Hello Carolyn,If you want to risk the opportunity of having a fair housing law suit I would move pass asking for any additional deposit on the property.

The 2nd issue is rents or monies pass due, if she signed it and did not pay it, then she is in breach of her lease.Personally I would move unalaterlly, file for unlawful detainer for the monies owed with late fees, and deal with her case, maybe see if the attorney can open a counter lawsuit for that case to try and force her to folder her cards. 

We are looking to invest now in RE properties but my current question is for our mother-in-law suite.

There is a very spacious in-law suite in the rear of the property. 

You also open yourself up to personal liability issues in the event of a lawsuit.

Long story short the seller's lawyer is saying they can provide a title insurance policy with the following exceptions: 1.A disclosure of the pending lawsuit to the Buyer;2.A financial indemnity (only) in the event there is a claim under the policy based upon this lawsuit.My title lawyer has been advising me the whole time to wait for the litigation to end.

Not just to protect you from making the right decision with this tenant but to protect yourself from a discrimination lawsuit.

File a lawsuit with the company and the insurance company .

Also on the council notes are discussions on the infamous "centre plan," it sounds like they're gonna promote making our city more dense and to facilitate an aging demographic by allowing in-law suites in R1 zoning.

If he accidentally poisons a bunch of people with salmonella or something, guess who will also be named in the lawsuits.