In the state of Florida is it customary to include tenants as defendants in a foreclosure final judgement?

Question:

We are not owners and have no interest in the property. We were renting from a family member. All documents regarding the foreclosure were in the family member's name only and when the final judgement was delcared our name was included as defendants. This is now public record and can be picked up by the credit agencies and would affect our credit. What can be done? Sent a letter to the attorney who is handling the case to have the information amended by certified mail, return receipt requested. It was signed for on 8/1/06 and to date we haven't received a response, even included phone number on letter. Is there anything we can do? I am going to contact ACAP on Monday to see if they can assist, and if not we will file a complaint with the Florida Bar Association. Any information will help. Thanks.

Answer:
You have an interest in the property because you hold a lease on it. In a foreclosure, your rights need to be settled. The mortgagee may wish to sell the propery vacant.

The fact that the landlord is related to you raises the issue of whether full market value was paid under the lease, or whether it was a "fraudulent transfer". That you are included in the lawsuit does not mean there is a judgment against you, nor that your credit was harmed -- although that might be the case.

You really should consult a lawyer who is licensed in Florida and who is knowledgeable about your situation. If you can't afford a lawyer, there must be a free legal advice center in your county; at least I hope so.

Tenants are generally joined because in many cases tenants will claim an ownership interest in the property (including a lease) and the creditor doesn't want to have to relitigate.

You should be able to be dropped from the lawsuit by submitting an estoppel letter which states that you claim no interest in the property. You should see an attorney for this.

Remember, initial consultations should be free.

In the state of Florida is it customary to include tenants as defendants in a foreclosure final judgement?

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