The American Avenue Property Management lawsuit drawing the most attention is a federal Fair Labor Standards Act case filed by former employees in California in June 2025; separately, the single-family rental manager has accumulated hundreds of tenant complaints with the Better Business Bureau alleging billing errors, improperly withheld deposits, and slow repairs. No consumer class action against the company is confirmed in public records, though one tenant complaint has referenced one.
The Kennedy FLSA Case in Federal Court
On June 6, 2025, Christopher Kennedy and Claire Gardulski sued American Avenue Property Management LLC, SFR3 Operator LLC, and SFR3 Properties LLC in the U.S. District Court for the Northern District of California. The case, Kennedy et al. v. American Avenue Property Management LLC et al., Case No. 4:25-cv-04825, brings claims under the Fair Labor Standards Act and is assigned to Judge Jon S. Tigar.1PACER Monitor. Kennedy et al v. American Avenue Property Management LLC et al
The plaintiffs are represented by Rhonda Kaye Hunter Wills of the Wills Law Firm PLLC. American Avenue and the SFR3 entities are represented by Vasquez Benisek & Lindgren LLP.1PACER Monitor. Kennedy et al v. American Avenue Property Management LLC et al
The specific factual allegations behind the FLSA claims are not detailed in the available docket records, so it is not clear from those records whether the case centers on unpaid overtime, misclassification, off-the-clock work, or some combination.
Case Status and Schedule
On September 9, 2025, Judge Tigar granted a stipulated order for conditional certification of the FLSA claims, which allows notice to be sent to potential opt-in plaintiffs. The court has also referred the case to private alternative dispute resolution, with mediation due by February 26, 2027.1PACER Monitor. Kennedy et al v. American Avenue Property Management LLC et al
The case is in discovery. Expert disclosures are due June 15, 2026, with rebuttals due July 15, 2026, and fact and expert discovery closing October 15, 2026. Any motion for decertification will be heard January 7, 2027. Jury selection and trial are scheduled for June 14, 2027, with a 12-day trial estimate.1PACER Monitor. Kennedy et al v. American Avenue Property Management LLC et al
Tenant Complaints Filed with the BBB
American Avenue holds an F rating from the Better Business Bureau and is not BBB accredited. As of mid-2026, tenants had filed 305 complaints against the company over the prior three years, and customer reviews averaged 1.14 out of 5 stars across 282 reviews.2BBB. American Avenue Property Management BBB Business Profile3BBB. American Avenue Property Management Customer Reviews
Service or repair issues account for the largest category at 171 complaints, followed by 32 product issues, 30 billing issues, 27 sales and advertising issues, 24 order issues, and 21 customer service issues. Of the 305 complaints, 236 were answered, 30 resolved, 29 unanswered, and 10 unresolved.4BBB. American Avenue Property Management BBB Complaints
Billing and Fee Disputes
Tenants frequently report unexplained or fluctuating utility charges billed through a third-party service called Conservice, including alleged double billing and charges that continued after move-out.4BBB. American Avenue Property Management BBB Complaints Others describe maintenance fees for unsuccessful repair visits, month-to-month fees applied during active lease terms, and a “Resident Protection Plus” plan allegedly added without consent.5BBB. American Avenue Property Management BBB Complaints
Security Deposits and Move-Out Charges
Tenants have alleged being billed for normal wear and tear at move-out. One complaint described a $1,725 move-out invoice covering painting and window replacement after a three-year lease, including charges against a “security deposit alternative” plus an additional balance.5BBB. American Avenue Property Management BBB Complaints Another tenant sought return of $935.10 in move-in fees, covering first month’s rent, resident protection, and a deposit-platform processing fee, after pest problems allegedly prevented them from occupying the property.4BBB. American Avenue Property Management BBB Complaints
Maintenance Delays and Habitability
Repair failures are the single largest category. Tenants report long waits for fixes to heating, plumbing, and sewage, with some citing indoor temperatures in the mid-50s during furnace malfunctions. Multiple tenants say they moved into properties that were not habitable, describing pest infestations, water damage, and other pre-existing problems.4BBB. American Avenue Property Management BBB Complaints3BBB. American Avenue Property Management Customer Reviews
Communication Problems
Tenants consistently describe difficulty reaching the company by phone, saying it relies on email and automated systems. Several report unresolved disputes despite repeated contact attempts, including certified mail.4BBB. American Avenue Property Management BBB Complaints
How the Company Has Responded
In its BBB responses, American Avenue generally directs tenants to submit disputes through its internal formal process. The company cites work orders, pre-move-in walkthrough records, and photographic documentation, and it states that fee, early-termination, and security-deposit policies are governed by signed lease agreements.3BBB. American Avenue Property Management Customer Reviews
In some cases the company has waived charges after BBB involvement, including $122.69 in post-vacancy utility charges in one dispute and roughly $800 in damage charges in another. A $140 maintenance charge was reversed after a tenant challenged it through the BBB, and the company acknowledged a billing error on a month-to-month fee and credited that account.4BBB. American Avenue Property Management BBB Complaints
A February 2026 BBB complaint referenced an alleged class action against the company for “misleading practices.” The available records do not confirm that such a suit exists or its status beyond that tenant’s reference.4BBB. American Avenue Property Management BBB Complaints
Who American Avenue Is
American Avenue Property Management LLC was incorporated on February 9, 2021, and is registered at 228 Park Ave S, PMB 73833, New York, NY 10003. Its parent is SFR3, which acquires and renovates what it describes as “dilapidated homes” for rental. SFR3 handles acquisition and renovation; American Avenue manages the finished rental units. The BBB profile lists SFR3 LLC as an alternate business name for American Avenue and links to both americanave.com and sfr3.com. Reily Haag is listed as Operations Director.2BBB. American Avenue Property Management BBB Business Profile6American Ave. Our Approach The company’s rental listings span more than 40 markets across the Midwest, Southeast, and Mid-Atlantic, including Indianapolis, Columbus, St. Louis, Louisville, Detroit, Kansas City, and Philadelphia.7American Ave. American Avenue Home Page