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Claimant's opinion: Payment
I agree with both the comments below: it is likely illegal for a company to collect rents on behalf of a client and then not pass it on.
The issue of the legal entity fees is less clear without a timeline and contract.
If the rent is not paid, however, you should file a police report as well as contacting the RE Board.
Unless the company required the legal changes described AFTER a management contract was signed, the claimant isn't entitled to recoup this expense.
However, the rent payments are an extremely serious issue. A property manager must be licensed as a broker under Florida law. There may also be bonding requirements. Was rent supposed to be paid out on a monthly basis or an annual basis? What does the contract say about termination?
The claimant should contact DPBR and find out about the bonding issue, and file a formal complaint and possibly a police report if necessary.
I note that this complaint was filed on April 6 which is ample time for All Star Vacation Homes to have paid the rent due to the property owner.
Hi, Thank you for your feedback. Just to clarify, I did contact DPBR and they advised this is not something they could assist with. Regarding the licensing, it is a requirement which All Star was to handle as per the contractual agreement with them. Due to missteps All Star made, I was forced to move the property into another retirement account at my cost. I would disagree on the claimant entitlement regarding the changes, as that was caused by fault of All Star post contract. I'm not saying anyone is wrong on the opinions and commentary provided here and fully appreciate your input. However, those costs were a result of mistakes & missteps on the part of All Star and were admitted to in writing by one of their principals in an email.I paid All Star a license preparation fee of $165 back in Aug of 2016 and after three attempts they had still not procured the proper licenses. Fortunately, my new management company Casiola Vacation Homes was able to remedy this in less than two weeks - thumbs up to Casiola.In addition, just to clarify part of that $15,365.55 consist of deposits and fees in the amount of $2,865 paid to All Star Vacation Homes as follows: $1,500 Maintenance reserve, $165 license preparation fee, $700 overcharge on Linen deposit, $500 for keyless entry lock deposit.
Good points - thanks for the clerification Greg.
Thanks for this update!
There is a contract at issue here. It sounds as if claimant performed; but All Star Vacation did not. This breach has led to obvious financial damages related to the uncollected rent. At a minimum, ASV needs to pay the amount expected under the contract--I would assume that is the rent due. Beyond that amount, ASV needs to offer additional consideration for the delay in payment and extra time and expenses incurred by the claimant. If claimant entered the contract expecting to pay the account change fees, then she did so expecting to keep the property in their management for longer than 7 months. The most fair settlement would be any future costs to change accounts (if necessary) for a new management company, but so as not to create complications or delays, refunding the costs already incurred makes the most sense here.
Based on proof of claimant's accounting of 15,525.88, then I think ASV owes her that amount, and should send it without delay.
You nailed it Jessica. Now All Star Vacation Homes- will you settle under these terms? Its the right thing to do IMO
Is there existing records that the property has been rented, how often and for how much?
Given the company's lack of response, is it still in business or bankrupt?
Hi Jessica, I have records / statements for both 2016 & 2017 from their owners portal showing the rentals, income and expenses. They are still in business. Additionally, if you read through the other owners complaints at the following link you will see I'm not the only property owner having collection issues with them. https://www.bbb.org/central-florida/business-reviews/vacation-rentals/all-star-vacation-home-management-in-celebration-fl-12001398
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