The Best of the Legal Hotline: On-the-Job Dangers


 Tracy Rucka & Debbi Conrad  |    September 09, 2005
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The following questions were asked of the Hotline regarding personal safety and health issues.

Meth labs

A listing broker is listing a property that was used as a methamphetamine lab. The owner is going to throw out contaminated materials and have the entire house cleaned and repainted according to the county health department requirements. What must be disclosed to buyers? 

Methamphetamine (meth) is a man-made amphetamine, produced and sold illegally in the form of pills, powder or chunks. Common street names for meth include speed, crank, ice, glass and crystal. Homemade meth is produced in makeshift labs set up in homes, apartments, hotel rooms, mobile homes or other buildings. Although the ingredients used to produce meth are readily available products, many of the chemicals used in the “cooking” process can be harmful. Short-term exposure to high concentrations of chemical vapors in a functioning meth lab can cause severe health problems or even death. For this reason, meth “cookers,” their families, and first responders are at highest risk of acute health effects including lung damage and chemical burns to different parts of the body. Unsuspecting people can also touch residues of meth and have symptoms similar to those experienced by meth users. This contamination needs to be cleaned up, and any sanitation, electrical and other safety hazards must be addressed.

Once the main chemicals related to the former lab have been removed, the health department is typically called in to assess the property for hazards and long-term exposure risks from residual chemicals. The Department of Natural Resources also may be called in to assess any environmental impacts from chemical spills or improper waste disposal. The broker should see if any reports from these agencies are available to use as a disclosure document. There are no pre-determined, acceptable levels of clean up inside a building or home for the many chemicals associated with meth labs. Thus, testing can be done after clean up, but at this time the Department of Health and Family Services does not
recommend it.

If, however, the seller does not disclose the property’s history and the steps taken for remediation of the property, REALTORS® generally should disclose this in writing as information suggesting the possibility of a material adverse fact. Additional information concerning meth and meth lab clean up is available at www.health.state.mn.us/divs/eh/meth. Also see NAR's "Field Guide to Meth Labs" online at www.realtor.org/field-guides/field-guide-to-meth-labs.

Drug houses

The seller has an accepted offer on a rental duplex that is scheduled to close next month. The morning newspaper reports that there was a drug bust at this property last night, and the article referred to the duplex as a “drug house.” Can the seller evict these tenants, even though they have a one-year lease? 

Any building used to facilitate the delivery, distribution or manufacture of a controlled substance is a drug house and is considered a public nuisance. If the seller/landlord has received written notice from a law enforcement agency that a drug house nuisance exists in the duplex or was caused by the tenant on the property, the seller/landlord can evict under Wis. Stat. § 704.17(2)(c). The seller, accordingly, may give the tenant written notice explaining the basis for the eviction and requiring the tenant to vacate within five days.

If the seller does not have notice from law enforcement, the seller may not evict the tenant unless the tenant has breached the lease, so the seller will have to follow normal eviction procedures.

The seller should keep in mind that it is a poor idea to be judgmental or disrespectful to the alleged drug-dealing tenant if the seller has to evict the tenant. Rather than saying, “Get out a my house ya dirt bag scum!” blame it on the authorities: “The police called me and said you were selling drugs and they are going to take the house away from me if you don’t move.” Blame it on the police even when it is another tenant, a neighbor or even your own observation that is leading to the eviction (from the August 2003 edition of the Wisconsin REALTOR® Update).
Landlords may, by good tenant screening procedures, minimize the potential for drug dealing tenants. See the WRA Residential Rental REALTOR® Resource page online at www.wra.org/Rental.

Mold

A water leak in a vacant property went unattended, resulting in extensive mold growth. One person entering the house thought there was a striking green/black carpet, which turned out to be the mold that has taken over the carpet. One agent who was asked to list the property told the sellers that she would not enter this property under any circumstances and put her health in jeopardy. The seller, Fannie Mae, has a Disclosure and Release form that must be signed before anyone can enter the property. The form says “Fannie Mae has been informed that as a result of a water leak, mold and/or other microscopic organisms may exist at the property and microscopic organisms and/or mold may cause physical injuries, including but not limited to allergic and/or respiratory reactions or other problems, particularly in persons with immune system problems, young children and/or elderly persons.” Is this enough to protect against liability? Can this property be safely listed and marketed? 

There is no established level of airborne mold that is accepted as unsafe for the general population. The property may be listed for sale, but it may be best for everyone’s protection to give a more detailed description of the problem and more information explaining any potential health risks. The listing broker may consider giving visitors the Fannie Mae release.

The listing contract provides at lines 111-112 that the seller is responsible for preparing the property to minimize the likelihood of injury, damage or loss of personal property. The seller may wish to confer with his attorney and a mold specialist to determine if any safety precautions need to be taken to allow for safe property showings.

REALTORS® may also review the mold resources in the May 2005 Legal Update, “Environmental Update 2005,” online at www.wra.org/LU0505 and the Wisconsin Department of Health & Family Services website at www.dhs.wisconsin.gov/mold/index.htm.

Dangerous dogs

A renter is in breach of lease but has not yet moved out. There are two large dogs in the home and the tenant is denying access to the listing broker for showings and will not control the dogs. The owner says, through his attorney, that the broker has to set up showings giving 12- hour’s notice. Who is responsible if the dogs attack a customer and/or the agent with them? 

Pursuant to the terms and conditions of the listing agreement, the seller has accepted the responsibility to prepare the property to minimize likelihood of injury, damage and/or loss of personal property.
The tenant, on the other hand, is required by law to make the property available for showings to prospective tenants or purchasers, at reasonable times, upon advance notice pursuant to Wis. Stat. § 704.05. Landlords must give notice of entry at least 12 hours in advance per Wis. Adm. Code § ATCP 134.09(2) unless there is a local ordinance requiring longer notice. The notice may be verbal or written, but it is prudent to give written notice and keep a copy of all entry notices for the file.
If the tenant will not contain his dogs and provide access, the seller’s attorney may need to address the situation. The broker should not undertake a showing which would put buyers at risk. If the tenant remains uncooperative, showings may need to be postponed to protect agents and consumers.

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