Property Management

A property manager notices visible mold in a rental unit and the landlord instructs the manager to paint over it without disclosing the issue to a prospective tenant. What should the property manager do?

AFollow the owner's instructions, since the owner is the principal
BRefuse to conceal the mold and disclose the known condition to prospective tenants✓ Correct
CPaint over the mold and note the situation in internal files only
DTerminate the lease of the existing tenant and renovate

Explanation

A property manager has an ethical and legal duty to disclose known material defects, including mold, to prospective tenants. Following an owner's instruction to conceal a material defect would violate the manager's duties under California law and expose both the manager and owner to liability. The manager should refuse and document the owner's instruction.

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