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Can defamation of character negate a lease between owner and property manager?

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predavore

Junior Member
I'm in Minnesota.

I have a rental property that I moved out of 11 months ago. I hired a property manager who placed a renter and collected money. We set up a monthly management agreement. The deal was he takes all the calls from the tenant and relays them to me for me to decide if I need to hire someone or take care of it myself. Within 3 weeks we had major water damage and he was not answering his call. Luckily I had give the tenant my number just in case. I was contacted and I took care of it. There were a few other misc issues where he was not responsive and the tenant just came to me directly. My tenant gave the proper 60 days notice and is leaving. However they want to end the contract early and save 1 month rent. Which I am fine with. Recently the manager was speaking to the tenant about me and offering his opinion of me with less than flattering words. The tenant immediately called me. I started to deal with another company about renting it out and managing it. I figured if he wasn't keeping my interests at heart, I should find another manager. He is trying to hold me to a lease agreement which looks like it auto-renews. If he doesn't find a tenant, how can he hold me to anything? Also, with his attitude and slander/defamation of my character, how can he expect to keep me as a client?

This manager was referred to me by my real estate agent. He has mentioned that the manager has had other similar complaints against him recently. My tenant is willing to write up a statement if need be. I'm sure I could easily get my R/E agent to do the same.

Thanks
 


LdiJ

Senior Member
I'm in Minnesota.

I have a rental property that I moved out of 11 months ago. I hired a property manager who placed a renter and collected money. We set up a monthly management agreement. The deal was he takes all the calls from the tenant and relays them to me for me to decide if I need to hire someone or take care of it myself. Within 3 weeks we had major water damage and he was not answering his call. Luckily I had give the tenant my number just in case. I was contacted and I took care of it. There were a few other misc issues where he was not responsive and the tenant just came to me directly. My tenant gave the proper 60 days notice and is leaving. However they want to end the contract early and save 1 month rent. Which I am fine with. Recently the manager was speaking to the tenant about me and offering his opinion of me with less than flattering words. The tenant immediately called me. I started to deal with another company about renting it out and managing it. I figured if he wasn't keeping my interests at heart, I should find another manager. He is trying to hold me to a lease agreement which looks like it auto-renews. If he doesn't find a tenant, how can he hold me to anything? Also, with his attitude and slander/defamation of my character, how can he expect to keep me as a client?

This manager was referred to me by my real estate agent. He has mentioned that the manager has had other similar complaints against him recently. My tenant is willing to write up a statement if need be. I'm sure I could easily get my R/E agent to do the same.

Thanks
Are you saying that he is claiming that the contract auto-renews without any option for either party to get out of it? Or, does the contract specify a notice period for non-renewal that has already passed?
 

predavore

Junior Member
I'm more than happy to let my tenant out of their lease early. They are great tenants. Apparently, the management agreement auto renews without 60 day notice. Since the tenant notified the manager of 60 days, the manager notified me (only thing he's actually done). I mentioned to him at that time that I was going to advertise it elsewhere and he was still able to try to put a good renter in there again. That is when he started calling me names to my tenant.
 

predavore

Junior Member
As a matter of fact, I've already gotten paper work (not without pulling the manager's teeth) to release the tenant. But he's trying to stick me to the rest of the lease agreement even after his negative actions.
 

BL

Senior Member
As a matter of fact, I've already gotten paper work (not without pulling the manager's teeth) to release the tenant. But he's trying to stick me to the rest of the lease agreement even after his negative actions.
As I said you should have an Attorney. If your in the bussiness.If you don't at least consult one.

Anyone can say anything, usually . Fire their as**s and hire new and get an Attorney on board.

Take care of your property ..
 

quincy

Senior Member
I'm in Minnesota.

I have a rental property that I moved out of 11 months ago. I hired a property manager who placed a renter and collected money. We set up a monthly management agreement. The deal was he takes all the calls from the tenant and relays them to me for me to decide if I need to hire someone or take care of it myself. Within 3 weeks we had major water damage and he was not answering his call. Luckily I had give the tenant my number just in case. I was contacted and I took care of it. There were a few other misc issues where he was not responsive and the tenant just came to me directly. My tenant gave the proper 60 days notice and is leaving. However they want to end the contract early and save 1 month rent. Which I am fine with. Recently the manager was speaking to the tenant about me and offering his opinion of me with less than flattering words. The tenant immediately called me. I started to deal with another company about renting it out and managing it. I figured if he wasn't keeping my interests at heart, I should find another manager. He is trying to hold me to a lease agreement which looks like it auto-renews. If he doesn't find a tenant, how can he hold me to anything? Also, with his attitude and slander/defamation of my character, how can he expect to keep me as a client?

This manager was referred to me by my real estate agent. He has mentioned that the manager has had other similar complaints against him recently. My tenant is willing to write up a statement if need be. I'm sure I could easily get my R/E agent to do the same.

Thanks
The following is a link to Minnesota Attorney General Lori Swanson's website, with the landlord/tenant laws for Minnesota. The link provides a Table of Contents to the laws: http://www.ag.state.mn.us/consumer/housing/lt/default.asp

From the Table of Contents, click on "Entering into the Agreement." From there, Read #2, on the requirements for management background checks; #6, for information on the lease (find "definite term leases").

Then return to the Table of Contents and click on "Ending the tenancy." Read #18, "Proper Notice" which provides information on ending the tenancy of someone with a definite term lease that has an automatic renewal clause.

Then return to the Table of Contents and click on "Other Important Laws." Read #23, "Eviction" and eviction for illegal activities. Defamation is not one of the illegal activities that allows you to evict a tenant (or cancel a contract).

"Less than flattering words" are not necessarily defamatory words. You would need to know exactly what was said by the manager to your departing tenant to determine if what was said could be seen as defamatory. You would want to speak with an attorney in your area about the words spoken and any potential civil action, to determine better if filing suit against the manager would be worth your time or the expense. I suspect it would not be.

Have this same attorney review the agreement you have with the manager.
 
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BL

Senior Member
The following is a link to Minnesota Attorney General Lori Swanson's website, with the landlord/tenant laws for Minnesota. The link provides a Table of Contents to the laws: http://www.ag.state.mn.us/consumer/housing/lt/default.asp

From the Table of Contents, click on "Entering into the Agreement." From there, Read #2, on the requirements for management background checks; #6, for information on the lease (find "definite term leases").

Then return to the Table of Contents and click on "Ending the tenancy." Read #18, "Proper Notice" which provides information on ending the tenancy of someone with a definite term lease that has an automatic renewal clause.

Then return to the Table of Contents and click on "Other Important Laws." Read #23, "Eviction" and eviction for illegal activities. Defamation is not one of the illegal activities that allows you to evict a tenant (or cancel a contract).

"Less than flattering words" are not necessarily defamatory words. You would need to know exactly what was said by the manager to your departing tenant to determine if what was said could be seen as defamatory. You would want to speak with an attorney in your area about the words spoken and any potential civil action, to determine better if filing suit against the manager would be worth your time or the expense. I suspect it would not be.

Have this same attorney review the agreement you have with the manager.
Well posted. and yes, unless the landord has had negative rental's as a result ,I don't see it either. Very vaig and if damages we too extreme for the tenant ,and managment flipped it off, I don't blame the tenat.However tenant's have rights to and should utize them in full when nessary. Called Code Enforcement. LL's neglect IDC She wan't's money.
 

predavore

Junior Member
So interestingly enough, the manager sent over an addendum to the lease allowing the agreement between me and the tenant to be terminated. But he is holding me to the agreement of the lease. His lease states (after I read it knowing what to look for, since I'm new at this) the following....

8. TERMINATION
(A) Termination Procedures: This agreement may be terminated:
(1) By either Party on provision of 30 days written notice to the other Party, with or without case.


So at the most, I should only be in debt to him for the next month's management fees.
 

BL

Senior Member
So interestingly enough, the manager sent over an addendum to the lease allowing the agreement between me and the tenant to be terminated. But he is holding me to the agreement of the lease. His lease states (after I read it knowing what to look for, since I'm new at this) the following....

8. TERMINATION
(A) Termination Procedures: This agreement may be terminated:
(1) By either Party on provision of 30 days written notice to the other Party, with or without case.


So at the most, I should only be in debt to him for the next month's management fees.
What don't you undersatand? Dam. Go to an attorney or I'll report you for your blather.
 

BL

Senior Member
I have the name an number of a referral. It will be taken care of tomorrow. Thank you.
Thank you ,and when it's all said n done it would be " nice" of you you post back with resuts ,so others can be informed . Read the rules " to help each Other".
 

quincy

Senior Member
... after I read it knowing what to look for, since I'm new at this ....
It was sort of clear that you were "new at this," predavore. ;) :)

I suggest you keep the link I provided and read through it to familiarize yourself with the laws that will govern your relationship with your tenants, and refer back to it when needed. Being a landlord gets easier as time goes on.

I am not sure I see your need to pay a manager, or at least the type of manager who does what your manager did (or didn't do) - but if you have a "referral" and that referral is to an attorney in your area, perhaps you might want to discuss the whole manager thing with him when you take in the lease and addendum for review.

Good luck.
 

predavore

Junior Member
I appreciate that. I do know what it takes to take care of my rental property. After all, I did live there for 11 years. The part I like about management is that I don't have to take after hours call (which in reality I do). It is/was worth having management for that reason. I'm paying for the advice that 90% + home owners take for advantage to be relayed to the renter after hours when I don't want to take the call... I will do the rest when I can. This particular manager neglects to do that... which he is paid for.

I'm frustrated. But thanks for the advice. I will do as recommended.
 

quincy

Senior Member
I appreciate that. I do know what it takes to take care of my rental property. After all, I did live there for 11 years. The part I like about management is that I don't have to take after hours call (which in reality I do). It is/was worth having management for that reason. I'm paying for the advice that 90% + home owners take for advantage to be relayed to the renter after hours when I don't want to take the call... I will do the rest when I can. This particular manager neglects to do that... which he is paid for.

I'm frustrated. But thanks for the advice. I will do as recommended.
Having a property manager can be expensive but I understand the benefits. I have managed my own properties but now have a property management company handling them for me, and the time savings and hassle-reduction with the latter has been worth it.

The property manager definitely makes a difference, though, so I hope the next one you choose is better than the one you have now.

Good luck.
 

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