Common use of Collection and Enforcement Clause in Contracts

Collection and Enforcement. OWNER authorizes BROKER, in the exercise of BROKER’S sole discretion, to perform all reasonably necessary services and/or enforcement actions required to enforce rent collection and recovery of damages when the tenant is delinquent with rents and other charges due under the lease, or otherwise breaches any other material terms or condition of the lease, including but not limited to: termination of lease(s), contracting eviction procedures through an attorney, initiating a special detainer action, signing papers for legal process, recovering possession of OWNER’S PROPERTY, reinstating tenancies and/or releasing such actions of lawsuits as BROKER feels necessary to protect the OWNER and/or BROKER’S interest. As BROKER is not licensed to practice law, BROKER shall at times obtain the services of an attorney and process server, the expense for whom shall be the responsibility of OWNER. All charges related to such enforcement actions shall be billed by BROKER to tenant as additional rent; however, OWNER is ultimately responsible to pay such expenses upon demand in the event tenant does not pay. Enforcement actions charges, in addition to attorney and process server fees, may include but are not limited to certified mailing fees, late fees, legal notification fees, non sufficient funds fees, special mail fees, security check fees, and bookkeeping fees to provide attorney with documents to file court cases. BROKER shall retain any and all enforcement action charges and fees as compensation for these additional services. In the event legal action is required, OWNER shall pay BROKER $50 per hour as compensation for BROKER’S costs incurred in connection with any legal proceeding. This fee will cover the cost of all court appearances and coordination with collection agency. OWNER acknowledges that BROKER may contract with third parties to collect past due balances and that said third parties may retain a portion of any monies collected as compensation for their efforts. BROKER is under no obligation to attempt to collect past due balances and shall pursue such collections at its sole discretion.