When Catastrophe Strikes

This week scores of homes in Andover, Lawrence and North Andover were damaged or destroyed in a bizarre series of gas explosions.  Now that the emergency has passed those whose homes were involved are left the reality that their lives have been turned upside down.

As folks start to sort through the situation, here are our thoughts from a legal perspective.

1. If you own your property, call your insurance company.  If you don't remember your insurance company's name and your paperwork is lost, destroyed, or inaccessible, call your insurance agent.  They can help you make the claim.  You can do this by phone, but you'll want to follow up and put the notification in writing.  It does not have to be anything formal, an email will do, but you should have a paper trail.  Even if your home was not harmed, but you had to be evacuated, you may want to check with your homeowner's policy.  You may have coverage for things like hotel stays, meals and the like.

2. If you rent your property and had renter's insurance, be in touch with your renter's insurance company.

3.  Make a claim with Columbia Gas.  Beginning Sunday, September 16, it will be at the Lawrence Public Library everyday from 8am-5pm.

4. People may show up at your property and get you to sign on with them.  Who are these people?  Public insurance adjusters, general contractors, demolition people and others.  DO NOT sign with these folks, at least not yet.  You may need some or all of these tradespeople to help you, but don't just sign with the first person who shows up on your lawn.  Get references from friends, family, and co-workers.  Take the time to investigate each person just as you would if you planned to do a home renovation.

5.  As mentioned above, your insurance should cover living expenses while your home is being repaired or rebuilt.  Check into your coverage as soon as you can with your insurance company so you can find a suitable place to rent.  In the meantime, keep all your receipts for reimbursement.

6.  A public insurance adjuster can be a real help if you feel that your insurance company is not adequately compensating you for your losses.  However, you may not need such a person in this case.  First, if your insurance company is going to pay you your whole policy, then you don't need to pay someone to fight for you.  You are getting the entire value of what you'd be entitled to.  Second, depending on how Columbia Gas handles the situation, your insurance company may end up being minimally involved.  If you do choose to hire one, make sure they are licensed and have good references.

7.  When you renovate a home, you must bring the home up to the current building code.  Here in Massachusetts, most homes that undergo any renovation, planned or otherwise, must have code upgrades.  Code upgrades are covered by separate provisions in your policy over and above the policy amount.  Typically, that amount is 10% of the policy amount, but you'll need to check your policy as the percentage does vary.  In other words, if you have a policy valued at $350,000, and your code upgrade is 10%, you then have $35,000 for code upgrades.

8.  Knowing and understanding how your policy works is critical.  Knowing how any contractor that you plan to hire works is also critical.  Give serious thought to having a lawyer review any contract you plan to enter, especially one with a general contractor.  You can read about considerations of hiring a contractor in an earlier blog post.  Before you sign any contract for renovation or repair work,  you MUST have a clear understanding of the scope of the work.  Are code upgrades included in the price you have been given?  Many times they are not and homeowners are caught off guard when they learn that the property must be re-wired and that the electrical cost provided in the quote by the contractor does not include this work.

9.  If your home is not completely destroyed, take photographs and videos to document your possessions.  You will need to come up with a list of items so you can be reimbursed for your lost personal property.  If, unfortunately, your home was completely destroyed.  Go through your home, room by room and visualize what was in your home and make a list.  Ask others who might have photos or who frequent your home to help you out.

10.  Don't hesitate to get emotional and mental health support.  What happened this week in the Merrimack Valley was traumatic.  Even if you were not physically injured, there may be a psychological impact on you and/or your loved ones. 

The Most Common Question - Landlords

Recently, a dear friend of mine asked me what the most common substantive legal question is that I am asked as a lawyer? Since I practice in several different areas, I'd have to answer that question, by category of practice area.

In the landlord/tenant realm, the most common question I am asked by landlords is "How do I evict that tenant?  The actual process of evicting a tenant is set out in Chapter 186.  In short, you have to deliver a Notice to Quit, give the tenant a certain amount of notice -- generally either 14 or 30 days -- depending on the reason -- and then, if the tenant does not move out, you commence a summary process action.  However, in that relatively simple scheme lie many pitfalls for landlords.  A tenant may assert counterclaims against the landlord, even if the tenant is behind on the rent.  The timing of each of the steps is particular and documents must be filed with the Court on certain days.  A misstep can result in dismissal of your summary process and then you have to start all over again.

Before commencing the process to evict a tenant, I ask my landlord clients a series of questions to make an initial assessment as to how easy or difficult it will be to evict the tenant.  For example, if the landlord took a security deposit, but failed to handle it properly, the tenant can counterclaim and may receive three times the security deposit, plus attorney's fees.  If the tenant was withholding rent because of problems with conditions at the unit, that issue needs to be explored.  If the landlord was aware of bad conditions at the unit and did not correct them, the Court could find the landlord in breach of the warranty of habitability or the covenant of quiet enjoyment.  If the landlord started to evict the tenant after the landlord was aware of the tenant's complaints, then the landlord may have engaged in retaliatory behavior which also subjects the landlord to damages.

Ultimately, if you end up owing the tenant more money than what the tenant owes you, not only do you have to pay the tenant, but the tenant keeps possession of the apartment.  Before taking any steps to evict a tenant, every landlord should seek professional advice.

More on Lead Paint

Last year, we wrote about  the landlords’ obligations to disclose the presence of lead paint in rental units and the penalties for failing to disclose.  Click here to see our earlier post.  In March, the Attorney General Martha Coakley’s office announced a $75,000.00 settlement with a landlord based on discrimination and retaliatory practices by the landlord in renting units with lead paint.  The settlement is reportedly the largest fair housing settlement to date while Martha Coakley has held the Attorney General position.

The landlord, who is an attorney, allegedly attempted to evict tenants with young children because he did not want to de-lead the unit.  Additionally, the Attorney General’s office alleged that the landlord failed to properly disclose the presence of lead paint in the rental units, rented units with lead paint to tenants with young children, refused to repair unsafe and unsanitary conditions, and retaliated against tenants when they reported violations to the local boards of health. 

As this recent settlement demonstrates, anyone, even an attorney,  can run afoul of the lead paint laws.  In this case, the landlord had not only civil claims against him, but claims by the the Attorney General’s office, as well.  In our prior blog post regarding lead paint, by the U.S. Environmental Protection Agency fined several management companies for its practices.  There is no shortage of ways landlords can find themselves in a bind when they fail to heed their obligations under the lead paint statutes.

Our Landlord Seminar is Back!

Please join us on April 10, 2013 at 7:00 pm to hear us speak about how to be a smart residential landlord.  Space is very limited so sign up here:  http://tanowitzlaw.eventbrite.com  We look forward to seeing you.

How to Be a Good Renter

Boston.com posted another interesting article last week about what landlords should look for in a tenant and how to be a good renter.  The article, posted by Rona Fischman, gives an insider's perspective on what landlords like and how renters, in a very competitive market, can differentiate themselves from competitors.

What landlords should look for in a tenant and how to be a good renter - Boston.com

Our firm is hosting a free seminar on Wednesday, July 25th at 7:00 p.m. to discuss these and other tips and tricks for the landlord.  Please join us!  The link to our event site is below.  We hope to see you there.

Tanowitz Law Seminar: Landlord Missteps That Will Cost You Money

Residential Landlord Seminar Tonight

Do not forget we are offering a FREE seminar on how to navigate the perils of the landlord/tenant relationship in Massachusetts tonight at 7:00 p.m.  We still have a few spots left, so please sign up and join us!

Be A Smart Residential Landlord: How to Make Money and Avoid Legal Trouble