In what situation might a property manager need to go through small claims court?

A property manager might need to go through small claims court primarily in cases involving unresolved disputes with tenants. Such disputes could include issues related to unpaid rent, security deposit disagreements, or damage claims, among other matters. Small claims court provides a legal forum for resolving these situations in a more streamlined and less formal environment than standard court proceedings, often allowing for quicker resolutions at a lower cost.

The other choices presented do not typically involve legal disputes that would necessitate court intervention. Deciding on new property colors, changing the property manager, or extending the rental term are all management decisions or operational changes that do not inherently involve legal claims or contested issues that would require a court to resolve. These processes are usually handled administratively and do not reach the level of litigation.