Everyone is quick to point to the "litigious nature" of society today and how its ruining America, but when a simple issue like this arises the first suggestion is "get a lawyer!!"

If so… have I got a story for you ;)David, I think a lot of people who are not making a large income and do not have adequate savings are persuaded that they can get into real estate and, if they follow other people's best practices and "do things right," nothing really ugly, filthy, nasty, and disgusting will happen to them.In my experience, and the experience of many others, this is not true.I am NOT saying that real estate is not an effective way to change your financial status and climb the economic ladder of American society.

It's a CYA disclaimer for an overly litigious society.

It's a taboo in our society to talk about money and that is bad for business because it creates guilt leverage (like you experienced) and asymmetric information which always causes inequity. seems like you got to learn a bunch, and it only cost you a little money.

But jeopardizing your own life and assets to save the cost of setting up an LLC  in this litigious society that we live in is foolish.Have a Great DayDerek Dombeck

The us is a capitalist society.

We live in a (mostly) free society, which carries the risk with it that things like this can happen as unfortunate as they are.

Although we do live in a litigious society you actually have to do something wrong to be sued and lose.

Society is evolving into a place where you aren't able to trust anyone.

Some people will spend $10 to avoid $5 in tax; me, I'm one of the ones who thinks taxes are just the price of a (semi)-civilized society ;)