alright Dave-fans, I’ve got a question for you:
My friend co-signed on an apartment lease for her friend. At the time, it was explained that it was a one-year lease and, when it expired, he’d have to get a new one. She stated very clearly to her friend, in front of the apartment manager, that she’d not be co-signing a second time. The apartment manager told them both that it wouldn’t be a problem because he’d not need a co-signer after a year of making rent payments on time.
So two years go by. The friend stopped paying his rent. Ended up getting evicted. He did eventually pay back the rent money owed, but it’s showing up as a ‘ding’ on my friend’s credit report.
Her first argument was that she didn’t sign the second year’s lease. The apt manager said that they ‘just roll over’ the original lease and that her name always stays on it.
Her second argument is that she was NEVER notified about the late bill. If they did still consider her to be a co-signer, she’d have the right to pay the bill and prevent it from going to collections.
Has anybody else dealt with something like this and won?
First, she needed to carefully read the lease terms
If the lease was provided by the apartment leasing office then it was all slanted in their favor
to end a lease she probably had to notify the lessor in writing that she was not renewing, 30 days in advance
Unless they received notification she was terminating, it rolled into a month-by month lease or an automatic renewal if all terms remained the same
Second, all notices regarding the lease go to the address specified on the lease. If her address and phone number were not listed in the appropriate place, then they had no responsibility to send her notice
As for “stating anything very clearly”, ah, good luck with that, in real estate everything has to be in writing. Apartment managers come and go, good luck with trying to get a witness to a “verbal understanding”
Unless she gets an attorney who can show that the apartment leasing firm violated the terms of the lease that she signed, she has just paid “stupid tax” for underwriting a deadbeat “friend's” lease
She’s lucky it was just a ‘ding.’ Tell her to look on the bright side: the worse your credit is, the less likely you are to be the victim of identity theft. ;^)
The co-signer is under no obligation to be held accountable. All contracts must have a date of beginning and a date of ending, and it mean just that, ENDED.
If it goes to court, your friend will win. How convenient that the apt manager said "they just roll it over", no notice to your friend and no opportunity for her to opt out???
I am a property manager, and have many roll overs, the lease is for one year ONLY, from then on it is simply a MONTH TO MONTH, tenants can move/break the lease anytime with only a 30 day notice after the first year.