You've given notice to your landlord and now it's time for you to move. Are you worried about getting your damage deposit back? If you follow this checklist, your landlord will not only have no reason to deduct money from your deposit, but they will recommend you to other landlords as an exemplary tenant!
Most states, provinces and territories - and many municipalities - have laws and regulations in place which protect residential tenants from being unfairly treated by landlords. But what about commercial business tenants? What kind of protection do they have under the law?
And while pot growers, distributors and smokers are very happy about the legalization of marijuana, condo boards and landlords across the country are scrambling to deal with issues which will impact all residents in every multi-unit dwelling in Canada.
In most provinces and territories, condo boards and landlords have the legal authority to impose restrictions on smoking of any kind in common areas and exclusive use areas such as balconies or decks. They can also ban growing marijuana in individual units for health and safety reasons.
Regardless of whether a certain behaviour is legal, there are common interest factors at play, i.e. the risks that such behaviour may pose to the building and to other residents of the building. In the case of smoking and/or growing pot, these include:
Any one of these factors can create friction between residents, particularly in a condo or strata development where the residents are typically the property owners who are simply interested in protecting their own properties from hazard and damage. Regardless of whether you have the right to smoke within your unit or not, the smoke and the smell will travel through air vents and around doors and will inevitably end up invading other people's air space.
Condominiums that do not already have smoking restrictions in place can enact rules that ban smoking pot in areas that are commonly owned and from growing pot in their units. Many condominiums are opting to go completely smoke-free, although existing owners would be grandfathered.
Tenants in a condo unit are required to abide by the condo bylaws and the building rules, and the unit owners are obligated to make sure their tenants do so.
However, the legal obligations of landlord and tenant are not so easy to interpret when it comes to rental buildings.
There is a patchwork of provincial regulations across Canada when it comes to giving landlords the legal authority they need to establish smoke-free and grow-free rules for rental units. The table below outlines the current (as of June 2018) laws and proposed amendments to specifically address smoking and/or cultivation of recreational marijuana.
| British Columbia | B.C.'s proposed rules allow "landlords and strata councils ... to restrict or prohibit non-medical cannabis smoking and vaping at tenanted and strata properties." They will also be able to prohibit or restrict home cultivation of pot. |
| Alberta | The Residential Tenancies Act of Alberta clearly states that landlords have the right to set the rules for a rental property. That includes smoking and growing cannabis. |
| Saskatchewan | The Residential Tenancies Amendment Act 2017 will give Saskatchewan landlords the right to create rules against possessing, selling, and using marijuana inside the rental property, including the growing of cannabis. |
| Manitoba | Manitoba has proposed legislation to completely ban home cultivation of pot. In addition, the Non-Smokers Protection Act will be expanded to include marijuana, so non-smoking rental units and buildings will prohibit the smoking of pot. |
| Ontario | Under the current Ontario landlord-tenant laws, landlords can ban smoking marijuana in rental units for new leases but they are not able to change an existing lease before the end of the lease. So if the existing lease allows smoking in the rental premises, smoking marijuana would be allowed. New leases can include a provision to ban smoking pot. Smoking in common areas of apartment buildings is already prohibited under provincial law, and this would include pot. |
| Quebec | Quebec has stated it will completely ban home cultivation of cannabis. The province has also stated that apartment leases that prohibit tobacco smoking may also apply to marijuana. It is unclear at present if landlords will be able to amend their leases to prohibit pot smoking and whether such prohibitions would hold up in court. |
| New Brunswick | The province's Final Report of the Select Committee on Cannabis "recommended affirming that landlords be free to prohibit the cultivation of recreational cannabis." No legislation or amendments have been passed at this time (June 2018). |
| Nova Scotia | The Cannabis Control Act allows landlords in Nova Scotia to amend existing leases to enact new rules restricting smoking and cultivation of recreational pot in rental properties. |
| Prince Edward Island | Cultivation and use can be prohibited by property owners and in condominiums. Tenants must have prior approval from the landlord before cultivating pot. |
| Newfoundland-Labrador | No legislation or amendments with respect to landlord-tenant issues at this time (June 2018). |
| Yukon | Under the Cannabis Control and Regulation Act, landlords will have the right to ban smoking or vaping pot and growing cannabis plants within rental properties. |
| Northwest Territories | The proposed legislation allows property owners to designate properties as smoke-free and restrict cultivation of pot. |
| Nunavut | Under consideration. |
The main stumbling block to enforcing compliance of the rules and bylaws put in place by landlords, property managers and condo boards will be whether or not they will apply to medical marijuana use and whether such restrictions might be a violation of a user's Charter rights.
In R. v. Smith (2015), the Supreme Court of Canada found while smoking medical marijuana exposes its users to carcinogenic chemicals and higher risks of bronchial disorders, it also provides quicker access to the medical benefits of cannabis. In light of that finding, any restriction against smoking must take into account the smoking of marijuana indoors by disabled individuals who are using cannabis for medical purposes and who find it difficult or impossible to go outside to smoke it. A medical marijuana user who cannot go outdoors to smoke without significant difficulty may need to be accommodated by the condominium corporation or the landlord, as the case may be.
Are you looking for a home to rent or lease? Here is a checklist of important things to consider to help you find the rental premises that is ideal for your lifestyle and budget.
As a landlord, you put your property at risk when you list it on the rental market. You can reduce your risk and protect your investment by following a few simple rules.
When looking for commercial office, retail or warehouse space for your business, there are a number of issues you need to consider. This checklist will help you determine the pros and cons of each space, and allow you to compare each property you view in terms of its relative strengths and weaknesses.
Let's say you're two years into a 5-year lease term and you get a new job that requires you to move to a different city. What do you do? Your only options are to either (i) get your landlord to agree to let you out of the lease early (which could be costly), (ii) find someone to take over the balance of the lease through an assignment, or (iii) subletting to another tenant who will rent the place for the balance of the lease term, which means you remain on the lease as the original tenant.
Most leases have a clause that permits assignment or subletting with the consent of the landlord, and this provision usually also states that the landlord cannot unreasonably withhold that consent. This means that the landlord must give their consent if there is no reason not to - for instance, if you can come up with a reputable candidate who can afford to sublease the property.
But that same reputable candidate might get you into some legal hot water under the terms of your lease. For instance:
They may have pets (or friends) who cause damage to the rental unit that YOU will then be liable for.
They may have loud parties until all hours and cause trouble with the neighbours, which can end up in an eviction. You would then have to pay the landlord's legal costs to evict the subtenant.
They may fall behind in the rent, and you will be on the hook for it.
When you assign your lease to a subtenant, you're still responsible for your obligations under the lease unless your landlord releases you from those obligations in writing. And because a sublease is between you and the subtenant (NOT with the landlord), the subtenant has no legal obligation to pay the landlord unless they have agreed in writing to take over your responsibilities under the lease.
To limit your risk:
Image by Schluesseldienst from Pixabay
You've finally found an ideal location for your business, and you can start negotiating the lease with the landlord. But what should you be looking for in the commercial lease agreement? Before you sign anything, review the lease and make sure it answers each of the following questions:
1. Will you be given a copy of the building inspection report? If not, can you arrange for your own inspection?
2. Is a drawing of the leased premises attached with the demised area clearly marked?
3. What is the date of possession? What are your remedies if the space is not available to you on the date of possession?
4. Are you required to obtain any approvals or comply with any local regulations or ordinances before you can commence business in the leased premises?
5. How long is the free rent period? When do the lease payments begin?
6. How will your security deposit be handled? How long will it take to receive a refund of the deposit at the end of the lease term?
7. Are there restrictions on your use of the space? What are those restrictions?
8. What are the provisions for rental increases? How much prior notice will be given?
9. Are the tenants required to pay a percentage of the property taxes?
10. What types of insurance coverage, in what amounts, are you required to carry?
11. Which utilities and services will you be responsible for paying?
12. What other costs are associated with the space (advertising, merchant association dues, etc.)?
13. How much will the landlord pay towards your leasehold improvements?
14. Are there any restrictions on what kind of signage you can have? Do you need to get the landlord's prior approval before installing your signs?
15. What are the landlord's obligations for repairs and maintenance on the building, the common areas and your premises?
16. How much are your common area maintenance costs?
17. What are the provisions for renewal of the lease at the end of the term?
18. Do you have the right to assign the lease or sublease any of the space?
19. What are your rights in the event of eminent domain, foreclosure, or partial or total destruction of the premises?
20. What happens if you default in any of your obligations?
21. What are your remedies if the landlord defaults?
22. Are you required to return the premises to its original condition at the end of the lease period? Based on the original condition, what will the costs be to do this?
23. Is there an obligation to pay legal fees and costs in the event of a dispute?
If you are satisfied with the answers, you can proceed with submitting a Letter of Intent or a Lease Proposal to the landlord which sets out all the negotiable elements of the lease - square footage, initial term, renewals, base rent, rent-free period, allowance for leasehold improvements, etc. and the relevant tone of your negotiations to date. The LOI will allow the parties to continue to negotiate the final terms of the lease. Keep every draft of the LOI as a paper trail documenting the negotiations.
Finally, have your lawyer review the lease BEFORE you sign. And never sign anything that you don't fully agree with.
Image by H. Cuthill
