News Articles Blog

Manufactured Homes and FHA-Insured Loans

admin — Mon, 30 Jun 2008 18:50:16 +0000

What’s Holding Up your Home May also be Holding up your Loan
Know Your Foundation!

Homeowners that live in manufactured homes often face confusion and frustration at the worst possible time —at the 11th hour when they go to buy/sell or refinance their home and the lender pops up with a final condition: an engineer’s certification of the manufactured home’s foundation. For many this becomes a crisis when the foundation fails to meet the HUD guidelines. To resolve the situation and proceed with the loan, the lender will then require an engineered upgrade, repair or a retrofit on the foundation in order to meet the HUD guidelines.

In a state of panic, where does the borrower or lender go for a reliable source to satisfy this condition? Fortunately, there is a vast array of pre-engineered and approved “permanent” foundation systems available in the marketplace so the homeowner or homebuyer doesn’t have to pay to reinvent the wheel, but the borrower may still have a difficult time discerning which criteria should be used to make a selection. Should they focus on the features and benefits of the individual system or make a decision strictly on the price point? The fact that homeowners are floundering for answers at a time of heightened stress in the loan consummation process accelerates their confusion and leads some borrowers to blame the loan officers or transaction coordinators. “Why didn’t anyone know this??” is the frequent outcry. To be fair, the loan officer or processor is likely dealing with their very first FHA manufactured home loan and was not aware that the foundation would be a critical factor in the loan. However, the borrower often views this last minute potentially expensive surprise as a lack of professionalism on the part of the lender and further adds to his/her consternation.

So, for both borrower and lender, it may be important to have a strategy to interpret available repair solutions. Where can a borrower or lender get the best information? A web search for foundation systems may supply you with some of the names prominent in the industry and you can start educating by having product manufacturers feature the benefits of their respective proprietary foundation system. Likely you will hear the manufacturer’s self-directed accolades extolling the virtues of their system as the “only true FHA certified system” so the tariff for the system may also include a hefty sales commission. Although many manufacturers proclaim that their patented proprietary foundation system is FHA or HUD approved, the truth is there are no blanket approvals that automatically provide a stamp of approval on an FHA-insured loan. Even though the components that are used in their system may indeed provide the vertical and lateral loads needed to meet the HUD Permanent Foundation Guide for Manufactured Homes, 1996, without proper installation the system is as worthless as Tinker Toys sitting in the cannister. Only a licensed engineer on a case-by-case basis can determine whether the system meets the HUD foundation guidelines and must attest to that fact in a certification letter, wet-stamped and signed. One can imagine a worst case scenario where a borrower pays big dollars for a system installation, only to have the installation fail under the scrutiny of an engineer.

While the safety features alone of a foundation system might normally be a component in a homeowner or home buyer’s decision-making, the tick-tock of a loan lock creates a sense of urgency. Plus the unexpected cost of a retrofit at a time of financial need will generally cause most borrowers to think primarily with their pocketbooks. While many manufacturers of foundation systems battle for positioning because they protest that their system has superior load-bearing or seismic resistance, the reality is that the performance of the installer and the turn-around time for the engineer to certify the foundation have become the new standard for structural excellence in the world of FHA manufactured housing financing. By necessity, the merits of the system and its structural efficacy have taken a back seat to the contractor and engineering team that provides the verification that the lender needs to take the loan to underwriting. Since a system is only as good as its installation and certification by an engineer, start by finding a contractor/engineer team that that has a comprehensive knowledge of the FHA and title process, can liaison between borrower and lender to create a seamless transaction, can provide extra structural support for the home as well as the much needed service support for the loan transaction.

Manufactured home specialty contractors are often knowledgeable about both the plethora of proprietary systems available on the market as well as the costs and the building permit process associated with the installation. They understand that different systems have different merits and the ranking for decision-making has a number of determining factors, some of which are:

1.    Size of home
2.    Type of home manufacturer and the style
3.    Type of perimeter enclosure
4.    Type of set-up (above ground or subterranean set)
5.    Type of soil/ground/drainage conditions
6.    Appurtenant structures to the home
7.    Roof load, floor load, live load in the home
8.    Local building code requirements determined by wind, flood, seismic activity
9.    Best system vs. best value

Therefore, choosing your foundation system should come down to the competency of the retrofitter/engineering team that can economically, expeditiously and successfully accomplish a finished product, wading through the lending requisites, local building department requirements, providing any recorded documentation (like the 433A in California) and the ultimate prize—the engineer’s certification letter verifying that the foundation meets the HUD guidelines. On The Level and Pacific Consulting Engineers have joined forces to make up one of the most informed teams in the manufactured housing industry: www.onthelevelcontractors.com and can provide both lenders and borrowers with answers and solutions.

What’s the deal on the FHA Modernization Bill?

admin — Tue, 03 Jun 2008 22:26:49 +0000

What’s the deal on the FHA Modernization Bill or the FHA Expanding Homeownership Bill that is supposed to help manufactured home owners?

Speculated to have been packaged, sealed and signed by the President during the first quarter of 2008, the long-awaited, long promised FHA Expanding Homeownership/Modernization bill is still being tossed around in two different versions, one in the Senate and one in the house and many think it is still slow in coming, if ever. The reason this impacts many manufactured home owners is that many homes that will be newly cleared to qualify for FHA-insured loans are located in manufactured home parks and communities. Also since a large number of parks are predominately senior communities, the FHA-insured Reverse Mortgage product holds increasing appeal to them in their retirement years. A Reverse Mortgage is a loan against a home that is not payable until the homeowner dies, sells the home or permanently moves out. Reverse Mortgages allow homeowners age 62 and older to turn the equity in their home into cash without having to move or make a monthly mortgage payment. One of its benefits to the retiree is there is no minimum credit or income requirement to qualify for a reverse mortgage—just the appraisal value of the home. Since the majority of the reverse mortgage loans are FHA insured, this bill directly impacts a large number of manufactured home owners that live in parks.

Why can’t many manufactured home owners currently qualify for Reverse Mortgages or other FHA loans? Many parks and communities began as a land lease or rental park where the residents owned their manufactured home, but paid monthly space rent. As residents in land lease parks sought to have greater control in their communities, they negotiated with the park owner to purchase their respective spot and the park was converted to resident ownership. One of the most popular methods for park purchase was using a condominium conversion plan. Even though the homes are on individual plots, the mere description of them as a condo has disqualified them from certain types of loans. This is confusing for most lenders and borrowers alike since FHA will insure homes in approved condominium projects and manufactured homes that are in parks that have been installed on a permanent foundation system in Planned Unit Developments or a subdivision, but currently excluded are all manufactured homes located in a condo community. Thousands and thousands of borrowers are restricted simply because the legal description on their title specifies “Condominium”. Either of the bills cited above would remove the exclusion and this has been much heralded by homeowners and lenders alike. While there seemed to be enthusiasm on both sides of the aisle and even the President, both bills seem to be at a complete standstill and maybe will be abandoned altogether.

Many people that live in a condo park don’t even know they are classified as such. Drag out your grant deed or your title insurance and read the full legal description. If it mentions condo or percentages of ownership, you probably live in a manufactured home condominium project. And the cautionary tale for those residents in a condo park is this—please be careful if a lender promises they can get you a Reverse Mortgage loan. It is not likely they can perform unless they are dealing with private money. An FHA-insured loan will probably collapse at the underwriting stage. If you decide to pursue the process, make sure the lender will pick up expenses of the appraisal and the engineering certification. Another cost to avoid unless your loan is clinched is to pay to put your home on a permanent foundation. This may cost thousands of dollars and if your loan is declined, you may be left with this additional expense.

Environmental Disaster Law

jana — Thu, 03 Apr 2008 18:37:57 +0000

On March 23, 1989, the supertanker Exxon Valdez pulled out of Valdez, Alaska, loaded with more than 56,000,000 gallons of crude oil. Captain Joseph Hazelwood, the Master of the vessel, had spent the day drinking with crew members. He had consumed at least eight vodka doubles and his blood alcohol level stood at .241 - more than six times the permissible level under Coast Guard regulations. Third mate Gregory Cousins was on duty beyond the limits specified by federal fatigue laws. Hazelwood, Cousins and the rest of the crew faced a night voyage through ice in Prince William Sound. Hazelwood’s intoxication was evident from the alcohol on his breath, his slurred speech (captured on audiotape) and, most of all, his actions as the ship navigated the sound.
While passing through fishing grounds, Hazelwood took the Exxon Valdez outside established shipping lanes to avoid ice. He put the vessel on automatic pilot, accelerating at Bligh Reef. Hazelwood then left the bridge in violation of Federal Pilotage Regulations. As he went below, Hazelwood gave vague instructions to the inexperienced and fatigued Cousins. Within minutes, the supertanker struck Bligh Reef, spilling 11,000,000 gallons of oil, thereby causing the largest oil spill and greatest environmental disaster at that time experienced in American history.
Following the grounding, lawsuits were filed in Alaska State and Federal Court on behalf of approximately 45,000 individuals, businesses, native corporations and local governments, seeking both compensatory and punitive damages. Most of the state court actions were ultimately removed to federal court. The Federal District Court carefully managed this litigation. It entered hundreds of orders, and the discovery master entered hundreds more. The trial plan provided for four separate phases of trial. The first three phases were to be tried to a single jury of 12 (rather than the customary six), with a unanimous verdict required. Trial proceeded as follows:
1. Phase 1 and began on May 9, 1994, 5 years after the spill, and ended on June 6, 1994. A week later, on June 13, 1994, the jury returned a verdict that both Exxon and Hazelwood had been reckless.
2. Phase IIA went to trial in June 20, 1994, to determine the lost harvest, loss price and permit valuation claims in the Prince William Sound, Kodiak, Cook Inlet, and Chignik salmon and herring fisheries. After deliberating a month (from July 11, 1994 to August 11, 1994), the jury awarded hundreds of millions in compensatory damages on these claims.
3. Phase III was tried between August 22, 1994 and August 29, 1994. In this phase, the jury was asked to decide whether Exxon and/or Hazelwood should be assessed punitive damages, and if so, in what amount. The jury returned its verdict on September 16, 1994, awarding punitive damages against Exxon in the amount of $5 billion and against and Hazelwood in the amount of $5,000.
The compensatory damage claims of all other plaintiffs, not earlier decided in Phase II of the trial, were to have been decided in Phase IV. Phase IV settled before trial, in mid-1996.
Exxon and Hazelwood filed countless post-trial motions. These motions resulted in the District Court issuing approximately 250 pages of rulings. Due to this delay, final judgment was not entered until September 24, 1996. An Amended Judgment was ultimately issued on January 30, 1997.
Appeals and cross appeals next ensued. The Ninth Circuit Court of Appeals issued its first decision on November 7, 2001. In essence, the court remanded the case to the trial judge, requesting that Judge Holland evaluate the appropriate amount of punitive damages in light of United States Supreme Court decisions, BMW and Cooper. (It should be noted that neither of these Supreme Court decisions existed at the time of the trial of the Exxon Valdez litigation.)
Ultimately, Judge Holland reluctantly reduced the jury’s punitive damage award from $5 billion to $4.5 billion. Judge Holland went on to note that interest on the judgment itself would be somewhere in the range of approximately $2.5 billion. Exxon appealed again.
On Friday, December 22, 2006, the Ninth Circuit Court of Appeals again issued decision, reducing the punitive damage award against Exxon from $4.5 billion to $2.5 billion. Exxon immediately sought en banc rehearing before the Ninth Circuit Court of Appeals. On May 23, 2007, rehearing was denied. This left Exxon with the option of a writ to the United States Supreme Court, which it did.
Incredibly, on October 29, 2007, the United States Supreme Court granted Exxon’s Writ, and has agreed to decide the propriety of the revised judgment. The case will likely be argued in during spring, 2008. One Justice, Samuel Alito, recused himself due to ownership of between $100,000 and $250,000 in Exxon stock.
Clearly, this is one of the oldest pieces of environmental disasters litigation in the country. Who would have ever imagined that following one of the largest oil spills in the world, caused by a clearly drunken Captain, over 18 years would pass without one penny in punitive damages being paid to those so greatly damaged by the spill.
From a practical standpoint, many damaged by the spill believe that Exxon has already prevailed because they’ve literally worn people out. Following the environmental disasters, numerous people were forced into bankruptcy. Since the spill, numerous others have died, leaving their heirs to seek recompense. Even some of the most prominent lawyers involved in the litigation (Melvin M. Belli, Sr., Jerry Cohen, Leonard Ring, Richard Gerry, among others), have since passed away. Though bittersweet, perhaps this tragic litigation is finally nearing completion.
From a legal perspective, there is much to be said about the Ninth Circuit Court of Appeals December 22, 2006, opinion. Was the award of $4.5 billion “grossly excessive”? After a defendant displays egregious, reprehensible, conduct sufficient to justify an award of punitive damages, should conduct taken by defendant thereafter serve to reduce a jury’s punitive damage award? Perhaps these questions would be best answered through the analysis of cases other than the Exxon Valdez litigation. But, whether one agrees with Judge Schroeder’s analysis, or not, surely everyone agrees with her comment, “It is time for this protracted litigation to end.”
Unfortunately, with the United States Supreme Court’s grant of Exxon’s Writ, the saga is guaranteed to continue, and potentially with significant consequence to the victims of this avoidable tragedy. The Scarlett Law Group are National Trial Lawyers based in San Francisco, California with outstanding results in cases involving automobile accidents,airplane crashes,traumatic brain and, environmental disasters
http://archivex-ht.com/articles/Article/Environmental-Disaster-Law/
http://www.articleaddict.com/Article/Environmental-Disaster-Law/19593
http://www.articleadventure.com/Article/Environmental-Disaster-Law/128422

What You Need to Know in a Truck Accident

admin — Wed, 19 Mar 2008 02:11:16 +0000

When you find yourself involved in a truck accident, there are a lot of things truck accident lawyers in Las Vegas can tell you about the what needs to be done for your case and what your odds are of winning the case in which you find yourself. The truck accident lawyers in our Las Vegas office know what strategies to use and what events can be exempted from litigation in relation to these cases. This is why it is imperative that you get the best truck accident lawyers in Las Vegas when you need legal help in the matter. They will know what to do to get you the kind of help you need after you find yourself or a family member or close friend in such a situation as a truck accident.

Since truck accidents are some of the most dangerous accidents that can happen on the road, truck drivers are often carefully chosen by companies to handle their trucking needs. When a truck accident occurs, it is usually the result of negligence or carelessness and therefore needs to be taken to court. This is what truck accident lawyers in Las Vegas often try to prove, the liability of the truck driver when it comes to the accident. However, there are certain exemptions that need to be taken out of the equation and these are often the ways that the trucks themselves operate.

Some of the possible reasons when a truck driver can be absolved of any wrongdoing are when the vehicle in question itself is faulty or when the road is in a condition that is conducive to accidents happening. This is often evident when a truck jackknifes or slips when it turns due to the road conditions. If it can be proven that the truck was involved in the accident due to the road conditions and not because of negligence or because of a faulty vehicle, the driver and the company that owns the truck and even the company that manufactured the truck is not responsible of any wrongdoing. Reasons why a truck can jackknife or cause a turning accident is often ascertained before a case is taken to court by experienced truck accident lawyers in Las Vegas. Proving that the accident is indeed the fault of the driver in question is one thing that good truck accident lawyers are adept at.

Even if the trucking company or driver is not at fault, the municipal authority in charge of the roads may be. In any accident, there are a variety of factors to consider.

Skilled truck accident lawyers in Las Vegas also know how to get to the truth of the matter and what their clients are truly entitled to. This means that these skilled lawyers can often get the kind of justice and compensation that those who are involved in the accident should rightfully get. This is why people in truck accidents in Las Vegas need to obtain lawyers who are well versed in the ways of the law and those who also know the many different loopholes in such cases.

HUD Code Manufactured Homes

admin — Mon, 03 Mar 2008 21:45:04 +0000

One of the problems with manufactured housing and its perceived reliability in the mind of the consmer to withstand different weather and terrain conditions has been the disconnect between how the code requires the home to be designed and engineered in the factory and how the home is installed in the field. In other words, there is a lack of continuity between what the manufacturer sends out the door and the dealer and installer delivers and sets up on the home site. While the HUD Code of 1976 established that manufactured homes had to be factory designed and engineered to federal law standards with specific electrical, heating, plumging and thermal standards as well as performance requirements for structural design, construction, fire resistance, energy efficiency and transportation from the factory to the site , the installation standards were left to the local and state jurisdictional authorities. Interestingly, in some states installation requirements are rigorous while others, lax to non-existent.

To quote the code, “every HUD Code manufactured home is built in a factory, under controlled conditions, and has a special label affixed on the exterior of the home indicating that the home has been designed, constructed, tested and inspected to comply with the stringent federal standards set forth in the code. No manufactured home may be shipped from the factory unless it complies with the HUD Code and receives a certification label from an independent third party inspector.”

So let’s say the home was designed to meet Wind Zone II requirements, this home would not receive a HUD label and data compliance certificate nor could leave the factory without substantive engineering and design proof that the design met those specified Wind Zone engineering requirements. However, the irony is that after all the in-factory inspections and compliance requirements had been met and certified as HUD compliant, the home could simply be shipped out of the area to a state that might not mandate or enforce wind tie-downs at all. So conceivably, all the regulations set forth for factory production could be completely abandoned when the home arrived at the site. And most anyone that stays abreast of current events has seen how vulnerable manufactured homes are in high wind zone areas. Does “Wizard of Oz” come to mind?

However the new HUD Code is in the process of changing not only how local jurisdictions (those building department enforcing local codes) oversee HUD compliant housing, but also a complete revision of rules, regulations and requirements that will affect thousands of dealers and installers (those that perpetuate the market growth of the industry). So in short, this is a good thing and here is why: manufactured housing installation will finally be standardized and will match up with the factory design criteria. For instance if the home is designed in the factory for a 30 lbs. roof load, then it makes sense that a foundation must be installed based on the same specifications. What a concept that the understructure system should be able to support the roof – the same applies for wind and seismic zones as well.

Most of this is simply common sense and something that most general building contractors of site-built homes have been following for years. Items such as site preparation, drainage, fall, soil compaction are part and parcel to the check-list protocol for a standard site-built-home-contractor, and yet, something that the maverick, often unlicensed and uninsured installer has cast aside simply as nuisance or inconsequential to the installation standards. For a general spoof on the industry and the stereotype that unfortunately still prevails but needs to change, check out You Tube Bubba Inc., http://youtube.com/watch?v=VQcT0tz8twk

Thus, better regulatory installations will not only make homes safer, but will hopefully mitigate the pervasive and on-going issues of sticky doors, mating-line inconsistencies, understructure moisture intrusion, squeaks and the laundry list of other issues that can often leave homeowners unsettled about manufactured home living. Furthermore, it is our hope that with these changes, lending institutions will also begin to regard the manufactured housing industry with higher regard.

Without the helping hand of the loan industry, not even the most affordable housing is a viable alternative for those that want to grab onto the American dream. Fortunately FHA has been aware of the state-to-state inconsistencies and in order to comply with their loan guidelines, they have requiree an engineer’s certification of the home’s foundation and any attached structures that may impact the structural integrity of the home. The engineer must cite that the home meets the HUD guidelines detailed the PERMANENT FOUNDATION GUIDE FOR MANUFACTURED HOMES, 1996. This is one situation where regulatory policy to enforce better installation guidelines will likely benefit all involved: the homeowner, the borrower, the lender, and most of all, the reputation of the manufactured home industry.

Janis Arenson is with OnTheLevel Contractors, Inc., manufactured homes specialists with offices in California.

Buying My Car In Costa Rica

admin — Fri, 29 Feb 2008 17:53:20 +0000

Purchasing a used car is usually a memorable experience. There are oftentimes unexpected
twists and turns even in a straightforward deal. My used car purchase in Costa Rica was
something I will always remember.After moving my wife and infant son to Costa Rica to start a new business, a car purchase was
at the top of my to do list. We were staying with a friend while we were setting up shop and
were soon tired of buses and taxis. We had planned on finding a house first, but soon realized
the incredible inconvenience of meeting appointments with landlords with no car. With the
househunting on hold, we began our search for the perfect vehicle.

We first had to get over the shock of having to pay an extra 40-50% due to import taxes.
There are no cars made in Costa Rica, so this applies to every make and model. A car in the
states that is worth $10,000 cost $14 or $15,000 down here. We spent the first 2 days educating
ourselves by pouring over the want ads. It was soon obvious that we would get a better deal by
looking in La Nacion for our car instead of the English paper called the Tico Times. Not only
were there many more choices, but the prices seemed lower for the same vehicle. We had
decided on some sort of four wheeled drive SUV for the safety factor. The roads contain many
potholes and often run out of pavement suddenly. Since our business led us on many
expeditions, it seemed a sound choice. Factor in the basic lawlessness of the roads due to very
little enforcement, and a strong car that sets up high is even a more obvious choice for a family
with an infant.

In Costa Rica, a lot of the business you due is done through your attorney. Litigation is rare,
and the attorneys handle most all contract paperwork including submitting paperwork for your
registration. On a previous trip, I had secured an attorney who spoke English. When I called him
about the car purchase, he walked me through it. Find the car you want, take it to a mechanic
(supplied by him) and check it out, if it’s good bring the seller and car to my office and I’ll
handle it. This was starting to actually sound easy.

Our first car we looked at was a ‘96 Toyota 4Runner. We met the gentleman at a casino
parking lot that was close to my mechanic. We had resorted to looking online after educating
ourselves on the prices in the newspaper. Online ads offered the benefit of multiple color
pictures and it was easier for me to read Spanish than speak it over the phone. This 4Runner
was supposed to be cherry with only 85,000 miles (137,000 kilometers) The pictures in the ad
were of a spotlessly pristine body and even had a shot of a really clean engine. Well, either the
car in the ad photos was a completely different vehicle, or this car had just been wrecked. The
seller was very nonapologetic, and said if the car looked like the one in the pictures; it would cost
10 million colones (20,000 dollars) instead of 7.5 mil. ($15,000) His mom or aunt was with him,
and we could see she didn’t share his business verve. She gave us some sliced mango in lemon
juice, and we just walked away shaking our heads.

The next three cars we liked were all sold by the time we got there. Finally, the car I really
wanted ( a deep green Mitsubishi Montero Sport 1999) was available for 6.9 mil.($13,800) It
was in my price range, had only 85,000 miles on it, just came in from North Carolina so it hadn’t
had to endure the potholes; and I was the first inquirer. After grilling the guy three times about
whether or not the pictures were accurate, we arranged to meet at my mechanics. I got there early
to fill my mechanic, Rodrigo, in on what I wanted checked out. Sure enough, right on time, my
future car drove in. There is something about the color of deep hunter green that has always
given such a euphoric feeling to my senses. I think that half the reason I moved to Costa Rica
is because of the deep green vegetation that is everywhere. But as MY car wheeled to a stop, this
17 or 18 year old kid jumps out. Clean cut, snappy dresser, he just looked like a player. We start
going through the “car purchase dance.” We used broken Spanish and broken English and a lot
of miming. After he showed me the elaborate 3 stage alarm system, (seriously, there are 3 levels
including a hidden switch that just cuts off all the electrical to the engine, and another that kills
the car 30 seconds after you start driving if you don’t hit another hidden switch under the seat)
I knew he was a player. But, man, I loved this car. It just looked like my car.

Now, it was Rodrigo’s turn to give me the scoop on the cars mechanical viability. I have had
cars checked out in the States before, but never to the extent that Rodrigo went through it. It was
awesome. He brought me down in the pit to look at the underside and showed me two seals and
an o-ring that needed changing; a tie rod was bent and needed changing, the oil pan shield was
missing; and a couple of various bolts & screws had been lost or fallen out. Then when he got
the engine torn apart, I watched him check compression on each cylinder; head gasket; plugs and
points for fouling; and several other minute details. The bottomline: the overall car needed some
work, but the engine was in great shape. After having Rodrigo draw up a list of the repairs with
prices, I went back to my “player” to negotiate. I wanted him to lower the price enough to pay
for the needed repairs. After some hedging, he agreed until he saw the repair bill. He
immediately flew off the handle and went charging in to Rodrigo’s office. I watched from
outside the tiny office’s large window. I have never seen two people talk so fast at the same time
with such passionate emotion. Their arms were flailing and the veins on their necks stood out.
What had I started; I was starting to get nervous. Then, as if the eye of the hurricane was upon
us, they both came calmly walking out. My “player” had broken apart each repair and negotiated
a lower price for the labor, and in three instances had agreed to do the repairs himself. So,
instead of a $450 repair, it was going to cost him $150. He had succeeded in lowering my
mechanic’s labor rate, which would end up saving me many dollars over the years. We made an
appointment to meet at my lawyers office in three days, in order to give him time to do his
portion of the repairs. I scheduled Rodrigo for the fourth day, and called a taxi,
Standing outside my lawyer’s office, I watched my car drive up with a stranger at the wheel.
He claimed to be the older brother of the player. His brother was back in the States buying
another car, and couldn’t make it. I got nervous again when he asked if I brought cash. Player’s
brother speaks perfect English, but keeps eyeing me up and down like he is sizing me up for a
quick score. I did have cash in my satchel, and quickly buzzed my attorney’s door to let us in.
My attorney, Louis, quickly took a dislike to the brother for some reason. Louis kept asking me
if I’m sure I want to buy the car, and the brother kept asking to see the cash. We spent thirty
agonizing minutes checking to see if the car’s paperwork checked out with the Cost Rican
authorities on the internet. When brother had to go out to the car to get ID to prove he was the
owner of the car, Louis turned to me and said; “ Where did you find this guy? The VIN # on the
car checks out, but someone attempted to scratch it out and it’s barely readable. IF his Id checks
out, he has changed addresses three times in the last 6 months. Plus it makes me nervous when
you bring almost 7 million colones in cash to my office.” I waited a minute and said, “ I ‘m not
buying the guy, I’m buying the car. And besides the fact that your mechanic thinks the car
checked out, that is the prettiest color of green I have ever seen on a vehicle.” First, Louis
frowned at me; then he gave the biggest belly laugh I have heard in a while and kept muttering
verde, verde. (Now, every time I go to his office; he laughs and claps me on the back as if we
had gone to school together.) Brother comes back and amazingly checks out; I give him the
cash, sign the papers , leave Louis to turn in the legal documents, and head down the street to the
insurance office.

Now, I don’t know about you, but getting car insurance in the States has never been
something I have enjoyed. I was fully prepared to suck it up and persevere. But much to my
surprise, it was one of the most pleasant experiences I have ever had in an office. After getting
buzzed in, I was setting in front of Andres’ desk within 45 seconds. He brought me a “café con
leche” , took my paperwork, and asked me one question. “ Do you want full coverage including
theft, or do you want liability? Full coverage costs $400 dollars for 6 months and liability costs
$200.” Considering the fact that in the 4 blocks that I had driven my car, I had almost been
centerpunched twice; I took full coverage. I gave him my credit card and my passport. He
refused my drivers license and said it is not necessary. Five minutes later I was insured. He
followed me out and took four pictures of my vehicle, gave me a warm handshake, and sent me
to get the safety inspection sticker.

My final leg of my car buying journey was at hand. It was equal parts impressive and chaotic.
My Spanish is a work in progress, and that was never more evident than at the RTV ( Revision
Tecnica de Vehiculos) I made sure Andres had set me up with the exact paperwork package that
I would need. So, as I pulled in to the large and impressive and very clean RTV, I felt pretty
confident. After parking, I walk up to the first line that has formed under an outside shaded desk.
Maybe it was the events of the day taking its toll, but for whatever reason; I forgot almost all of
the Spanish that I had learned. I became a numb and dumb struggling foreigner. It was
embarrassing, but I had come too far to chicken out. I handed my paperwork to the gentleman
while vaguely nodding my head to his questions. He adds a new piece of paperwork, stamps
another one of my original pieces and sends me to another line inside. I follow the same
procedure inside, with similar results. In a fading moment of clarity, I comprehend the lady
telling me in Spanish to take my vehicle around the back and get in line. I pick the shortest line
that mysteriously takes the longest time. I am looking at a building that is maybe 200 ft long and
150 ft with about 5 lines of inspection. One is for buses and trucks, one is for diesels; and I am
in the slowest of the three regular lines. It is about to get a lot slower. First station: blinkers,
lights, brake lights, seat belts, horn, etc.. With my eyes, I plead for the guy to just point to what
he wants me to do. ( I have sunk back in to my language deficient mode) Mercifully, he obliges.
Next station: exhaust, compression, smog, etc… This guy isn’t real happy with my ignorance, I
really can’t blame him. But, it is too late to back out and wait for my brain to return, because I
am in the building with a long line behind and no way to turn around. He verbally pummels me
for a bit, then just reaches in and points at the accelerator when I am to give it the gas. I pass;
he rolls his eyes and sends me to the next station. Suspension: first the front suspension and
much later the rear suspension. The car is lifted up one axle at a time and the machine slops side
to side and takes impressive computer measurements that show results on a large screen. I barely
pass this test ( my slightly bent front tie rod hasn’t been changed yet) I think he kept asking me if
I was going to change the tie rod, but my mind was more bent than the car part in question. I
don’t blame the guy for being angry, I have no business being here on this day. I pass by less
than 1% allowable shimmy, and go to the most dangerous station of all: the drive train & front
alignment. This is where my ignorance becomes more than annoying; it is dangerous. The
worker underneath my car that is straddling the pit on the narrow channels supporting the wheels,
is barking out orders to put it in gear, take it out, brake, turn the front wheels right then left, etc..
The rear wheels on two rollers lurch off dangerously when I get the command wrong. He comes
bounding out from underneath hotter than a habanero pepper. Everyone in the place has stopped
what they are doing, this is too good to miss. He is yelling at me. I turn the car off and get out.
I summons my brain to give me just a few last Spanish words today. After apologizing, I explain
that if he doesn’t get someone to operate my car for this stage of inspection; he may die.
Incredibly, he sees the logic in my argument. He even smiles at me as his coworker comes to my
aid. I am impressed by how quickly I have been forgiven. They are impressed, I think, that I
never quit smiling at them. Two more minor visual inspection stations for the motor, and I am at
the end. The man at the end looks me up and down and in perfect English says, “ Well, my
friend, lucky for you; we are inspecting the car and not the driver. Here is your sticker.” I
immediately think back to my words to my lawyer, “ I ‘m not buying the guy, I’m buying the
car.” The irony was quite humorous to me. I am really proud of that green sticker on the green
car. My car sale was now complete.

Visit Carpe Diem Trips for more…

Three Days Out and You’re In

admin — Thu, 28 Feb 2008 21:59:27 +0000

( Our trip from Costa Rica to Panama and back to satisfy the immigration laws)

Moving my family to Costa Rica and setting up a new business has provided me with some
unusual experiences. Our shipping container laden with our personal possessions was held
hostage at the port until we paid the extra “fee” for bringing in dangerous foodstuffs like Rice-a-
Roni and instant potatoes. Instead of the same container we meticulously loaded in the states
being brought to our door as promised, we watched in shock as an old, dilapidated, open air
version of the “container” showed up three weeks late at our door. Another experience was
buying our car from a continuing rotation of different brothers who showed up at each meeting,
with each one claiming to be the owner of the vehicle. Somehow, my lawyer sorted it out; and
we took possession of our car containing the most elaborate, custom 3 pronged alarm system one
could imagine. But, our family’s forced evacuation from the country and the immigration
nuances experienced is our most recent singular activity.

The law is clear: until legal residency is achieved , a foreigner living in Costa Rica must leave the
country every 90 days for 72 hours. We knew the law, and were prepared to do so. Twice a year
we would return to the U.S. to see family and drum up business for our travel company. But,
when our business required that we stay close to home; we would just jump into Panama to the
south for 72 hours. On this our first such trip, we decided to fly a local small airlines to Bocas
del Toro. I had decided to offer this area on my travel website due to its fascinating ecological
importance. Bocas del Toro is on one of a series of 9 islands in an archipelagic formation rife
with corral reefs and colorful fish. It was perfect to add to my eco package for my website. We
had flight reservations for my wife, 4 month old son and me on Nature Air, and hotel
reservations at Hotel Bocas del Toro.

At the small Pavas airport 5 minutes from our house, we checked our luggage just barely making
it under the 30 lb weight limit allowed for each paying customer. We had to pay $26
each(including infant) in exit tax for leaving Costa Rica. The 19 passenger plane was 75% full
with French, German, and American tourists. Our flight plan took us to Limon on the Caribbean
side of Costa Rica first. The flight over the mountainous rainforest was beautiful, but on our
rapid descent to the beachside airport of Limon; our son’s ears became painfully plugged. Our
efforts to make him yawn were more comical than productive. We learned from then on that
nursing on a bottle produces similar results to a yawn. We all got off the plane to show our
passports and get the all important exit stamp to prove we left the country in time. The flight
down the coastline at low altitude was magnificent. We got incredible pictures and appreciated
the pilot letting us know he would keep the plane low enough to keep the baby’s ear from
hurting. As we landed on the small paved runway, we retrieved our paperwork for yet another
customs scenario.

As we walked in the small terminal, a uniformed customs agent informed us that only the
Americans must purchase the entrance tax of $13 each(including baby). Cash only is accepted in
the tiny office. We then take our entrance stamps to the official customs office where through a
32″ door all the luggage in random order comes through at the same time as the travelers. Our
luggage was inspected as if the contraband was coming from Costa Rica to Panama instead of the
other way around. The pleasant gentleman meticulously writing all the info from the passports
on a carbon copy pad was impervious to the not so gentle nudging by a hurried set of travelers in
our group. Even though as Americans we were the last from our plane to clear customs, our
luggage was the first inspected. That little 32″ door had more action than a flower shop on
Valentine’s Day. When they asked for my son’s occupation for the carbon copy customs pad, the
agent gave me a sneer when I said “baby.” He instead listed it as “ estudiante.” (Student)
We enjoyed our stay and found many adventures on which to send our clients. We were also able
to secure a business relationship with two fine hotels for our future clients. The food was
excellent at most of the places, but unfortunately our hotel was not one of them. Since the dollar
keeps declining in value, I kept most of my money in colones(Costa Rican monetary unit) But
Panama uses dollars and won’t accept colones. I brought a limited supply of dollars and had
planned on using my credit card for most meals, adventures and of course the hotel. As it turned
out, most of the eating establishments did not take credit cards. Therefore, on the last day, I
needed to conserve the dollars for an emergency. I thought it prudent to check with the front
desk and see if there was an exit tax at the airport. The local lady just chuckled and said, “No,
they just charge you an entrance tax if you are American.” Somewhat relieved, we used all but
$20 in cash in eating the last day.

After taking the short taxi ride to the airport, we checked our bags at the Nature Air counter.
The agent informed me that we needed to purchase our exit tax to leave the country. In another
small office, I learned that I was $25 short of the $45 ($15 each) needed. They would not accept
any credit cards, nor would they accept any of the $200 worth of colones that sat uselessly in my
wallet. The agent just smiled and told me where the bank was about half a mile away. No one
in the airport was willing to trade $25 U.S. for $50 worth of colones. With 30 minutes before
take off, all the cabs were gone and it was pouring rain. I said to myself, “ This is my job. I go
through this so none of my clients will ever suffer from a lack of information. I am blazing a
travel trail.” I situated the family in a safe spot and ran to the bank in the rain. The bank was
closed. There was an ATM, but my pin number( I never use it) was in my address book in my
luggage loaded on the plane. My savior came in the form of a clerk at a surf shop across the
street from the bank. He charged my Visa $26.25 and handed me $25 U.S. I ran back to the
airport and 20 minutes later we were in the air.

Landing in Limon on the way home, I was almost hoping for a nonexistent Costa Rican entrance
tax. Those colones in my pocket made me feel wealthy. We deplaned and went through
customs again. This time there was an intensive spot check of all of our luggage. Bringing
powdered baby formula from Panama is not the quickest way to get through customs. Luckily
the supervisor was a mother and new the smell and taste of baby formula. We then were back in
the air on our final leg. With the baby sucking furiously on the bottle, we cleared the mountains
and glided home. As we toted our luggage through the small airport towards the car, an
American tourist approached me . He needed to buy $52 worth of colones for the exit tax. I
took great pleasure in pulling those colones out of my pocket.

Randy Fauchier/ Carpe Diem Trips

Serious Injury Motorcycle Accident Cases Are Complex Litigation

admin — Thu, 28 Feb 2008 05:57:49 +0000

Motorcycle accidents, unfortunately, often result in serious and catastrophic injuries. Some of the reasons are obvious, such as that motorcycles don’t have the surrounding metal cage, the safety designed interior padding, seat belts and air bags that protect auto drivers. Some of the reasons are less obvious, such as the “inattentional blindness” that impairs many auto drivers’ ability to “see” the oncoming motorcycle often leading auto drivers either to pull out into intersections from side streets or turn left directly into the motorcyclists’ path.

Motorcyclists may suffer quadriplegia, paraplegia, other spinal cord injuries, traumatic brain injury, TBI, debilitating internal injuries, catastrophic orthopedic injuries and limb amputations. Our serious injury motorcycle accident lawyers will discuss two of those categories of cases, involving TBI and spinal cord injuries. However, every serious injury motorcycle accident case is “complex litigation,” much more complicated than “who ran the red light,” and so it is very important that the seriously injured client obtain the representation of qualified lawyers, highly experienced in the preparation and presentation of complex litigation, motorcycle accident attorneys capable of competently presenting to the settlement judge and jury the full measure of the motorcyclist’s general and special damages.

We’ll contrast the ordinary and serious injury motorcycle accident case without in any way discounting the importance of the ordinary case, because every motorcycle accident case is important for the client and should likewise be important for the attorney. However, it would be inaccurate to say that the preparation or presentation of “general damages,” “past and future medical expense” or “past and future loss of earnings” is similar.

For many “motorcycle accident lawyers” the term “general damages” means “pain a suffering”; but for the true serious injury motorcycle accident attorney, the most persuasive general damage evidence is what we call “loss of enjoyment of life damages.” This is commonly the way our seriously injured clients see it. And it can be presented poignantly by juxtaposing the evidence of what the client enjoyed most in his life before the accident, through the testimony of friends, family, home videos and photographs, against a professionally produced “Day in the Life” film, demonstrating the courage of the serious or catastrophically injured client as he confronts and overcomes the challenges of his post accident daily life.

In the ordinary motorcycle accident case the lawyers might have to present some evidence of past medical expense, but presenting future medical expenses for the seriously injured motorcyclist is hugely more complex. For a more general discussion of motorcycle accident litigation you may consider “How Motorcycle Accident Lawyers Present Liability Evidence”. The presentation of the motorcyclist’s future medical expenses commonly requires a number of treating doctors as well as medical experts engaged by the serious injury motorcycle attorneys, and then perhaps most importantly, a life care planner and forensic economist. In the briefest summary, the life care planner, under the direction of the lawyer will consult with the treating doctors and other medical experts first to derive the client’s post accident “life expectancy,” and then identify all of the medical expenses, such as additional surgeries, rehabilitation expenses, anticipated convalescent home costs, replacement prostheses, wheel chairs, all the way down to the cost of the medical supplies and sundries that the injured motorcyclist will likely require over the remainder of his anticipated life expectancy. The serious injury motorcycle accident lawyers will then present the life care planner’s report to the forensic economist who will increase the individual medical costs over by the anticipated date they will be required by use of medical cost inflation government statistics, and then with use general inflation statistics to reduce that number to “present value.” There is no other proper way to present future medical expense, and if not properly prepared, the Court will likely not permit the evidence to be presented.

Similarly, in the ordinary motorcycle accident case, presenting past earnings losses may be as simple as counting the number of days the rider lost from work and multiply it by his daily wage. In the serious injury motorcycle accident case, presenting future lost earning can be extraordinarily complex. In the simplest serious injury case involving the daily wage earner, the qualified and experienced motorcycle accident lawyer will require a number of medical experts, and then perhaps most importantly, a “vocational rehabilitation expert” and an economist to establish the client’s “net loss” as defines the measure of future earnings loss damages. The vocational rehab expert speaks with the client, his medical doctors, the medical experts. He will review the clients school record and other information with regard to his clients earning capacity before and after the accident. He will then provide the report to the serious injury motorcycle accident lawyer outlining the occupations for which the client is now disqualified, and for which he may remain qualified. The information from the medical experts will also provide the serious injury lawyer with the critical information with regard to the client’s “work life expectancy” before and after the accident. The serious injury motorcycle accident attorney will then provide all the information to the forensic economist, who will employ wage rate increase statistics for the client’s occupation before the accident, and those for which he may be still qualified following the accident, for the different work life expectancies, and then, after arriving at the differential will apply general inflation statistics to reduce the amount to present value.

Please understand that these earnings calculations apply only to the simplest case of the hourly wage earner. The serious injury lawyer’s task in presenting future loss earnings can be much more complicated as where the client is self employed or employed in an occupation with realistic advancement opportunity. For a more complete discussion of the presentation of damages in serious injury cases, you are invited to consider “How Serious Injury Lawyers President Damages in Catastrophic Injury Cases”. In that article we go into much more depth in explaining how serious injury attorneys present general damages and special damages, including in particular, future medical expenses and future loss of earnings.

Brain damage and spinal cord injuries, including quadriplegia and paraplegia are commonly sustained in motorcycle accidents, and can be the most catasrtrophic. Perhaps more important than anything else, the qualified serious injury motorcycle accident lawyer must be capable of fully recognizing the devastating changes in his client’s life that have resulted. Again, the “general damages” suffered by the brain damaged or paralyzed client are not limited or principally “pain and suffering.” For clients who suffer traumatic brain injury, TBI, or who are paralyzed in motorcycle accidents the greatest devastation can be characterized most poignantly as “loss of enjoyment of life” damages, demonstrated, as discussed above, by the juxtaposition of all the activities that brought the most joy to the clients life before the motorcycle accident with the professionally produced Day in the Life film illustrating the courage with which the paralyzed client meets his daily post accident challenges.

Traumatic brain injury, paralysis and other serious injury motorcycle accident cases require the lawyers’ compassionate insight into what his client considers his greatest loss, along with his wisdom gained by training and extensive experience to maximize the client’s prospect for settlement or jury verdict obtained at trial.

Raymond L. Henke, Principle trial attorney with the California Accident Attorneys & Medical Malpractice Lawyers Group