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Lawyer's Letters--Raising the stakes * Landlords and Property Managers need a POLICY on These Letters!

Reblogger Wallace S. Gibson, CPM
Property Manager with Gibson Management Group, Ltd.

I'm REblogging this post becuase this is something that property managers and landlords have to deal with on a regular basis.

Like BBB complaints, I never respond to lawyer letters.  I received one this summer about a withheld security deposit and in their letter, the attorney indicated I could ONLY respond to them via e-mail.  After 20 days, my former tenant wrote me also and I did not respond.

If she has a case, her attorney - whose office is 2 hours from the county where she would have to file her $1,200 claim - should file a lawsuit.  I will then - at much reduced cost - file a COUNTERclaim and move the trial venue to the court that is a 30 SECOND walk from my attorney's office.

Here Kitty!  Kitty! Kitty!

Original content by Elliott S. Topkins

Lawyers are often the focal point of disputes between neighbors, family members, business associates and virtually any combination of personalities. While it is not always the case that people use my services for non-confrontational matters [estate plans, home purchases or setting up businesses], people many times consult with me, because they are unhappy with a situation and want resolution.

I cannot tell you how many times people have consulted with me, and the first thing they wish to do is start a lawsuit against another person or entity. I can tell you, from many years of experience, that lawsuits are almost always much more expensive for the litigants than at first imagined, and almost never produce the result which was sought when they are begun. The old adage that the only people who really “win” in litigation are the lawyers is sometimes true. On the other hand, many lawyers reach a point where they cannot, in good conscience, continue to bill their clients for the extended delays and machinations that characterize litigation, and billings arrangements are many times modified by lawyers, so that even the lawyers do not do well in the litigation arena.

This introduction leads me to a discussion of the efficacy of “lawyer’s letters” so-called, as a means of resolving disputes. My experience in disputes is that there are three “magic moments” in the course of a dispute, which may give rise to resolution. The first is the receipt of the very same “lawyer’s letter”. The second two are the receipt of a summons and complaint from a Sheriff or Constable, and the third is the date of the trial on the merits [usually extremely remote from the first two events].

When I write a lawyer’s letter for a client, I am trying to demonstrate to the person, or entity, to whom I am writing that the matter in question is “serious”.  I interview my client with the same precision as I would to file a lawsuit. I try to make sure I have all of the facts correct, and the sequence of events correct. That level of preparation, it itself, may have the desired effect. The other person knows that there is really not much left for me to do to start litigation. In effect, I have “raised the stakes” of the dispute to a level that makes the other side more likely to respond.

The other important part of my lawyer’s letter is I give the addressee some options which will be short of litigation. Normally, I do not threaten suit. I want the other side to understand that this matter can be resolved. I am not trying to paint the other side into a corner. In effect, I am doing just the opposite. I try to frame a solution whereby each side “bleeds a little” and they can move on.

Many times, I can achieve resolution by suggesting a mediation of the dispute. Many times, the other side only wants a fight. In any event, I suggest that it is always worth an initial effort to resolve matters short of a lawsuit, and that is what I always advise my clients.

 

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Wallace S. Gibson is a Certified Property Manager with over 50 years of property management experience and expertise.  She maintains a specialized property management business in Central Virginia serving Albemarle, Greene, Fluvanna and Louisa counties  

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Comments(4)

Donne Knudsen
Los Angeles & Ventura Counties in CA - Simi Valley, CA
CalState Realty Services

Wallace - So, are you saying that you are confirming Elliot's claim that "the other side only wants a fight"?  Just trying to understand the purpose of why a property manager would take this course of action.

Dec 27, 2011 10:27 AM
Wallace S. Gibson, CPM
Gibson Management Group, Ltd. - Charlottesville, VA
LandlordWhisperer

Donna * I have an offer in compromise wording for my deposit return statements.  If they want to file a lawsuit, I can COUNTER file for additional funds and WIN....when ex-tenants go to an attorney, the attorney rarely knows what the wording means so making demands and treats ALLOWS me to get a "peek" at their position AND I can COUNTER file at less cost.....

My point is that I know my would-be case and the other attorney does not.  My policies and procedures are solid so my response is unnecessary.

 

Dec 27, 2011 10:54 AM
Michelle Francis
Tim Francis Realty LLC - Atlanta, GA
Realtor, Buckhead Atlanta Homes for Sale & Lease

Wallace, 

Love it!  We are continuing to improve our policies and procedures.  So far, not used.  

I do appreciate Elliott's point that only the attorney's win in too many cases.  Resolve it quickly and keep it simple - prolonged dragging it out will cost a fortune and is rarely WORTH it.

All the best, Michelle

Dec 27, 2011 11:46 AM
Wallace S. Gibson, CPM
Gibson Management Group, Ltd. - Charlottesville, VA
LandlordWhisperer

Michelle * better disgruntled client/tenant talk to an attorney than harass their agent or property manager.

When the "letter" does not get a reaction and the reality of a lawsuit becomes the only answer, doing nothing is often better......attorneys do not work for FREE

Dec 27, 2011 01:25 PM