property-management-compani-blog

[property-management-compani-blog]

How a Property Manager Can Be Prepared When They Get Sued

Withholding of a tenant's security deposit is probably the number one reason a house manager can end up on the other end of a lawsuit and even in court. There are many precautions and procedures which the prudent management company or manager can implement which supports prevent this situation from occurring. Moreover, a property management training course or continuing education in the nuances of proper statutory methods can go a long way in preventing a lawsuit and subsequent dropped time, energy and even money. Finally, an owner is in charge of the acts of a property manager and could find themselves in court too if the manager has violated the law, has not properly counseled the owner or properly handled the tenant's security down payment. Implement Minimal Procedures to be Prepared A prudent rental property manager has been educated to take the necessary precautions and follow the statutory guidelines for tenant's issues like the return of protection deposits. The necessary property inspections, the data collection of the condition of the home, the amount of money a manager is allowed to deduct, the statutory procedure for deductions, and the proper method of communicating all of these actions to the vacating tenant is tantamount to a successful protection against tenant lawsuits. If a property manager has done all of these points with diligence there is a very good chance that they will have the greatest preparation in the unfortunate occasion when they get sued. Pre-Tenancy Property Inspections Help Prevent Post-Tenancy Problems Prudent property managers walk-through the property with the new tenant while there is no furniture or perhaps obstacles in the unit. The property manager takes photos, wood logs inspection data about each and every room in the unit, information the exterior of the property including any issues that exist and has got the new tenant to sign off or agree to the problem report. This same report is used at the end of the tenancy in order to and contrast the pre and post condition position. With photos and a signed inspection report it is difficult for any tenant to claim that conditions that exist now weren't generally there when the tenancy began. Moreover, in some states notice of the pre-inspection at the end of the tenancy is given to tenants in a way that they are allowed to take advantage of the pre-inspection to repair or clean the device which would otherwise be a deduction against their security put in. This procedure, if properly conducted, actually prevents a lot of article tenancy issues as the tenant is fully aware of any kind of conditions which might result in a deposit deduction, and they are given sufficient time and opportunity to correct the issues. Pre-Tenancy Property Inspections Assist Prepare Property Managers for Court In the unfortunate event that the tenant disputes a property manager's security deposit deduction and also files a lawsuit the manager who has taken the time to requires photos and log inspection data will be amply well prepared for the litigation. The manager should prepare their document in chronological order, should print out each and every photograph along with date and label each condition. Importantly, each person who also witnessed any conditions at the property like the gardener, the actual painter, the cleaner should all be contacted and requested a witness statement. It is easy to get a statement via a sworn affidavit and at the same time ask these people to make themselves available to become witnesses in court. To be clear each Commercial Property Management Companies should have the next in preparation of any hearing: 1) A complete house file in chronological order including photos, invoices, in addition to paid receipts; 2) A complete history of the written marketing communications with the tenants included in the property file; 3) A list of witnesses with contact information; 4) Sworn affidavits from each see; and 5) A thorough review of the facts and circumstances encircling the issues, facts and tenant complaints by the staff members who have dealt with the tenant. Preparation is Powerful and Usually Effective Professional property managers who take the time, energy and effort to properly keep records of their properties and tenants will find this preparation is worth its weight in gold come going to court time. Once a tenant becomes familiar with an adequately organized opponent they may think twice about their attempts to sue. The very best defense for managers or management companies is teaching themselves in the proper procedures and record-keeping that will help them get ready for this process. If the manager has followed the law, has implemented a detailed record-keeping system, prepares and presents an flawless file to the hearing judge or court then the probability of success of defending one of these lawsuits is much higher than if they happen to have not. An Owner May be Liable for the Acts associated with its Agent Both statutory and common law rules of sciene state that a hirer or principal of an agent might be liable for the acts of the agent. Property management organizations who fail to follow the statutory guidelines regarding landlord renters laws may find themselves in court on occasion. If a office manager has attempted to take advantage of a tenant (not uncommon) or maybe has committed statutory violations that could lead to liabilities for your unsuspecting owner. Even though the owner would ultimately have a treatment against the property manager this would be a very unfortunate situation for the operator. The owner can file a cross-complaint against the manager, however in either case the owner gets dragged into a suit since the manager was negligent or careless. Needless to say an user or property manager doesn't want to be in this situation in the first place, therefore, it is important that the manager follow statutory guidelines and correct inspection procedures. A Real Estate Attorney on Staff is Ideal and may Keep Owners Out of Trouble Professional property management firms who have a real estate attorney on staff have an advantage during these circumstances. A real estate attorney has the training, expertise, and step-by-step knowledge to help prevent these situations before they get out of hand. Furthermore, in the event that these cases escalate an attorney will be able to prepare plus handle the situation much better than someone without those type abilities.

[property-management-compani-blog]

Property Managers, Commercial Tenants and Evictions

Your own commercial tenant failed to pay rent. You have heard which things are not going very well for them, but now it is obvious. As a property manager your duty and obligation is to solve the issue as quickly as possible. When the tenant failed to pay by the deadline they have effectively breached the lease and you are entitled to evict the tenant from the property. An eviction lawsuit commonly known as an Unlawful Detainer action is a fairly straightforward legitimate process. The important thing for property managers to know is that the steps associated with this process are critical and must be followed to the notice of the law. A real estate attorney representing both parties in the actions is common. If your property manager has followed the law, given correct notice, and has a detailed file of all of the correspondence between the tenant and their company the unlawful detainer action should go relatively smoothly and the landlord or owner should prevail. The initial step Is To Resolve Rent Payment Issue If Possible If at all possible the home manager should make every effort to get the tenant to make the rent repayments and bring their lease current. If this involves waiting around a few extra days for payment maybe this would be the very best course of action instead of filing a lawsuit. Your individual company policies and also best practices will dictate this action, but it would be better for many parties to resolve before litigation. Three-Day Notice Drafted In case a payment is not forthcoming then a 'three-day notice to pay and also quit' must be prepared and properly served on the renter. This notice must be in a specific legal format. Ad advertisement owner, landlord or property manager can choose between different types of 3-day notices; 1) specifies the precise amount of rent owed; or possibly 2) estimates the amount of rent owed - usually whenever a tenant is paying a percentage rent. If the lease needs the tenant to pay rent and other separate amounts with regard to triple net or CAM charges, the property manager will get the proper advice on whether or not two separate and distinct updates are required to be served. For example , if the property manager or landlord accepts an overpayment of the rent because they have miscalculated and the tenant overpaid estimated rents and CAM costs this may lead to a tenant victory in the unlawful detainer motion. This would also possibly give the tenant the right to attorneys' charges. It is critical to be correct in this step. The Three-Day Observe Must Be Properly and Legally Served The tenant is actually deemed served when they are personally served with the three-day observe, or a responsible person at the place of business is personally offered on the premises. In the event no one is available the landlord or rental property manager can attach the notice to the front entry door from the business premises while simultaneously sending a copy of the three-day notice by certified mail return receipt requested. The landlord or property manager must then prepare a 'proof of service' in the proper format which states in pertinent component that the 'three-day notice' was served on the tenant, or describe the method of service. The Property Manager or Landlord Has a Three Day Waiting Period Required for Service to work After properly serving the three-day notice a three morning waiting period begins on the next business day. If the 3rd day falls on a weekend or holiday the three daytime waiting period is extended to the next business day. If the tenant decides to pay all rent due at this point or adjusts any outstanding violation of the lease terms then the eviction process ceases. If the tenant makes partial payment the owner or property manager can accept partial payment but need to notify the tenant that they are not waiving their legal rights to proceed with an eviction. In the event that the tenant offers violated the lease by way of some criminal act or even conduct then the eviction process continues. At the end of the three evening waiting period the landlord or property manager may go forward together with filing and serving a complaint and summons. Writ, directive,subpoena and Complaint are Prepared and Served In the event that the renter has failed to cure their outstanding rent violation, or perhaps failed to cure any other violation that they have been property informed of, then the landlord or property manager may proceed using filing and serving the summons and complaint towards the tenant. A third party not involved with the action, typically any registered process server can be hired for a fee in order to serve the papers on the tenant. The summons, problem and proof of service must then be filed using the court clerk's office together with a copy of the lease, after which property served three-day notice and its proof of service. Specialized Mistakes Can Cause Delays If the landlord or property manager has brought this process on by themselves there is a possibility that they have made some sort of technical error in the processing, preparing, serving, and submitting these documents. There are several technical areas of the law which should be followed or will result is substantial delays if they happen to be not. A tenant who hires an attorney will likely discover these technical errors, if the court doesn't find the mistakes. This will likely result in delays which means money to the property owner. The very best course of action in these situations is to hire an eviction attorney to assist prevent delays and additional costs for the owner. Court Procedures Require that All Parties Appear in Front of a Judge In case the tenant does not contest the eviction A properly served tenant has five days to oppose the eviction. If replaced service was used then the tenant would have fifteen days arranging a responsive pleading to the action. If the tenant does not oppose the eviction the landlord or property manager will look for a default judgment of possession of the premises. This will almost certainly be granted and the case will be referred to the Sheriff's office for tenant lockout (see below). If the renter contests the eviction In the event the tenant hires an attorney along with contests the eviction then things will take a while lengthier. The tenant will be granted more time to prepare and you will see approximately thirty-day period in which a trial will be set. If your landlord wins then the tenant will have to pay the lease and other losses most likely including attorneys' fees. If the tenant wins the landlord may have to pay attorneys' fees. In this scenario a property manager really needs to be represented by counsel. The owner or Property Manager has the Right to Lockout the Tenant Presuming a landlord victory the county sheriff will article a 'Five-Day Notice to Vacate' the premises within the tenant's door or entry into the business. On the 6th day the sheriff meets the landlord or property manager in the property. The landlord or property manager then receives a invoice of possession of the property. If the tenant is still there when the sheriff arrives, the sheriff will then physically remove the tenant. The owner or property manager will now have a locksmith come and get a new renter to keep the tenant out. Notice to Claim Property Should the tenant leaves behind personal property there are state statutes that cope with this specific issue. The landlord or property manager must give the renter fifteen days after the lockout period to claim any belongings from the property, or if the tenant left before the lockout, eighteen (18) days after the mailing of the "notice associated with belief of abandonment" to the tenant's last known tackle. The notice must describe the property with specificity therefore the tenant can identify it, and the notice must also explain the storage costs. A prudent practice for a landlord or property manager would be to photograph and log all of the tenants' belongings so that there was not a later dispute. It is not authorized for a landlord or property manager to hold a tenant's personal items as security for payment of money awarded by a court view. Unclaimed Property Disposed of or Sold When the fifteen working day waiting period is over the landlord or property manager can get rid of the tenant's personal property if it is worth less than $750 or maybe $1. 00 per square foot, whichever is higher. If the property is worth more the landlord or property manager have to auction it through a public sale held after properly released notice with the proceeds turned over to the county, less expenses. Conclusion Although this article has briefly touched on this process one should see that this is not a simple process, but is a procedure which should be taken seriously and professionally. It is always a best exercise to have an eviction attorney help a landlord and/or a house manager through this process.

[property-management-compani-blog]

What Does a Property Manager Do?

[property-management-compani-blog]

Property Management Tips Infographic