Lawsuit time.Seriously, who is preparing this house?

If one of your tenants gets hurt you should expect a lawsuit and your insurance company won't defend you.

On my JVs, although its not for a rehab deal, but for construction, I define net profit first, all income less all expenses, then profit split, dedicated joint checking account on both companies, monitored by a third party bookkeeper reviewed by cpa, little expensive and unnecessary expense but keeps the lawsuit away.

Saying so and not moving in to the property in a timely manner could open the owner to a law suit and fraud.

Never allow tenant to perform repairs:doesn't matter if they have skills or notyou lost control of repair qualityyou have no recourse if there's subsequent issues with the repairissue of insurance if injured during the workand when tenants perform UNPAID LABOR, you can be in a world of hurt with State Labor Board if there's ever a law suit, aka Eviction or Small Claims

This Industry has to do with legal issues, and many law suits, and if you don't have the best to protect your investment, then you won't be in this business very long.

Cool tradition, although here in the states it would probably just open more folks up to lawsuits lol.  

If you fail to follow the rules, you may open your personal assets to a lawsuit.

Nationwide , we have syndication for the lawsuit business area and marijuana business; but not for small businesses like donut shop, seems bizarre to me. 

However if they see your property encumbered with a $450k note the situation is completely different.A HELOC on your rental could be one way discourage a lawsuit.