Even with a solid promissory agreement to move out after receiving cash for keys, what’s to stop him from holding out longer and demanding more money or being more of a nuisance to the OP?

Separate leases ensures that other roommates are not penalized if one person decides not to pay or is just a nuisance.

I said for me nothing, I don't carry any and you could hear the consensus which was if my name came up don't take the case if the outcome is likely to be a nuisance settlement goal because it is Insurance companies that keep that source of income flowing, and those lawyers that knew me knew my policy was bury the enemy not settle.Continuing ed, I thought this was a good thing.

You won't stop nuisance suits from being filed, you can only prevail in the end by adhering to all standards, laws and regs.

Don't think it can hurt to have an entity set up though and if there was no intent or gross negligence they should have to pierce the veil to get anything past the entities assets if the judgment exceeds insurance coverage.3) Having the elaborate setups should help avoid the nuisance BS as mentioned above.So my conclusion are that if you do the right thing and have adequate insurance you will be okay the vast majority of the time.

There is an ongoing thread about day care at a rental:https://www.biggerpockets.com/forums/52/topics/109391-advice-needed-residential-tenant-w-a-daycare-insurance-headache-helpI didn't want to hijack it but I thought a more generalized discussion would be helpful to me and a few others.I also made it a point to tell applicants I do not wish to conduct business at my propertyHowever there are some gray areas, and I basically made my rules looking at the nuisance factors...not so much liabilities, and now looking at that thread, I may have to rethink this.You see, I would not have allowed the day care simply because a half dozen moms picking up and dropping off at the same time would cause a parking jam and inconvenience.On the other hand, I have told tenants who occasionally allow "friends" to drop off a kid for them to babysit its ok.

The police told me this man is nothing but a nuisance and has sued the police before.

Where a property is abandoned by the owner, the Mortgagee is deemed liable by the municipality for the cities costs to deal with the nuisance property.

I've just been informed the demolition order is relating to the property being a 'nuisance' as its been vacant for 3 years and the property was unsecured at times so crack addicts and the like were using it.

Anyway, due to the nature of real estate investing, the "Architect as Hapless Necessary Evil / Nuisance" gains traction in this type of forum.