Landlord Liability for Illegal Activities on Rental Property
Landlords have a general duty of care to provide a safe and habitable living environment for their tenants. As part of that duty landlords can be held responsible to know what is going on at their rental property.
Reasonable foreseeability
Landlords have the duty to prevent possible criminal activity at their properties if there is sufficient reason to believe that a crime may be committed there. Reasonable foreseeability of a crime on the property can be established by prior occurrences of criminal activity on the rental property as a result of such factors as inadequate security measures or a landlord’s non-compliance with required state and local housing and building safety codes.
In the event that a crime is committed on the rental property, to determine a landlord’s responsibility, a court would review facts of the case to determine whether the landlord was negligent in complying with required safety codes or the landlord failed to provide adequate security measures, any of which resulted in or was a contributing factor in the commission of the crime. A court would evaluate the probability of harm from a criminal act versus the landlord’s burden of duty of care responsibility to provide for the safety and security of his tenants in proving a breach of the landlord’s duty.
In general, if the probability of harm from a criminal act is greater than the landlord’s burden of duty of care to provide tenant protections, then a landlord is required to implement security measures at the rental property at the highest level that provides protection from a reasonably foreseeable criminal act.
Drug Dealing
Landlords have a duty of care to protect the neighborhood as well from illegal activities of tenants. The most common type of illegal activity in rental properties is drug dealing.
A landlord should be alert to signs of suspicious activities at the rental property that could be an indication of drug related activities. Caution is advised that before jumping to an erroneous conclusion or confronting a tenant; a landlord should first determine the facts. Should there be strong indications or evidence of illegal activities including drugs, a landlord may want to contact local law enforcement to determine how to proceed.
While few landlords would want to believe their good tenant is also a drug dealer, a landlord cannot just look the other way, refuse to acknowledge a problem or refuse to take corrective action. A landlord may be held liable for injuries or losses resulting from criminal activities on the rental property. It is possible a landlord may be sued under the legal theory that the rental property has become a public nuisance that seriously threatens public safety or morals. If a landlord allows illegal activity to continue or refuses to cooperate with law enforcement, federal, state, or local authorities may levy significant fines or seek criminal penalties against the landlord for knowingly allowing drug dealing on the rental property. In rare circumstances governing authorities could file a civil asset forfeiture complaint to seize and/or forfeit the property.
While conducting property inspections, a landlord should be alert to unusual odors that could be as a result of drug manufacture or use of drugs. Neighboring tenants may be the first to complain about odd smells coming from a nearby unit. A landlord should always respond promptly to tenant complaints about drug dealing or activities related to drug use or manufacture. If complaints are founded, a landlord should take appropriate action to terminate the offending tenant’s lease, file for eviction and involve law enforcement as required.
A landlord should be observant of frequent traffic in and out of the rental premises throughout the day and night, particularly traffic to only certain units and only for a short time. While it could very well be related to drugs, there could be other reasons which would need careful investigation.
A good tenant is often described as quiet, keeping to himself, and prompt with the rent. Such a tenant could also be conducting illegal activities while staying below the landlord’s radar. If a tenant rarely leaves the rental unit and always has the blinds down, it may be appropriate with careful consideration of the circumstances to conduct a welfare check on the tenant. A landlord should have some concern for a tenant’s well-being but not at the expense of a drug dealing operation.
In addition to legal problems that can be caused by drug-related criminal activities, landlords can find it difficult to find and keep good tenants. Word-of-mouth reputation as a bad property can seriously impact the landlord’s rental operations.
Fair Housing Act
Screening prospective tenants is a high priority risk management practice. In the course of tenant screenings a landlord may discover an applicant’s history of past drug addiction. A landlord cannot refuse to rent to a person solely because the person is a former drug addict. Drug addiction is a covered disability under the Fair Housing Act (FHA). Refusing to rent to a person with a disability is a violation of the FHA.
However while drug addiction is protected as a disability under the FHA, a person who currently and illegally uses drugs is not protected by fair housing laws. A landlord does not have to rent to a person who violates the law by Illegal drug use.
Lease Agreement
Most landlords utilize a lease agreement that contains specific language that prohibits tenants, their guests or invitees from using the rental property in such a way as to violate any law or ordinance including laws that prohibit the use, possession, or sale of illegal drugs; severely damaging the rental property; or causing disturbances that interfere with other tenants’ rights of quiet enjoyment of the rental premises.
Strict enforcement of lease terms and conditions by the landlord is required to protect the safety, security, and rights of the tenants. Landlords should take appropriate and timely actions as necessary to remove a tenant who materially violates his lease agreement by troublesome or disruptive behaviors or who violates the law. A landlord’s failure to take corrective action can create liability for the landlord for injuries to tenants as a result of illegal activities including drug use, drug dealing, or drug manufacturing on the rental property.
Prevention Measures
A landlord can help prevent criminal activity at his rental property by implementing safety and security measures such as:
- Conducting regular property inspections
- Installing adequate exterior lighting including motion detectors
- Installing security and safety devices such as deadbolt locks on doors and window locks per state and local building code requirements
- Controlling access to rental unit keys
- Responding promptly to tenant concerns and complaints about safety and security
- Responding timely to property repairs and maintenance requests
- Utilizing a strong lease agreement including lease language prohibiting illegal activity on premises
- Enforcing lease terms and conditions including eviction as necessary
- Consulting with security professionals to assess current security measures and update as necessary to prevent illegal activity on the rental property
Additionally a landlord should share information with tenants about crime prevention. If there have been reported incidents of criminal activity in the local neighborhood, a landlord can alert his tenants to possible risk. At the same time a landlord can provide updated information about the safety and security measures that are implemented at his property for the tenants’ protection. However, tenants should also be reminded that they, the tenants, are fully responsible themselves to take necessary precautions to protect themselves from harm.