I live and work in California. In 2006, bought a rental property(regular sale) in Dallas area in Jan 2006, hired a property management company to take care of the property. Got it rented out in April 2006 to a couple with 2 dogs and 2 cats :( They have $1700 deposit in property management company.
They informed us in March 2007 that they will move out when lease expire. After they move out, property management company try to clean the carpet($cost 250), but they still cannot get rid of the pets urine smell. So later they replaced most of the carpet, cost $1500 and charged tenant's deposit for it.
In Jun 2007, I got the court law suit from tenants. Claim the carpet was dirty and stained before they moved in, and also property management's closing statement was mailed out late to them(by 1 day!). So they want all their legal fees, deposit and 3 times bad faith penalty on 1 day late notice.
We hired a lawyer A(referred by property management company) to handle the case. We try to settle the case, the other party just don't have any intention. After 6 months, A told me that the other party complain he is in conflict of interest, so he cannot trial the case and he will have Attorney B to do the trial if needed, but he will supervise him.
Went to trial with B, and we lost the case in this May. Total loss for me is around $23,000. Told property management company that I will file a lawsuit against them. Property management company want to work a deal with me and later they found they have some insurance to cover this kind of lawsuit. Negotiated with their insurance company and got a settlement of $17,500(mainly cover tenant's attorney fee). Leaving me with loss of $4000 my attorney lawsuit and $1500 travel expense.
While consulting with other attorney when try to file case against property management, other attorney told me I might have a case again A and B too. Reason:
1. A is in conflict interest, filed complaint to Texas Bar, but get rejected!?
2. B is a criminal defense attorney, found out that after the trial, thought he was from same office of A before.
3. A and B did not prepare the case well, a lot of documents and information I gave to A, but never passed to B.
4. B being a very inexperienced attorney, he still charge me $200/hour.
5. The case was lost because property management company did not have any document, they don't have move-in check list, no move-out check list, and receipt dates of carpet replacing not match.
6. Everything was handled by property management company, all A and B should suggest is to file the third party claim, and since their conflict of interest position, they never told me I have that option.
talked with A and B about all this, they said they can give me $1000 off. Do you think I should take the offer?
Thanks!
