Tenant's Friend is Living in the Rental (Not on the Lease)

[Mark Schneider]

I am hoping someone has some advice on how to approach this peculiar situation I just had during a routine home-inspection.

We have great tenants, but during our walk-through we noticed a friend of our tenant was living, or seemed to be living, at the residence (the lease outlines that guests cannot stay longer than 14 days unless pre-approved by us). If the individual has in fact been living there for longer than 14 days, and was planning on staying longer, what are some possible courses of action we can take? Run them through the approval process and add them to the lease? Marginally increase the rent? Any advice will be greatly appreciated, thank you!