Can the PM change the agreement without approval?
Posted on 23. Oct, 2011 by Karen Herbert in Legislations & Laws
Q: We believed, along with our Property Manager, that we were on a 12 month lease that expired 17 August 2011. We would like to move back into our property and had several email conversations with our PM asking what sort of notice we need to give our tenants given their lease had expired. She gave us a few options. We opted for ”as the tenants are now on a continual lease as the lease period has expired and therefore we are required to issue 94 days written notice for them to vacate, which would give vacant possession by early January, 2012″. On 28th September 2011 we asked her to inform our tenants to vacate the property within the 94 day period. She came back that day and advised us that the original lease had been changed to a 2 year lease – which she had no idea of! Another employee of the company had made the changes.
Finally our query is:
Can the Property Manager change the agreement without our approval and without notifying us of this change? If they can change if what, if any, notification do they need to give us?
A: If you would like to move into a property and the tenants are on a periodic tenancy (month to month) as the fixed term agreement has expired then you just need to give the tenants at least 2 months notice in writing by issuing a form 12.
As per page 10 of the management agreement under The Lessor Authorises The Agent:
8.3 to let the Property, and if necessary from time to time to re-let the Property, for a rental that is in accordance with the instructions of the Lessor or in the absence of specific instructions, for a rental which is reasonably obtainable.
The property manager should always seek your instructions first. I would recommend that you speak with the property manager and ask her to try and negotiate with the tenants to vacate in January as per your request as the lease agreement can be terminated if both parties are agreeable. The agency may need to offer the tenants some sort of incentive to vacate early.
Karen Herbert is the Principal of Position One, based in Brisbane, Australia. For further information or help with renting out and managing your property, please visit the Position One website.
