She has not produced any medical bills.She hired an attorney and now there is a law suite, demanding 18K, to make repairs to her condo which now includes the kitchen and laundry rm. floors and doors, which was not affected by the leak.

I thought I had heard that one can not file bankruptcy in order to avoid a judgement/lawsuit.

You actually are considering hiring a lawyer and filing a lawsuit only to drag some poor schlep before a judge thinking the judge is going to tell him to write a check for $50K just so you can buy a house at a bargain? 

However, after all the abuse occurred in the mid-2000's, lawsuits started flying.  

And he said ya, like 12 months.I'm sure they are looking for/ hoping to find something of value, also they are probably making sure i don't "trip and fall" and create lawsuit city.

Also, it does not sound like it, but you may run into some problems if their are any outstanding lawsuits.4) The Bay Area market has done very well these past couple of years.

The lawsuit will come way before the Due on Sale Clause execution...Keep the property performing well, pay your note...raise your liability limits...

Cash strapped owners, rehab properties, possible installment sale solutions, The seller can create a passive investment property from an active investment property.Asset protection and lawsuit liability can be decreased, because fractional interests are harder to attach than a whole interest.Dodd Frank does not apply with TICs, it is the same as buying from Investor to InvestorTruss or entities can hold a fractional interest.

insurance policy is a good way to go.I have been in this game for 40 years and never even came close to sniffing a lawsuit from a tenant.. but of course the very day I say this you get sued..

That entire place was falling apart and the entire complex is in a lawsuit against the builders.