Mortgagee in Possession (LTB)
TET-58197-15 (Re), 2015 CanLII 94894 (ON LTB)
8. Mortgagee as mortgagee-in-possession: The first issue to be determined is when does a mortgagee become a mortgagee-in-possession. In Bank of Montreal v. Smith, 2008 CanLII 28435, the Court described the test as, being when the mortgagee “[d} eprives the mortgagor of the control and management of the mortgaged property.” Further in Patakay v. Legace, 2003 CarswellOnt 1589, the former Ontario Rental Housing Tribunal indicates that a mortgagee takes possession when, “it can properly be said that [the mortgagee} has taken upon himself to intercept the power of the mortgagor to manage his estate, and has himself so managed and received the rents as part of the management of the estate.”
10. Mortgagee-in-possession as landlord: Section 2 of the Act defines the term “landlord” as “the owner of a rental unit or any other person who permits occupancy of a rental unit other than a tenant…” Therefore, as the entity allowing occupancy of the rental unit as of February 6, 2015, C.W.T.C., through its personnel, meets the definition of landlord under the Act.
