San Diego Small Claims Court

[Josh Buchan]

Hello BP Investors,

I recently acquired a 6 unit building in the city of San Diego.  Acquisition date 3/26/19.  On 4/29 a tennant gave 8 days notice to move out.  I had the PM let the tennant know that 30 days was required.  Long story short the tennant moved out on 5/6.  We scrambled and found a new tenant who moved in on 5/28.

I instructed the PM to keep 15 days rent from the deposit as I didn't want to gouge the tennant.  PM was one day late returning the deposit.

Tennant is suing me Violating the Implied Warranty of Habitability,  Violating the Covenant of Quiet Enjoyment by not timely returning the security deposit and not performing the necessary repairs to maintain the property as a safe and conforming dwelling.  He is stating that this rose to a level of Constructive Eviction.  He is asking for the below amounts.

$724.80-Unrefunded portion of the deposit

$14375.00-Rent abatement for entire tenancy He is stating 46 months

$3100.00- 2X Deposit 

$1250.00-Moving expenses due to Constructive Eviction

$75.00-Tennants cost for the suit.

He was on the lease from 6/1/17-5/6/19.  No where near 46 months.  The same PM managed the place for the whole time the Tennant lived there and all maintenance requests appear to have been handled in a timely manner.  There was zero maintenance requests during the time that I owned the property.  When we turned the unit all we did is paint,  add blinds to the windows and some new light fixtures.  The unit was in good shape when he moved out.

What would be a good way to tackle this case?  Am I even liable for repair requests that may or may not have been completed when I didn't own the property?

Thanks in advance,

Josh

[Dan H.]

Have you been served?  The reason I ask is I get a threat of suit fairly regular and have never been sued for anything RE related.  I have even been threatened to be sued by a lawyer.   Nothing...   Even the lawyer had no case.

If you have been served then counter sue for the full loss rent that is due which is 7 more days than you charged for.  Come prepared with every tenant correspondence that occurred over his tenancy.  Make sure you have the date that his tenancy started (i.e. the day he was added to the lease - any stay before then he was a guest).

If your description is accurate, the only case your tenant has is for getting deposit late but you did not charge him for the full costs of the early move-out.  I suspect if this goes to court, and you have the artifacts that show what you described, the tenant will end up paying you for his early lease termination (assuming the lease calls out that at least a month's notice is required).

Unfortunately, it will consume some of your time.  He is probably hoping you offer some sort of compensation to go away.  I am a stubborn SOB when it comes to this type of thing and therefore, just for the principle, I would not offer a cent and would be counter suing.  It may not be the smartest use of my time but it makes me feel good.  You have to decide for yourself if you want to pay him to go away.

This is small cost item but …   Do you have some sort of asset protection?  I suggest an umbrella coverage because it is the most dummy proof and because if I ever get sued I will have a heavy weight in my corner (the insurance company).  Make sure you have some form of asset protection.

Sorry this is happening to you.  Good luck