Tenant Wins Illegal Rent Increase Case: McMillan v Iskari 2024
Markham tenant awarded $1500 refund after landlords illegally increased rent without proper notice
Summarized by RentZenLast updated: November 3, 2024
Case Summary
121 Stonechurch Cres, Markham, ON L6B0J1
Decision in favor of
tenant
Balance Owed to Tenant
$1,548
Dispute Categories
Subsections of RTA Quoted
Agree with the ruling?
Timeline
Application Date
Sep 2023
Hearing Date
May 2024
Order Date
Jun 7, 2024
Dispute Summary
Tenant filed an application claiming that the Landlords collected an illegal rent increase. The Landlords increased the rent from $1,100 to $1,200 without proper notice as required by the Residential Tenancies Act.
Determinations
- Landlords increased rent from $1,100 to $1,200 without proper 90-day written notice as required by the Act
- Landlords did not apply the legal guideline increase of 2.5% for 2023
- Tenant paid the illegal rent increase from March 2023 to May 2024, totaling $1,500
Case Study
The Landlords increased the rent in contravention of the Residential Tenancies Act, 2006. The Act strictly regulates rent increases and the Landlords failed to follow the mandatory requirements of the Act with respect to written notice of rent increases. The Tenant's agreement or acquiescence is irrelevant as the Act states that landlords and tenants do not have the right to contract out of the Act.
Arguments and Actions
Landlord
Actions
Landlords increased the rent from $1,100 to $1,200 without proper 90-day written notice as required by the Act.
Procedural Errors
Landlords failed to follow the mandatory requirements of the Act with respect to written notice of rent increases.
Tenant
Actions
Tenant paid the illegal rent increase from March 2023 to May 2024, totaling $1,500, as he was concerned he might be evicted.
Decision Summary
The Landlords increased the rent in contravention of the Residential Tenancies Act. The Tenant shall be reimbursed $1,500 for the illegal rent increase, plus $48 for the application fee. The Landlords are ordered to refrain from seeking or collecting any rent increase except in accordance with the Act.
Adjudicator Details
LTB Member
Total Orders
338
Landlord Favorable
84.6%
Tenant Favorable
9.8%
Mutual Agreement
5.6%
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Financial Details
Lawful Rent
$1,100
Application Fee
$48
Total Owing
$1,548 (Owed to Tenant)
Source
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