Texas Real Estate Q&A Discussion Forum
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated about 6 years ago,
Mechanics Lien with a Property Manager-TEXAS
Hi everyone,
First, for disclosure I am a licensed agent and a property management company owner in the state of Texas.
Okay, back in April of this year I was working for a PM company as an employee and a vendor is asking me for my help. The contractor completed work at 2 properties owned by the same owner, which was managed by the PM company at the time. These were all safety related work issues that were approved by the PM company and under the repair allowance in the agreement (I signed this account...).
This owner cancelled his pm agreement right after the work and never paid the vendor for the work. Usually, the owner would paid the PM company and the PM company would then pay the vendor after the work was completed. The PM company claims that they didn't manage the property when the vendor did the work...but they did. I don't have access to my contract signed with this owner as when I quit my docusign was taken away.
1) Can I request all PM agreements I signed be sent to me
2) Who is liable..PM or owner? My opinion is ultimately the PM company should be held liable to make sure this vendor gets paid.
The PM agreement states: (21) hire contractors to repair, maintain, redecorate, or alter the Property provided that Broker does not expend more than $ for any single repair, maintenance item, redecoration, or alteration without Owner’s consent; Leasing & Management Agreement concerning: (TAR-2201) 6-1-10 Initialed for Identification by: Broker/Associate and Owner , Page 3 of 11 (22) hire contractors to make emergency repairs to the Property without regard to the expense limitation in Paragraph 4A(21) that Broker determines are necessary to protect the Property or the health or safety of an ordinary tenant;
3) Should/Could the vendor file a mechanics lien at this point? It is $4,000 worth of work and materials
Any suggestions would be appreciated! I've told the vendor that he should file a mechanics lien and that my opinion is the PM company needs to own up to this, but the vendor thinks going after the owner is the best. The owner also was previously contacted by both myself and the vendor and he stopped replying.
Thanks all!