Randy is the rental property owner of Sunset Apartments, 4-unit building in Hollywood. Terry, the tenant in Unit #1, had made verbal complaints to Alice, Randy's real estate agent, who was listing Unit #2 for rent.  "Please tell my landlord we have rats. We've been writing him for weeks but he has ignored us. Tell him to fix it right away or we'll make this place a living hell."

Alice responded politely to Terry, saying, "I'm sorry but I am not the property manager. I don't have any authority to take your message to the owner."

Alice did not mention her conversation with Terry, thinking this was outside the scope of her agency with Randy. 

Bill responded to Alice's social media advertisement of Unit #2's availability and signed a one-year lease with Randy starting April 1. Neither Randy nor Alice mentioned anything to Bill about possible rat infestation. 

On May 1, Terry's child was bitten by a rat. Terry is suing Randy and Alice. When Bill found out about the incident, he immediately stopped paying rent and filed a complaint against Alice with the CA Department of Real Estate. 

1. Did Alice have a duty to inform Randy of Terry's complaint about the rats? 

2. Did Alice owe Terry a duty to pass her message about the rats on to Randy? Did Alice breach her duty to Bill? 

3. Did Bill have a right to withhold his rent? Why or why not? Describe the outcomes of both Terry's lawsuit against Randy and Alice, and Bill's DRE complaint against Alice. 

Answer rating: 100% (QA)

1Alice as Randys real estate agent may not have a duty to inform Randy about Terrys complaint unless ... View the full answer