Divisional Court Upholds LTB's Authority to Order Full Rent Arrears in 'Pay to Stay' Cases: Rosen v. Reed 2023

Dispute Summary

This appeal concerns "pay to stay" orders made by the Landlord and Tenant Board ("LTB" or the "Board"). The key issue is whether the monetary jurisdiction of the Board (currently $35,000) constrains its discretion to impose terms to void an order terminating a tenancy, or whether the Board may order that all outstanding rent be paid to void an order terminating a tenancy if the arrears are more than $35,000.

Determinations

• The LTB found that rent arrears were $50,000.
• The Landlord waived the claim for an order for payment of arrears in excess of $35,000 in order to proceed before the LTB.
• The LTB terminated the tenancy for non-payment of rent but also ordered that the Tenant could void the termination order upon payment by March 20, 2023 of the entirety of the arrears ($50,000) plus accrued and accruing rent of $10,000 per month.
• The Tenant argued that the Landlord's entitlement to payment of arrears above $35,000 was extinguished by the LTB's order for payment of $35,000, and that the LTB erred in ordering payment of a higher amount as a condition for voiding the order terminating the tenancy.
• The court dismissed the appeal, finding that the LTB's reasoning on this issue is persuasive and gives effect to the different provisions in the Residential Tenancies Act governing orders for payment of money and orders for termination of a tenancy.