CJ-2026-00030 - Billie Keith Baker and Elida L. Baker v. Sandra Racelis

What's This Case About?

Let’s get one thing straight: this is not your average landlord-tenant drama. This is a rent-to-own contract from hell, where $42,000 in payments were supposed to turn a trailer park-adjacent property in rural Oklahoma into someone’s dream home — and instead, it turned into a legal grenade with the pin pulled. Billie and Elida Baker thought they were setting up a foolproof path to passive income. Sandra Racelis thought she was on her way to homeownership. Now, one side wants the courts to torch the whole deal and keep every dime paid so far — and the other has vanished like a ghost after a suspiciously timed Halloween exorcism.

So who are these people? Billie and Elida Baker are a married couple from Elk City, Oklahoma — not exactly real estate moguls, but folks who own property and seem to enjoy the fine art of very specific contractual language. Their weapon of choice? A “Rent to Own Contract for Deed,” which, in normal human terms, means: “You live here, pay us monthly, and maybe one day it’s yours — but only if you follow every rule, down to the letter, or else we keep all your money and laugh as you walk away with nothing.” On the other side is Sandra Racelis, a resident of Hammon (population: small enough that PO Box 368 probably gets Christmas cards from the postmaster), who signed on for this deal back in October 2021, likely hoping to finally plant roots in Custer County. The property in question? Three lots on Highway 33 — not a mansion, not even close — but a shot at stability. For $350 a month over 10 years, she could pay off the full $42,000 and walk away with a warranty deed. Seemed simple. Until it wasn’t.

Here’s how it went south. According to the Bakers’ petition, everything was humming along — or at least, they assume it was — until October 2024, when Sandra allegedly stopped paying and abandoned the property. No notice. No explanation. Just… gone. Vanished like a Netflix password after a breakup. The Bakers claim she not only failed to make her monthly payments but also ghosted the house entirely, leaving them with an empty lot and a broken contract. And let’s be real: this wasn’t just any contract. This thing reads like it was written by someone who lost money in a timeshare scam and swore revenge on the entire concept of trust. There are clauses about abstracts of title, forfeiture of improvements, and a particularly spicy one that says if the deal falls apart, anything Sandra added to the property — a new sink, a deck, a garden gnome army — automatically becomes the Bakers’ property. No compensation. No thank you. Just “thanks for improving our asset, see ya.”

But the real kicker? The Bakers aren’t just asking the court to kick Sandra off the property — they want to foreclose on the contract, which in this context means: “Declare the deal dead, keep all the money she already paid, and sell the place to someone else.” And yes, they’re also demanding attorney’s fees, because of course they are. Clause 16 of the contract literally says Sandra has to pay their legal bills if they sue her — which is like adding a “you pay for my therapist” clause to a breakup agreement. The Bakers argue that Sandra defaulted, abandoned the property, and therefore triggered the nuclear option: forfeiture. All payments — gone. All hopes of ownership — vaporized. And they want the court’s blessing to lock the door behind her.

Now, why are they in court? Legally speaking, this is a judgment and foreclosure action on a contract for deed. That’s legalese for: “We had a deal, they broke it, now we want the court to say we get to keep everything and sell the house again.” In Oklahoma, contracts for deed (also called land contracts) are common in rural areas where traditional mortgages are hard to get. The buyer pays over time, but the seller keeps the title until the final payment. It’s risky for the buyer — if you miss payments, you can lose everything you’ve paid. And that’s exactly what the Bakers are trying to enforce here. They’re not suing for back rent. They’re not asking for eviction. They’re asking the court to wipe the slate clean, declare Sandra in default, and let them keep the money and the house. It’s less “you owe us” and more “you’re out, we win, and we’re keeping your down payment.”

And what do they want? $42,000 — or at least, the balance owed, plus attorney fees. Now, is that a lot? For a property in Hammon, Oklahoma — yes and no. $42,000 over 10 years is only $350 a month, which is cheaper than most studio apartments in major cities. But if Sandra had been paying for three years, she might’ve already dropped $12,600 into this thing — plus any repairs, upgrades, or improvements she made. And under this contract, she gets zero of that back. Not a dime. The Bakers get to keep it all as “liquidated damages.” So while $42,000 might sound modest, the real sting is in the take-no-prisoners nature of the deal. This isn’t just about money — it’s about a system that lets sellers structure agreements so one misstep costs the buyer everything. And let’s not forget: the Bakers want to foreclose on a contract where the full price is $42,000. That’s not a house — that’s a used car with a foundation.

Our take? The most absurd part isn’t that someone defaulted. It’s that the Bakers seem to be celebrating the failure of this contract. This wasn’t just a rental agreement — it was a path to ownership. Sandra wasn’t just a tenant; she was a would-be homeowner playing by a high-stakes rulebook written by the sellers themselves. And now, the Bakers want to profit from her failure — keep her payments, reclaim the property, and resell it to the next hopeful soul who signs away their rights in tiny print. Look, contracts are contracts. If Sandra agreed to this, she’s bound by it. But come on — a clause that says you forfeit all payments and we keep your renovations? That’s not a business deal. That’s a booby trap. And while we’re not rooting for deadbeat tenants, we’re also not here to applaud landlords who design contracts like they’re auditioning for Squid Game: Oklahoma Edition. If Sandra truly abandoned the property and stopped paying, sure — she broke the deal. But if she was one late payment away from losing three years of rent and improvements, then the real crime isn’t the default — it’s the contract itself. And honestly? We’re waiting for the sequel: Sandra Racelis Files a Lawsuit Against the English Language for Letting “Liquidated Damages” Sound Like a Reasonable Thing.

Case Overview

$42,000 Demand Petition

Jurisdiction

District Court, Oklahoma

Filing Attorney

David Brooks

Relief Sought

Plaintiffs

Billie Keith Baker and Elida L. Baker business
Rep: David Brooks

Defendants

Sandra Racelis individual

Claims

#	Cause of Action	Description
1	Judgment and Foreclosure of the Contract for Deed	Plaintiffs seek to foreclose on a rent-to-own contract for a property in Custer County, Oklahoma.

Petition Text

2,182 words

IN THE DISTRICT COURT OF CUSTER COUNTY STATE OF OKLAHOMA BILLIE KEITH BAKER and ELIDA L. BAKER, Husband and Wife, PLAINTIFFS, VS. SANDRA RACELIS, DEFENDANT. No. CJ-2026-30 PETITION FOR FORCLOSURE 1. Comes now the plaintiff, Billie Keith Baker, and Elida L. Baker, Husband and Wife, and for their cause of action against the Defendant; above, named alleges and states: GENERAL STATEMENT This is an action on indebtedness, which occurred in Custer County, Oklahoma, secured by an interest in real estate located in Custer County, Oklahoma, State of Oklahoma, giving this court jurisdiction and venue of the parties and subject matter in into this cause of; 2. The Defendant, Sandra Racelis, signed on October 6, 2021, a document entitled "RENT TO OWN CONTRACT FOR DEED" to the property which is the subject matter herein during December 1, 2025. The property then was described as: LOTS 10, 11 AND 12, BLOCK 3, STINSON SUBDIVISION, CUSTER COUNTY, OKLAHOMA, ACCORDING TO THE RECORDED PLAT THEREOF (also known as 2308 E Highway 33, Hammon, Oklahoma 73650). CAUSE OF ACTION Judgment and Foreclosure of the Contract for Deed 3. This is an action on indebtedness and foreclosure of the Contract for deed described above, a copy of which is attached as "Exhibit A"; 4. The Contract provides for the payment of rent in the total amount of $42,000.00 as the total of the payments of Rent under the Contract; 5. That the Defendant is in default due to the failure of the Defendant to pay the payments as required in the Contract, and also to her abandonment of the property in October of 2024, or to complete further provisions of the Note; 5. The Plaintiffs allege that the Defendant is in default on the Contract and that under the terms of the Contract is entitled to Judgment foreclosing the Contractual obligations by the Plaintiffs; 6. The Contract is secured by an interest in real estate located in Custer County, State of Oklahoma, giving this court jurisdiction a venue of the parties and subject matter to this cause of action; 7. That said Contract provides that "16. Legal Expenses. The Renter shall and will pay to the owners all costs and expenses, including attorney's fees, incurred by the Owners in any action or proceeding which they may be made a party by reason of being a party to this agreement, and the incurred by the Owners in enforcing any of the covenants and provisions of this agreement and incurred by them against the Renter in account of the provisions hereof, and all such costs, expenses and attorney’s fees may be included in and from part of any judgment entered in any proceeding brought by the Owners against the Renter in or under this agreement; 8. That said Note provides “This Note is secured by and subject to the terms of a Contract of even date herewith from the undersigned to the Holder, on property located in Custer County, and the maturity hereof is subject to acceleration as therein set forth.”; WHEREFORE, Plaintiff prays that the Court determine that the terms of the Contract for Deed is in Default and that the Contract is subject to foreclosure, that Plaintiff is entitled to Attorney’s fees and costs, and for such other and further relieve that the Court shall determine to be proper under the circumstances. CONCLUSION Wherefore, Plaintiff prays: A. That the Defendant be found in default of the Contract for Deed and that the provisions of the Contract be enforced, a sale ordered and a Judgment be entered for the balance owed, including Attorney fees and costs; B. For such further Orders as the Court shall be deemed appropriate under Circumstances. David Brooks, OBAN:1161 119 E MAIN ST SAYRE, OK 73662-2913 PH: (580) 928-5593 [email protected] ATTORNEY FOR THE PLAINTIFFS RENT TO OWN CONTRACT FOR DEED This Land and House Rent to Own Contract for Deed dated the 16th day of October 2021, between Billie Keith Baker and Elida L. Baker, husband and wife, whose residence is 1017 W 8th, Elk City, Oklahoma, and whose mailing address is 1017 W 8th, Elk City, OK, 73644, (hereinafter called Owner), and Sandra Racelis, whose address is PO Box 368, Hammon, Oklahoma, 73650, (hereinafter called Renter). 1. Owner hereby agrees to sell to renter and agree to convey on the terms hereinafter set forth, and renters agree to hereby purchase from owners by and through renting to own: a). That certain tract of real property situated in Custer County, Oklahoma, more fully described: Lots 10, 11, and 12, Block 3, Stinson Subdivision, Custer County, Oklahoma b). Also known as 2308 E Highway 33, Hammon, Oklahoma, 73650. Subject to the exceptions and encumbrances described hereinafter; 2. Purchase price. The cash price payable to owners for the property is $42,000. A payment of $350 is to be paid by the tenth of each and every month until a total of 120 payments are made or a total amount of $42,000. Each such payment shall be due and payable to the owners at owners' mailing address set forth herein above. 2A. Initial Payment. The parties acknowledge an initial payment of $1,500 and a subsequent payment of $1,750. 3. It is expressly understood and agreed that any time, from time to time, renters will be entitled to prepay the purchase price, either in whole or in part, without premium or penalty of any kind. Any partial prepayment will be applied to the unpaid rental/purchase price in the inverse order of rental/purchase payments due herein under. 4. Renter hereby covenant and agree as follows: a.) The renters shall keep the property in good order and in as good of condition as when received, normal wear and tear of the property accepted. Without the prior written consent of owners, renters shall not alter the structural character of the building comprising part of the property and will not commit or suffer any demolition, removal or material alteration of any improvements thereon including fixtures. b.) The renter shall well and truly pay unto owners the rent to own payments herein, and shall conform, complies with, and abide by each and every stipulation, agreement, condition and covenant herein contained. c.) The owner shall pay all Ad Valorem Real Property Taxes on the property for the current year and all other years in the future until the full amount of the lease/purchase has been paid. d.) Renter shall make all necessary alterations or repairs at renters' own expense. e.) Renter shall not rent or sublet the property without the prior written consent of the owners. f.) Renter shall comply with all the laws and regulations, restrictive covenants and easements governing the occupancy and use of the property. g.) Renter shall be responsible for any update of the Abstract of Title from the date of this contact. 5. The property is to be held by owner, until fee simple title has passed to renter; and the renter will be required to carry renter insurance to cover any personal property found in the dwelling, if they so desire the Renters shall carry homeowner’s insurance on said structure for any loss. The owners shall be listed on the insurance policy as payees. 6. The occurrence of any one or more of the following shall at the option of the owners, be considered of then default hereof: a.) The failure of renter to pay rental or any part thereof, as such amounts become due in accordance with the terms of this contract, or when accelerated pursuant to any provision herein; b.) The failure of the renter punctually and properly to perform any term, covenants, agreement or condition contained in this contract; c.) If waste is committed on or the improvements are removed from the property without the prior written consent of the owners; d.) Condemnation of a significant portion of the property sold which would materially affect renter’s ability to perform the covenants, obligations, and agreements herein; 7. Renter further agree that in case of any sale under this contract, by virtue of judicial proceedings or otherwise, the property may be sold in one partial and as an entirety, or in such partial, manner or order as the owners, or in owners’ sole discretion, may elect. Owners, as owners of the vendor’s interest, evident and secured hereby, may become purchasers of the property at any such sale. 8. The covenants, conditions and agreements contained in this land and house rent to own rental contract, shall be deemed as running with the land and shall buy, and the benefits thereof shall inure to, the respective parties hereto and the respective successors, assign, executors, administrators, trustees, personal representatives, or heirs. 9. Any failure by owners to insist upon the strict performance by renters in any of the terms or provisions hereof shall not be deemed to be a waiver of any of the terms and provisions hereof, and owners, notwithstanding any such failure, shall have the right thereafter to insist upon the strict performance by renters of any and all the terms and provisions of this land and building rental/purchase price contract to be performed by renter. 10. Any agreement hereinafter made by renters and owners pursuant to this contract shall be superior to the rights of the holder of any intervening lien or encumbrance. 11. Whenever this contract permits or requires any consent, approval, notice, request or demand from one party to another, the consent, approval, notice, request or demand shall be in writing, shall be deemed to have been given on the third business day after it is endorsed and in an envelope, properly stamped, sealed and deposited in the U.S. Mail, certified mail, return receipt requested, address to the property be notified at their address (or at such other address as may be subsequently designated in writing). 12. This contract cannot be modified, amended or changed except by an agreement in writing and signed by both parties hereto. 13. Title to Improvements. In the event of the termination of this agreement by lapse of time, forfeiture or otherwise, all improvements, whether finished or unfinished, on the premises aforesaid, which may be put upon or on said premises by the Renter shall belong to and be the property of the Owners without liability or obligation on their part to account to the Renter therefore or for any part thereof. 14. Liens. The Renter shall not and will not suffer or permit any mechanic’s lien or other lien to attach to or be against or upon the property aforesaid, which shall or may be superior to the rights of the Owners. The renter also shall keep all utilities current and in his name. 15. Forfeiture. In case the renter fails to make his monthly payments or any of the covenants hereof on their part hereby made and entered into, this contract shall, at the option of the Owners, be forfeited and determined, and the Renter shall forfeit all payments made by him on this contract, and such payments shall be retained by the Owners in full satisfaction and as liquidated damages by them sustained, and in such events the Owners shall have the right to reenter and take possession of the premises aforesaid. 16. Legal Expenses. The Renter shall and will pay to the Owners all costs and expenses, including attorney’s fees, incurred by the Owners in any action or proceeding to which they may be made a party by reason of being a party to this agreement, and the renter will pay to the Owners all costs and expenses, including attorney’s fees incurred by the Owners in enforcing any of the covenants and provisions of this agreement and incurred in any action brought by them against the Renter in account of the provisions hereof, and all such costs, expenses and attorney’s fees may be included in and from a part of any judgment entered in any proceeding brought by the Owners against the Renter in or under this agreement. 17. Remedies. The remedy of forfeiture herein given to the Owners shall not be exclusive of any other remedy, but the Owners shall, in case of default or breach, or for any other reason herein contained, has every other remedy given by this agreement and by law or equity, and shall have the right to maintain and prosecute any and every such remedy, contemporaneously or otherwise, with the exercise of the right of forfeiture, or any other right herein given. 18. Deed. Upon payment by Renter to Owners of the full balance of the Purchase price, the Owners shall deliver to the renters a warranty deed conveying the property above described and provide the renter with clear title. The renter also accepts the house “as is” with no warranties make by owners. 19. Inspection. The Owner shall have the right to inspect the premises by giving the Renter at least 48 hours notice of said intent and the request must be made in a reasonable manner and at a reasonable time. The Renter shall make said premise available for inspection and failure to do so on two consecutive occasions, without good cause, will be considered a breach of this contract. Sandra Racelis Sandra Racelis, Renter Billie Baker Billie Baker, Owner Elida L. Baker Elida L. Baker, Owner Subscribed and sworn before me this 16th day of October, 2021. Timothy B. Dye Notary Public My commission expires: 29-23