That would be if you were harming someone else through your business methods.

For this you'll need to engage a CPA or an EA to examine your facts, circumstances and goals.You seem determined to bypass the passive activity loss rules under Sec 469 by using "form" to overrule "substance". 

We don’t know any PMCs to recommend in the area mentioned, but since selecting the wrong PMC is usually more harmful than selecting a bad tenant, you might want to read our series about “How to Screen a PMC Better than a Tenant”:https://www.biggerpockets.com/member-blogs/3094/91877-how-to-screen-a-pmc-better-than-a-tenant-part-1-services-and-processesWe recommend you get management contracts from several PMCs and compare the services they cover and, more importantly, what they each DO NOT cover.

Quote from @Jonathan Harms: @Erin Baumfalk Is this the place by Happy Holiday RV community and across from Reptile Gardens?

They can somehow afford the cable television that their uncle sits and watches all day, as well as whatever controlled substances that they are smoking in the basement each time I try to ring them with a contractor for an appointment, and they refuse entry, us having "caught them at a bad time".To put it simply, at their essence my tenants are not human.

And like the regulator said its so rampant but I suspect the states will start enforcing it.. because of all these guru's teaching the mass's and all the harm that is done to sellers by shysters telling them their 100k home is only worth 20k and ripping fee's out of them.. its a stain on the industry frankly.

That being said a bad lender can cause more harm than good as well.  

I have worked with many toxic substances during my career, including mold and other biological substances. 

Not sure how high the level was the likehood of a sucessful suit is related to a lot of factors including if harm has come to the child.  

Notwithstanding any provision of law to the contrary, the mere presence of a lead base substance shall not constitute negligence on the part of an owner of any dwelling.