Deal Selection as Affecting Your Legal Fees

Last Updated on Thursday, 14 July 2011 04:04 Written by Chris Griswold Tuesday, 1 September 2009 09:19

I just had a cute little girl on August 22nd, Mackenzie Leigh Griswold (5lbs-4oz; 18.5 inches).  She was a little early (34 weeks) so she had to stay at the NICU at Mercy Hospital here in Oklahoma City.  Understandably, my wife Heather and I were a little worried about her at first, however, she’s now doing great, gaining weight and well on her way to keeping me in check (as all fathers know).  It’s times like these that I take a step back and look at the world (and my practice) a little differently.  The thought that life is short and our time here should be well (or at least better) spent crosses my mind.  Accordingly, I’d like to pass along a little “legal wisdom,” if you will, to those of you in the industry as regarding the deals we chose to do vs. the ones we don’t and what kind of consequences can ensue from trying to make the proverbial “wrong shoe fit.”  Read more below….

Deal Selection

After having spent my entire career as a commercial real estate transactions lawyer, I’d like to share something with you all, from a legal perspective, about lukewarm deals.  It’s not like there is such a thing as a “perfect deal.”  At least I’ve never seen one….  However, if you’re looking at a deal that you’re (for whatever reason(s)) not crazy about, odds are, that really won’t change.

Years ago, as a kid, I recall watching a certain episode of Laverne & Shirley.  The plot was this:  Laverne had met a boy and they were going to get married.  To a casually observing stranger, Laverne and the boy seemed to be crazy about one another.  However, during the course of the program, Shirley caught onto the fact that Laverne wasn’t really in love at all….  When Shirley finally confronted Laverne about the prospect of being forever married to someone she didn’t really love, Laverne put on her bravest face and said those timeless words: “…Shirley, I’ll learn to love him….”

My point is this…, no amount of money spent on legal fees will fix (or cost effectively fix) a deal which wasn’t good in the first place.  Sure, you can do amendments, novations, retro-active effective dates and terminations all you want.  However, in the end, you’ll be happier waiting on a deal that works vs. working through one that doesn’t.  After all, we all have just one life to live.  Let’s spend it (figuratively and literally) wisely.

____________________________________________________________________________

“I want to reiterate how grateful we are for your continued guidance and professionalism.  Your commanding ability and communications skills are a true virtue and a great asset to our company.  Having you in our corner has given us great peace of mind heading into the future.  Thank you for everything.”

Kris Garcia / Franchisee / Dallas, Texas

Evictions Done Right

Last Updated on Thursday, 14 July 2011 04:04 Written by Chris Griswold Saturday, 1 August 2009 09:18

So, you’re a property owner (or someone working with a property owner) and one of your tenants is behind on paying rent.  Been there?  Me too.  It’s not like the tenant isn’t a nice guy.  He’s just having cash-flow problems like the rest of the world.  However, like me, you too have your bills to pay.  The age-old dilemma ensues…, you’re afraid to jump the gun and evict because you know the tenant means well, BUT, you also don’t want to let him get too far behind lest, later on, when push finally comes to shove (and it will), your best collection efforts only yield you a handful of shiny beads.  Read more below….

Evictions Done Right

When it comes to evicting tenants (or anything else in life for that matter), it’s important to remember the Golden Rule.  However, when it comes to running a profitable business, it’s also important to remember the law (and how to operate within the confines of it).  Accordingly, I want you to walk away with a better understanding of the law surrounding the eviction process so you’ll know when to “pull the trigger” and start the eviction process thus minimizing your exposure on lost rent while also saving yourself a lot of time and money on legal fees.

If we were playing the word association game and you said “evictions,” I would say “the sooner the better.”  The way our court system is set up, if you hire counsel to evict while your tenant owes you no more than $6,000, not only can you go through a more expedited and less expensive eviction process (although it too still takes a few weeks to complete) to regain physical possession of the premises, but, you can also get, among other things, an automatic judgment against the tenant up to the $6,000 mark (of course you’ll still have to go to small claims to collect on it).  However, if you let your tenant get more than $6,000 behind, the only way you’re going to get a judgment against the tenant is to go through a more complex, trial-based litigation process.  After spending who knows how much on this more complex litigation process to finally get your judgment, you’ll still be lucky to actually collect on it since the tenant will probably be judgment proof at the larger dollar amount anyway.  Accordingly, watch where your non-paying tenant is vis-à-vis the $6,000 mark – it makes a big difference as regarding your time and money.

____________________________________________________________________________

“I recently had Chris Griswold serve as my attorney during lease negotiations for my second project.  Chris did a great job.  Among other things, he reviewed the lease document thoroughly to ensure that my best interests were covered.  The best part of working with Chris is that he takes the time to explain everything to you.  I will be using Chris for my next lease review.”

Chad Todd / Which Wich Franchisee / Columbia, South Carolina

Nuts & Bolts of Notice Letters

Last Updated on Tuesday, 27 October 2020 06:40 Written by Chris Griswold Friday, 1 May 2009 09:01

Notice Letters.  We all have written and gotten them.  We might even be waiting on one in the mail right now (I know I am).  From time to time, we all have something come up in one of our deals that requires that we either write one or cause one to be written.  In fact, during these turbulent economic times, you may find yourself writing or receiving these types of letters a little more often than you’d like!  Accordingly, I’d like to shed some light, in general terms, on what constitutes a good notice letter….

Nuts & Bolts of Notice Letters

If done correctly, they save the day.  If done wrong, someone is potentially in real trouble.  It’s funny that something so important is usually located at the end of the contract (or the lease), written in such small print and is typically treated (in its entirety) over the course of a mere two to three sentences, or less.  No wonder the old adage that “big things come in small packages” comes to mind when I think about the concept of notice letters.  Accordingly, I want you to walk away knowing three, basic things about the proper drafting and management of notice letters:

First, check the actual notice addresses for the other party (or parties) who are required to receive such notice.  These notice addresses are usually set forth in the first few pages of the contract; if not there, look at the end of the document.  Keep in mind that these addresses may have already changed.  Accordingly, look in your files for any letters, e-mails, contractual amendments and/or other correspondence received from this other party (or parties) which has changed their formal notice address.  Remember, it doesn’t do any good to write a fancy letter if the address is wrong….

Second, check the language usually located in the back of the contract which is most often entitled “Notices.”  The purpose of this language is to set forth exactly how notice shall be delivered and will commonly talk about how notice letters should be mailed “via certified mail return receipt requested” or by a “nationally recognized overnight courier.”  If it says that, be sure and do it.  You’d be surprised to know how many people deliver notice letters via first class or registered mail just to find out that they didn’t give the other party good and proper notice (tip: registered is not the same as certified; “registered” means “insured” and is used for insuring the value of parcels such as diamonds, precious metals, etc… while “certified” means “signed-for” which is the purpose of notice letters).

Third, remember that after you send out your notice letter and receive back the “green card” in the mail, you’re still not “out of the woods” as it were.  Why?  You have to actually keep up with the “green card” or other packaging receipt in order to prove, often months or even years later, that you delivered and the other party actually received the notice letter.  Oftentimes, I get calls from people to the effect that they know the other party received their notice letter but the green card (proving such receipt) can’t be found in the files.  This can be bad….  What should you do?  I recommend that when you get back the green cards, be sure to staple them to the copy of the notice letter that you put into your file.  This will keep those small, mint green and oddly shaped pieces of paper from walking away….

______________________________________________________________________________

“I take special care when selecting business partners to represent my company and look for those who exhibit the same levels of professionalism and integrity that I try to achieve.  Chris Griswold definitely meets these requirements and is considered a very valuable member of the JOBO Properties team.  I have no hesitation in recommending Mr. Griswold to handle your business and commercial real estate transactions.”

Darren Ford / Owner & Developer of JOBO Properties, L.L.C. / Oklahoma City, Oklahoma