Third-Party Property Managers

The Law Society of Upper Canada v. Chiarelli, 2014 ONCA 391 (CanLII)

[22] A review of the evidence before the application judge clearly supports his finding that the appellant has been providing unlicensed legal services. There can be no doubt that these services, including participating in a mediation and attending hearings, qualify as the provision of legal services under the Law Society Act. Indeed, the thrust of the appellant’s submissions both before the application judge and on appeal was not that he was not engaged in the provision of legal services, but that he had a right to do so because he was a landlord and thus had a right to self-represent. Accordingly, there was ample evidence upon which the application judge could base his decision to issue an injunction.

[25] The question that remains is whether the appellant as a landlord under the Residential Tenancies Act has a right to self-represent. For the following reasons, I conclude that he does not.

[26] First, there is nothing in the Residential Tenancies Act that explicitly grants the appellant any right to self-represent. The act is silent on whether a landlord can be self-represented.

[28] The only legislation which explicitly deals with the right to self-representation is the Law Society Act. Section 8(3) of that statute permits self-representation in the limited circumstance where an individual “is acting on his or her own behalf”. That exception is not applicable in the case at bar, because, quite simply, the appellant is not acting on his own behalf; he is acting on behalf of his client.

[29] Although the appellant may be considered a landlord for the purposes of certain aspects of the Residential Tenancies Act, this does not change the fact that he is providing legal services to a third party. Any obligations or rights flowing from proceedings before the Board, to the extent that they impact on the appellant at all (e.g. orders under ss. 204 or 205 of the Residential Tenancies Act to pay monies or costs to a tenant), are derivative in nature. They flow from the fact that the appellant is providing services to the property owner. If the appellant were not acting for a client in any given case, he would not have any interest in the proceeding and thus no standing.

[30] Statutes are to be interpreted harmoniously. It is presumed that the legislature spoke with one voice and did not intend to contradict itself: Ruth Sullivan, Sullivan on the Construction of Statutes, 5th ed. (Markham: LexisNexis Canada Inc., 2008), at p. 412.

[39] I find that the appellant has no right to self-represent before the Board. The appeal is, therefore, dismissed, save for an amendment to the terms of the injunction to limit the prohibition contained therein to an order prohibiting the appellant from appearing before the Board on behalf of his clients or on behalf of himself, save for situations where he is an owner of a property subject to a proceeding before the Board.

TEL-85288-17 (Re), 2018 CanLII 141446 (ON LTB)

2. At the initial hearing held on April 23, 2018, C.C. said she was representative for this Landlord; however, after questioned it was determined that she was not a direct employee of the Landlord, nor was she a licensee with the Law Society. She is a manager with I.C.C P.M. (‘ICC’), which acts on behalf of I..

3. The Court of Appeal issued Law Society of Upper Canada v. Chiarelli, 2014 ONCA 391 (CanLII) which states that “any right of self-representation to be subject to the provisions of the Law Society Act”. Section 8(3) of the Law Society Act permits an individual to act on their own behalf. In this case, the representative is not acting on her own behalf. She is acting on behalf of another company, which is a separate entity, making the company ICC’s client. Under the Law Society Act she is providing legal services without a proper license. For this reason, the representative cannot represent at the Board unless it is directly representing the company as a direct employee.

4. ICC performs the duties of a landlord including, but not limited to, collecting rent, permitting occupancy. As such, the Board has amended the applications on its own motion to include ICC as a party to these applications.

Kruti Parmar v. Ken Chanski; Laurie Chanski ONLTB EAL-81351-19

1. For the reasons that follow, the application is denied.

4. It was not disputed that Mr. Thompson is employed by a third-party property management company and not by the Landlord

5. The property management company does not own the rental unit and the lease was not signed by the property management company. Therefore, the property management company does not permit occupancy of the rental unit and does not meet the definition of "landlord" as set out in the Residential Tenancies Act, 2006.

6. It was also agreed that the 'N-4' notice and the L-2 application were drafted, signed and served by Mr. Thompson, who is neither a lawyer nor a paralegal, nor otherwise exempt from the licensing requirements of the Law Society Act.

14.1 have considered the argument made by JT that there having been no demonstrated prejudice to the Tenants or abuse of process, the matter ought not be dismissed on what appears to be a technicality.

15. However, the principles set out in the Chiarelli case are binding upon me. I have re­-examined the Chiarelli case at length. The decision quotes relevant sections from the Law Society Act (the 'LSA') in deciding what activities are the "provision of legal services".

16. Section 1.(6) of the LSA specifically includes the giving of advice regarding legal interest rights or responsibilities (sub-paragraph 1.(6)(1)), the selection, drafting, completion or revision of documents for use in a proceeding before an adjudicative body (sub-paragraph 1.(6)(2)), and representing a person in a proceeding before an adjudicative body (subsection 1.(6)(3)).

17. In the Chiarelli case, the decision was unanimous on this point: an unlicensed person, such as a property manager, who is not a statutory party to an application (i.e. meets the definition of Landlord) may not provide legal services, including the completion of forms and documents, and does not have standing before the Board.

18. Therefore, I have concluded that JT does not have standing before the Board, and as such could not represent the Landlord at the hearing, nor file the application, nor complete and serve the N-4 on the Landlord's behalf.

19. Although decisions of the Board are not binding in the same way as decisions of Divisional Court or Court of Appeal are binding, I find both Board decisions (TEL-97410-18 and EAL-80406-19) to be informative and to be consistent with the direction set by the Chiarelli decision and the analysis remains valid.

20.As a result, since the notice and application were not completed by the Landlord or the Landlord's authorized and licensed representative as required by the Chiarelli decision, they are not valid. Furthermore, the Landlord was also represented by an agent at the hearing who is not a licensed representative and thus did not have standing before the Board. For these reasons, the application is denied.

[Landlord Rescue Inc. v. Jessica Puglieso ONLTB TEL-97410-18]

1. The Applicant is not a "Landlord" as defined in the Residential Tenancies Act, 2006 (the 'Act') and is not authorized to provide legal services in the Province of Ontario. The Applicant therefore did not have the authority to serve notices of termination under the act, and did not have authority to file applications with the Board.

2. The Applicant is a private property management company. The application does not own the residential complex or the rental unit. Futhermore, the Applicant did not enter into the March 28, 2018 written tenancy agreement with the Tenant. The Applicant therefore, is not a "person who permits occupancy of a rental unit". Instead, [owner], the property owner and the person who entered into the March 28, 2018 tenancy agreement with the Tenant, is the "person who permits occupancy of a rental unit"; and [owner] is therefore the "landlord" as defined in the Act.

4. The courts' reasoned in Law Society of Upper Canada v. Chiarelli are applicable in this present application. The Applicant in this proceeding acts as a property manager in exchange for financial compensation. The applicant is not; however, the owner of the property, and is not a person who permits people to occupy rented residential premises in exchange for the tenant;s obligation to pay rent. Accordingly, the Applicant does not meet the Act's definition of "Landlord".

5. Subsections 64(1), 68(1) and 59(1) of the Act permit a landlord to serve notices of termination where a tenant is alleged to have substantially interfered with the reasonable enjoyment of the property, or is alleged to have failed to pay all of the rent the tenant was required to pay. Subsection 69 of the Act permits a landlord who served a notice of termination to apply to the Board to terminate a tenant's tenancy.

6. In this case, I conclude that since the Applicant is not a "landlord" as defined in the Act, the Applicant did not have authority under the Act to serve notices of termination and to begin applications to the Board.