The massive revision to the Residential Tenancy Act has been passed and about to become law.
Please be aware the following changes may directly impact you and some decisions you make regarding your rental property.
Summary:
No-fault evictions
- Moving forward any eviction of a tenant, that is not the fault of the tenant will require compensation to the tenant.
- In the past, if you sold your house and the buyer was moving in no compensation would be paid to the tenant.
- If you were demolishing a unit or doing major renovations to the unit, and the property had less than 6 units no compensation was required.
- Regardless of the reason the tenant is being evicted, if it is for no fault of the tenant, then the tenant will receive a month’s rent compensation and the appropriate notice.
- If a buyer wants to move into the house the tenant receives comp, or offer them a similar unit that they accept.
- If you have an illegal basement unit, and the city forces you to shut it down you will be required to compensate the tenant.
- If you are doing major renovations than again not only must you compensate the tenant but they have the right to return to the unit at the old rent after the Renos are done.
- Fines are also doubling if these evictions are done in bad faith.
- You can also be responsible for up to 12 months of rent compensation if deemed in bad faith
Hearings on non-payment of rent
- Currently, a tenant can bring up any issue they want at a hearing to explain why they are not paying rent.
- Although no issue is relevant for not paying rent this takes up time at the hearing and also results in influencing the adjudicator’s rulings.
- Moving forward, any maintenance or other issues must be addressed to the board and the landlord in advance in writing. Failure to do so, and they will not be allowed to be brought forward.
- The board will be introducing a mediation and settlement process much earlier in the hearing process, to try and resolve disputes before a hearing.
- Currently, the only mediation that is entered into is the day of the hearing
- This will be moved forward in an attempt to come to an agreement earlier, and avoid the hearing, this agreement is supposed to be enforceable if either party fails to deliver.
- Many hearings that are scheduled at the board are resolved through mediation, but that only happens the day of the hearing, and also means that hearing blocks were tied up for mediation, restricting how many actual hearings are being had.
Please get in contact with us if you have any questions.
Here is the complete bill…