his statement to the police the ex and my sister agree on what was said in the 'verbal agreement'. I'm hoping that the police reports will reflect that because that's the only documentation we've got. We are hoping to press some sort of charges here. My first thought was grand theft and burglary. My sister is speaking with her attny this AM. She is also checking into a restraining order.

This was a very messy relationship. They had been dating for nearly 10 years and it was filled with abuse. She fears for her safety. She really thought it was over since she hadn't heard from him in so long.

As far as the contract for deed goes, I imagine the next step would be to have his name removed from it with the permission of the owner.

 

[nextwife]

She does have an equal responsibility to the Vendor in the transaction, as to payments and default. She is NOT entitled, legally, to just walk away and simply expect her X to be LEGALLY fully responsible. The seller is entitled to the payments, regardless of whether they broke up. Their break up is not the seller's problem.

 

[VeronicaLodge]

wait he openly admitted to the police he took her stuff hostage for money? isnt that extortion? shouldnt the police have file a report or even arrested him at that point?

 

[helpmefast]

Yes, he admitted to the police that that was why he took the stuff.

We spoke with the attny that drew up the letter asking for the money or the property would be listed for sale. He said they did NOT discuss him taking property to ensure payment. He was quite shocked that it happened.

Haven't heard a thing from the police as far as the whereabouts of the items taken. The restraining order was served this afternoon.

 

[helpmefast]

Update

Well, just posting an update.

The ex provided canceled checks for the items he removed from the property (they shared a checking account with his name on it) The police have dropped charges and dismissed it at a domestic disagreement.

The ex maintains that his lawyer told him to take the items until payment was received. His lawyer denies this.

We are still exploring what her options are. We did find out that he didn't take the items on his own. He had the help of 3 other men. At this point we aren't sure if there is anything we can do about that either. Accessories? Not sure.

We have another meeting with the lawyer on Monday. His suggestion to us was to not pay him anything as he does not have the right to list the property for sale. And until the tractor and lawnmower, trailer and horse are returned there should be no further discussion with the ex.