Wednesday, September 30, 2009

MREMA Conference ...


Every year MREMA (Maine Real Estate Managers Association) hosts a wonderful conference. They work hard to create a 3 day affair that is filled with speakers, workshops and networking. MREMA covers a wide range of subjects that pertain to the business of managing properties in the state of Maine. This is an event that the members look forward to year after year.

Attorney Neil Shankman is a perennial favorite and has spoken most every year at this conference. He has written several books on Landlord/Tenant Law and his latest book, Maine Landlord-Tenant Statutes and Commentaries is being revised and updated and will be available in the late fall of 2009.

If you haven't signed up for this fun and informative event, here are the details.
See you in October!

October 19-21, 2009
2009 MREMA Annual Conference

The 2009 Annual Conference will be held at the Sugarloaf Resort & Conference Center in Carrabassett Valley. We've secured Toni Blake, aka, Totally Toni, as the keynote speaker. If you attended the 2008 Tri-State Conference in Vermont, then you know that an hour is not enough Toni. With this is mind, we've also asked her to provide an afternoon workshop. Totally Toni will lift your spirits and put the fun back into property management!

Thursday, July 16, 2009

Bankruptcy Experts...


At Shankman & Associates we are experts in Bankruptcy. We have been helping our clients file for bankruptcy since 1981. Neil Shankman, the founder of our firm, is the Maine representative for NACBA (National Association of Consumer Bankruptcy Attorneys). We know this is one of the toughest but often necessary decisions you will make. We can navigate this decision with you.

FAQ'S:
Does a person lose all of his or her property by filing under Chapter 7?
Usually not. Certain property is exempt and cannot be taken by creditors, unless it is encumbered by a valid mortgage or lien. A Debtor is usually allowed to retain his or her unencumbered (or unsecured) exempt property (see Question 29 below). Depending on the law of the local state, property that is exempt in a Chapter 7 case may be either property that is exempt under state law or property that is exempt under the Bankruptcy Code.

What property can be claimed as exempt?
Because one of the goals of bankruptcy is to give the Debtor a fresh financial start, Debtors are allowed to retain certain exempt items of property. The values listed below are for a single Debtor. If a husband and wife file together, the amounts double. The exemptions apply only to equity (how much it is worth minus how much you owe) in real property or personal property

In Maine, the following exemptions apply:

* Residence. $100,000.00 in real estate which serves as a residence, unless the Debtor is over 60 or disabled, in which case the exemption is $200,000.00;
* Motor vehicle. The Debtor's interest of $5,000.00 in one motor vehicle;
* Clothing, furniture, appliances and similar items. The Debtor's interest, not to exceed $200.00 in any particular item in household furnishings, household goods, wearing apparel, appliances, books, animals, crops or musical instruments held for personal, family or household use;
* Jewelry. The Debtor's wedding ring and engagement ring (no matter how valuable), as well as the Debtor's aggregate interest in all other jewelry up to a total of $750.00 held for personal, family or household use;
* Tools of the Trade. The Debtor's aggregate interest of $5,000.00 in any implements, professional books or tools of the trade of the Debtor;
* Furnaces, stoves and fuel. The Debtor's interest in the following items held primarily for the personal, family or household use of the Debtor or a dependant of the Debtor; one cooking stove; all furnaces or stoves used for heating and all cooking and heating fuel not to exceed 10 cords of wood, 5 tons of coal or 1,000 gallons of petroleum products or its equivalent;
* Food, produce and animals. All food provisions reasonably necessary for six months; all seeds, fertilizers, feeds and other material reasonably necessary to raise or harvest food through one growing season; all tools and equipment reasonably necessary for raising and harvesting food;
* Farm equipment. The Debtor's interest in one of every type of farm implement reasonably necessary for the Debtor to raise and harvest agricultural products commercially;
* Fishing boat. The Debtor's interest in one boat, not exceeding five tons burden, used by the Debtor primarily for commercial fishing; (j) Life insurance contract. Any unmatured life insurance contract owned by a Debtor other than a credit life insurance contract;
* Health aids. Professionally prescribed health aids for the Debtor or a dependent of the Debtor.
* Disability benefits; pensions. The Debtor's right to receive Social Security benefits, unemployment compensation, veteran's benefits, disability, illness or unemployment benefits, alimony, support or separate maintenance, or a payment under a stock bonus, pension, profit sharing, annuity, or a similar plan or contract on account of illness, disability, death, age or length of service to the extent reasonably necessary for the support of the Debtor and any dependent of the Debtor;
* IRA account. A payment or account under an individual retirement account or similar plan or contract on account of illness, disability, death, age or length of service to the sum of $15,000.00 or to the extent reasonably necessary for the support of the Debtor and any dependent of the Debtor, whichever is greater.
* Legal awards; life insurance benefits. Debtor's right to receive an award under a victim's reparation law, a payment on account of the wrongful death of an individual of whom the Debtor was a dependent, to the extent reasonably necessary for the support of the Debtor and any dependent of the Debtor; a payment under a life insurance contract that insured the life of an individual of whom the Debtor was a dependent on the date of such individual's death, to the extent reasonably necessary for the support of the Debtor and any dependent of the Debtor; a payment up to $12,500.00 on account of personal bodily injury, not including pain and suffering or compensation for actual pecuniary loss, of the Debtor or an individual of whom the Debtor is a dependent or a payment in compensation of loss of future earnings of the Debtor or an individual of whom the Debtor is or was a dependent, to the extent reasonably necessary for the support of the Debtor and any dependent of the Debtor.
* Other property. The Debtor's aggregate interest, not to exceed $400.00 in any property, whether or not otherwise exempt; and
* Unused residence exemption. The Debtor's unused residence exemption up to $6,000.00 in any item of clothing, furniture, or appliances, tools of the trade or legal awards for personal bodily injury.
Log on to shankmanlegal.com to learn more or give us a call @207.786.0311 today.

Wednesday, April 15, 2009

We Have Moved our Brunswick Office, to Topsham....


We are excited to announce our new location in Topsham.
We are located on the corner of Main St. & Melcher Pl.
Easy to find with plenty of parking.
The new offices are quiet with plenty of space.
Info:
2 Melcher Pl. Topsham, Maine 04086
207. 729.1181
















topsham@shankmanlegal.com

We look forward to seeing you.
Neil Shankman, Esq.

Tuesday, February 24, 2009

Bankruptcy: The Twilight Zone Revisited...


One of the most frustrating tasks facing a property manager is getting rid of a tenant. The eviction process is long, convoluted, and frustrating enough to get someone to reconsider their chosen profession.
Through training, experience and working with competent counsel it is usually not a problem to evict someone. However, today we are going to address the intersection of bankruptcy and eviction …the True Twilight Zone.
When a tenant files a Bankruptcy Petition, he or she is immediately protected by the “automatic stay” of the United States Bankruptcy Code. This protection arises from an Order that is issued by the Court upon filing of the Petition. All entities (creditors, landlords, utility companies, etc.) are prohibited from engaging in any act to collect, assess, or recover pre-Petition claims against the debtor.
As a property manager, you can do absolutely nothing to collect rent arrearages, surcharges or damages. You may not initiate a collection action through Small Claims or otherwise. You are not allowed to even send a letter or have a polite conversation about any money owing from the past.
Until October of 2005, property managers were even prohibited from proceeding with an eviction that had already been started. This is no longer true. The Bankruptcy Code now permits a landlord to continue to pursue the eviction of a debtor who is a residential tenant if the landlord has already obtained a Writ of Possession prior to filing of the Bankruptcy Petition.
If Judgment has been entered prior to the date the tenant filed his Bankruptcy Petition, but a Writ of Possession has not yet been issued, the process can still move ahead. Unless an appeal has been filed, the Writ of Possession will be issued by the Clerk as originally ordered by the Court.
As with all things related to evictions (and bankruptcy), the process can become more complicated. If the tenant/debtor either asserts a legitimate defense or a right to reinstate the lease under State law, the Writ of Possession can be held up if the tenant deposits with the Clerk of the Bankruptcy Court any rent that would become due within thirty (30) days after filing the Bankruptcy Petition. In order to pull this rabbit out of his hat, the tenant must file a Certificate indicating that “there are circumstances under which the debtor would be permitted to cure the entire monetary default that gave rise to the judgment for possession, after that judgment for possession was entered …and the debtor …has deposited with the Clerk of Court, any rent that would become due during the thirty-day period after the filing of the Bankruptcy Petition.”
In addition to complying with the requirement to file a Certificate at the time the Bankruptcy Petition is filed, the debtor must also file a second Certificate within thirty (30) days stating that he has paid the money owed pursuant to the tenancy.
If the landlord/property manager disagrees with the claims of the tenant, he can file an objection with the Bankruptcy Court and a hearing must be held within ten (10) days after the objection is filed.
There is a second exception to the automatic stay dealing with evictions based on “endangerment” or “illegal use of controlled substances”. The Bankruptcy Code allows a property manager to proceed with an eviction if it was started before the filing of the bankruptcy case or if the endangerment or illegal use occurred within thirty (30) days before the bankruptcy filing. In either situation, the property manager would be required to file with the Court and serve on the debtor a Certificate setting out the facts giving rise to the exception.
Beyond all of these rules, and in addition to all of the exceptions, the property manager always has the ability to have his attorney file a Motion for Relief from Stay by which you ask the Court to allow you to proceed with an eviction, for good cause, despite the fact that a bankruptcy is pending.
“Good cause” for relief from the automatic stay exists when a property manager can prove that the debtor is significantly in default under a lease, or that the landlord lacks “adequate protection” to prevent future financial loss. Courts have ruled that non-payment of rent for an extended period of time fits within the definition of good cause. Failure to pay rent that is due after the filing date of the Bankruptcy Petition is a major factor the Courts will consider. Behavioral problems that disturb the peaceful and quiet enjoyment of other tenants or neighbors will also be a factor carefully considered by the Bankruptcy Court in determining whether an eviction should proceed or not.
Finally, it is important to keep in mind that the filing of a Bankruptcy Petition deals only with debt arising prior to filing date. Therefore, failure to pay rent subsequent to filing is not protected. Damage to the premises post-filing is not protected. These debts are non-dischargeable. They do not go away.

Log onto our website or blog for more information and articles about Landlord/Tenant issues and to order the updated versions of our “Landlord/Tenant” series of books.
Neil S. Shankman, Bankruptcy Attorney, Maine

Thursday, January 1, 2009

Bankruptcy Answers...


Bankruptcy is becoming more common as month after month of this economic downturn drags on. Did you know it is still possible to file for Bankruptcy? It can be the light at the end of the tunnel during this recession.
At Shankman and Associates we know it can be hard to understand how to move forward and that it is a path wrought with many unknown factors. We can help. We have been helping our clients with Bankruptcy filings since 1984. Neil Shankman is the State Chair for the National Association of Consumer Bankruptcy Attorney's (NACBA). He and his staff can help to unravel even the most complicated of situations.
Bankruptcy. If you have questions, we have the answers.
Give us a call today, 207.786.0311
FAQ'S
What are the Debtor's responsibilities to the Trustee?
The law requires the Debtor to cooperate with the Trustee in the administration of a Chapter 7 case, including the collection by the Trustee of the Debtor's nonexempt property. If the Debtor does not cooperate with the Trustee, the Chapter 7 case may be dismissed and the Debtor may be denied a discharge.

How are secured creditors dealt with in a Chapter 7 case?
Secured creditors are creditors with valid mortgages or liens against property of the Debtor. Property of the Debtor that is encumbered by a valid mortgage or lien is called secured property. A secured creditor is usually permitted to repossess or foreclose its secured property, unless the value of the property greatly exceeds the amount owed to the creditor. The claim of a secured creditor is called a secured claim and secured claims must be collected from or enforced against secured property. Secured claims are not paid by the Trustee. A secured creditor must prove the validity of its mortgage or lien and obtain a Court order before repossessing or foreclosing on secured property. The Debtor should not turn any property over to a secured creditor until a Court order has been obtained. The Debtor may be permitted to retain or redeem certain types of secured property