Purchasers Own Use - Re: Family (N12)

Residential Tenancies Act, 2006

49 (1) A landlord of a residential complex that contains no more than three residential units who has entered into an agreement of purchase and sale of the residential complex may, on behalf of the purchaser, give the tenant of a unit in the residential complex a notice terminating the tenancy, if the purchaser in good faith requires possession of the residential complex or the unit for the purpose of residential occupation by,

(a) the purchaser;

(b) the purchaser’s spouse;

(c) a child or parent of the purchaser or the purchaser’s spouse; or

(d) a person who provides or will provide care services to the purchaser, the purchaser’s spouse, or a child or parent of the purchaser or the purchaser’s spouse, if the person receiving the care services resides or will reside in the building, related group of buildings, mobile home park or land lease community in which the rental unit is located.

(3) The date for termination specified in a notice given under subsection (1) or (2) shall be at least 60 days after the notice is given and shall be the day a period of the tenancy ends or, where the tenancy is for a fixed term, the end of the term.

(4) A tenant who receives notice of termination under subsection (1) or (2) may, at any time before the date specified in the notice, terminate the tenancy, effective on a specified date earlier than the date set out in the landlord’s notice.

(5) The date for termination specified in the tenant’s notice shall be at least 10 days after the date the tenant’s notice is given.

CEL-61051-16-RV (Re), 2016 CanLII 100338 (ON LTB)

7. Both the Landlord's Legal Representative and the Tenant's Legal Representative agreed that they were not aware of any prior or precedent cases where section 49 of the Act was relied upon to terminate a tenancy where there was not a sale of the full property but only the addition of a second owner to the title.

8. At the review hearing it was confirmed that the purchase price for the half interest in the property would be secured by a promissory note. The employee would not be required to pay the Landlord any amount at the time of the “sale”. This reinforces the unique circumstances of this “sale”.

13. The Member’s determination in paragraph 16 of the order that section 49 of the Act was intended to apply to a situation where the property was fully sold and the Landlord would no longer be the owner of the property is a reasonable interpretation of section 49. Since the property has not been sold, the requirements of section 49 have not been met.

14. Reasonable determinations and interpretations of the Act are not interfered with on review.

17. The Landlord and the employee seem to want a guarantee that the employee will be permitted to move into the rental unit before they go ahead with the “sale”. There is no guarantee. Even an actual owner may not get the eviction order they are hoping for since it is mandatory for the Board to consider relief from eviction under section 83 of the Act.

18. Even if the review were granted and I interpreted section 49 in a different manner than the hearing Member, relief from eviction under section 83 of the Act would be granted in the current circumstances of this case. The potential addition of a second owner to title is tentative and uncertain at this point in time.