ACT Agent requesting payment over a year later

Back in February 2019 my tenant moved out of my investment property, the agent at the time paid for some cleaning to be done. The tenant disputed, I didn't want to take it to tribunal so I paid the cost myself and released the bond back to the tenants.

I asked the agent whether approval for the cleaning should have been approved by me first, they said it was part of "condition report for the property". Can anyone tell me if this is right? I thought anything over $300 (unless its an emergency) would require my approval?

3 months later, in May I sold the property.

Fast forward to June 2020, I get an email from the agent saying I have an unpaid invoice for painting that was done as part of the tenants moving out. I'm thinking this is very odd, I do not remember approving this and everything discussed with me via email is about the above mentioned cleaning bill. Again the same question, I do not ever recall approving this and how can you claim over a year later, especially when I've already sold the property?

I would really appreciate any advice that anyone can provide. Thank you in advance.

 

if you feel that you have been genuinely wronged, and they did work that was not approved/required without permission, tell them to go jump,
thats their lesson for doing the wrong thing

 

When a tenant moves out, should the maintenance works (ie. cleaning, painting, etc) carried out be approved by me first? Or do agents have the authority to get the apartment back to the state it was prior?

 

What does the Managing Agent Agreement you signed say about this?

 

I'd just ignore the painting invoice - they may have picked it up as unpaid by you when getting their Trust Account audited. If you did not approve it and your MAA notes a smaller amount that they can spend without your approval, then don't pay it.

 

I requested for the MMA and they are going to send it to me.

 

Have you misplaced the original (or copy) when the PM & you signed? or did they not give you a copy at the time of signing?
You see if they did not give you a copy within 48 hours you both signed, then the agreement is null & void.

 

I faxed them the signed MMA, and I've misplaced my original copy.

Actually now that you mention it, they need to sign it aswell and provide me a copy, right?

 

Correct - and if not done within 48 hours, then technically they are not entitled to their fees from day dot.

 

Some management agreements authorize them to go ahead with maintenance up to a certain figure (e.g. $250) without your approval. If they've done so above that amount, they can wear the cost.

That said, how much painting and did the unit need it?

 

I don't have the signed Management Agreement but agent said he will send to me, but looking at the original form the agreed amount without approval should have been $300.

The painting invoice was $450 which includes patching/repainting bedroom door, patch walls where paint is needed, touch up walls in both bedroom and lounge room. I unfortunately cannot confirm if the unit needed it as I was not informed and was not provided any images to make a decision.

Furthermore there was a cleaning bill of $350 which I did not authorise (above the $300 mentioned), but only found out about when the agent threatened to take it out of the bond but tenant disputed and wanted to got tribunal. I did not pursue and paid the bill myself, this was probably the red flag and now maybe the agent thinks I'm a push over?

 

The other red flag to me is that the agent never bothered to draw to your attention that there is a $450 painting bill for repairs which sounds like it should have also been tenant cost (unless all that damage was pre-existing?).

You might not have wanted to go to tribunal for $350, but it might've been a different story for $800!

 

When signing your management authority, there is a place that says how much you authorise the agent to spend on your behalf. I always delete this, or put $100.

 

This, plus the fact that they didn't send you pictures of the damage. You have no evidence that it even needed any work. If it was me, I'd be looking for a new Agent.

 

That's the easy bit, the OP sold the property.

 

Oops, you're right! LOL!

 

You are exactly right Tom. I asked agent how much it would've cost to goto tribunal and it was close to the $350, so to me I was out of pocket either way and hence agreed to absorb the $350. If the cost was $800 I'd definitely have gone to tribunal.

Looking back on it now, I was only told of the $350 when the tenant disputed to pay. I asked if it needed my approval first and the agent responded to me saying it was part of the "condition report for the property" (whatever that meant). I was naive back then and just accepted it.

Property is already sold and I'm never going to use that property management agency every again!

 

Technically they should have discussed the work required with you first however as a tenant expense i am assuming they arranged and were claiming out of the bond, meaning that you did not have to pay for the work.

However, they should have spoken to you about a potential dispute before organising the works when they originally discussed it with the tenant. If they had have flagged the potential dispute before organising the work you may have opted for a different option eg. Reduced cleaning list, negotiate part payment etc. And potentially damages and painting would have been discussed. It seems like poor communication and admin on their behalf.

No matter what the agency agreement says, If they no longer manage the property, you no longer own it and they approved a bill that hasn't been paid that is on them!

 

Dear property manager,

Thanks for your email. There must be an error as I did not request a quote. I have checked and I did not receive a request to approve a painting quote either.

Thanks

 

This sounds to me like a situation I found myself in on vacation once. Mate and I hired a car, and were parked in front of a sandwich shop. We were inside having a sanger and out of nowhere we watch some crazy woman reverse into our rental like it was a smash up derby and it sent our car into the front of the shop! We called the cops. The Crazy woman was in the country illegally with no insurance. She worked at the Asian restaurant next door to the sanger shop. The owner of the Asian restaurant pleaded with my buddy and I to say that he was driving the car. We refused as we didn't want to lie to the cops. BUT because she didn't have insurance and she just happened to disappear, they came after my mate and I for the costs. Luckily my mate has used an amex card to rent the car and they sent an investigator to the idyllic island country to, well, investigate and basically told the cops and the car rental agency in no uncertain terms that we won't be paying.

Anyway long story, but they basically just wanted the money, they didn't care who they got it from. It feels like they are trying that here. They can't get the money from the previous renter, so next cab off the rank is the LL. I certainly wouldn't be paying it. Even if they provide a receipt, could you really trust them? It's one year on. This is entirely on them.