Professional Ethics and Communication
Fiduciary duties in practice
Managers act as agents of the owner and stewards of resident relationships. Core duties: loyalty (act in the owner's interest, disclose conflicts), care (competence and diligence), obedience (follow lawful instructions within authority), accounting (accurate handling of funds), and disclosure (report material facts). Ethics extends beyond legality: avoiding self-dealing, kickbacks, and undisclosed vendor relationships.
Confidentiality and boundaries
Protect owner financial data and resident personal information. Share information only on a need-to-know basis and as required by law. Avoid informal promises outside the lease or management agreement.
Communication standards
Be accurate, timely, and documented. Written communication should state the facts, the action, and the next step. When delivering bad news - a rent increase, a denial, a delay - be clear, neutral, and consistent with policy.
Traps to watch for
- Accepting a vendor gift or referral fee without disclosure.
- Sharing resident information with neighbors or unauthorized parties.
- Making side agreements that contradict the lease.
- Choosing the owner's interest over legal compliance - legality always prevails.
Rule of thumb
If you would not want the decision read aloud in a hearing or to the owner, do not make it. When interests conflict, disclose first and let the parties decide.
Worked example
A vendor offers a manager a personal gift card for steering work. Accepting it creates an undisclosed conflict and a loyalty breach. The correct response is to decline, document the offer, and disclose it to the owner per policy.