OFTEN THE TENANT WILL SUE A PROPERTY OWNER REGARDING A SECURITY DEPOSIT DISPUTE

 

1.   If the HWW Lease is used, the Tenant is to only sue the Property Owner rather than the Property Manager or Property Management company.  In some cases, the Tenant will sue the Property Owner.

 

2.   Tenants sometimes will sue the Property Owner if there is a unresolved security deposit dispute.

 

3.   If the Tenant sues the Property Owner, the Property Owner may expect you to handle the lawsuit.

 

4.   No lawsuit can ever be ignored.  If a lawsuit is ignored, the Plaintiff in the lawsuit will win by default.

 

5.   Some courts will require the Property Owner to hire an attorney and/or attend court while some will allow the Property Manager to stand in the Property Owner’s place and attend the Mediation and Trial if not settled in Mediation if the Property Manager has a Power of Attorney given to them by the Property Owner.  

 

6.   The Property Management Agreement should give the Property Manager the power to settle lawsuits.

 

7.  Settlement is often a wise path to avoid wasting additional time and money.

 

8.  If the Tenant is represented by an attorney, the stakes become high as if the Tenant wins even a small part of the lawsuit, ALL the attorney’s fees of the Tenant (whether they paid them or not) can be awarded to the Tenant and a Judgment for attorney’s fees will be assessed against the Property Owner.

 

9.  A judgment against a Property Owner will attach to the rental property and can result in serious expenses to the Property Owner.

 

ALWAYS CONTACT OUR OFFICE THE MOMENT YOUR PROPERTY OWNER IS SUED NO MATTER HOW UNFAIR OR RIDICULOUS THE LAWSUIT MAY SEEM. 

 

NEVER ATTEMPT TO ACT FOR THE PROPERTY OWNER IF THE TENANT HAS AN ATTORNEY.

 

EDUCATE YOUR PROPERTY OWNER ABOUT THE RISKS IF THE TENANT HAS AN ATTORNEY.

“Serving the Property Management Professional”

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