Property Management

A North Dakota rental property owner hires a property management company. The relationship between them is best described as:

ALandlord and tenant
BPrincipal and agent (the owner is the principal; the manager is the agent)✓ Correct
CCo-owners
DEmployer and independent contractor with no fiduciary obligations

Explanation

The property owner is the principal and the property manager is their agent, acting on their behalf. The property manager owes fiduciary duties to the owner and must act in the owner's best interests within the scope of the management agreement.

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