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Is this verbiage in a property management agreement fair for the client? or is there better verbiage?

Port Orange, FL |


J. Not hold the Agent liable for any error of judgement or for any mistake of fact or law or any loss caused by the Agent’s own negligence, except in cases in which the loss is caused by the Agent’s own willful misconduct or gross negligence.

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Attorney answers 4

Best Answer

I have seen better clauses, and worse clauses. This clause seems to strike a balance, albeit slightly in favor of the Agent. You can always add "except where contravened by State statutes or law" to give you some protection where Agent liability might be held for other circumstances.

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It's the standard language. It usually includes language that requires you to pay for the agent's attorneys' fees should the agent be sued unless there is willful misconduct or gross negligence.

My suggestion is to have a good insurance policy or do not sign it and look for another agent. In these hard economic times you may find someone willing to strike the language.

This communication is not intended to create an attorney/client relationship. It is always recommended you consult an attorney in person to discuss your case. The Law Offices of Stage & Associates practices state-wide and represents homeowners and community associations. Please visit our website at


That language came about in business to waive the duties an agent has to his/her client to only the most egregious of conduct. Try striking the language if you want to be able to hold the Agent liable for breaches of duty of care, etc., which he/she statutorily owes to you. Even without that language the agent is still protected by the "business judgment rule" and would possibly win in a dispute unless their actions were clearly self-serving or criminal. As Attorney Stage points out, if they are not willing to negotiate the terms of their representation agreement, find another.

Carol Johnson Law Firm, P.A. : (727) 647-6645 : : Wills, Trusts, Real Property, Probate, Special Needs: Information provided here is anecdotal and should not be relied upon or considered legal advice. Every matter is different and answers given here are general in nature and may not reflect current Florida law at the time you are reading this posting. Please contact me if you feel you need additional assistance with your matter.


There is always better verbiage, but this is relatively fair. Contracts are subject to negotiation and are always subject to interpretation.

R. Jason de Groot, Esq., 386-337-8239