
It's The Law: Legal Questions and Answers
By Jeremy Feuer, Olschewski & Feuer
There are many difficulties associated with managing residential property.
One of the most common areas of contention, concerns the issues of Assignment
and Subletting. Pursuant to the Residential Tenancies Act (the "Act"),
a tenant may transfer his or her right to occupy the rental unit to another
person. It is important to note that the transfer may only be one
of the following defined types:
-
Assigmment: Where the existing tenant gives up all of his or her interest
in the rental unit to another person and does not intend to return to the
rental unit;
-
Subletting: Provided that an existing tenant intends to return to the
rental unit, he or she may give up their right to occupy the rental unit
to another person for a term which lapses on a specified date before the
end of the existing tenant's term.
There are two exceptions to the rules permitting a tenant to assign a tenancy
agreement or sublet a rental unit. The First is in the case of subsidized
housing and the second is in regard to a caretaker's or employee's rental
unit.
It is important to be aware that the Act states that no assignment or
subletting is valid unless consent is provided in writing. The consent
to an assignment or subletting cannot be withheld unreasonably. Furthermore,
the Act does not allow for an owner or a property manager to receive any
consideration, whether money or other benefits, in exchange for the providing
of consent to an assignment or transfer. The only money that may be exchanged
between the parties from the providing of consent by an owner, are expenses
incurred by the landlord resulting from the assignment or subletting. These
are but a few of the requirements imposed upon owners and property managers
by the Act.
The above is not to be used as legal advice. For a detailed
appraisal of your particular situation please contact a lawyer.
Mr. Feuer can be reached at 338-3998.
Return to PPMA
Supplier Tips, Tricks and Secrets