The Residential Tenancy Act allows for an individual owner to re-occupy a property they own which currently is a rental. The Residential Tenancy Act states: “A landlord who is an individual may end a tenancy in respect of a rental unit if the landlord or a close family member of the landlord intends in good faith to occupy the rental unit.”

When choosing to evict a tenant with a two month notice (RTB-32) for Landlord use, a Landlord needs to clearly understand the consequences if the landlord fails to follow through with the requirements. 

The Tenancy Act requires landlords act in good faith when dealing with tenants. When serving a two month notice a Landlord must provide the notice within the service requirements of the act. The notice specifies that the tenant is entitled to one month free rent when a two month notice is served. This is often taken in the form of the last or second month of rent being waived. The intention of this is to provide the tenant with the resources to rent a new property.     

The act also specifies who is required to move in when evicting a tenant for Landlord use. The person moving in must be the owner or a close family member of the owner. Who qualifies as a close family member? The act defines the following parties as close family members:. The individual's parent, spouse or child, or the parent or child of the individual's spouse. 

When we look at this definition we also need to understand who doesn’t qualify in accordance with the act. The following people don’t qualify: Landlords, siblings (brothers/sisters), cousins, and friends. Landlords evicting a tenant must clearly understand who qualifies to occupy the property after evicting a tenant for Landlord use. When moving into the property the act requires the landlord to occupy the unit for a minimum of six months.

In 2017 and again in 2021 the Provincial government changed the laws regarding Landlord use with regards to the compensation to tenants for landlord use evictions. What changed in 2017 is when the landlord is found to have evicted a tenant for landlord use and not done so in good faith, the compensation that could be awarded to a tenant is equivalent to one year of the rent they were paying. In 2021 the government changed the onus to the owner to prove they have acted in good faith. Before these changes the tenant would need to prove the landlord hadn’t acted in good faith which can be very difficult. 

Why were these changes made? The government makes changes to the Tenancy Act when “some” landlords try to find ways around the system. Evicting a tenant for landlord use then turning around and rerenting the unit allows landlords to raise the rent beyond the legal allowable limit defined by the government each year. Changing the law to increase the compensation for tenants is intended to encourage landlords to follow the rules of the Residential Tenancy Act. One other factor often missed understood and can affect these situations is the Limitation Act in BC. Section 96 of the Tenancy act provides a tenant two years to start a claim for a loss they may have incurred. What this means is if the tenant finds out a year and a half later, the person who moved in failed to meet the qualifications of the Act, a Landlord could still be held responsible for compensation to the past tenant. 

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Cartref Properties specialises in managing rental units located within Strata Corporations.

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