Fired Prop Mgr, now getting charged with "Cancelation fees" - Is there a solution?

[Steve Sayler]

Owner Termination - Cancellation Fee

Something you never hear about is HOW can an owner terminate a Prop Mgr!.  In my case I was fed up with lies and incompetence, and switched to another local Pro mgr company. but I am being hit with EXCESIVE cancelation fees.  Do I have a recourse?

the Prop mgmt contract - 

14.  ... In the event that such notice of non-renewal by Owner is received by Broker, Owner shall pay Company the Management Fees, rental commissions, and all other outstanding fees set forth in this Agreement for the length of the tenant lease (including any lease extensions or renewals) or the remainder of the term of this Agreement, whichever is the greater of the two. The cancellation fee will be calculated at the amount of the last full month Management Fee rate multiplied by the remaining number of months in the term or until expiration of the existing tenant’s lease, whichever is greater.

The background: I was using LSI Property Mgtm Corp to manage my 3 duplexes in Panama City FL.  It was going, OK, until, out of the blue they served an eviction  on an elderly tenant, without cause.  Although the Prop mgr claimed late payments, that was false. The tenants went to court, but the prop mgr failed to respond and failed to go to court. The tenants rightfully won.  The prop mgr refused to apologize to the tenants, and continued lies about late payments.   I found a better Prop mgmt company.  Upon termination of LSI, they are now charging me  CANCELLATION FEES which are equal to the regular monthly Prop Mgmt fees (8%)  for the remainder off EACH lease.  This amounts to thousands of dollars. I emailed and called LSI, complaining, but they stand by the cancelation fees.

Is there a Solution for me? - at this point -  to avoid the cancellation fee? 

thanks

Steve