At the hearing, if the defendant doesn't show up, we can get immediate possession which then we must take to the sheriff to schedule eviction. 

Even if you are in the right, you have to spend time and money defending yourself in court.

With all the fees being added I believe the total Judgement is close to $25,000- Judgement was filed in AZ, the defendants lives and works out here in AZI look forward to hearing from you soon...

You say there is till a foreclosure suit.....do you mean the foreclosure action by the bank is still in process, or do you mean a counter suit by a defendant?

If he takes me to Small Claims, choose whether to defend myself or contact him and offer to split the difference or just pay the amount.I only consider #3 because that shows a level of determination that won't stop so you have to decide whether to just pay them off or defend yourself in front of the judge.

That is what you need to defend if you have to get legal counsel at some point.

Therefore there isnt a whole lot of actual protection if you cannot truly defend yourself.

Research the concept of deficiency judgments in the jurisdiction of your friend’s property.In a simple foreclosure, the sole defendant would be the LLC owner.

If the home was inherited with a mortgage and the mortgage company was not subsequently paid off and is now foreclosing, the named defendant will be the now record owner.  

In order to succeed, you have to find off market deals or risk pissing a bunch of people off and winding up in court defending yourself for doing RE activity without a license.