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You’re out for an evening stroll when suddenly an unleashed dog comes running towards you. Is he friendly? How do you avoid a dog bite, and who is at fault if he attacks? The short answer is dog owners who don’t keep their dogs on leashes or behind fences may be held liable if their dog attacks. Also, owners who encourage their dogs to behave violently may be forced to pay victims if the law determines the owner is to blame. If you are bitten by a dog while on someone’s property, the owner still has an obligation to control their animal and prevent attacks if possible. Avoiding Dog Bites The first rule is prevention. Avoid an aggressive animal if at all possible. There are steps you can take to avoid injury in the first place. Since dogs are territorial, the following guidelines apply:

• Don’t reach into a car or over a fence to pet a dog
• Let sleeping dogs lie: Don’t disturb them while they are eating, sleeping, playing with a toy or caring for puppies.
• Do not intentionally scare or startle a dog. Remember that dogs see you as an intruder if they do not know you well.

Following the above rules will help you avoid many potentially combative situations. But aggressive dogs may still attack. If you fear an attack is imminent, remember the following:

• Never run from a dog.
• Do not scream or make noise.
• Keep your hands to your sides and don’t make sudden movements.
• Don’t look the dog in the eye since that is aggressive behavior.
• When the dog starts to calm down or walk away, you can slowly back away.

If you are bitten, use your balled up jacket or purse to create a barrier. Once you are free of the dog, wash the bite with warm water and use soap. Call your doctor and animal control. If you or someone you know has been attacked by a dog, contact a lawyer skilled in handling the legal rights related to dog bites. A lawyer can help you seek compensation from the owner to cover medical bills, lost wages and damage from scars and psychological trauma.   Related Posts: Sinkholes: Trouble for Homeowners Am I a Candidate for Loan Modification?

When it comes to selling your house at a loss in a short sale or letting it go into foreclosure, which is worse for your credit? The answer may surprise you. While neither is good for your credit score, both options have pros and cons that you should understand before making a decision.

A short sale is the process in which the bank that holds your mortgage agrees to sell it at a price less than what you owe on the home. In this situation, the bank loses money on the sale, but hedges its bets against losing more money to a foreclosed home that may sit empty for months or even years. Having a buyer means the bank note will be paid, just at a cost less than what is owed.

For example, you could own a home with a mortgage of $250,000 and have the bank approve a final sale at $230,000. Banks will only go so low, and not all lenders will agree to a short sale. Having an attorney who can speak with the mitigation loss department will be helpful during the process. Your credit will still be affected, and can drop as much as 250 points.

Financial experts agree that a foreclosure will also lower your credit score, possibly by the same amount. Many homeowners see the advantage of living in the home during the foreclosure proceedings, which can take months, as a benefit since they are not paying the mortgage during this time. And your credit score can take the same hit- 250 or so points. But beware- a foreclosure can hurt your credit in other ways.

Having a foreclosed home in your name means that you must wait at least 24-72 months before you can buy another home. During that time, interest rates will be sky high and unattainable. However, a short sale property in your name doesn’t affect you in quite the same way. Realty experts agree the waiting time to buy a home after selling a property in a short sale is about 24 months following the sale, and sometimes even less time is required.

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When you purchase a home, you hope to never have to worry about the potentially devastating scenarios that could ruin your investment and your peace of mind. Luckily, your property insurance policy covers fires, floods and hurricanes. But did you know that sinkholes can do just as much damage to your property? Many homeowners are surprised to learn their insurance policy may not cover the repairs.

More and more Floridians are finding out the hard way that sinkholes are not always covered by insurance policies, and if they are, the insurance money may only pay for a portion of the very expensive repairs. Before 2007, every property insurance policy written in the state had to cover sinkholes to some degree. Lobbyists changed the law in 2007, and now policies written after that date are only required to offer sinkhole insurance.

Many insurance companies will deny a sinkhole claim for the following reasons:

• Presence of organic materials: If organic material like tree stumps or mulch has caused settling, then that is not a sinkhole. But sometimes there is organic material found at the site of a sinkhole, and the claim is denied based on that information.

• Septic tank issues: A breach or collapse in the septic tank can cause uneven settling and is not covered by insurance. However, a sinkhole can also cause problems with a septic tank, so it’s good to know which came first.

There are other factors that can cause cracking and shifting in the foundation, and it is important to have them tested. Something that does not appear to be a sinkhole can still be related or even caused by a sinkhole. Any of the below could be a sign of ‘normal’ settling, but it could also be a sign of a growing or shifting sinkhole:

• Unlevel floors
• Separation gaps in doors, or on countertops
• Cracks around windows, doorways or in the ceiling
• Water leaks
• Yard sloping or dead patches of grass or shrubs
• Loose roofing tiles
• Plumbing issues
• Creaking and popping noises in the home
• Loose shower or bathroom tiles
• Cracks in the floor
• Cracks in the driveway

What are the options for fixing a sinkhole? A structural engineer can decide whether your home would benefit from underpinning. The process involves restricting the original foundation with metal rods and grout. It is cheaper and less time consuming than removing and pouring a new foundation. But selling a home with a known “sinkhole issue” can be tough. Many buyers will walk away when they hear the news, no matter how stable the current home foundation is. A best case scenario is often a drastically reduced selling price. When faced with the reality of writing a check at closing to sell the house or facing foreclosure, many homeowners don’t have a choice. It’s important to know your insurance policy and understand your rights.

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The recession is hitting small business owners hard. When your income takes a hit, it can be hard to maintain your current lifestyle and pay your bills. Bankruptcy can mean a way to discharge your mounting debt. But when business owners have to file for personal bankruptcy, there are uncertainties about what assets you can exclude from the filing. One of the more common worries is what a personal bankruptcy can mean for the future of your business. Can you keep the business out of the bankruptcy? Will your debtors be able to close down your company?
The answer to both is: maybe. It depends on what type of business you have, how much income it generates, and what kind of inventory you may own.

In a typical case, since the business owner is filing bankruptcy, that’s a sign that the business is not providing enough income to cover the owner’s personal debts. The amount of income is usually weighed against the expenses of the company, including overhead; money owed to suppliers, vendors and employees; and other costs. If the assets are less than the liabilities, then there is little chance debtors will be able to recover any money from the business.

If you own a business, chances are you can keep your company running as normal and keep the debtors from forcing it into bankruptcy. However, it is possible for a creditor to liquidate your business.

Here are some things to remember when considering the future of your company:

• Make sure to list the business as an asset when you file your paperwork. Listing it as an asset does not necessarily mean you will have to shut it down and lose the income. But hiding or misrepresenting the business income could be considered bankruptcy fraud--a felony. The trustee assigned to your case will have to determine whether the court views the business as having value financially.

• If your business credit card and checking account is connected to the same banking institution that handles your personal banking, you may be at risk of the bank using funds from the business account to pay the personal debt.

• If your business is incorporated, then the business is more closely tied to your own personal debts and assets. The court may consider your assets to be personal, and therefore not separate.

• It is less likely for a service business without hard assets or inventory that is valuable to be included in a personal bankruptcy.

Because there are so many potential issues and exemptions for small business owners, it’s important to secure a lawyer who is experienced in personal bankruptcy law. Your lawyer will determine the right steps to take to protect your assets, including your business, if possible.

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Feeling squeezed by the slow recovery of the recession? You aren’t alone. Foreclosures and short sales popping up across the state are a visible sign of the financial duress many families are under. Maybe you’re having trouble paying your mortgage because of a job loss or an adjusting rate. Paying too much on your mortgage can quickly deplete your savings and leave you trying to make ends meet at the end of every month. Loan modification is an option you might want to look into if you wish to stay in your home.

What is loan modification? The US Department of Housing and Urban Development (HUD) describes loan modification as a permanent change in the loan that allows the loan to be reinstated and paid at a price the mortgagor can afford. Basically it’s an avenue that some homeowners who are going through a financial hardship pursue to avoid foreclosure.

Why is it helpful?
Loan modification is beneficial to homeowners who wish to remain in their house but can no longer afford the payment. The bank may be able to make your monthly payments much more reasonable. It can be less expensive than refinancing the loan. In asking your lender for a modification on the home loan, you’re asking them to approve the loan at a lower payment. This would allow you to make the monthly payment. Banks are willing to do it when the conditions are right for them since it prevents the home from going into foreclosure and becoming a burden on the bank.

How does it work?

The goal of loan modification is to reduce your mortgage payment to be less than 31% of your gross monthly income. The bank will want to see many documents that pertain to your assets, income and debts. The bank will also want information about your home and financial situation, as well as tax information and proof of income. Lenders want to verify that you make enough money to pay the proposed loan amount and that you don’t have too many debts. Banks will consider you for the program if you have enough income to be deemed low risk.

To qualify for a home loan modification, the following should be true:

• Your home must be your primary residence
• Your loan is less than $729,750 (for a one-unit property)
• Your current mortgage is from before January of 2009 (Loans dated after this date may not qualify)
• Your mortgage payment (including taxes and insurance) is more than 31% of your gross monthly income

If you meet the above criteria, you may wish to start the process for loan modification. Your attorney will help you prepare the documents to send to the bank. Lenders will verify your application and determine if you are in imminent danger of defaulting on your loan. One of the ways they assess that is to come up with a debt ratio to determine how much money you bring in, what your debts are and how much your mortgage payment costs. A bank officer will review the information and decide whether or not you qualify.

Beware of loan modification companies that could be potential scam-artists. Consumers here in Florida reported paying thousands of dollars each month for the services of companies that never helped them. Going through the process yourself may seem like the best idea, but loan modification is a long and complicated process. Having a lawyer to is incredibly helpful since he or she will know how to position your income and assets to show the lender that you qualify, and work with the bank on your behalf.

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