Section 10

Deposits

Sub-Section10.4

Claim by Landlord - Deposit(s) or Less


Legislation


s. 32, 34, The Residential Tenancies Act


Definitions

Hearing: a meeting where a claim is decided. Claimants and respondents may present information about their case to an officer to have their claim decided.

Mediation: a confidential process the Branch uses to encourage and help claimants and respondents discuss problems, think of possible solutions and reach their own agreements. Mediation can take place in meetings conference calls or separate telephone conversations.

Mediated agreement: a written document a mediation officer prepares to outline an agreement between a claimant and respondent. Mediated agreements are confidential. They are not a matter of public record. If either the landlord or tenant doesn’t live up to a mediated agreement, the Branch may issue an Order.

Order: instructs the landlord or tenant, in writing, to either pay money, move or do something. For example: make repairs.

Security deposit: is money a tenant pays to a landlord before the start of a tenancy. A security deposit can’t be more than half of the first month’s rent. The landlord holds the money until the tenant moves out. When a tenancy ends, a landlord may claim the security deposit for unpaid rent, damage, extraordinary cleaning costs or other obligation of the tenant. Many people refer to this money as a damage deposit.

Pet damage deposit: is money a tenant pays to a landlord before bringing a pet into a rental unit.  A pet damage deposit collected between June 30, 2010 and July 31, 2014 can’t be more than half of a month’s rent.  A pet damage deposit collected on or after August 1, 2014 can be up to one month’s rent.  Existing tenants who have already paid a pet damage deposit cannot be asked to pay the increased amount. The landlord holds the money until the tenant moves out.  When a tenancy ends, a landlord may claim the pet damage deposit for damage or cleaning costs the landlord suffers because of the tenant’s pet. Landlords cannot charge a pet damage deposit for tenants who rely on a service animal.

Tenant services security deposit: is money a tenant pays to a landlord before entering into a tenancy agreement in a building that provides tenant services.  A tenant services security deposit can only be half of one month’s tenant services charge. The landlord holds the money until the tenant moves out. When a tenancy ends, a landlord may claim a tenant services security deposit for unpaid tenant services charges or other money owed that is related to a tenant service.


Policy

When a landlord has a claim against a tenant’s deposit(s), they must send a copy of the claim to the tenant.The landlord has 28 days, from the end of the tenancy, to send it.

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If a landlord and tenant can’t agree on the claim, they can ask the Branch for a decision on the claim. The Branch provides a form for a landlord to use when submitting a claim to the Branch. A landlord may use their own form or letter, but they should be as specific about their claim as possible.

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The Branch usually makes a decision on this type of claim from written information received from the landlord and tenant. The landlord and tenant can submit statements, letters, invoices and pictures to support their position.

When making a decision on a claim for a deposit(s) or less, the Branch uses the guidelines for decision set out in this section.

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There is no fee for filing this kind of claim.



Procedure

Overview

An officer receives a copy of a claim from a landlord, and asks the tenant to comment. The officer tries to help the landlord and tenant agree on the claim. If they can’t agree, an adjudication officer makes a decision on who gets all, or part of the deposit(s).


Steps ▼

1.The officer receives a copy of the claim, and makes sure that the information is clear and complete. If information is unclear or missing, the officer telephones or writes the landlord.

2.The officer sends a copy of the claim to the tenant.

3.The tenant has 14 days to send their comments, in writing, to the Branch.

4.If the tenant doesn’t send in comments, the officer reviews the claim and makes a decision.

5.If the tenant sends in comments, the landlord gets a copy to review. The officer tries to help the landlord and tenant agree on who should get all or part of the deposit(s).

6.If mediation is successful, the officer prepares a written agreement and sends a copy to both the landlord and tenant.

7.If the landlord and tenant can’t agree, the officer reviews the file to make sure the information is complete.

8.The file then goes to an adjudication officer. This officer makes a decision, and sends it to the landlord and tenant. In rare cases, the officer may decide to hold a hearing to decide the claim.


Forms & Form Letters


X-Referencing

For information on guidelines for decisions, see Deposit Claims – Guidelines for Decision in this section.
For information on Enforcing an Order to Return a Deposit(s), see this section.
For details on Hearings, see Section 11.
For information on interest on deposits, see Section 12.


Policy Developed

September, 1992


Last Revision

August, 2015


Other Resources

None


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