Hello all,
We made the ultimate mistake of letting an approved tenant bring a few things over via car before the official move in date. Between the time they dropped off a few things and the move in date, someone broke into the apartment and stole a number of their things. The replacement value is somewhere around $550.
Since we gave permission to bring some of their things while the apartment was still under our control, I assume we would be liable for thier loss. I don’t mind replacing the items even if we are not legally accountable, because i don’t want to lose good tenants that have the potential of staying long term (the long term stay would more than make up for the $550). I would like to know a few other opinions. What do you think?
Howard
I would say that you are probably going to end up being liable if push comes to shove. If they are reasonable people you might be able to strike a deal with them where you pay for half of it, or maybe wave their security deposit or something like that.
Howard,
Yes, you made a mistake. However, if this is the worst mistake you ever make with rentals - YOU’RE DOING GREAT!!! Hopefully, you had the new tenants pay the rent and security deposit and sign the lease before you allowed them to move their stuff in. Whatever the case, I certainly wouldn’t pay for their stuff. You are not responsible for their stuff being stolen.
It would be a very bad precedent to start paying for property that is stolen from your tenants. If you pay this time, then what happens next time when they claim that something else was stolen? It is the tenant’s responsibility to have renter’s insurance. Without renter’s insurance, they are accepting the risk - just as they did when they put their stuff in a vacant house.
So, I’d say learn whatever you can from this incident and don’t pay for their stuff unless ordered to by a court.
Good Luck,
Mike
I have let people move a few things in before the initiation date BUT I NEVER let anyone move anything with out getting all money owed ie security and 1st months rent and having a signed lease that states in section 13 LANDLORD OR PROPERTY OWNERS ARE NOT RESPONSIBLE FOR THE SECURITY OF ANY TENANTS PERSONAL BELONGINGS OR THE TENANT THEMSELVES.IT IS THE RESPONSIBILITY OF THE TENANT TO SEEK SECURITY THROUGH THE LOCAL POLICE IF NEEDED AND TO CARRY RENTERS INSURANCE TO PROTECT THEIR BELONGINGS.IN THE CASE OF A HURRICANE THREAT YOU ARE TO SEEK SHELTER AS YOU SEE FIT.
I would have to agree with Mike about setting a bad precedent. As a landlord you need to be in control. Tenants come and go, but once you give up your control of the property or the situation it is hard to get it back. These people knew they were putting their belongings in a vacant property and they assumed the risk. Why should you pay for making their move easier and allowing them to use the property as free storage?
I always go over the lease with the tenant and I do go over that section that tells them that I just have a fire and dwelling insurance policy and that they should buy renter’s insurance to cover their own personal property.
I wouldn’t pay for anything that was stolen, I’d just tell them they should file a police report and maybe the police will patrol the area more if they get more reports so that it doesn’t happen again.
<<I always go over the lease with the tenant and I do go over that section that tells them that I just have a fire and dwelling insurance policy and that they should buy renter’s insurance to cover their own personal property. >>
I actually go one step further and have a place for them to specifically acknowledge and initial that they understand that the owner (me) does not insure their property…they can’t say later that it was just another paragraph…
Keith
Keith,
That is an excellent topic for discussion. I have them initial the bottom of each page and then sign the last page. I have thought about having them initial some paragraphs, but ALL of the paragraphs are important and I want them to follow the entire lease.
Do you think that having them initial an individual paragraph diminishes the importance of the other paragraphs? Could this have a negative impact in court? Could the tenant successfully argue that he was being evicted for violating a paragraph that was just “another paragraph” because it wasn’t initialled?
Mike
the way you describe it, no contract (lease) was actually in place. if there is no contract, where is the liability? if the potential tenant wants to argue “implied” or verbal contract (and thus liability), then in the same light I would come back and say OK, fine, where’s the rent check? He can’t have it both ways. Moreover, as long as you took “ordinary and customary” measures to secure the property (i.e. lock the doors, no broken windows, etc), then it a real up battle (IMHO) for him to claim against you (and win).
Now, of course he can try in samll claims court. Also, you have consider how long will it take to get another renter lined up. This is not about accepting liability but minimizing potential lost of rent.
To keep him interetsed, I would offer him a rent credit of $50-75/mn over the next 3 months becuase of his “bad luck”. Also I would make that credit continegency upon his account being current (on-time). That’s a win-win siutation (in my book at least).
never let a prospective tenant move a drip of personal belongings in before the lease is signed and security deposit have been collected.
for now whats dun is dun.
I would be firm and let the tenant know that you are not responsible for personal property regardless of the claim.
I would concentrate on securing point of entry to ensure the tenant this will not happen again.
dun-deel