Certified Apartment Portfolio Supervisor (CAPS) Practice Exam - Module 1

Disable ads (and more) with a membership for a one time $2.99 payment

Prepare for the Certified Apartment Portfolio Supervisor Exam with flashcards and multiple choice questions. Each question provides detailed explanations and hints to enhance your learning. Excel in your exam endeavor!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

Who is NOT obligated to pay legal fees incurred due to management company misconduct?

The management company
The owner
The tenants
The local government

The correct answer is: The owner

The owner is not obligated to pay legal fees incurred due to management company misconduct because the responsibility for any legal fees typically falls on the management company. In scenarios of misconduct, it is generally understood that the management company holds accountability for its actions and decisions. This delineation of responsibility is crucial in maintaining a clear understanding of liabilities and ensuring that owners are not unjustly burdened by the actions of their appointed management. In contrast, the management company is indeed responsible for its own misconduct and would bear the legal costs associated with it. Tenants usually do not incur liability for such fees unless they are part of a specific agreement that states otherwise. The local government may also have regulations and oversight involved but is not responsible for legal fees that arise from a management company’s misconduct. Thus, the situation underscores the principle that the management company is responsible for its own legal issues, protecting owners and tenants from additional financial liabilities.