Property Manager error on rent

[JASA]

My PM contacted me in August last year informing me that the lease was due and that my tenant did not wish to renew for 12 months, instead was only requesting a 6 month lease. The tenant has been paying $380 / week for past 2 years. I instructed the PM to offer a 6 months lease at $400 / week. I had been seriously considering moving into the property doing it up and and selling it off so knowing that the 6 month lease is up next month and having not heard from the PM, I contacted them. I was informed that the tenant had decided to renew the lease for 12 months at the same rent of $380 / week. Sure enough when I checked my accounts I discovered I have not been receiving the rent increase. The lease on the property that I am renting is also due up next month but now I am not able to move into my own property because the tenant has locked in for a further 12 months. I can work around this by renting myself for a further 6 months but I am really annoyed about being misinformed and left out of the decision making by the PM
Where do I stand when the PM goes ahead and makes a decision without my input? Can they do this? Do they owe me the difference in rent?
Any advise appreciated.
Thanks,
JASA

 

[DistinctPM]

Hi JASA,

It all depends on your Managing Agents Agreement with the PM and if you provided the additional instructions (6mth lease and $400 p/w rent) in writing.

If your instructions were in writing and the Agent didn't follow these then they have some explaining to do - in fact their actions would be unlawful. Even if the instructions were verbal they still should have followed them. Raise this with the Principal of the Agency and ask them how they intend to compensate you for their failure to follow your instructions.

I hope this information is useful.

 

[JASA]

Thanks DistinctPM
Yes I have email correspondence regarding my instructions and their reply that the tenant has taken a six month lease! So far the PM is burying their head in the sand and hoping I will go away and stop complaining. I will take it up with the principal of the agency.
Thanks again.
JASA