A real estate software firm that helps tenants monitor rent payments says that it accidentally paid $15,000 in rent for 16 consecutive months after leaving its Centennial office.
California-based Yardi Systems Inc. claims it has asked for its $240,000 back but been ignored. So, it is suing its former landlord, Hoehn Management Group, for $750,000.
“I find it ironic that Yardi is a software development company for real estate property management yet claims that it somehow unwittingly and unknowingly overpaid rent,” says Michael Connolly of the Connolly Law Firm, an attorney for Hoehn Management.
Yardi says it leased space at Highland Place I, 8085 S. Chester St. in Centennial, for 11 years between September 2013 and September 2024. Hoehn bought the building in 2022.
It was an amicable tenant-landlord relationship, according to Yardi. When the firm needed a short lease extension, Hoehn provided it. When it needed space to store some furniture, that was provided too. Hoehn even agreed to buy $10,000 worth of Yardi’s furnishings.
“Congratulations on the finality of your move,” Jonathan Hoehn, owner of Hoehn Management, reportedly emailed Yardi, saying he was sad to see such a good tenant leave.
After moving out in September 2023, Yardi rightly did not send a rent payment for October.
“While Yardi correctly did not send payment in October 2023, it, due to inadvertence, sent payments to Hoehn each month from November 2023 to February 2025 in the amount of $14,996 per month by check,” according to its lawsuit. “Each inadvertent payment was endorsed by Hoehn, deposited into its account, and subsequently cleared.”
“Neither Mr. Hoehn nor any authorized representative of (Hoehn Management) ever contacted Yardi about the inadvertent payments because the defendants knew Yardi was inadvertently sending payments the defendants did not have a legal basis to retain,” it alleges.
Yardi noticed its mistake in March of this year and demanded a refund of its $239,930, plus the $10,000 for furniture that Hoehn never sent. Hoehn has not paid, the lawsuit says.
“We vehemently disagree with the allegations and will be responding with a strong defense, in addition to a counterclaim for additional damages owed,” according to Connolly.
Yardi is suing for breach of contract and civil theft and seeking $750,000 plus interest. Its lawyers are John Hawk IV, Tyler Owen and David Berkley at Womble Bond Dickinson.
In addition to owning Highland Place I, Hoehn is poised to purchase the neighboring and distressed Highland Place II in July for $7.1 million, 70% less than it paid for Highland Place I.
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