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Injured On Vacation? Our Wilmington Vacation Rental Lawyers Can Help!
A relaxing weekend or long summer vacation can turn tragic when injuries occur due to the negligence of a rental property owner or management company. In North Carolina, vacation property owners and rental management companies have a duty to keep their rental homes, condos, decks, and properties in a safe and habitable condition to avoid injury to their renters.
What are Vacation Rental Agreements (VRAs)?
A VRA is a written document signed by landlords, real estate brokers, and tenants for the purpose of renting a vacation property. The terms will contain the required payment(s) to be obtained from the tenant. Other details will include advance deposits to secure the rental and the tenant’s responsibilities for any damage caused. The VRA should contain details about fees for processing, cleaning, eviction details, and other obligations of the landlord, broker, or tenant. The contract is a binding agreement according to North Carolina law, regardless of the state of the tenant’s primary residence.
What Can Cause Injuries at Vacation Rental Properties?
Individuals and rental companies that provide vacation homes to rent must adhere to state building and maintenance codes. If they fail to do so, however determining fault and liability for injuries can be challenging. This is because of the disconnect and insurance differences between homeowners and rental management companies.
Homeowners are only in their rental homes a few times a year and place trust in their rental company, which means the two parties are rarely communicating about important inspections and maintenance, if at all. This lack of contact can result in injuries from:
- Deck collapses
- Improperly cleaned hot tubs
- Poorly maintained or poorly lit walkways and access paths
- Boat dock and pier collapses
- Saltwater air damage to building materials
Types of Vacation Rental Injuries
Common injuries on vacation rental properties can arise from the following:
- Slips and falls: Wet areas around pools, hot tubs, and bathrooms; uneven or broken flooring or poorly lit stairs; such issues frequently lead to slips, falls, and injuries like sprains, fractures, or head trauma.
- Bed bug bites: Bed bug bites from rental home mattresses or pillows often result in red, itchy welts and, in some cases, allergic reactions. Scratching these bites can lead to skin infections or scarring, particularly if bites are numerous.
- Hot tub injuries: Improperly maintained hot tubs can lead to infections such as hot tub rash (Pseudomonas folliculitis) or respiratory issues due to bacteria in the water.
- Burns: Many rentals feature fireplaces or outdoor fire pits, which can lead to burns from direct contact, sparks, or improper equipment.
- Electrocution: Faulty wiring, improperly maintained appliances, or outdoor water sources near electrical outlets may lead to electric shock injuries.
- Drowning or Near-Drowning Incidents: Pools, hot tubs, and nearby bodies of water are major attractions but can pose drowning risks, especially for children or intoxicated guests.
These risks highlight the importance of vacation rental owners conducting regular inspections, maintaining their property, and providing clear safety instructions to ensure the safety of guests.
What is The North Carolina Vacation Rental Act?
Thankfully, legislators have recognized the size and growth of the tourism industry within our state and taken note of how owners of private residences rent their properties for vacation and leisure purposes. As a result, the North Carolina Vacation Rental Act was implemented to regulate the responsibilities among landlords, brokers of real estate, and renters (tenants).
Vacation rental properties are rented for periods less than 90 days by individuals who have a place of residence that they will be returning to. This legislation does not apply to hotels, motels, camps, dwellings rented for traveling business or employment reasons, or rentals that will be the primary residence of the tenant.
Legal Responsibilities of Vacation Rental Owners
The North Carolina Vacation Rental Act, established to protect both tenants and landlords in vacation rental agreements, covers several key points:
- Written Agreement Requirement: All vacation rental agreements must be in writing and include rental dates, rates, payment schedules, and any fees or charges.
- Tenant Rights and Responsibilities: Tenants have the right to a habitable property, with essentials such as working appliances and clean, safe premises. They are also responsible for maintaining the property in good condition and reporting any issues promptly.
- Landlord Obligations: Landlords must ensure the rental is habitable, meets safety codes, and is clean and properly maintained. They must promptly address repairs or maintenance issues affecting the property’s habitability.
- Advance Payments and Security Deposits: Any advance payments must be held in a trust account until the rental period, and tenants are entitled to a refund if the property becomes uninhabitable before occupancy. Security deposits are also regulated under the Act, with procedures for accounting and returning funds.
- Mandatory Evacuation: In cases of mandatory evacuation (e.g., hurricanes), tenants must vacate, and refunds may be issued based on the landlord’s policy and the rental contract terms. It is important for all parties to read and understand the terms.
These provisions are designed to ensure a fair, safe, and clearly regulated experience for vacation rental owners and tenants in North Carolina.
Tenant Maintenance Responsibilities
Tenants are to keep areas of occupancy clean, safe, and sanitary, which includes fixing plumbing problems and disposing of garbage and waste properly.
Tenants must also avoid damaging, destroying, or disabling any parts of the property or its safety devices. They must notify the landlord of needed repair or maintenance concerns. Damages caused by the tenant beyond normal “wear and tear” may be paid for by the landlord using tenant funds from the advanced rental deposit.
The Duty of Care
Property owners owe a duty of care to those on their property, particularly when they rent their property to another. They are responsible for providing a safe, healthy environment free from dangerous hazards. For example, if a guest tripped and fell at your home, the injuries would likely be covered by your homeowner’s insurance. Unfortunately, most homeowner’s insurance doesn’t cover accidents that occur when a property is rented for commercial gain, as with Airbnb.
To solve this, Airbnb recently began offering secondary coverage of up to $1,000,000 to their hosts, which means they expect their hosts to rely on their homeowner’s insurance first. In other words, Airbnb’s insurance policy will only cover compensation above and beyond what the homeowner’s personal insurance covers.
For an injured person, this means one thing: recovering compensation after an accident at an Airbnb can be a complicated process best navigated with the help of a practiced, knowledgeable premises liability attorney who will vigorously protect your right to full and fair compensation.
North Carolina Premises Liability Law
Premises liability law involves the duty or obligation of owners to keep their property reasonably safe for lawful visitors. Lawful visitors are those legally on the property – not trespassers. If there are possibly dangerous conditions, owners must inform visitors, as failing to do so creates potential liability for injuries. Financial compensation for the injured may include medical expenses, lost wages, lost future earnings, disfigurement, and emotional distress. In the event that the owner is determined to have willfully, maliciously, or fraudulently caused the injury, punitive damages may be added to punish the owner and serve as a deterrent. The owner’s insurance company is likely the entity that actually pays for the damages. Ways to prove premises liability include showing that:
- The claimant sustained an injury due to a defect or condition on property under the defendant’s ownership or control
- An injury was caused by a failure of the defendant(s) to maintain reasonably safe conditions or to warn of dangers.
How to Prove Negligence in Vacation Rental Claims
Follow these steps carefully to collect evidence to prove negligence in a North Carolina vacation home rental. The goal is to gather comprehensive documentation of the unsafe conditions, the injury, and how the property owner’s negligence directly contributed to it.
Take Photographs and Videos of the Hazardous Condition
Capture detailed images and videos of the dangerous condition that caused the injury, such as broken steps, wet floors, loose handrails, or missing safety signs. Use your smartphone or camera to take photos from various angles, showing the extent of the hazard and its location on the property. Take wide shots for context and close-ups to highlight the specific issue.
Gather Witness Statements
Obtain firsthand accounts from anyone who saw the incident or noticed the unsafe condition before the injury. Encourage witnesses to describe any interactions with the property owner, especially if they had previously reported the hazard. These details strengthen the claim that the owner was aware of the issue.
Report the Incident to the Property Owner or Manager
Officially notify the property owner or rental management about the injury and hazardous condition. This step is essential for establishing a record of communication. If possible, report the incident promptly, in writing (via email or text). Include specifics about where and how the injury occurred, attach any relevant photos if possible, and keep a copy of all communications as part of your evidence file.
Collect Medical Reports and Document Injuries
Seek medical attention immediately after the incident. Ask for copies of all medical records, including diagnoses, treatment plans, and any prescribed medications or therapies. Document visible injuries (such as bruises or cuts) with photos taken over time to show healing progress or worsening symptoms.
Document Financial Losses
Track all expenses and losses related to the injury to support your claim for compensation. Record lost income if the injury prevented you from working, and keep receipts for any other expenses incurred as a result, such as travel costs for medical appointments, physical therapy, or property repairs.
Insurance Policies for Vacation Rental Owners
Vacation rental owners typically need multiple types of insurance coverage to protect themselves from potential liability arising from guest injuries. For example, Commercial General Liability Insurance (CGL) provides coverage for bodily injury or property damage claims arising from general operations on the property.
In addition, Commercial Property Insurance covers physical damage to the property itself. By protecting the property’s physical assets, this insurance reduces financial losses from accidents or natural events that damage the property, allowing owners to repair and maintain a safe environment for guests.
Premises Liability Insurance focuses on injuries that occur directly on the property due to unsafe conditions (e.g., broken stairs or faulty wiring). It overlaps with aspects of CGL but focuses on incidents related to property hazards. This policy directly supports defense against personal injury claims, often covering medical and legal expenses, thereby limiting the owner’s out-of-pocket liability for a guest injury.
Common Defenses and How to Counter Them
In North Carolina, property owners and their insurance companies often employ several common defenses in personal injury claims involving vacation rentals. These defenses aim to reduce liability or shift responsibility to the injured party. Here are two of the most common typical defenses and the strategies injured guests and their attorneys can use to counter them effectively.
Assumption of Risk
Defense: Property owners may argue that the guest voluntarily assumed the risk by engaging in certain activities, particularly if the injury occurred while using high-risk amenities like pools, hot tubs, or fire pits. If warnings or instructions were provided for safe use, the owner might claim the guest knowingly accepted the associated risks.
Counter Strategy: To counter this defense, the guest can argue that the property owner failed to provide adequate warnings or that the condition was not as safe as the owner represented. Photographs, witness statements, and expert testimony about the hazard can be valuable here. Additionally, if the guest can show that the hazard was preventable through maintenance or repair, they may argue that the owner’s negligence voids the assumption of risk defense.
Comparative Negligence
Defense: North Carolina follows a contributory negligence rule, meaning if the injured guest is found even slightly at fault (1% or more), they may be barred from recovering damages. Property owners may use this rule to argue that the guest acted carelessly, didn’t follow posted safety instructions, or failed to use caution in an obvious hazard.
Counter Strategy: The guest can counter this by demonstrating that the owner failed to meet their duty of care, such as neglecting repairs or not posting adequate warnings. Documenting the unsafe conditions and showing that the guest acted reasonably can help refute claims of contributory negligence. It may also help to demonstrate that the hazardous condition was not obvious and that the guest could not have reasonably avoided it.
Special Considerations for Airbnb and VRBO Injury Claims
Airbnb and VRBO offer liability insurance policies for North Carolina vacation rentals to cover specific guest injuries. However, these policies often do not provide full protection if the homeowner’s existing insurance doesn’t align with vacation rental activities. Here’s how these policies work together and where gaps may arise:
Platform-Provided Liability Coverage
- Airbnb: Through its “AirCover,” Airbnb offers hosts liability coverage for third-party bodily injury claims designed to cover guest injuries occurring on the property. This is a secondary policy, meaning it activates after the homeowner’s primary insurance responds (if applicable) or if it is not in effect.
- VRBO: VRBO also provides liability coverage up to $1 million for injuries. However, like Airbnb, it applies only to bookings made through the platform, not direct or off-platform bookings. VRBO endorses Proper Insurance for more comprehensive policies that
Navigating the Claims Process
Here is a detailed guide on the process of filing a claim for vacation rental injuries:
- Initial Consultation: Your attorney will review all the information about your case and let you know whether you have a valid claim.
- Investigation and Documentation: If the attorney takes the case, they’ll conduct a thorough investigation. This could involve reviewing your medical records and requesting building inspection and maintenance records.
- Filing a Claim: Your attorney will prepare a formal claim against the insurance company or property owner. The document will outline your injuries, evidence of negligence, and the compensation you seek.
- Negotiation and Settlement Discussions: The insurance company or property owner may negotiate privately and settle out of court.
- Mediation or Arbitration: These options may work if the other parties don’t cooperate or offer fair compensation. They are less formal than court proceedings and often faster and less expensive. Both parties and their representatives will attempt to reach an agreement with the help of a neutral third party.
- Filing a Lawsuit: Should negotiations fail, filing a formal lawsuit may become necessary.
- Pre-Trial Preparation and Discovery: Before a court trial, there is a discovery phase where both parties exchange information relevant to the case. This could involve depositions, interrogatories, or requests for documents.
- Trial: If the case goes to trial, both sides will present their arguments, evidence, and witnesses. The jury or judge will consider all presented material to determine the outcome. If successful, your verdict may include compensation.
Injured at an Airbnb? We Can Help.
Airbnb revolutionized the vacation rental industry when it launched in 2008 and provided an easy platform for homeowners to rent their partial or entire properties for short-term stays. While most stays are comfortable, safe, and successful, what happens when you have an accident and suffer severe injury? The answers can be complicated due to the various insurance policies and rules that exist.
VRBO Injury Lawsuits
VRBO is another home-sharing platform that allows owners to rent their homes for short or long stays while they are away. While VRBO is similar to Airbnb, it supports full-home rentals exclusively and offers far few listings.
VRBO offers complimentary $1,000,000 primary insurance to homeowners, which means recovering compensation for an injury sustained while you are renting a home on VRBO can be a more straightforward process.
Our Promise to You
Injured in a North Carolina Vacation Home? Contact Rhine Law Firm, P.C.
We offer free initial consultations with experienced rental property accidents lawyers. Appointments are available online and by phone and we have evening and weekend availability. We also offer Spanish interpretation and translation services to our non-English-speaking clients.
We are proud to serve the people of North Carolina.
Although our primary office location is in Wilmington, North Carolina we represent clients nationally and across the state of North Carolina. Some of the many areas we serve are listed below.
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