Refusal to Assign or Sublet Tenancy (LTB): Difference between revisions

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1. KW indicated that she signed the lease as a guarantor. The rental unit was occupied by her son, M. W. (MW). The lease was for the period of April 1, 2016 to March 31, 2017 at an amount of $1,000 per month. The rental unit is a basement suite in a house, of which the main portion is occupied by the Landlord and his family. The Tenants paid a last month’s rent deposit and provided the Landlord with postdated monthly rent cheques for every month up to and including February 2017.
1. KW indicated that she signed the lease as a guarantor. The rental unit was occupied by her son, M. W. (MW). The lease was for the period of April 1, 2016 to March 31, 2017 at an amount of $1,000 per month. The rental unit is a basement suite in a house, of which the main portion is occupied by the Landlord and his family. The Tenants paid a last month’s rent deposit and provided the Landlord with postdated monthly rent cheques for every month up to and including February 2017.
15. The Tenants were entitled by section 95 of the Act to assign their lease to another tenant with the approval of the Landlord. The Landlord had the right to refuse the assignment to a potential assignee. However, s.95(5) of the Act states that “[a] landlord shall not arbitrarily or unreasonably refuse consent to an assignment of a rental unit to a potential assignee”.
16. From the uncontroverted evidence presented at the hearing, it appears that the Landlord did act unreasonably in systematically refusing consent to every proposed assignment that was presented to him. Since the Landlord already had post-dated rent cheque payments in hand, he obviously saw little incentive to cooperate with the process of finding a new tenant.
17. The Tenants appeared to have been unaware of their right under s. 95(4) of the Act to terminate the tenancy on 30 days’ notice whenever the Landlord refused to accept a proposed assignee. Be that as it may, I conclude that the Landlord failed to comply with s. 95(5) of the Act and that the facts establish that he would have been unlikely to accept any assignee that was presented by the Tenants.
18. It also appears that the Landlord unlawfully locked out the Tenants at the beginning of December 2016 which is unlikely to be unrelated to the fact that he was unable to cash the Tenants’ cheque payment for December’s rent.
19. The Tenants have requested that the Board terminate the tenancy as of October 2, 2016, which is the date that MW moved out of the rental unit. They also have requested that the Board order that the Landlord reimburse to the Tenants the monthly rent payments for October and November 2016 as well as the cost of $37.50 to put stop payments on the remaining rent cheque payments as well as return the last month’s rent deposit. I find that this is a reasonable request under the circumstances

Revision as of 01:51, 27 May 2020


Residential Tenancies Act, 2006, S.O. 2006, c. 17

95 (4) A tenant may give the landlord a notice of termination under section 96 within 30 days after the date a request is made if,

(a) the tenant asks the landlord to consent to an assignment of the rental unit and the landlord refuses consent;
(b) the tenant asks the landlord to consent to an assignment of the rental unit and the landlord does not respond within seven days after the request is made;
(c) the tenant asks the landlord to consent to an assignment of the rental unit to a potential assignee and the landlord refuses consent to the assignment under clause (3) (c); or
(d) the tenant asks the landlord to consent to an assignment of the rental unit to a potential assignee and the landlord does not respond within seven days after the request is made. 2006, c. 17, s. 95 (4).

96 (1) A tenant may give notice of termination of a tenancy if the circumstances set out in subsection 95 (4) apply.

98 (1) A tenant or former tenant of a rental unit may apply to the Board for an order determining that the landlord has arbitrarily or unreasonably withheld consent to the assignment or sublet of a rental unit to a potential assignee or subtenant.

(2) No application may be made under subsection (1) more than one year after the day the alleged conduct giving rise to the application occurred. 2006, c. 17, s. 98 (2).
(3) If the Board determines that a landlord has unlawfully withheld consent to an assignment or sublet in an application under subsection (1), the Board may do one or more of the following:
1. Order that the assignment or sublet is authorized.
2. Where appropriate, by order authorize another assignment or sublet proposed by the tenant.
3. Order that the tenancy be terminated.
4. Order an abatement of the tenant’s or former tenant’s rent. 2006, c. 17, s. 98 (3).
(4) The Board may establish terms and conditions of the assignment or sublet. 2006, c. 17, s. 98 (4).
(5) If an order is made under paragraph 1 or 2 of subsection (3), the assignment or sublet shall have the same legal effect as if the landlord had consented to it. 2006, c. 17, s. 98 (5).

EAT-61174-16 (Re), 2017 CanLII 49011 (ON LTB)

1. KW indicated that she signed the lease as a guarantor. The rental unit was occupied by her son, M. W. (MW). The lease was for the period of April 1, 2016 to March 31, 2017 at an amount of $1,000 per month. The rental unit is a basement suite in a house, of which the main portion is occupied by the Landlord and his family. The Tenants paid a last month’s rent deposit and provided the Landlord with postdated monthly rent cheques for every month up to and including February 2017.

15. The Tenants were entitled by section 95 of the Act to assign their lease to another tenant with the approval of the Landlord. The Landlord had the right to refuse the assignment to a potential assignee. However, s.95(5) of the Act states that “[a] landlord shall not arbitrarily or unreasonably refuse consent to an assignment of a rental unit to a potential assignee”.

16. From the uncontroverted evidence presented at the hearing, it appears that the Landlord did act unreasonably in systematically refusing consent to every proposed assignment that was presented to him. Since the Landlord already had post-dated rent cheque payments in hand, he obviously saw little incentive to cooperate with the process of finding a new tenant.

17. The Tenants appeared to have been unaware of their right under s. 95(4) of the Act to terminate the tenancy on 30 days’ notice whenever the Landlord refused to accept a proposed assignee. Be that as it may, I conclude that the Landlord failed to comply with s. 95(5) of the Act and that the facts establish that he would have been unlikely to accept any assignee that was presented by the Tenants.

18. It also appears that the Landlord unlawfully locked out the Tenants at the beginning of December 2016 which is unlikely to be unrelated to the fact that he was unable to cash the Tenants’ cheque payment for December’s rent.

19. The Tenants have requested that the Board terminate the tenancy as of October 2, 2016, which is the date that MW moved out of the rental unit. They also have requested that the Board order that the Landlord reimburse to the Tenants the monthly rent payments for October and November 2016 as well as the cost of $37.50 to put stop payments on the remaining rent cheque payments as well as return the last month’s rent deposit. I find that this is a reasonable request under the circumstances