by Phoenix attorney Christopher A. Combs, partner with Combs Law Group, P.C.
Question: When we rented our apartment we paid a security deposit of $500 to the property management company. The property management company is located in our apartment building, and we have enjoyed working with them. The property management company has now sent us a notice that they will be resigning as the property manager for our apartment building, and that all security deposits will be forwarded to the landlord who lives in California. We have only one month remaining on our lease, and we do not want our $500 security deposit with a stranger in California. The property management company says that they are required by law to send all security deposits to the landlord when they resign. Is the property management company required to send our $500 security deposit to the new owner in California?
Answer: Probably. The property management company has a fiduciary duty to the landlord, and generally has to obey the instructions of the landlord. Therefore, unless your lease agreement provides to the contrary, the property management company is required to forward your $500 security deposit and all other security deposits to the landlord in California.
2 responses so far ↓
1 binh cao // Feb 29, 2008 at 12:19 am
Hi, I cancelled business with my property management company who supposed to look after my house and help me rent out my home. I advertise my own home and send them contacts of many potential renters because their advertising never get any calls. The potential renters always call me saying they never get any calls from the people at the property management. I myself have never talked to this property management person because anytime I call, I always get voice mail. I can only contact them through email. This is the reason for my frustration and my cancelling of their business. Now they are refusing to return the keys to my property and I have sent them 3 consecutive emails for the last 2 weeks. What can I do now since they are holding my property hostage so I can not rent out or come into my home to do inspection?
2 John Wake - Real Estate // Feb 29, 2008 at 7:56 am
Here are some Arizona real estate lawyers http://www.arizonarealestatenotebook.com/2008/01/09/arizona-real-estate-attorneys-lawyers/#more-1718
I do not specialize in property management nor do I know what your contract is with the property management company is but they have to give you access to your own property. That’s just silly.
I’m guessing you went with the cheapest property management company you could find.
Here are some other Arizona property managers.
Bennett Property Management
Anne McCawley, Broker
(480) 969-1818
bennett101@qwest.net
http://www.bennett2rentit.com/
Manages properties Valley-wide. Based in the East Valley.
Sun Cities Area Rentals - Property Management
Dave McDaniel, Broker
(623) 872-8501
DMcda22041@aol.com
Also, here is a link to a property managers’ association.
http://narpmphoenix.org/?page=members
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