There is no statute in Mi**** that requires disclosure that a felon is working on the premises. There are laws on the books that require background checks and which preclude felons from being man*** of apartments. Take a look at this link on page 59 for this information: https://www.house.leg.state.mn.us/hrd/pubs/bkgdchck.pdf
As to liability outside of the statute, there is no foolproof way to prevent suit...even frivolous suits occur all of the time and are costly to defend. That said, there is liability associated with employing a felon. So, you are left with two options:
(1) Don't employ them at all; or
(2) If you employ them, make sure that you have documented your background searches, received letters of reference from reputable individuals as to the character of the person, etc. Make sure you can show due diligence in an effort to "predict" the likelihood of trouble from the felon is not that great.
If you are asking me what I would rec***d, unfortunately, it would be to not employ the felon. This is the only measure to e*** the threat of litigation based on the employment of a felon. A step down would be to inform the tenants, but I feel as though they will immediately call for their termination - so you circle back around to the original problem.
In conclusion, you are no mandated to disclose this and you can employ a felon in this circumstance. That said, it can result in liability if you are sued based on the record of the person.
Let me know if you have any other questions or comments, and please rate my answer positively (three or more stars).
Best wishes going forward!