Trading Services For Rent

Author: Lambert Munz

Asking a tenant or allowing them to perform maintenance for reduced rent is big trouble.

Suppose a tenant falls off a ladder cleaning gutters. The landlord and property manager are subject to possible liability for injury suffered by the tenant. Especially, if you have indicated that gutter cleaning is a tenant responsibility.

There was a case of a tenant trying to repair a window air conditioner and suffered an electrical shock that it knocked him to the ground and tore two fingers off his hand. The window air conditioner was installed by a former tenant.

The result was a law suit and the court found that:
1) The former tenant was not qualified to install the unit
2) no inspection was made to insure proper installation
3) The unit was improperly installed electrically
4) the improper installation caused the unit to malfunction.

The result was the tenant prevailed over the landlord.

In California, the tenant would have been considered to be the employee of the owner, since the owner had hired the tenant to do the work and paid him through reduced rent. Because the owner does not have worker's compensation insurance on this employee, the owner is subject to legal sanctions from the state.

Cutting the lawn and maintaining of the landscaping for the unit occupied is not considered employment as they are keeping the property maintained similar to vacuuming the carpet and keeping the house clean. If it is a duplex and they are maintain the yard of the neighbor this could be interpreted as being an employee of the owner.

Bottom line is don't allow your tenants to do maintenance work other than some minor items like changing washers in a faucet. First there is a liability problem and second they may not have the proper skills to do the work. The result being in work that was improperly done and has to be redone by an experienced professional or allows someone to get injured.

My name is Lambert Munz and I have been licensed as a Real Estate Broker for 44 years with the CA Department of Real Estate. I currently am President of Arbour Real Estate Management, Inc. Background was as a commercial broker. Currently a property manager and have been for 27 years. We offer residential and commercial management services. I hold two designations - RMP Residential Management Professional and MPM Master Property Manager. Awarded by NARPM National Association of Residential Managers. Past President of NARPM Sacramento chapter. My services are available in Sacramento, California.

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