Yes No Share to Facebook
Good Faith: a Genuine Intention to Occupy a Vacated Rental Unit for At Least a Year
Question: What does good faith intention mean in serving an N12 Notice of Eviction in Ontario?
Answer: In Ontario, when a landlord serves an N12 Notice of Eviction to reclaim a rental unit for personal use, the landlord must demonstrate a genuine intention to occupy the unit themselves or with a close family member for at least one year. This good faith requirement ensures the landlord’s intentions align with the legal obligations outlined in the Residential Tenancies Act, 2006, S.O. 2006, Chapter 17, promoting trust and limiting disputes. Legal assistance can clarify these obligations and ensure compliance, protecting the rights of both landlords and tenants. Call Olson Craig Legal for a free consultation to discuss your legal rights.
What Is Meant By a Good Faith Intention When N12 Notice of Eviction Is Served Upon a Tenant By a Landlord Who Seeks to Reclaim a Rental Unit For Own Use Purposes?
Understanding the Good Faith Intention Requirement Involving a Minimum One-Year Occupancy Upon Reclaiming a Rental Unit
A landlord must act in good faith intentions when issuing an N12 Form as a Notice of Eviction. The good faith element allows a landlord to reclaim a rental unit for personal use, based upon the condition that the unit will be occupied for at least one year. Good faith ensures that the intent of the landlord is genuine and aligned with the legal requirements, thereby fostering trust and reducing potential disputes. Understanding the significance of good faith in this process is crucial to appreciating the nee to protect the security of tenure rights of a tenant while upholding the credibility of the landlord.
The Law
The legal duty upon a landlord to act with a good faith intention to occupy a rental unit vacated by a tenant per the N12 own use process is prescribed by the Residential Tenancies Act, 2006, S.O. 2006, Chapter 17, wherein it is said:
48 (1) A landlord may, by notice, terminate a tenancy if the landlord in good faith requires possession of the rental unit for the purpose of residential occupation for a period of at least one year ..,
Requirements
Good Faith
As above, a landlord must have good faith intentions when evicting for own use. Of course, reading the mind of the landlord so to determine whether intentions are pure is an impossibility and therefore where there is a hearing at the Landlord Tenant Board the challenge for the adjudicator is to gauge whether the good faith requirement is genuine. Per the case of K.M. (Landlord) v. J.N. and J.R., HOL-0238818 (Re), 2018 CanLII 111837, it is said:
13. The obligation of the Board in considering applications for Landlord’s own use is to consider the circumstances of each case in relation to the criteria laid out by the leading cases of the Divisional Court:
Beljinac v. Salter, 2001 CanLII 40231 (ON SCDC), [2001] O.J. No. 2792 (Div. Ct.), (“Salter”) when referring to Justice Steele’s reasons in Feeney v. Noble (1994), 19, O.R. (3d) (Div. Ct.), stated that:
…the test of good faith is a genuine intention to occupy the premises and not the reasonableness of the landlord’s proposal.
And in the more recent decision of Fava v. Harrison, 2014 ONSC 3352 (CanLII) the Divisional Court, in considering this issue in the context of the Act found as follows:
We accept, as reflected in Salter, supra, that the motives of the landlord in seeking possession of the property are largely irrelevant and that the only issue is whether the landlord has a genuine intent to reside in the property. However, that does not mean that the Board cannot consider the conduct and the motives of the landlord in order to draw inferences as to whether the landlord desires, in good faith, to occupy the property.
As such, the reason why the landlord is seeking to occupy the rental unit is, generally, irrelevant and only the intent to occupy is under consideration; however, as indicated, the conduct and motives of the Landlord may be indicators as to the truth of a stated intent to occupy.
Conclusion
A landlord, when evicting a tenant for the own use purposes of the landlord, or the qualifying close family members of the landlord, must hold a genuine intention to occupy the rental unit that is being vacated by a tenured tenant for at least a year.