Employment Contract
Create a customized, Texas-compliant employment contract for property managers. Includes at-will employment, Fair Housing compliance, non-compete under Tex. Bus. & Com. §
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Property Managers in Texas face unique risks every day, such as when a tenant in Dallas files a fair housing complaint after being denied a unit due to an alleged familial status violation, leading... Read more
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Property Managers in Texas face unique risks every day, such as when a tenant in Dallas files a fair housing complaint after being denied a unit due to an alleged familial status violation, leading to an investigation by HUD and potential TCHRA claims under Tex. Lab. Code § 21.051. Without a properly drafted employment contract for property manager in Texas, your company can be exposed to habitability violation lawsuits, security deposit disputes, or wrongful termination claims that drag on for months in Texas courts. This document clearly defines the Property Manager’s responsibilities over lease agreements, maintenance requests, eviction processes, HOA compliance, and vacancy rate targets while incorporating at-will employment provisions recognized under Texas law. It mitigates common liabilities like tenant disputes and ADA accessibility failures by outlining specific performance expectations, training on the Fair Housing Act, and record-keeping for lead-based paint disclosures required by the Residential Lead-Based Paint Hazard Reduction Act of 1992. By including tailored non-compete language that satisfies the stricter standards of Tex. Bus. & Com. Code § 15.50 and detailed termination procedures, both the management company and the Property Manager gain clarity and protection. Using this Texas-specific employment contract for property manager in Texas helps avoid costly litigation, ensures DTPA consumer protection compliance, and keeps your operations running smoothly across multifamily, single-family, and commercial properties throughout the Lone Star State. Whether you manage 50 units in Austin or 200 in Houston, this contract is the foundational safeguard every Texas property management firm needs.
Beyond the standard employment contract sections, this template adds fields specific to Property Manager:
An employment contract establishes a formal employment relationship between an employer and an employee, outlining the terms and conditions of employment, rights, obligations, and responsibilities of both parties. It provides legal protection and clarity, ensuring compliance with employment laws and minimizing the risk of misunderstandings and disputes.
Tenant Disputes
Utilize clear lease agreements that outline tenant responsibilities and dispute resolution processes.
Habitability Violations
Include clauses in leases that specify maintenance processes and consistently conduct property inspections to ensure compliance.
Security Deposit Disputes
Maintain detailed records of property conditions at move-in and move-out, and specify deposit handling procedures in lease agreements.
Violation of Fair Housing Laws
Implement and train staff on fair housing policies, and include non-discrimination clauses in rental agreements.
For this employment contract to be legally valid:
Common mistakes to avoid:
Fair Housing Act
The Fair Housing Act prohibits discrimination in housing-related activities, including rentals by property managers, based on race, color, national origin, religion, sex, familial status, or disability.
Enforced by U.S. Department of Housing and Urban Development (HUD)
Americans with Disabilities Act (ADA)
This law requires property managers to ensure that their properties are accessible to individuals with disabilities, particularly in public and commercial buildings.
Enforced by U.S. Department of Justice (DOJ)
Residential Lead-Based Paint Hazard Reduction Act of 1992
This regulation requires property managers to disclose any known lead paint hazards in properties built before 1978.
Enforced by U.S. Environmental Protection Agency (EPA)
State Landlord-Tenant Laws
These are state-specific laws that govern the relationship between landlords, property managers, and tenants, including lease terms, eviction procedures, and security deposits.
Enforced by State Government (varies by state)
Recommended coverage: Professional Liability Insurance (Errors & Omissions) · General Liability Insurance · Property Insurance · Tenant Discrimination Insurance · Workers' Compensation Insurance
Yes. Texas is an at-will employment state, meaning either party can terminate the relationship at any time without cause unless the contract specifies otherwise. Including an explicit at-will clause in your employment contract for property manager in Texas prevents wrongful termination claims under Tex. Lab. Code § 21.051 while still allowing for defined notice periods for resignation or performance-based termination. This is especially important for Property Managers who handle sensitive tenant disputes and fair housing compliance.
Under Tex. Bus. & Com. Code § 15.50, any non-compete in an employment contract for property manager in Texas must be ancillary to an otherwise enforceable agreement and contain reasonable limitations on time, geographic area, and scope of activity. For Property Managers, this typically limits solicitation of current clients or properties managed within a defined Texas metro area for 12 months. Courts will not enforce overly broad restrictions, so the clause must be narrowly tailored to protect legitimate business interests such as tenant lists and proprietary maintenance systems.
The contract explicitly requires the Property Manager to complete annual Fair Housing training and comply with the federal Fair Housing Act and Tex. Lab. Code § 21.051. It also mandates adherence to the Americans with Disabilities Act (ADA) for accessibility modifications and the Residential Lead-Based Paint Hazard Reduction Act of 1992 for pre-1978 properties. These provisions reduce the risk of tenant disputes and HUD complaints that frequently target Texas property management companies.
Absolutely. The document allows you to specify the Property Manager’s duty to follow Texas landlord-tenant laws regarding security deposit accounting, return timelines, and documentation. Detailed clauses help prevent common security deposit disputes that lead to small claims or DTPA actions. The contract can require the manager to maintain move-in/move-out inspection records, directly supporting best practices for Texas property managers.
State laws affect what must be in this document. Pick your jurisdiction.
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