Legal Question in Real Estate Law in Texas
Property Management Contract
I have a property manager for my rental property. They sent me a letter notifying me about increase of the monthly management fee.
The current contract was signed up on 6/30/2006 and expires on 6/29/2007. They said that they would apply the new fee starting on 6/1/2007. My question is:
1. Can they change the fee in the middle of current contract?
2. Is sending me a notice enough for them to enforce a new fee? Don't they have to revise the original contract and provide me with the updated one or don't they need my sign for agreement?
3 Answers from Attorneys
Re: Property Management Contract
The answers to your questions depend on the laguage contained in the original contract. If the contract contains a provision which allows for adjustment of their management fee, they can change the fee anytime, so long as they do so in accordance with the contract. If the agreement says they can simply send you notice of the change, then any change of which they notify you is valid.
Re: Property Management Contract
Mr. Hoffman is correct, and if the contract is silent on this point then they will have to wait until 7/1/2007 to raise the rate. Let us know if you have problems with them and want an attorney to take this up with them.
Re: Property Management Contract
It's probably a mistake. They most likely put down a date for the fee increase that was a month early. I would just call them on the phone to clarify it. If you have further questions, feel free to contact us.