Notice of intent to forfeit

[fatherof3]

Hi all,

I purchased a house from a private party in 1985. We have fallen behind numerous times over the last 25 years, (seasonal job) but always got caught up.

A year ago we were served with papers that stated that the seller was was intending on filling a "notice of intent to forfeit" if the debt was not cured. If not cured we would be responsible for Attorney fees, filling fees, etc..

I forgot to mention that we were down to the last 4 payments of the contract. We owed less than $1,500.00.

After we received the notice we paid the contract off well within the timeframe given. I received the Real Estate contract stamped paid in Full from the bank that had the contract collection.

Now comes a year later, I receive a letter from the sellers Attorney that I have apparently paid the principal under the contract, but due to filing of the notice of intent to forfeit there remains due and owing attorney's fees and the costs of title report, recording fees and service fees. The title to the residence cannot be transferred to me until those fees have been paid.

I feel this was dirty shot after all the years of working with us on purchasing this property. Almost like she thought we would not be able to pay it off and she could forclose and then resell it again.

What should I do next?

looking forward to hearing what the great minds on this site have to say.

Thanks,

Fatherof3

Edited September 12, 2010 by fatherof3

[KentWA]

Look at your sales contract to see if you can be charged for these things. If not then file a complaint with the AG in your state, you might also want to cc the lawyer on your complaint.

[fatherof3]

I do not see anywhere in the contract where it states that I can be charged for any of those items.

There is a provision that states: Upon sellers election toi bring suit to enforce any covenant of this contract, including suit to collect any payment required hereunder, the purchaser agrees to pay a reasonable sum as attorney's fee and all costs and expenses in connection with such suit, and also the reasonable cost of searching records to determine the condition of title at the date of such suitis commenced, which sums shall be included in any judgement or decree entered in such suit.

What I find interesting is that I did some research and found in the rcw codes under 61.30.040 (5) looks like the notice of intent to forfiet shall become ineffective for all purposees one year after the expiration of the time for cure stated in such notice or any recorded extension thereof excuted by the seller or seller's agent or attorney unless, prior to the end of that year, the declaration of forfeiture based on such notice or a lis pendens incident to an action under this chapter is recorded.

It looks like I may be out from under this if I can stall thier attorney a little bit longer.

I found something in another rcw code that I think will apply here in my favor. 61.30.090 (5) If the default is cured and afulfillment deed is not given to the purchaser, the seller or seller's agent or attorney shall sign, acknowledge, record. and deliver or mail to the purchaser and , if different, the person who made the tender a written statement that the contract is no longer subject to forfeiture under the notice of intent to forfeit previously given, referring to the notice of intent to forfeit by its recording number. A seller who fails within thirty days of written demand to give and record the statement required by this subsection, if such demand specifies the penalties in this subsection, is liable to the person who cured the default for greater of five hundred dollars or actual damages, if any, and for reasonable attorneys' fees and other costs incurred in an action to recover such amount or damages.

If I read that correctly, If I demand that they send me my tiltle because I have paid as demanded, and I put in the notice that if they do not, they are liable for $500 plus attorney fees'.

Am I reading all this correctly?

Thanks,

Father of 3

[bobe]

Looks that way to me.

I would check to see if they have the original signed contract. I believe they need to provide proof that they had a contract with you, sometimes like banks, things get lost.

Keep us posted.

Bob