Air BnB (LTB)

TSL-01536-18 (Re), 2019 CanLII 87095 (ON LTB)

11. With respect to the First N6 Notice, it alleges the Tenants or another occupant of the rental unit have committed an illegal act or have carried out, or permitted someone to carry out an illegal trade, business or occupation in the rental unit or the residential complex, details of which are:

September 18, 2018 – Tenant has been renting out a room and a bed on Airbnb, which is not currently permitted under the City of Toronto’s Zoning Bylaws. On September 18, 2018 an Airbnb guest was intentionally locked out without her luggage. The guest complained to the second floor tenant who contacted the property manager. The police were called as a result of the incident. The property manager advised the tenant she was not permitted to sublet on Airbnb or other short-term rental websites.

September 21- October 3, 2018 – The tenant continued to rent out the property on Airbnb. On September 21, 2018, the landlord’s lawyer, Tannis Waugh, wrote to the tenant enclosing a N5 Notice to End Tenancy Early along with a letter advising that short-term rentals were not permitted. On October 3, 2018, Ms. Waugh sent a further N5 to the tenant as the unit was still listed as available for short-term rentals on the Airbnb website.

November 5, 2018 – The Airbnb website continues to show that the premises are available for short-term rentals on Airbnb contrary to the landlord’s request as relayed by the property manager, the landlord’s lawyer and in contravention of the City of Toronto’s current Zoning Bylaws.

12. The Landlord also indicated that because of these illegal activities by the Tenants, her insurance carrier would not respond to any third party claims arising out of the operations of the Airbnb, including any property damage as a result of that operation and, indeed, as of November 14, 2018 no longer remain on the risk.

13. The Landlord presented a statement posted on the City of Toronto website that was accessed on December 14, 2018 in which the heading states: “Currently, short-term rentals are not permitted in Toronto”. In the body of the notice it is explained that the City’s amendments to the zoning bylaw to permit short-term rentals under regulated conditions are not in effect because they have been appealed to the Local Planning Appeal Tribunal which is scheduled to hear the appeal in August 2019. Without the relevant zoning bylaw excluding short-term rentals, I am not satisfied the Tenants’ activity as complained about in the First N6 Notice is illegal as contravening the City of Toronto zoning bylaw applicable to the rental unit.

It is ordered that:

1. The application is dismissed.