Bankruptcy (LTB)

From Riverview Legal Group


SWL-16920-SA (Re), 2008 CanLII 82446 (ON LTB)[1]

1. The Tenant filed an assignment in bankruptcy on April 30, 2008.

2. The Landlords and Tenant entered into a mediated agreement on May 1, 2008, which included arrears from February 1, 2008 to May 31, 2008.

3. The Landlords subsequently made a claim to the Trustee in Bankruptcy for the same arrears for the period from February 1, 2008 to May 31, 2008.

4. The Landlords applied for termination of the tenancy along with the payment of arrears.

5. The Bankruptcy and Insolvency Act, R.S.C. 1985, B-3, as amended, (BIA) under section 69.3 causes an automatic stay in proceedings when there has been an assignment in bankruptcy. As a result, I find that the original application, SWL-13890 was stayed when the Tenant made an assignment into bankruptcy and therefore the Landlord and Tenant Board had no jurisdiction to order termination and payment of arrears in SWL-16920 because it is based on SWL-13890 which is stayed as a result of the assignment in bankruptcy.

[1]

TSL-97152-18-RV (Re), 2019 CanLII 87681 (ON LTB)[2]

3. I am satisfied on a balance of probabilities that the Board’s order TSL-97152-18, issued January 7, 2019 contains a serious error. Specifically, I find that the Member erred by dismissing the application because the Tenant was discharged from bankruptcy on July 25, 2017, within the first rental period for which the Landlord claims arrears.

4. However, for the purpose of this application, the relevant date in the Tenant’s bankruptcy proceedings is the day when there was an assignment in bankruptcy – i.e. June 21, 2017. Pursuant to section 69.3 of the Bankruptcy and Insolvency Act, the assignment resulted in an automatic stay of proceedings up to the assignment date. However, the first rental period covered by the N4 Notice of Termination begins after the assignment date, on July 1, 2017. Therefore, the stay does not impact this application or the Board’s proceedings and the application should not have been dismissed. Accordingly, the Landlord’s request to review is granted.

[2]

CET-78361-18 (Re), 2018 CanLII 141458 (ON LTB)[3]

5. Order CEL-66257-17-AM issued on May 30, 2017 ordered the Tenant to pay rent arrears up to May 31, 2017 of $2,331.42.

6. The Landlord refused to provide the Tenant with a parking space until he paid outstanding rent arrears. The Landlord’s letter dated July 27, 2018 was submitted. The Tenant disputes any arrears because he said that he was discharged from bankruptcy and all debts were extinguished. The Landlord submitted that the Landlord was not a named creditor in the bankruptcy filings and therefore believes it is entitled to collect rent arrears owed.

9. Section 22 of the Act provides that a landlord shall not substantially interfere with the reasonable enjoyment of the rental unit for all usual purposes by a tenant.

10. Section 23 of the Act specifies that a landlord shall not harass, obstruct, coerce, threaten or interfere with a tenant. Harassment is generally defined as “a course of conduct which one knows or should know to be unwelcome by the other person and which one pursues for no legitimate purpose” (Grimard v. Knight 2006 O.R.H.T.D.).

11. Subsection 123(1) contemplates that a landlord may increase rent charged if the landlord and tenant agree to add a parking space.

12. The Tenant was erroneously provided with a key to the parking garage by one of the Landlord’s staff on or about July 20, 2018. The Landlord made it clear in their letter dated July 27, 2018 that there was no agreement to provide Tenant with a parking spot. Therefore the Tenant was not entitled to park in the garage. The Landlord gave the Tenant notice about parking illegally and the consequences the Tenant would face if he failed to remove his vehicle. Therefore the Tenant is not entitled to the costs claimed for parking tickets he incurred because he chose to disregard the notices given to him by the Landlord.

15. By refusing to provide the Tenant with a parking space upon request because the Tenant owes the Landlord rent arrears, the Landlord has substantially interfered with the Tenant’s reasonable enjoyment.

16. The Landlord has no contractual obligation based on the written tenancy agreement to provide the Tenant with parking. Moreover, pursuant to section 123 there must be agreement between a landlord and a tenant to add a service/facility and the Landlord is not obligated to add a parking space solely because the Tenant requests one.

17. However, by refusing the Tenant’s request for parking because the Landlord believes the Tenant owes rent arrears has a punitive effect on the Tenant. In his testimony, JP denied that there was a company policy regarding refusal of parking because of rent arrears despite his written letters stating that the policy of the Landlord is to decline all requests for additional services to tenants who have rent arrears. The intention of the Landlord to single out this Tenant is evident in their letter of August 7, 2018 which comments about the Tenant’s personal bankruptcy, his choice to purchase a vehicle and his request for parking.

18. The impact of the Landlord’s refusal has a substantial impact to the Tenant. He has to travel longer distances from the unit to retrieve his vehicle and loses time from work. The Tenant said he is embarrassed to tell his friends that he is not allowed to park at his home.

19. The Tenant is entitled to a parking space based on availability of a suitable spot. If the Landlord does not provide the Tenant with a parking space, the Tenant is entitled to deduct $69.00 per month from his rent to pay for alternate parking. I have calculated this amount from the $138 cost the Tenant said he was required to submit for first and last month parking charges.

[3]


SOL-21484-11 (Re), 2012 CanLII 21993 (ON LTB)[4]

The Landlord applied for an order to terminate the tenancy and evict S. J. (the 'Tenant') based on arrears of rent.

1. The Tenant declared bankruptcy and the arrears listed on the application were included in the Tenant’s list of outstanding debts. 2. The Tenant paid additional rent that came due after the applying for bankruptcy protection. 3. The Landlord's application relating to eviction of the Tenant based on arrears of rent is discontinued.

[4]

References

  1. 1.0 1.1 SWL-16920-SA (Re), 2008 CanLII 82446 (ON LTB), <http://canlii.ca/t/25ts9>, retrieved on 2020-06-10
  2. 2.0 2.1 TSL-97152-18-RV (Re), 2019 CanLII 87681 (ON LTB), <http://canlii.ca/t/j2hmj>, retrieved on 2020-06-10
  3. 3.0 3.1 CET-78361-18 (Re), 2018 CanLII 141458 (ON LTB), <http://canlii.ca/t/j0f66>, retrieved on 2020-06-10
  4. 4.0 4.1 (Re), 2012 CanLII 21993 (ON LTB), <http://canlii.ca/t/fr3gq>, retrieved on 2020-06-10