Expert: Mike Fortunato - 7/24/2009

Question
In Aug of last yr we used a property management company to rent out our house here in Colorado. After a lot of screening and applicants the PMC signed a lease with a woman on section 8.  She received $1233 per month  the rent was for $1550.  With her other income disability/settlement she signed a lease (to my understanding) to pay the difference.  We also understood that the deposit was being paid in installments. (I don't know how much was actually paid) By December she had stopped paying her portion.  We received the $1233 every month so the PMC wasn't making $$ and we struggled to make the mort pymnt. In Feb we put the house up for rent again. For some reason or another the sign ended up in the garage. It's now July 24th. On July 1st she was told she had to be out by the 31st  After the PMC contacted her she informed him that she won't be out until after Aug 1st ????  She hasn't even paid her full portion.  Anyways, we were told he posted a 10 dy notice to vacate on the 13th. Since than I have shown the property on my own while she and her 6 kids plus a few relatives lounged around the house. The tenant told me they were moving out on teus, I drove by there tonight (thurs) and was told they are getting a U-Haul tomorrow. Luckily enough I have found a nice couple that would like to rent the house starting Aug 1st. The PMC says he will start eviction proceedings tomorrow the 25th. Is that enough time? Can we sue the PMC for the unpaid portion? What can I do to get the new tenants in on Aug 1st. Of course the carpet is unrecognizable and the handle to the refrigerator door is broken off. I discovered that after I showed the house.  Also many of my old neighbors gave me a call at some point to let me know there were mattresses,cops or small children in the street.  I know things could be worse but how can we come out of this without loosing more?

Answer
First, the eviction should have commenced back in December when the tenant stopped paying their portion, and their case worker for the Section 8 program should have been notified (the tenant could lose their Section 8 benefits, so that's usually enough to get their attention). At this point, you'll need to get going with the eviction -- and unfortunately, here in California it usually takes approximately 5 to 6 weeks to go through that process. (Not sure if the time frame is different in your state). Therefore, it's unlikely that you would be able to evict by 8/1.

As to whether you can sue the PMC, that's something that a lawyer would need to answer. It may be possible if it can be proven that they didn't perform their duties as provided for in the contract, but you should check with an attorney on that. At the very least, it sounds as though you want want to find another PMC.