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For example, if you were to investigate the party you mention, simply stating that they received child support is quite different than having a copy of a court order that awards those payments, PLUS evidence of those monthly payments such as a year's worth of bank statements showing the deposits to the applicants account.

If nobody redeems during that foreclosure lawsuit, the court awards the property to the investor.I've heard rumors the law will change next year, and there will be a public auction if nobody redeems in the judicial foreclosure lawsuit.

Understatement of the year award right here!

If he had been at fault and someone had been killed or paralyzed, it's hard to say what a jury would award.

If you actually call something a GRACE PERIOD, then the courts can construe this to mean that the tenant has until the 5th (I'm using that as an example) to pay their rent and give them a leeway to have the Judge say to you, well you've allowed them to pay rent on the 5th all these months so you have changed the contracts due date.I never give the Judge or the Tenants a "Loop Hole" to where a Judge can use his or her opinion to award the tenant(s) for bad behavior. 

Can the property manager award the claim money to the property owner in the midst of a dispute?  

Forget it, the judge won't award you money for your time.

Even after you are awarded judgment in small claims court you will have to enforce the judgment, which is a separate legal procedure. 

If you were awarded a mechanic's lien then you would simply start foreclosure proceedings and invariably you would get paid in full.The first step would be to file a notice of intent to file lien.