William T. Burden
William T. Burdin
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Licensed in MA and NH
William T. Burden
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Real Estate Law
The Law Office of William T. Burdin provides prompt and efficient legal services for residential and commercial real estate transactions

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In some situations, property owners can benefit from a lawyer’s help.  Learn when to consult an attorney.

If, like many landlords, you own or manage only a few rental properties, you are unlikely to have a lawyer on staff or even “on retainer” (where you pay a lawyer in advance to handle routine questions and issues). Fortunately, you shouldn’t need to constantly consult a lawyer or even keep one in the wings, “just in case.” You do have to be able to recognize those situations when expert help is needed -- even if it's just for some advice and coaching.
Landlords are fundamentally no different than any other type of business owner -- they aim to make their business profitable while steering clear of liability In certain situations, hiring (or consulting with) a lawyer to help you achieve these goals is a smart move. Here are some of the most common scenarios that will benefit from a professional’s review or help.

Buying or Selling Property

Buying or selling property may be common, but it's filled with more complexities and legal risks than many people are aware of, especially if that property also has a business (such as a building full of tenants) that goes along with it.

A lawyer knows the steps and can walk you around common pitfalls, from negotiation to closing. For example, a lawyer can help resolve environmental or structural issues that come to light in an inspection report, and can commit the seller to removing liens, mortgages, judgments and tax levies to ensure you get "clean title" -- that is, ownership that's free of claims.

Evicting a Tenant

In most states, an eviction lawsuit takes much less time than regular civil cases. But in exchange for expedited treatment, landlords must follow highly detailed rules, from notifying the tenant of the lawsuit to filing the right papers and forms. In addition, because it’s the tenant’s home that’s at stake, many judges will set the bar very high when it comes to ruling in the landlord’s favor. Winning an eviction lawsuit, even one that you’d think is a slam-dunk, isn’t so easy.

Sued for Injury or Illness

If a tenant or guest sues you and claims that she got hurt or sick because of your carelessness, you'll almost certainly want to hire a lawyer to defend you.  Personal injury cases are typically high stakes, and personal injury lawyers know their way through these cases much better than you do. Also, you may find it difficult to confront a tenant who has suffered a serious loss, even though you believe you should not be held responsible.

Any lawyer you hire will be emotionally detached from the case and experienced in effectively negotiating these types of situations. Fortunately, if you have liability insurance and pay your premiums, your insurer should provide you with a lawyer to defend you against personal injury claims.

Sued for Major Property Damage

Tenants or guests may also sue you if they think that your failure to maintain the rental property caused damage to their property. For example, if you don’t maintain the roof and a leak occurs during a normal winter rain, soaking the tenant’s furniture, the tenant may look to you for compensation.

In situations like this, your liability policy would also kick in. When the claim is high, you may decide to refer the matter to your insurance company and take advantage of its obligation to provide a lawyer. When the claim is low, especially if it’s brought in small claims court, you’ll probably want to handle it yourself, but could still benefit from a coaching session of an hour or so.

Anytime You Are Going to Court

Aside from evictions, personal injury, and discrimination lawsuits, you may need to go to court for one of a number of other reasons, either as plaintiff or defendant.  For example, a former tenant may take you to housing or small claims court, claiming you wrongfully withheld the full amount of his security deposit or you may decide to bring a civil action against a contractor to get compensated for shoddy or incomplete work.

If you're going to court, or if you're entangled in a legal dispute that may lead there, at the very least consider consulting a lawyer, even if it's just to get some coaching. Whether to hire a lawyer should depend on: the complexity of the situation, how much is at stake, your budget, your confidence in handling the matter (or part of it) yourself, and your experience (if any) with a similar matter in the past.

Changing Your Business Structure

You may decide your business would be better served as a limited liability company instead of as the S-corporation you've been running for years. Or, after operating as a sole proprietorship, you may want to get a partner involved. It's wise to consult a lawyer to discuss your options and what each one entails.

Depending on your choice of business structure, you may need to file certain documents with your state on a one-time or annual basis (which you can often handle yourself). Any decision regarding your business structure will have important tax and legal ramifications, which your lawyer can explain.

For more general information see (Nolo's encyclopedia of every day law)