A while back I posted an article about post-foreclosure evictions. At the time I posted the article a client came to me who was a renter with his family in a Gilbert home. My client had a written 1-year lease with the property owner.
About halfway through the lease on October 5th, the loan that was secured by the property was foreclosed. My client was not aware of the foreclosure and had paid rent on October 1st.
Like a lot of foreclosures, the home was purchased by a third-party investor at the October 5th trustee’s sale. Immediately after the foreclosure, the third-party investor that purchased the property approached my client and demanded rent for the month of October. My client refused to pay rent again claiming that he had already paid rent to the previous owner of the home for the month of October. Believing that they were entitled to rent from the property for the that portion of the month of October after the foreclosure date, the third-party investor initiated eviction proceedings.
The parties met in the Highland Justice Court for the eviction proceeding and after oral arguments the judge asked the attorneys to brief the issue.
A couple of days after the eviction hearing and after the briefs were submitted to the Court, the judge ruled in favor of the renter and issued this Ruling.