Yes No Share to Facebook
Fines Against Landlord Arising From Bad Faith Eviction of Tenants for Failing to Provide Right to Return Following Renovations
Can a Landlord Be Fined For a Renoviction?
A Landlord May Receive a Fine For Failing to Offer a Tenant the Right to Return Following Renovations. If Multiple Tenants Are Involved the Fine May Be Applied In Multiples to a Maximum of $35,000 Per Affected Tenant.
Understanding The Risk of Fines For Unlawful Renoviction When a Landlord Fails to Offer a Right to Return to a Tenant
When a tenant is asked to vacate to enable the landlord to perform renovations to the rental unit, the tenant must be provided with an offer to reserve the right to return to the rental unit when renovation work is complete. The tenant must have a right to return at a rent rate that is the same or that is allowable per the Residential Tenancies Act, 2006, S.O. 2006, Chapter 17 which states:
Tenant’s Right of First Refusal, repair or renovation
53 (1) A tenant who receives notice of termination of a tenancy for the purpose of repairs or renovations may, in accordance with this section, have a right of first refusal to occupy the rental unit as a tenant when the repairs or renovations are completed.
Written Notice
(2) A tenant who wishes to have a right of first refusal shall give the landlord notice in writing before vacating the rental unit.
Rent to be Charged
(3) A tenant who exercises a right of first refusal may reoccupy the rental unit at a rent that is no more than what the landlord could have lawfully charged if there had been no interruption in the tenant’s tenancy.
Change of Address
(4) It is a condition of the tenant’s right of first refusal that the tenant inform the landlord in writing of any change of address.
How Much Is the Potential Fine For a Renoviction?
Per section 57(3)3 of the Residential Tenancies Act, 2006, the Landlord Tenant Board may issue an Order that a landlord pay a fine up to the limit of the Small Claims Court (which is $35,000.00 effective January 1 2020). Furthermore, where a landlord engages in a multiplicity of violations of the Residential Tenancies Act, 2006, the fine may be applied for each violation. In the case of A.B., et al (Tenants) v. 795 College Inc. (Landlord), TST-90503-17 (Re), 2019 CanLII 87012 (ON LTB) three such violations were found and an Order of a $25,000 fine for each occurrence was issued whereas it was said:
77. In light of the above, I find that the appropriate fines in this case would be $45,000.00 per rental unit. Since those amounts exceed the maximum, fines of $25,000.00 will be awarded in respect of each unit, for a total of $75,000.00 in fines.
Summary Comment
A landlord should avoid conduct that may be determined as a renoviction by providing a clear and concise notice to a tenant, or tenants, consisting of an offer to return to the rental unit when renovation work is complete. If a landlord fails to provide such an offer, and found as done so with a bad faith illicit motive contrary to the Residential Tenancies Act, 2006, significant fines may be imposed by the Landlord Tenant Board.
NOTE: A considerable quantity of inquiries featuring “lawyers near me” or “best lawyer in” frequently indicate a desire for prompt, competent legal representation rather than a particular professional designation. In Ontario, licensed paralegals are governed by the same Law Society that regulates lawyers and possess the authority to represent clients in specified litigation matters. Advocacy, legal analysis, and procedural expertise are fundamental to that role. Defend-it Legal Services provides legal representation within its licensed framework, focusing on strategic positioning, evidentiary preparation, and persuasive advocacy aimed at securing efficient and favourable outcomes for clients.
