Legal Question in Landlord & Tenant Law in New York
Unpaid Storage Rent, how do we recieve funds?
We are a moving and storage company. We have one customer that is 17 months past due with an outstanding bill of $1700. We have sent several letters and notices, all ''certified'' letters come back unclaimed. What is the proper course of action we take in order to recieve payment/ auction off goods?
3 Answers from Attorneys
Re: Unpaid Storage Rent, how do we recieve funds?
Sue them.
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Re: Unpaid Storage Rent, how do we recieve funds?
your storage contract should have some provision for default. your letters should establish a drop dead date and then dump it
Re: Unpaid Storage Rent, how do we recieve funds?
There are several ways to solve this problem. One is to obtain a judgment for 1700 and then 'foreclose' under the UCC for an auction.
As a bailor (storage company) you may, on proper notice, go straight to the foreclosure auction.
I can draft the proper notice and get it filed properly for very little. 100 dollars is plenty.
I think the problem here is that you need to draft your rental/storage agreement better. That would solve not only this problem, but also ensure that you are not faced with losing more money on this foolishness in the future.
Drafting a new customer contract is not expensive. What you need is one which creates a waiver enabling you to implement auction/dump on notice with no other action. I can standardize the 'notice' form to make it a one-time expense. You can use and re-use the same form for all of these problems.
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