and Second, have you run the owners name through the clerk of court in order to find anything filed regarding the house? 

If the option to buy is not consummated and the home goes into disrepair, I'm not sure the court system will back you.....I second @John Thedford, talk to an attorney.   

It’s almost like a divorce.One famous case of former partners fighting was Facebook founders Mark Zuckerberg and Eduardo Saverin in court.

I was awarded $1500 by the court (amendment time still pending).   

By "not a requirement" I mean it doesn't appear in the IRS code or Tax Court cases as far as I'm aware.The people saying landlords must issue a 1099 are likely dealing with a conservative CPA.

My understanding is that courts have upheld the owners rights to even remove items such as appliances, fixtures, A/C units etc. prior to foreclosure.

Just wondering, Isaac...do you know if they made a full court press to participants to increase credit card limits?

So will the IRS Tax Court; It is pure guru speak.

Its not easy if you tell them yea lets go to court and bring all of the documentation to show my debt as valid

Go to a few of the court house auctions and start talking to the people there that are bidding.