Rental Property Investor · Houston, TX · Member since 2013 · 3 posts · 0 votes
I have hired a licensed property manager for several months to help me manage condominium unit in San Diego, California. However, I must say that the performance of this account has been far from satisfactory, and has eventually ended with a nasty eviction. Not until now, it turned out that the tenant has a history of drug use, and has been arrested for several charges. I believe the issue raised from the property manager's failure in the initial tenant screening.
My question is, are property managers obligated to properly screen perspective tenants for credit history and criminal background? If they are, can the failure to screen tenant be used against property managers in law suite for the lost as the result of eviction?
WHAT DOES your management agreement in writing say about qualifying tenants and the process that is to be followed??
If items are not clearly defined or you just have a verbal agreement it's doubtful you would have recourse against the PM company. Even then it's an E & O claim with the companies insurance policy.
No legal advice but what does your management contract say? Unfortunatly as far as I know it is only failure to perform if your agreement says that is a rule and they didn't follow it.
I would advise you to contact a California real estate attorney to discuss your options. Have a copy of your management agreement handy to scan to him.
