What a Landlord Can Do if a Tenant Does Not Pay Rent

Source : Landlord and Tenant Board. This article provides information about what can happen when a tenant doesn't pay rent. It is not a complete summary of the Residential Tenancies Act and it is not legal advice.

If your tenant does not pay their rent:

1. You can give the tenant a notice asking them to pay the rent they owe or move out. If the tenant does not pay or move out, you can apply to the LTB for an order to evict the tenant and to collect the rent that the tenant owes.
   OR
2. You can apply to the LTB for an order to collect the rent that the tenant owes, without asking the LTB to make an order to evict the tenant.

Give the Tenant Notice to Pay Rent or Move Out

If a tenant does not pay the full rent on the day it's due, you can use the form Notice to End a Tenancy Early for Non-payment of Rent (N4) to tell the tenant that if they don't either pay the rent or move out, you can apply to the LTB to evict them.

Termination dates

The date by which you want the tenant to pay the rent is called the "termination date".

If a tenant rents by the day or week, the termination date must be at least 7 days after the notice is given.

If a tenant rents month-by-month or has a lease for more than 1 month, the termination date must be at least 14 days after the notice is given.

Notice is void if tenant pays

If the tenant pays all the rent they owe before the landlord files an application to the LTB, the Notice to End a Tenancy Early for Non-payment of Rent is void and the tenant does not have to move out.

To void the notice the tenant must pay:

• The amount of arrears (overdue rent) in the N4 notice, plus
• Any additional rent payments that were due after they received the notice.

Example: A tenant did not pay May's rent and the landlord gave the tenant an N4 notice with a termination date of June 4th. If, on June 2nd, the tenant wants to pay the landlord everything they owe to void the notice, the tenant must pay the rent for May and June.

The Notice to End a Tenancy Early for Non-payment of Rent (N4) is available at sjto.ca/ltb/forms.

Apply for Rent Owed and to Evict the Tenant

If the tenant hasn't paid everything they owe or moved out by the termination date, you can apply to the LTB for an order that evicts the tenant and requires the tenant to pay all of the money they owe.

Use the Application to Evict a Tenant for Non-payment of Rent and to Collect Rent the Tenant Owes (L1). This application can be submitted online using LTB e-File, which is cheaper than filing a paper copy.

The earliest day you can file this application is the day after the termination date in the N4 notice. You can only file the application if the tenant is still living in the unit.

Apply for Just the Rent Owed

If your tenant owes you rent but you don't want to ask them to move, you can apply to the LTB for an order that requires the tenant to pay you the money they owe. Apply using the Application to Collect Rent the Tenant Owes (L9) form. You can only file this application if the tenant is still living in the unit. You can file this application the day after the rent is due.

Time Line

An example will explain the time line better:

If it is a month to month tenancy, and the tenant did not pay May's rent due on May 1st, landlord can use form N4 to tell the tenant to pay the rent on May 2st, the earliest termination date is May 15 th, if the tenant did not pay the rent by May 15 th, the landlord can file an order by using form L1 on May 16 th, to evict the tenant and ask for rent payment.

Attend the Hearing

Once you file an application, the LTB will schedule a hearing. The LTB will send you and the tenant a copy of the application and the Notice of Hearing that says when and where the hearing will be held. It is important that you go to the hearing. You will have a chance to explain why the LTB should order your tenant to pay their rent and/or evict your tenant.

What a Tenant Can Do If The Landlord Applies for an Eviction and/or Payment of Rent

If a landlord files an application with the LTB, the tenant can pay what he/she owes, work out a payment plan, or go to the hearing and say why he/she shouldn't pay and/or be evicted.

Pay Everything  He/She Owes

If the tenant agrees with the amount that the landlord says he/she owes, he/she can pay everything he/she owes before the LTB issues an order. The amount he/she must pay includes:

• the amount the landlord is claiming in the application (this includes the landlord's application fee), plus
• any new rent that came due after the application was filed.

If the landlord applied to evict the tenant for non-payment of rent (form L1), the tenant can pay the money he/she owes to the landlord directly or to the LTB in trust. To pay the money in trust, get a deposit slip from an LTB office, then go to the bank and make the deposit into a trust account. After the hearing, the member will decide who gets the money.

If the landlord applied to collect the rent the tenant owes (form L9), the tenant can pay the money he/she owes to the landlord directly. Make sure the tenant get a receipt form the landlord. Then contact the LTB to see if the hearing has been cancelled. If it hasn't, the tenant will need to go to the hearing.

Work Out a Payment Plan

the tenant  can contact the landlord to see if they are willing to work out a payment plan. The tenant  can use the Payment Agreement form, but it isn't mandatory.

If the teanant and landlord reach an agreement, file a copy of the agreement with the LTB before the hearing. The LTB can issue an order based on the payment plan and, if an order is issued, the hearing will be cancelled.

The Tenant can also try to work out a payment plan on the day of the hearing with the help of an LTB dispute resolution officer at the hearing location.

Attend the Hearing

If a hearing is held, the tenant will have a chance to explain why the landlord should not get what they asked for. For example, if the tenant disagree with the amount of rent the landlord claims they owe or he/she need more time to pay the rent, the tenant can raise these issues. There are other issues the tenant can raise too. For example, if he/she believes that the unit is not being maintained properly, the landlord is harassing the tenant, or the landlord is charging an illegal amount of rent, the tenant can raise these issues at the hearing as well.

A Member Can Delay Or Refuse Eviction

An LTB member will listen to both sides and make a decision about the application and any other issues raised at the hearing. If the member orders that the tenant be evicted, they could also order that the tenant first be given more time to pay the amount owing or be given more time to move before they are evicted. The member could also refuse or delay the eviction.

For more information

Contact the Landlord and Tenant Board