If the property manager did not send the landlord the rent from the tenents, what kind of law suit should the landlord file?

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If the property manager did not send the landlord the rent from the tenents, what kind of law suit should the landlord file?

My friend own a remote property and hired a manager to manage the property who was referred by the realtor. The property manager collected the rent of the entire 12 month from the tenant at the beginning of the lease but only sent the landlord 4 months. Over the 7 months, the landlord kept asking for the money transfer and failed. She owes about 12000. What should my friend do? Thanks

Asked on November 23, 2016 under Real Estate Law, Pennsylvania

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 4 years ago | Contributor

Your friend can sue the manager for the money, for--
1) Breach of contract: violating the agreement (whether written or oral) that the manager would manage the property and, as part of that, turn the rent over to the property owner.
2) Conversion, which is a form of theft: illegallly keeping money which was entrusted to her but which is not hers.
Of course, if the person is insolvent (maybe has lost, spent, gambled, etc.) all the money, it may be difficult to recover it from her (people cannot pay what they don't have, even when orderedd by a court) but legally, she definitely owes it and your friend could, based on what you write, expect to win a lawsuit.
Your friend should also contact the police where the property is located--what the property manager did appears to be a crime as well as as something you can sue over. Possibly as part of criminal proceedings, she may agree to turn the money over (restititution).

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 4 years ago | Contributor

Your friend can sue the manager for the money, for--
1) Breach of contract: violating the agreement (whether written or oral) that the manager would manage the property and, as part of that, turn the rent over to the property owner.
2) Conversion, which is a form of theft: illegallly keeping money which was entrusted to her but which is not hers.
Of course, if the person is insolvent (maybe has lost, spent, gambled, etc.) all the money, it may be difficult to recover it from her (people cannot pay what they don't have, even when orderedd by a court) but legally, she definitely owes it and your friend could, based on what you write, expect to win a lawsuit.
Your friend should also contact the police where the property is located--what the property manager did appears to be a crime as well as as something you can sue over. Possibly as part of criminal proceedings, she may agree to turn the money over (restititution).


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