Back Rent Payment OverdueThe Perils of a Landlord With Unpaid Rent

As a Landlord of one unit or fifty units, the perils of the profession are the same; how to select the best and most dependable tenants for your rental premises.  While you can ask for references, credit reports, and employment information, it me be irrelevant insofar as what may appear as the perfect tenant may at any time stop paying the agreed rent.  It is at these times that most Landlords face the decision of proceeding to the Landlord Tenant Board to either collect the delinquent rent and/or terminate the tenancy or trust in the assurances of the tenant that the rent will be paid up shortly.

As a Landlord when rent is in arrears we would suggest that there are two issues that you must consider.  The first is that if you let the arrears accumulate you must face the fact that if your tenant cannot pay one month’s rent it is unlikely he or she will be unable to catch up two, three or four months rent arrears.  The second issue is that in order to proceed quickly and efficiently before the Landlord Tenant Board it is imperative that the forms you submit conform directly to the standards and requirements of the Board at the risk of being dismissed thereby forcing you to start again and incurring further months of unpaid rent pending the Hearing of your application.  This position is illustrated by the case of CC (Landlord) v. JA (Tenant), SWL-00749-17 (Re)2017 CanLII 39479 (ON LTB) which states:

The Landlord intended to seek an order for arrears and termination of the tenancy (and ‘L1’ application).  However, the Landlord provided insufficient notice to the Tenant.  The Notice to End a Tenancy Early for Non-payment of Rent (N4) was served on the Tenant February 28, 2017 and ought to have provided a termination date at least fourteen (14) days later.  The N4 notice, however, included a termination date of March 8, 2017.  As insufficient notice was provided to the Tenant, the Board is not able to consider termination of the tenancy.  The Landlord was given the option to withdraw the application for termination of the tenancy on the basis of outstanding arrears.  However, the Landlord chose to proceed with the application and requested and Order for the arrears only.  Therefore, the only part of the application that proceeded was the claim for rent arrears.  The order will be limited to rent arrears and costs only, not eviction.  Pursuant to s.  87(2), I also proceeded to hear the issues raised by the Tenant.

Thus, as illustrated by the case outlined above, any action for termination of a tenancy for non-payment of rent is subject to strict rules in respect to the calculation of rent, the service of Notices, the dates of termination, and the calculation of alleged arrears, and if there is an inconsistency or error in such calculations the matter will be dismissed forcing a Landlord, regardless of how prejudicial, to start the process again.

So, if find yourself in this type of stressful situation feel welcome to make contact and your specific circumstances can be reviewed with the hope of helping to resolve, or avoid, further problems with same.

For more information, fill out the form below to send a direct inquiry to Shemesh Paralegal Services.

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