PM holding property to ransom

We are trying to change PM because we have been unable to contact them. We have had insurance issues due to tenant abandonment and today after pursuing the matter personally have found out that the PM has done none of what they have said in regards to insurance after almost half a year. (Yes I accept not having pursued it earlier is my fault but was told at each point such and such was being done when I checked in).

They are now saying they will not allow us to terminate until they obtain their costs from the claim - which they have not done/finalised lodgement.

Can they do this legally? Is there someone (lawyer/legal advice) that can be recommended to pursue the matter legally on my behalf? Or do I just get a new PM and see if they can get our properties back? The properties are in Brisbane in case there is differences between states.

Please help. I will not name names - I am seeking help.

 

What are their costs?

 

A new PM can certainly help with the negotiations and there can be an agreement between the two agencies to pay back any costs they are invoiced for.

The short answer is - yes you can be held accountable to the contract.

Knowing what the exact costs are would help.

 

do what I recommended to a friend,

pay a locksmith $100 plus matierals to go to your ip and change the locks,

get new PM, explain situation,

presto, all done

 

@Xenia Thank you.

I received a copy of the invoices for the claim.

They are charging all sorts of things to be paid to them - including cleaning, let fees (fair enough), gardening. They are claiming $1000+ to be paid to them in charges as a part of the claim.

The sad thing is that I can't find a copy of the actual damages to the property (e.g. window broken, etc) as a part of the claim.

This is a nightmare.

 

There should be an outgoing report showing damages.

 

I had a pm who put in a dud tenant. Who fell behind after one month and destroyed the house.

Have the audacity to ask for extra payment for corresponding with the insurance company.


I almost fell off my chair

 

Only getting one side of the story but WoW & feel for you if that's the case.

Swear words me off when you employ someone to manage your business and they treat you like a mug, should be a criminal offense, like stealing.

Can't offer the advise I know others on here can, all I can do is try and stay half glass full, if causing financial pressure don't leave it to late to inform creditors, they maybe more understanding than you expect.
Vent to friends & family, look after your health, do your best to stay focused, good luck.

 

Update:
We changed PM's and they have been great so far, but the previous PM is holding onto documents now and won't release anything regarding the claim - which is stopping us from making the claim, as I have been unable to get information from them for six months and the new PM is struggling to get that information too. They are also holding the bond from previous break lease and now any rent still owed.

Can anyone provide experience? I am so tempted to name them but it seems others on the forum are already ahead of me.

 

What state is the property and have you lodged a complaint with fair trading?

 

As stated in original post - Brisbane.

I will follow that up.

 

+1 for the NCAT/VCAT version of Qld.
Lodge a complaint and ensure you have all the correspondence copies to back up the claim.

 

Following.... what a terrible story.
We as PM on the other hand, often disheartened because of the non-responses from our Owners/Investors/Residents. I often email, phone, SMS and received no response, even after promises. That will be the day when my clients even complain that I do not communicate!!!

 

[QUOTE="trivial, post: 381392, member: 861"

Can anyone provide experience? I am so tempted to name them but it seems others on the forum are already ahead of me.[/QUOTE]

You should be able to call insurer, inform them that the prior PM is no longer on the scene, and new PM is allowed to deal with claims for you. This may fix the problem.

Just pay the other PM the money so they are out of the way & rectify with them once you have the new PM and IP up and running again if they have caused the problems or been obstructive.

 

Thanks all.

The problem is that they are holding a few thousand dollars in rent, bond etc - as I had a few properties with them and also the files.

This is two problems: cash flow and the insurance company cannot do anything without further information - which no one has but them (eg notices to vacate, qcat lodgement, etc).

I am trying to sort this out without taking legal action - but it is looking like the only reasonable and expensive path

 

Yeah, if it is how it sounds, take them anyway probably.

Get all your facts straight they talk to fair trading eqv.

Then talk to the PM about what your action will be if they do not get a move on straight away.