Clearly understanding the potential legal consequences of a tenant’s negligence is a rather significant challenge for landlords. When your tenant signed the lease, they essentially agreed to maintain your Wilmington rental home in a clean and proper condition and refrain from illegal activities. However, in reality, not all tenants adhere to these terms, and issues that started on the property can abruptly escalate into legal problems for you.
While it is indeed a matter of fact that you are not held responsible for the illegal activities of your tenant, if you have knowledge that your rental home is being used for unauthorized business activities, your neighbors could potentially hold you totally responsible. The outcome of any legal action taken against you will, principally, be determined by your awareness of the issue and the steps you took to take charge of it. Being proactive in such situations is immensely critical to protecting your interests.
How and When You Knew
On occasion, renters are outstanding at hiding shady activities from their landlords. Still, if you do check out that something’s happening on your rental property, it is necessary to address the issues immediately. In multiple regions, you could be held liable in court if your tenant engages in dangerous or illegal activities that you were actually aware of.
By way of illustration, if you knew one of your tenants was using your rental home as a daycare and one of your renters or their clients hurt someone, themselves, or damaged personal property, the court could, in all likelihood, hold you liable for any damages.
The Slippery Slope of “Should”
In some occasions, whether you “should” have known about a renter’s illicit activities may crop up. By way of example, if you comprehend your renter is self-employed before you offer them a lease, there is some confusion on the subject of whether or not that points out that you should also have assumed they would be conducting that business in the rental home.
Furthermore, if your renter had been evicted for uproarious parties in the past, you may be held accountable since you should have checked with their previous landlord about it. Naturally, if you’ve carried about due diligence and didn’t ascertain any evidence of past problems, that will amplify your chances of avoiding liability.
Addressing the Problem
Addressing any problems a renter creates the moment you heard about them is always a good idea. Although sometimes, a property owner has a limited ability to thoroughly fix the issue altogether. If a tenant is creating a nuisance for the neighbors but hasn’t absolutely broken the lease terms, you can’t be held responsible for failing to evict them.
To be held liable, you must have the power to unquestionably do something relating to the issue. Having said that, the flip side is that if your lease clarifies that you don’t allow festive, wild parties or business activities and you don’t take action, you might really be on the hook in a lawsuit
The specific terms and language used in the lease are a very important first step toward holding your tenants accountable for any nuisance or illicit activities. Along with that, taking immediate and appropriate action is, indeed, salient to keeping yourself from being sued by agitated neighbors.
Zealously and thouroughly screening your renters is another relevant part of keeping yourself out of unwelcome legal trouble, as is completing regular property evaluations. At Real Property Management Champion, we do all this for our Wilmington property owners – and more. Would you like to know more? Please don’t hesitate to get in touch with us online or by phone at 910-638-0190 for more helpful information.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.
