Being sued by neighbor

[Woodrow Wildcat]

I am a landlord and the homeowner next door is suing me for personal injury, claiming a leak from my property caused him to fall and break a leg on his property. My tenant never reported the leak to me and said he fixed it himself.

I did nothing wrong but I’m afraid if I don’t settle and it goes to a jury trial they will be prejudiced against landlords and see me as rich because I own several properties (which many are losing money because of escalating property taxes).

I only have umbrella insurance covering losses above $300,000. So I will have to personally pay anything below that.

This is worrying me sick.

Seeking advice...

[Jay Hinrichs]

Originally posted by @Steve Vaughan:

Originally posted by @Woodrow Wildcat:

I don’t have a mortgage. I have a policy on my own home (with another insurance company/agent) but there is no liability. I thought there was. 

Then bring a six-pack over and talk to this guy. Offer to cover his out of pocket medical expenses if it sounds like he has a case.   

Liability probably isn't that easy to prove for him.  If it was obviously icy out, it was open and obvious. No case.  Talk to him belly to belly and be humble.

In the meantime, get a grasp on what insurance you have on this and every property.  Hazard insurance is usually one of the best insurance values in the marketplace.

here is my bet.. once the neighbors attorney realizes you have no insurance .. they will want a big retainer.. and your neighbor will not have it.. and that will be the end of it.. if your worried sell the house now.. cash out .