As Dion mentioned, the lender wants the right to receive the rents under any breach of the contract and not just default ... i.e. if you are delinquent in paying your property taxes or let your insurance lapse, etc.

I got a letter from a bank about a lapsed hazard policy last week on a property and the premium was paid for the next year last October!

After much negotiations I was able to get the property about 120k below comps "Great", well the bad part happened, me and my partner lapsed on the inspection period and we were not able to wholesale the deal so we lost 5k EMD.

. :)Bill,I am prohibited from using my High School picture due to the lapse in fashion sensibility in the 80's.  

If it just lapsed, maybe "pound sand" is a viable strategy.

Problem is, I let the LLC lapse, never paying the taxes. 

He may have his CPA license revoked or if he doesn't renew it, it will lapse and he won't be a licensed CPA to practice any longer.

(Don't do any rehabbing until the redemption period lapses.)

I used to be an agent and let my license lapse because I went into the medical field.

The thing here is that by the time disability kicks in there will be some lapse of time.