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How to Cut Costs on Legal Fees

Bern Lady Justice
Image via Wikipedia

Occasionally, life goes truly pear-shaped and you’re forced to enter the legal system.

Even if you’re not embroiled in a tawdry, tabloid-fodder divorce, there are still legal issues that everyone needs to address, without exception.

The problem?  Or rather, one of many, if you’re having legal problems?

Lawyers are expensive.

Before I go any further:

  1. If you are having criminal court issues, get a lawyer.  Get the best possible lawyer.  Really.   The cost does not compare to a lifetime in jail, or even 10 years.    If you’re facing jail, get the best dang attorney you can find.
  2. I am not only not an attorney, but I’ve never even played one on TV.  I have driven past a law school a couple of times, but never stopped in.   I do know several attorney, carry the business cards of a couple and have a couple on my speed dial, just in case.  If any of them thought I was giving legal advice, I’d be in trouble.  To reiterate: I am not an attorney.  This is not legal advice.  
  3. Don’t do a prenuptual agreement at home.  A prenup will almost always be found unenforceable if both parties don’t have an attorney.

Where was I?   Ah, yes.  Lawyers are expensive, but there are ways to mitigate that.

There a couple of things you can handle yourself.

Small claims court, also known as conciliation court.   Typical cases in conciliation court include cases involving sums under $7500(varies by state) that involve  unpaid debts or wages, claims by tenants to get a security deposit, claims by landlords for property damage, or claims about possession or ownership of property.  Fees and procedures vary by state, but generally cost less than $100 to file.   The procedures for your state can be found by googling “small claims court” and the name of your state.

Small worker’s compensation cases can be handled yourself, if they don’t involve a demotion or termination related to the injury.

Apartment and car leases are usually simple and straightforward.  Read them carefully, but you probably won’t need a lawyer.

You can probably  handle your own estate planning and will writing with some decent software.   I love Quicken Willmaker.  It walked me through a detailed will that takes care of my kids, and gave me advice on financing their futures in the horrible event that I am tragically killed before my wonderousness can fully permeate the world.   It also contains forms for promissory notes, bills of sale, health care directives and more.  If you have extensive property, I’d still seek an attorney’s advice, but I’d bring the Willmaker will with me to save some time and money.

Purchase agreements.    A few years ago, I sold a truck to a friend and accepted payments.    I made a promissory note and payment schedule.   When he quit paying or calling me, that paperwork was enough to get the state to accept the repossession when I took the truck back.

A simple no-fault divorce is actually pretty painless, on the scale of divorce pain.    Again, the procedures vary heavily by state.

Other resources for finding legal information free or cheap include www.legalzoom.com and www.nolo.com.

Have you had to do any of your own legal work?  How did it work out?

I Accidentally Bought a Bus

My bus
My bus. Sorry about the dark picture.

 

Last weekend, I was having dinner with my friend and business partner.  After our carry permit class, we try to get dinner, unwind from the class, debrief, and figure out how to improve our business.

Over the course of this discussion, the idea of owning a bus came up.  It was part of an impractical-but-useful solution to one of our larger expenses.   My partner mentioned that he had a friend who owned a bus, so I asked him to find out how much he was asking.

A few days later, he called me and said simply, “We bought a bus.”

Oops.

What year?

“I don’t know.”

How big?

“Huge!”

Does it run?

“It used to.  It probably still does, but they lost the key.”

Crap.

So we own a bus.  It’s a 1987 Ford B700.  It’s 20,000 pounds empty, has a 429 motor that doesn’t leak oil, and an air horn.

Under the hood, it’s got a couple of issues.  There are some melted vacuum tubes leading to a vapor box.   The vapor box is used to cheat obsolete emissions standards and doesn’t do anything productive.   There’s also some belts missing.  The belts drive an air pump that pushes clean air into the exhaust system, again, just to cheat emissions standards that we don’t have anymore.  Nothing necessary–or even useful–is broken.

Part of the $1000 we paid for the bus went to a locksmith who came and made us a key.

The interior of the beast is 3/4 converted to an RV.  There are 4 folding bunks in the back, minus mattresses.   There are two RV sofas that fold down to beds, plus seating for another 12 people.  No kitchen or bathroom facilities.

We’ve done some research and come up with a few choices for this impulse purchase:

  1. Flip it.  We should be able to at least double our money quickly.
  2. Finish the RV conversion already in progress.  This wouldn’t turn it into a fancy motorhome, but it would make a great deer shack on wheels.   I figure we could make this happen for about $500 and turn it into a $3500 toy to sell.   Or take deer hunting.
  3. Turn it into a full RV.  This would be more expensive.  My estimate is a $5-6000 investment to make it a $10-12000 RV.  It would take most of the summer to do, which means we wouldn’t be selling it until spring.   I quit wanting to do this when I saw the bus in the light.  There’s not a lot of rust, but it’s more than I’d want to fix to make the outside look as good as the inside, in my head.
  4. Party bus.  What’s a better way to spend a Saturday evening that shepherding a drunken bachelorette around with her friends?  It’d take about $2000 to outfit the bus, plus insurance, plus licensing, plus the fact that drunken bachelorettes are obnoxious.
  5. Auction.  We got an estimate for a $3000 sale, minus a 20% commission.
  6. Stunt-jumping.  I saw a video of a guy jumping a bus over 20 motorcycles.  I could do that.  I’m sure one of the race tracks around here would pay good money to have us do that one weekend.  Afterward, we’ll melt the bus for scrap.
  7. Sell the engine and scrap the body.   That should bring us at least $1500.

We jumped into this with no real plan, but there are a few ways we could make our money back.  I’m expecting a healthy profit on a pretty short timeline.

What would you do if you owned a bus?

 

 

 

What I’ve been up to….

Posting has been scarce lately.

But there’s a reason.

This morning, I released a bit of software for sale and I’ve got more coming in the next couple of weeks.

What does the software do?

It’s a WordPress plugin that let’s you bulk upload & schedule Word documents as posts.  You can upload 50 Word docs and get 50 posts scheduled to run once a week.  It takes about 10 minutes to make that happen.  It handles the category, author, and posting time for you.

Why?

I build niche sites.   When I do, I usually hire out most of the writing.  It’s a pain in the butt to get handed 50 or a 100 articles to convert, post, and schedule.  So I solved that problem.

It’s called Word Poster.  You can get the details here.   I figure that this thing saves me at least an hour of work for every 10 articles I buy.

At $27, that pays for itself in an hour or two.

 

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Buying a Fixer Upper House

English: Fixer Upper in Dorena
English: Fixer Upper in Dorena (Photo credit: Wikipedia)

Have you ever thought about buying a fixer upper house? In recent years there have been some great options for people looking to purchase property for the sole purpose of renovating and flipping real estate. There are some great locations with pretty nice houses that have either been damaged or neglected and are now for sale. These circumstances make it difficult for someone to purchase and remodel the house without spending a lot of money. In recent years there have been a couple of options for people who want to buy run down houses to flip. Mortgage companies have come out with different mortgage options for anyone who is looking to invest in real estate. There are loans tailored to meet whatever goal you have when purchasing a house that even allocate funds for renovation. The two that we will discuss in this post are Home Path and FHA 203 (k) renovation loans.

HomePath Loan:

The HomePath loan program was created by Fannie Mae and is meant to offer foreclosed homes to anyone who qualifies to purchase them. This type of loan is great because not only do you qualify for a loan to buy the house but also receive enough for renovations and remodeling. This pushes buyers to purchase homes that have been foreclosed and thus contributing to the real estate market and the economy as a whole. It’s also great for the buyer because it give them incentive to purchase a space that they might not go for right off the bat. Everybody wins.

FHA 203 (k) Renovation Loans:

203K loans allocate funds for the initial purchase of the house along with funds for the renovations. Companies offer low down payments and flexible underwriting guidelines. Almost any kind of residential property qualifies making it really easy to get approved. Many people don’t know that this kind of loan exists but it is definitely something that is not only beneficial to those taking out the loan but also to those looking to get rid of a place that won’t sell on its own because it isn’t visually or aesthetically appealing.

If you are on the market looking for a home, consider taking out a HomePath or 203k loan designed for houses that might need some fine tuning to look their best. It is a great option for anyone looking to flip property and for anyone who wants to purchase a space that might not be appealing upon first glance. Fixing up a place will not only increase the value of your new home but also probably cost a lot less than if you were to purchase a newly remodeled space for market value.

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