What recourse do landlords have against PM? Small Claims?

[pipsal]

PM did not sign new lease despite request to do so, now property is nearly a month into periodic. Thanks to the responses to a previous message I posted I have found out that my insurance is not covering everything as it is not a fixed term agreement (more than a little nervous!).

So I changed PM's, but have to give the 30 days notice. Lease still not resigned and I found out from another agency that my tenant has contacted them and has an inspection scheduled at another property. They told this PM they were very happy to stay where they were, they loved the place, but that they will no longer deal with the agency managing it - and will not sign a lease while they are managing it. They said this PM is being rude, has not made required changes (contact details etc) to Lease etc etc.

So, now as a direct result of this I face the following:
- peeved tenants who were great and wanted to stay - now the likelihood of losing them
- this means probably a vacant period, plus the cost of advertising and new lease signing....
- even if tenants do stay, they were not properly notified about rent increase and are further annoyed, so to try and keep them I'll have to drop that probably.
- hopefully the tenant doesn't just walk because loss of rent is not covered by insurance at the moment
- cost of any damage to the property at the moment not covered, should that occur
- and I have to pay out the 30 day contract with the current agent - no choice as they are causing more propblems by being there still!

Should the worst of this come off (namely loss of rent/vacancy or significant damage/insurance claim), am I able to go to Small Claims or something? Is there anyone I can report this agency to? Or should I just name and shame them (by being completely truthful!) to everyone I can .

 

[wylie]

Why don't you hand the management to another agency. Apparently, it is not uncommon for the new agency to take it over and not charge you during the overlap.

Try to keep your current tenants, and give them due notice of the increase (whatever the rules in your state). You will have lost any increased rent due to the current PM's inability to give the correct notice but it is probably cheaper than losing a week or two in rent plus paying another week to the agency for finding a new tenant.

 

[pipsal]

I have signed with another agent yesterday, and was going to get them to take over as soon as the lease that has been pending for weeks was signed (despite the 30 day notice) - I was assured it would be signed by today. In the mean time they seem to have caused more trouble though.

Ideally that is what will happen and is what I am working towards with both agencies - the tenants will stay, I don't even care about the rent increase. I just want to have some idea as to where I stand if it all goes bad.

 

[Terry_w]

Why isn't the property covered by insurance?

I don't think you have any grounds to sue the PM at the moment. Probably best to change managing agents by giving the appropriate advice and to advise the tenants directly that you are doing this.