Tenant Damaged Neighbors Property

Specialist · Riverside, CA · Member since 2015 · 6k+ posts · 3k+ votes

6y

@Steve DellaPelle that is a sticky situation both literally and figuratively. The short answer is I don't know for sure. I would think it obviously isn't the neighbors responsibility and it should be the tenants responsibility but may end up being yours because they likely won't be able to afford the replacement, and the oil was I suppose technically "your property".

4 Reply

Kenny Dahill

Investor · Tempe, AZ · Member since 2018 · 1k+ posts · 731 votes

6y

@Steve DellaPelle, you already admitted guilt. This falls on you for not properly removing the metal barrel that you knew about. How long was it there for with the new tenant? 1 day, week, months?

Unless you specifically told the tenants not to move the barrel and they did anyways. Even then, I would still own up to the accident and make it right with the neighbor. Afterall, your tenant will move out but you are still neighbors.

11 Reply

James Mc Ree

Rental Property Investor · Malvern, PA · Member since 2016 · 1k+ posts · 936 votes

6y

Your neighbor is very likely to sue both you and your tenant. Some possibly pertinent questions...

- Was the tenant aware the barrel contained oil?

- Did you tell the tenant not to move the barrel?

- Was the oil stored legally in the barrel in the backyard? Consult your municipality's ordinance for storing oil/flammables.

You may avoid liability if you informed the tenant the barrel contained oil and told them not to disturb it. You may attract liability if the oil storage wasn't legal and actually created the risk of an incident. Talk with your attorney.

You (yourself and/or tenant) probably need an engineer more than a landscaper. The oil is pollution and seeps into the soil, possibly the groundwater. Remediation will likely require testing and removal of a substantial amount of soil if the spill covered more than a tiny area. You may want to consult your insurance company for guidance on an engineering firm.

2 Reply

Patricia Steiner

Real Estate Broker · Hyde Park Tampa, FL · Member since 2019 · 2k+ posts · 3k+ votes

6y

"The landlord is responsible for the actions of this tenants and guest. The landlord has an obligation under law to not damage or permit damage to his neighbors property. The landlord should get this corrected right away and offer to pay for damage to home. It's call a "tort" and every State has such a law." (It's on every law firm's website...).

Fun, huh?

6 Reply

Bjorn AhlbladPro Member

Investor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes

6y

Have the tenant check this out with their renter's insurance! Shame on you if you do not require it.

1 Reply

Max T.

Investor · Philadelphia, PA · Member since 2015 · 3k+ posts · 3k+ votes

6y

Normally you are not responsible for the actions of your tenant... Would you go to jail if they shot the neighbor? No!

However, you left this oil there on the property.

Sure your tenants shouldn't have touched it - they should have harrassed you to make you do it!

Take care of your neighbor's bills and remember this next time you have a vacancy and are turning over the unit.

4 Reply

Mark Freeman

Real Estate Investor · Clovis, CA · Member since 2014 · 195 posts · 194 votes

6y

@Steve DellaPelle

20-20 Hindsight here but ........ it was a HUGE mistake to leave that hazardous waste (metal barrel with oil) in the back yard!

3 Reply

Chris London

Property Manager · Raleigh/Durham NC · Member since 2015 · 210 posts · 293 votes

6y

I don't know that I agree with everyone above. I would likely get the quote from the neighbor and file a claim with the tenant's liability insurance.

2 Reply

Michael King

Rental Property Investor · Navarre, FL · Member since 2019 · 913 posts · 640 votes

6y

A couple hundred to replace the turf? Just do it and dump the memory.

3 Reply

Account Closed

San Jose, CA · Member since 2015 · 4k+ posts · 3k+ votes

6y

Originally posted by @Patricia Steiner:

"The landlord is responsible for the actions of this tenants and guest. The landlord has an obligation under law to not damage or permit damage to his neighbors property. The landlord should get this corrected right away and offer to pay for damage to home. It's call a "tort" and every State has such a law." (It's on every law firm's website...).

Fun, huh?

I disagree that any tenant's actions are something a landlord can be liable for. For every tort there are required elements to prove them or to be liable for them. The landlord would have to also be liable in some way, separately.

For instance, if a tenant killed the neighbor, would the landlord be liable? Well, if the landlord knew the tenant was a murderer, then probably. But, if the landlord did great tenant screening and this tenant never showed signs of being a murderer, then not likely.

So, it just depends on the situation and if the landlord was negligent.

For those unaware, a tort is just something you can sue for in civil court, as opposed to criminal court. For instance, OJ Simpson was not found to be guilty of a crime in criminal court, but Nicole's family successfully sued him in civil court for torts the jury found him to be liable for.

2 Reply

Wayne Brooks

Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes

6y

You lost me at “I threw away a bunch of stuff In the back yard”.....smh.

2 Reply

Account Closed

San Jose, CA · Member since 2015 · 4k+ posts · 3k+ votes

6y

Originally posted by @Steve DellaPelle:

Hello BP! It’s been a while...

I’ve been a landlord for close to 4 years now and I just ran into a unique situation at my four family property. Here’s the breakdown:

- Tenant in Unit 1 has private access to the property’s backyard.

- The previous tenant was a hoarder and I had to toss a lot of things away in the backyard when they moved out.

- They left a metal barrel that is 1/4 full of oil, I haven’t been able to get rid of this yet so it sits in the corner of the backyard against the fence that borders the neighbors backyard.

- The other day, the new tenants in Unit 1 didn’t like the metal barrel in that spot so they attempted to move it. Upon doing this, they spilled the barrel over and some of the oil seeped through the fence and into the neighbors backyard.

- The neighbors backyard is, unfortunately, turf and is going to require repairs and potentially replacement.

The neighbor contacted me and they are obviously upset with this situation and are asking for me to make the necessary repairs.

I have a landscaper coming out to give a quote but I am wondering if I should be held liable for this or if I should get my tenant involved.

Any and all insight would be helpful. Upon research, turf is expensive and if it needs full replacement this could become costly, quickly.

Thanks and happy Tuesday!

It's my opinion you should let sleeping dogs lie as far as the tenant. The tenant could end up claiming they hurt their back while moving the barrel, and then you could end up owing the tenant, too.

The problem is that it was foreseeable that your tenant might want to get rid of that barrel, and cleaning up waste or what might be considered hazardous stuff is your responsibility. So, anything that happens because you didn't deal with it, makes it your responsibility. It makes you negligent if something were to happen because you didn't take care of what you were responsible for, and if you were very aware, specifically, of what you should have taken care of, you could be found grossly negligent, if something really bad happened.

So, I'd just clean up the mess, tell your tenant you're taking care of everything, and tell your neighbor you'll pay a reasonable cost to repair any damage. And then hope nobody hires a lawyer and count your lucky stars.

I don't have to tell you that next time it would be a good idea to get rid of everything that might be a problem before a tenant moves in.

2 Reply

Clint G.

Rental Property Investor · Corpus Christi, TX · Member since 2019 · 306 posts · 176 votes

6y

I'd pay to have it cleaned up or replaced and move on. Dawn dish soap works wonders with some elbow grease.

It sounds like you're going to be responsible, so I wouldn't try to get out of it.

Worst case scenario they sue and then get the state environmental agencies involved for an oil spill. That wouldn't be fun.

2 Reply

Steve DellaPelle

OP

Rental Property Investor · Salem, NH · Member since 2016 · 460 posts · 276 votes

6y

Thank you for all of the replies, this was a very useful discussion for me to start.

Before I posted, I was planning on taking care of the neighbor and not bothering the tenants with this mess. Sometimes, it's hard to admit your mistakes and pay for them but here I am!

My 4 years as an owner has provided me with plenty of lessons, this is just another one to add to that list!

Thanks again for all of the insight, this is why BP is the best :)

4 Reply

JD MartinBusiness Member

Moderator

Rock Star Extraordinaire · Northeast, TN · Member since 2015 · 10k+ posts · 16k+ votes

6y

In court the most likely scenario would be some assignment of negligence. At least 50/50, since you knew the oil was there and left it there, and possibly higher for you unless you could prove the tenant was explicitly told not to mess with the barrel because you were having it picked up and hauled away, and they did it anyway. So unless you are talking about some kind of huge environmental remediation, it's likely you'd have to pay anyway so might as well get it over with now.

Beyond that I would leave it alone. You don't want the tenant claiming some kind of mystery ailment from the old oil you allowed the old tenant to leave there, which would also be negligence. :)

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1 Reply

Steve DellaPelle

OP

Rental Property Investor · Salem, NH · Member since 2016 · 460 posts · 276 votes

6y

@JD Martin The worst part is, I knew I should've had this barrel removed before the new tenants came in. I told myself it would be fine in the corner until I could take care of it. As time went on, it dropped off my radar and of course only popped back up when there was an accident...smh at me. Live and learn!

1 Reply

Michael Noto

Real Estate Agent · Southington, CT · Member since 2008 · 5k+ posts · 3k+ votes

6y

Environmental laws are a nightmare in Massachusetts. If all the neighbor wants is for you to pay to repair the impacted area then this is a win for you. They could very easily call local environmental protection folks and then you could have a disaster on your hands.

2 Reply

Nathan GesnerBusiness Member

Moderator

Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes

6y

I don't know what would happen if you were standing in front of a judge. I would personally take responsibility for it as the Landlord. You left a hazardous material on the property so it's your fault.

In the future, I wouldn't leave something like that around. It's not only an environmental hazard, it's a mess to clean up if someone spills it or kids start to play in it.

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Andrew S.

Investor · Raleigh, NC · Member since 2013 · 1k+ posts · 708 votes

6y

Originally posted by @Account Closed:

So, it just depends on the situation and if the landlord was negligent.

right. And in this case, the landlord will have a truly tough time convincing the judge that he was not negligent. Leaving a barrel half full of oil in the backyard? Come on now!

3 Reply

Joe SplitrockPro Member

Moderator

Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes

6y

@Steve DellaPelle you know this, but the oil should have been removed before the new tenant moved in. It is a hazardous material and if the neighbor reports you for an oil spill, you could have bigger issues. I would apologize to the neighbor and let the know you will cover the cost of remedy.

We never rent a property until 100% of previous tenants possessions are removed and all safety hazards are remedied.

As far as oil disposal, at least in my area, most automotive repair shops will take oil. They use it to heat their shops or they can recycle it.

3 Reply

Mark A.

Attorney · Hoboken, NJ · Member since 2016 · 24 posts · 17 votes

6y

Let me see if I can try to clean this up...

Your tenant was negligent and their actions directed caused the property damage. They "caused and created" the property damage. They did not move this oil drum safely. They should have called to have you move it. They are liable. End of story.

The more tricky question is whether you hold any liability for this accident. The first question would be whether you owed any duty to your neighbor to prevent your tenant from affirmatively causing property damage. The answer is likely no, but I will defer to the laws and regulations in your jurisdiction. Assuming you do have some duty, in order for you to be liable you would have to have "notice" that this oil drum would cause damage to your neighbor's property. Based upon the facts you've laid out, I do not see how you would have known, or should have known that this oil drum would be spilled by your tenant.

As many have pointed out above, this analysis could change dramatically if you told your tenant to move it, you gave him permission to move it, or if the oil drum had some sort of defect in it and you knew about it and that contributed to the spill.

Of course, this analysis is probably over the top and you ultimately want to avoid any sort of litigation. If I were the neighbor's attorney I would certainly sue you also. I would tell your tenant he's liable. He spilled it and caused property damage to your neighbor's property. Tell him the neighbor is going to sue him and he should contact his insurance company (hopefully he purchased a tenant policy) and make a claim. I would also contact your own insurance company and put them on notice of the potential claim. Your insurance company may not cover this because they may determine you did not cause it and aren't liable. However, a failure to timely alert an insurance company of the claim can result in disclaimer of coverage.

I will also briefly comment on the environmental situation many people are bringing up. My above analysis is based on basic american tort law. I am not an environmental lawyer, and this is not my area of practice. However, I will say that often times a law or regulation that would relate to something like this will not result in civil liability to an affected property owner, but can certainly result in fines or other penalties from a governmental agency. Again, the issue is that you may have stored the oil improperly pursuant to regulations, but you did not commit the act of spilling it. I would think that the law or regulation would have to be one of "strict liability" on a property owner for you to be liable. Look up civil liability for environmental hazards in your area online.

Hope that helps.

1 Reply

Sandy Gabin

Rental Property Investor · Lawrence, MA · Member since 2020 · 252 posts · 153 votes

6y

Hi Steve, if I were you, I would take the responsibility to remove it. I'm in your same shoes where I have a multifamily and I see the tenants doing so many wrong things that I clean up because it is little. I know it is a big problem, but it can become a huge if nothing is done of course. I would rather solve the big problem than the huge problem. We will never stop learning. 🙂

3 Reply

Lee Bell

Real Estate Appraiser · Isabella lake, CA · Member since 2018 · 628 posts · 491 votes

6y

Clean it up fast before the EPA rips you a new one.

2 Reply

AJ ShepardPro Member

Real Estate Syndicator · Portland, OR · Member since 2014 · 453 posts · 312 votes

6y

The landlord is ultimately liable to the actions made by their guests or tenants. If the landlord specifically instructed the tenants not to move or touch the metal barrel, then tenants would be responsible for the damage, too (Landlord should remedy the situation ASAP and bill tenant back). Under the law, the landlord is obliged to not permit damage to his neighbor's property and proper actions should be made right away to fix the damage on the neighbor's property. This may result in legal liability if not fixed immediately. It's called a "tort" which is a common-law jurisdiction and most cases are accidental or unintentional.

The original tenant is the one that left the barrel. I'd be remiss to assume that this person is still not responsible. If they have moved out less than 1 year prior, you are allowed to update their final accounting and at least try and hold them responsible for the cost. Unfortunately, this is a good example of why to make sure that the tenant moving out removes all items or have it done for them when they have left and pass on the cost of doing so to them

2 Reply

Account Closed

San Jose, CA · Member since 2015 · 4k+ posts · 3k+ votes

6y

Originally posted by @Mark A.:

Let me see if I can try to clean this up...

Your tenant was negligent and their actions directed caused the property damage. They "caused and created" the property damage. They did not move this oil drum safely. They should have called to have you move it. They are liable. End of story.

The more tricky question is whether you hold any liability for this accident. The first question would be whether you owed any duty to your neighbor to prevent your tenant from affirmatively causing property damage. The answer is likely no, but I will defer to the laws and regulations in your jurisdiction. Assuming you do have some duty, in order for you to be liable you would have to have "notice" that this oil drum would cause damage to your neighbor's property. Based upon the facts you've laid out, I do not see how you would have known, or should have known that this oil drum would be spilled by your tenant.

As many have pointed out above, this analysis could change dramatically if you told your tenant to move it, you gave him permission to move it, or if the oil drum had some sort of defect in it and you knew about it and that contributed to the spill.

Of course, this analysis is probably over the top and you ultimately want to avoid any sort of litigation. If I were the neighbor's attorney I would certainly sue you also. I would tell your tenant he's liable. He spilled it and caused property damage to your neighbor's property. Tell him the neighbor is going to sue him and he should contact his insurance company (hopefully he purchased a tenant policy) and make a claim. I would also contact your own insurance company and put them on notice of the potential claim. Your insurance company may not cover this because they may determine you did not cause it and aren't liable. However, a failure to timely alert an insurance company of the claim can result in disclaimer of coverage.

I will also briefly comment on the environmental situation many people are bringing up. My above analysis is based on basic american tort law. I am not an environmental lawyer, and this is not my area of practice. However, I will say that often times a law or regulation that would relate to something like this will not result in civil liability to an affected property owner, but can certainly result in fines or other penalties from a governmental agency. Again, the issue is that you may have stored the oil improperly pursuant to regulations, but you did not commit the act of spilling it. I would think that the law or regulation would have to be one of "strict liability" on a property owner for you to be liable. Look up civil liability for environmental hazards in your area online.

Hope that helps.

I respectfully disagree. Unless the jurisdiction where the property is doesn't have a "but-for" test. "But for" the landlord's omission in removing that oil barrel, this never would have happened, therefore, he can be found liable for negligence along with the tenant for his actions actually causing the oil spill.

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Tenant Damaged Neighbors Property - Who’s Liable?

Tenant Damaged Neighbors Property - Who’s Liable?

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