Even though you are not held accountable for the unlawful affairs your renter may execute, if you find out that your rental home is being used to conduct business, and your owners’ association does not allow this activity, your neighbors could hold you accountable. The consequence of any legal action taken against you will perhaps rest on two things: how much you knew about the problem (and when), and whether or not you took steps to stop it.
How and When You Knew
Some of the times tenants are very well able at hiding shady activities from their landlords. On the other hand, if you do identify something occurring on your rental residence, it is essential to take measures immediately to tackle the concerns. In some regions, if your renter does something dangerous or illegal as a result of ongoing activities of which you were aware, you could be held liable in court. To cite an instance, if you knew one of your tenants was using your rental home as a daycare and one of your renter’s or their clients hurt someone, themselves, or damaged personal property, the court could be more likely to hold you liable for any damages.
The Slippery Slope of “Should”
In certain cases, the question of whether or not you “should” be made aware of a renter’s illicit activities may happen. Take one example, if you understand your tenant is self-employed before you endow them a lease, there is some confusion regarding whether or not that implies that you should have presumed they would be managing that business in the rental property. Moreover, if your renter had been evicted for loud parties in the past, you may be held accountable since you should have checked with their previous landlord about it. Definitely, if you’ve done due diligence and didn’t know any proof of previous issues, that will intensify your chances of avoiding liability.
Addressing the Problem
It is constantly a fine idea to work on any difficulties a renter is making as soon as you know about them. Though, sometimes, a landlord has a restricted capacity to fully resolve the issue. If a tenant is creating a nuisance for the neighbors but hasn’t actually broken the terms of the lease, you can’t be held responsible for failing to evict them. In order to be liable, you got to have the ability to basically make a move about the matter. Of course, the downside is that as long as your lease clarifies that you don’t permit noisy parties or business affairs and you don’t take steps, you are probably on the hook in a lawsuit.
In Conclusion
The specific terms and language used in the lease is an important first step toward holding your tenants accountable for any nuisance or illicit activities. Simultaneously, implementing instant and ideal measures, as well as actions, are also vital to saving yourself from being sued by furious neighbors. Classifying your renters cautiously is a different key element of shielding yourself from unwanted legal problems, as is accomplishing the regularly scheduled property evaluations. At Real Property Management Northern Arizona, we execute all of this for our Golden Valley property owners – and more. Would you like to learn more? Please contact us online or by phone at 928-757-7368 for more needful information.