5 Liability Issues That Should Be Addressed Immediately

Published: June 2025
By Military Mutual

When it comes to owning or managing property, liability risks are everywhere—and ignoring them can cost you dearly. From lawsuits and insurance claims to safety hazards and code violations, these issues demand your immediate attention.

Here are the top 5 liability issues every property owner or manager should resolve without delay:

1. 🪜 Slip-and-Fall Hazards

Why it matters:
Slip-and-fall incidents are among the most common (and costly) liability claims in real estate.

Examples:

• Uneven sidewalks or loose pavers

• Wet floors with no signage

• Poor lighting in hallways or stairwells

What to do:

• Inspect walkways regularly

• Fix uneven surfaces and install non-slip mats

• Ensure proper lighting in all common areas

💡 Tip: Document all repairs to show proactive maintenance.

2. 🔥 Faulty Smoke Detectors & Fire Safety Violations

Why it matters:
Failing to maintain working smoke alarms or fire extinguishers can lead to tragedy—and lawsuits.

What to check:

• Missing or dead batteries in smoke/CO detectors

• Blocked fire exits or non-functioning alarms

• Expired or missing fire extinguishers

What to do:

• Test all safety devices monthly

• Replace old detectors (especially if >10 years old)

• Comply with local fire codes and inspection requirements

🔥 Fire safety is not optional—it’s a legal requirement.

3. ⚡ Electrical and Wiring Issues

Why it matters:
Outdated or faulty wiring poses a risk of electrical fires and injuries.

Red flags include:

• Flickering lights

• Frequent circuit trips

• Overloaded outlets or exposed wiring

What to do:

• Hire a licensed electrician to inspect and update the system

• Ensure all outlets near water sources are GFCI protected

• Never DIY electrical repairs

🛠️ Modernizing your electrical system can reduce insurance premiums too.

4. 🏚️ Structural Damage or Deferred Maintenance

Why it matters:
Roof leaks, cracked foundations, and rotting decks not only lower property value—they expose you to injury and negligence claims.

What to look for:

• Water stains or sagging ceilings

• Loose handrails or unstable stairs

• Peeling paint in older buildings (lead hazard)

What to do:

• Conduct seasonal inspections

• Repair visible damage quickly

• Keep a maintenance log for proof of action

📋 Deferred maintenance can void insurance coverage in some cases.

5. 📄 Incomplete or Outdated Lease Agreements

Why it matters:
If your lease doesn’t include clear clauses around safety, responsibilities, or legal protections, you’re exposed to risk.

Common issues:

• No liability waivers

• Vague maintenance responsibilities

• Missing disclosures (e.g., mold, lead paint)

What to do:

• Update all lease templates with legal counsel

• Include clauses for tenant responsibilities and dispute resolution

• Ensure tenants receive required disclosures

🖊️ A solid lease is your first line of defense against legal disputes.

✅ Final Thoughts: Don’t Wait for a Lawsuit

Liability issues don’t go away—they get more expensive the longer they’re ignored. Being proactive not only protects your finances but also builds trust with tenants, clients, or employees.