When it comes to rental lawsuits, research shows that property managers and landlords are more likely to afford attorney fees compared to residents. But even though they have the upper hand, can a resident sue a property manager?
A resident can sue a property manager if they infringe on their rental agreement. This can be in the form of privacy violations, wrongful eviction, housing discrimination, and other infringements.
It is not always obvious what residents can sue a landlord/property manager for. Read on to find out more.
7 Reasons a Resident Can Sue Their Property Manager
1. Wrongful Eviction
Property managers can lawfully evict residents for things like nonpayment of rent, engaging in unlawful activities on the property, and other violations of lease terms. However, they still need to follow state regulations during eviction to avoid legal consequences.
Residents can rightfully sue for illegal eviction if a property manager:
- Cuts off utilities like electricity, water, and heat to force a resident to vacate the property.
- Takes away a resident’s property from the premises without their permission or court order.
- Harasses or threatens a resident to vacate the rental unit.
- Changes the locks without providing proper notice or obtaining a court order.
2. Unsafe or Uninhabitable Conditions
Property managers are responsible for providing rental properties that are safe, sanitary, and fit for people to live in. This means clean water, proper plumbing, and a pest-free environment.
They must also maintain strong and safe walls in the rental unit and promptly address any damages.
Residents can take legal action if these conditions aren’t met. On top of that, they may have the legal right to withhold rent until the property manager resolves the issues. Residents can even make the necessary repairs themselves and receive a claim for reimbursement in a small claims court or deduct the cost they incurred from future rent payments.
3. Health and Safety Violations
Rental properties must comply with applicable building codes and housing regulations to ensure they are safe for people to live in.
If health hazards or safety concerns arise for the tenants due to the property manager’s deliberate negligence, residents may seek legal help. For example, a manager might ignore faulty wiring that eventually leads to a fire that destroys property.
In this situation, the manager may be liable to pay damages, provide injunctive relief, or address the violations.
Common health and safety violations include:
- Mold growth
- Pest infestations
- Lack of proper ventilation
- Lead paint exposure
- Failure to provide essential utilities like heating or hot water
4. Discrimination
Under the Federal Fair Housing Act, residents receive protection against multiple forms of housing discrimination. This law governs housing discrimination by providing equal housing opportunities to all individuals, regardless of race, religion, color, sex, national origin, familial status, and disability.
An applicant can take legal action against a property manager who denies their rent application based on grounds of housing discrimination. They can file a claim to the U.S. Department of Housing and Urban Development, which follows up, investigates, and takes appropriate legal action against violators.
But in reality, this is a slow legal process and more than half of real estate cases in the U.S. are settled out of court.
5. Retaliation
Retaliation is when a property manager takes unfair action against a resident who is trying to exercise their tenant rights.
It sounds petty, but some property managers don’t take it well when residents complain about unsafe conditions, request necessary maintenance on their properties, or ultimately file a lawsuit against them.
In return, they may retaliate, in ways such as:
- Increasing the rent.
- Decreasing services or amenities provided to the tenant.
- Threatening eviction or filing an eviction lawsuit.
- Harassing the tenant through frequent inspections or disruptive behavior.
- Refusing to renew the lease agreement without valid reasons.
If this happens, the resident can enforce legal action on a property manager.
6. Violation of Privacy Rights
Residents are entitled to quiet enjoyment of their premises. This means a property manager may not invade a resident’s privacy without their consent, such as barging into their house with no specific reason.
Installing surveillance cameras in private places like bathrooms or bedrooms is also a violation of quiet enjoyment. Property managers may not disclose personal information, such as Social Security numbers, financial records, or contact information, to third parties without consent or a lawful reason.
Landlords entering the rental property without proper notice or without a valid reason, such as emergency maintenance or inspections, can violate a tenant’s right to quiet enjoyment.
7. Security Deposit Disputes
A security deposit caters for any property damages beyond normal wear or unpaid rent when a resident moves out. But sometimes, a resident may feel that a property manager did not handle the security deposit according to the terms of the rental agreement. In such cases, things can escalate into a lawsuit at a small claims court.
Here are some common reasons for a resident to sue a property manager over security deposits:
- Deducting amounts that exceed the damages beyond reasonable wear and tear of the property.
- Enforcing more than the maximum deposit allowed by the area’s security deposit laws.
- Not returning the security deposit or returning it beyond the legal or agreed-upon time frame.
- Not providing specific details of how the deductions were used.
How to Avoid a Landlord/Property Manager-Resident Lawsuit
Follow these steps to prevent a lawsuit at the source.
Provide Safe and Habitable Living Conditions
Always comply with your state’s building codes and regulations to ensure your rental property is safe and habitable. Remember to install smoke alarms, carbon monoxide detectors, and fire extinguishers.
Keep the premises clean by having a system for regularly removing trash and cleaning shared spaces like laundry rooms. Set up an emergency line and communicate standard procedures and evacuation plans in case of fire emergencies.
Be sure to agree on a time and date for inspection to avoid coming off as invasive at your resident’s place.
Keep Maintenance in Order
Make sure the property is safe by scheduling regular inspections. Inspection is easier with tools like RentCheck, which allows residents to perform their own inspections at any point of the lease cycle. Proper inspection will help you identify gas leaks, electrical problems, pest infestations, and that handrail that’s getting loose.
What’s even more important is to have contractors and service providers that can quickly respond to these issues before they get worse.
It can be a bit of a gray area deciding on who handles the maintenance of rental property. However, the rental agreement must explain clearly whether it’s the landlord/property manager’s responsibility or a job for the resident.
Stick to the Lease Agreement
A lease agreement reduces legal disputes because it spells out things clearly. It helps to manage the eviction process, control health or safety risks, explain when and how to pay rent, and uphold fair housing laws.
By stating the guidelines of the tenancy, both the resident and property manager know each other’s expectations and the penalties for breaching them.
In addition, lease agreements are legally binding. So in case of litigation, it can protect a property manager from court costs if they fulfilled their part of the agreement.
Stop Lawsuits in Their Tracks With RentCheck's Inspection Software
The relationship between a resident and a property manager should never get out of hand for any legal reason. RentCheck has top-of-the-range tools to simplify your property inspections and keep your premises safe and habitable for residents.
With RentCheck, you get unlimited automated inspections before, during, and after a resident’s tenure. It works by scheduling and reminding a resident to conduct routine inspections of their unit. It also guides them to create detailed inspection reports, which help identify maintenance issues for property managers to fix in time.
With RentCheck, you can get eyes on your properties more often, without increasing headcount. That’s why 10k property managers, renters, and owners have given us 4 out of 5 stars across review sites.
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