We have to allow the accused to defend themselves.

My CPA is defending 2 different clients right now in regards to their real estate professional status.

It is important to have their legal/tax advisors review the transaction, determine the risk if they were ever audited, and if they decide it is worth it an believe they could defend it to the IRS in an audit, they go ahead with it.

In some states you have to get creative to defend yourself.Friend of mine in Hawaii has a carpet cleaning biz.

You will not only get in shape, but you will learn how to defend yourself at the same time.

I have received a property management agreement that has 12% of rents for price, (Seems high, but I can live with that) It also has a clause that basicly says Agent agrees to act diligently, but neither Agent or its employees shall not be liable to Owner or any person for any act or omission, negligent, tortuous, or otherwise, (except for intentional or omissions or gross negligence) of any agent or his employee, and owner agrees to indemnify and hold harmless Agent and his employees, and indemnify, defend and hold harmless against any liability, loss, damage, cost or expense, (including legal fees) by reason of such omission.

Again, I'm not asking anyone here to defend that position, just pointing it out...

@Darren Budahn I am not saying you are wrong and not about to spend my time defending a lowlife tenant doing drugs in a residence, and say it's ok.

Stand up and defend our profession!

Even though you don't mean to discriminate, you could have to defend a claim regarding national origin - a federally protected class.You may be completely innocent, but the cost of defense can be staggering.