The tenant also has a pretty long record including an eviction a few years ago and a bankruptcy within the last year.

If he was unable to pay due to bankruptcy thats something different.

IF you start garnishing their income then likely they will declare bankruptcy to avoid payingThe government could have placed some of the $600 a week unemployment directly into landlords hands. 

They already have some other issues going on in their life (maybe divorce, death, bankruptcy etc....) the more you can make this a great deal for them, the more likely you are to close.

If you declare bankruptcy, the loan will still stay with you and you must pay.

The city voids the tax lien if the tax payment was submitted prior to the cutoff date.3) Owner is in bankruptcy and municipality doesn't realize it until after the auction.

It proposes to prohibit bailouts by explicitly stating its bankruptcy and no bailouts and gives criteria and steps.  

Yes, that is it FLSOnline and they have lists for bankruptcy, pre forclosure, sheriff sale, delinquent tax, etc...It is a great resource. 

Another friend of mine declared bankruptcy and lost 32 rental properties, and lost his desire to ever buy another property. 

Unemployment remains high; gleaming office towers stand vacant; and that bragging Texans do so well has quieted noticeably.The swiftness and depth of the downturn has humbled this city of 3.1 million as residents grapple with a land of opportunity that has turned into a Boot Hill of unemployment and bankruptcies.''