Past Issues | Advertise | www.faahq.org | Multifamily FLORIDA archive January 2013

Protect Your Investment from Termites

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By Pete Cardillo, Esq.

When the Earl of Chesterfield said, "Never put off till tomorrow what you can do today," I’m pretty sure he was talking about apartment owners, developers and termites.

Indeed, few things are as important for owners and developers of apartment communities in termite-friendly Florida as making sure they protect their investments from termites and from disreputable pest control companies.

Perhaps the most crucial element of getting pest control service has little to do with eradicating bugs, but rather with the relationship between the property manager or owner and the termite company. Read the contract very, very carefully. Then read the back of the contract because, quite often, all of the horrible disclaimers are on the back. (Better yet, treat these contracts as you would any other important business contract and have your attorney read over these contracts before you sign them.) 

Consider that many court cases involving property owners and major pest-control corporations are sparked by what’s in disclaimers. For instance, that release the firm from all responsibility in the event of "moisture conditions." Now, for anyone who’s been in Florida in the summer, "moisture conditions" occur every day in the form of rain. And lots of it.

Among other tiny but mighty significant bits of contractual verbiage you’ll want to pay close attention to is the arbitration clause, which, if you sign it, basically means you’ll be forced to settle any disputes in arbitration rather than the courts. Sounds like a great idea. Who wouldn’t prefer to come to a sane compromise? Yet what this often means is that you’ll wind up signing away rights that could mean the difference between getting what you honestly deserve and getting a whole lot less. For this reason, I generally suggest you negotiate the disclaimers and arbitration clauses out of your contract before you sign it.

Not every contractual tidbit offered by pest control companies is bad, of course. In particular, you’d likely do well to purchase the pest control outfit’s repair guarantee, or bond, if offered. This will cost a little more, but it’s better protection in the long run. Indeed, it’s basically a warranty, which guarantees that if there is damage they will take care of it. Like an insurance premium, as long as you make your renewal, you’ve got coverage forever if you purchase the lifetime guarantee.

Once the contract is in place, schedule the first property treatment and accompany the technician as he or she does the job. Or have a trusted property manager do this. Even if you don’t know what you’re watching, you’re less likely to be the victim of shortcuts if you’re monitoring the process. Make sure that you then get a copy of the report, which is required by Florida law, so that you have documentation of exactly what was done on the property." 

The same holds true for annual re-inspections: Escort the technician and get a report. 
Keep in mind that apartment communities can be especially vulnerable when it comes to re-inspections. For example, proper inspection of a 300-unit, 15-building complex can take one person a couple of days. So make sure that every building is inspected, exterior and interior. Some property managers or owners may see this as a tenant disruption, but it’s a once-a-year inspection, so with proper notice it shouldn’t be an issue. Pest control companies are required to do interior re-inspections according to their own protocols and industry practices. 

Finally, alert your pest control firm at the first sign of termite damage or evidence of the bugs themselves, including wings, mud tubes or trails. Ask your tenants to alert you if they see any such evidence of termite activity. If you do find anything suspiciously termite-y, either fax or email a letter to the company detailing exactly what you’ve found. The company then has an obligation to inspect immediately, so remaining vigilant and keeping a log is the best method of ensuring a quick response. Document all conversations and correspondence.

Remember: Termites do their nasty business in the dark, so to speak. They live a secret and hidden life, so the sooner you find them, the sooner you can take care of them. And protect your property.

Attorney Pete Cardillo is the founder of the Tampa-based firm of Cardillo Law Firm, which concentrates on termite-related legal matters. www.cardillolaw.com.  
Cardillo Law Firm
Mac-Gray
Naylor, LLC
FAA is a federation of 11 local affiliates, representing over 490,000 apartment homes in Florida. Both community and associate members in good standing of a local affiliate are automatically memebers of FAA and NAA.