RSO Duplex w Tenant (no lease) Destroying it and they Wont Leave

[Ivan Ford]

Hey! Just found out about Bigger Pockets! I was hoping that I would be able to find some help here. 

My wife and I purchased a small duplex near Downtown Los Angeles. It is subject to an RSO. It was supposed to be delivered vacant, but instead it came with a tenant (and her 5 family members). They do not have a lease. 

To put it lightly, the place is in dire need of renovation. Mold is growing on the ceilings, the tile is wearing off, and the place looks really run down.

I've offered the tenant a fair relocation solution - I've tried to buy them out and I've offered them a new, nicer apartment. Instead of exploring those options, they called LAHD and filed a complaint for illegal eviction and illegal rent increase. I haven't raised the rent or tried evicting them. I'm trying to do them a favor.

Does anyone have experience with these types of situations?