Why would a property management company charge cancellation fees?

[Xin Peng]

The theory I heard is, if the PM does a good job, normally the landlord wouldn't bother to switch the PM company, so they shouldn't worry about the early termination. So, any good reasons to justify such charges?

[Drew Sygit]

@Xin Peng Everyone wants to break contracts with no penatlies - including tenants!

Let's use your logic and apply it to lease contracts with tenants:)

According to the logic of your own words, with roles switched for this analogy, "if the LANDLORD does a good job, normally the TENANT wouldn't bother to switch the PROPERTY, so they shouldn't worry about the early termination <charge>."

So, why hold tenants to lease contracts?

If you want tenants to honor their leases, or pay a penalty, then why shouldn't Property Management Companies expect owners to honor their property management contracts or pay a penalty?

Going to guess that you, and many other owners, won't like this analogy because it rebuts what you want - the ability to enforce an illogical double-standard. 

YOU want to be able to get out of a contract without penalty, but don't want to be held to the same requirement.