The answer to this depends on the nature of the underlying dispute, and whether or not the settlement is considered "wages" or "income." Unfortunately, as is the case with many tax matters, the answer is not always clear. In employment disputes, the safe thing for both parties is to assume they are taxable.
Settlements of all types in excess of $10,000 should be reported on a 1099, unless the settlement is paid as wages, in which case they are reflected on the employee's W2
I'm assuming, based upon the fact that you don't know where the owner is, or if there is a mortgage or not, that you haven't spoken with counsel. My question back to you, is why -- with $30,000 dollars owed -- that you haven't taken that step.
You may very well have the right to rent, or even own those condos. You should hire a lawyer to find that out.
I know, lawyers are expensive. But $30,000 is a lot of money, and I think it warrants at least an hour or two of billable time to get the...
You might want to try to involve the Better Business Bureau in this. They're probably not legally entitled to do this, and likely will never try to collect, but it's not feasible for you to hire a lawyer to fight it, and they know that. The prior answer provides a good option to try to make it go away, and if they cashed the check, you would have a good legal defense, but again be in the predicament of them perhaps ignoring the law and still pursuing you.
(They are likely violating the Fair...
Assuming you are setting up the LLC to avoid the obligation, and assuming they are aggressive at all, it probably won't work, regardless of the exact timing. The Utah Fraudulent Transfer Act provides a remedy for creditors if a transfer is made to "hinder, delay or defraud" a creditor. It appears that is what you would be doing (or attempting to do).
However, if they didn't pay you, they may not have a basis to complain, since they appear to have breached the contract first.
If it were to be stated that directly, you may get a claim back against you for civil extortion. At any rate, it's not good form. And, if you got a positive reference only as a result of a threat like that, it wouldn't likely come across as being very sincere.
If you have legitimate claims, you should talk to a lawyer about pursuing them. A neutral, or even positive referral may be part of a negotiated settlement.
They can't decide that on their own. They could sue you, alleging that you were negligent, and if they win you might have to pay. But you would be able to defend yourself as to whether it was located in a precarious location, etc.
First of all, I recategorized your question to Construction. Presumably, the contractor was not an employee.
Do you have a written contract with the contractor? That should set out the duties that he has, as far as providing you with information regarding the costs. If it's a "cost plus" contract, you are entitled to this information. If it's a "fixed price" contract, his costs are irrelevant, you have to pay what you agreed to pay. Similarly, if he represented in the contract that they...