Bankruptcy Halts Eviction: Valizadehasa v Kufner 2024 ONLTB Case
Tenant's bankruptcy filing halts landlord's eviction application for non-payment of rent
Summarized by RentZenLast updated: August 23, 2024
Case Summary
225 Shorecrest Rd, Keswick, ON L4P1J1
Decision in favor of
tenant
Balance Owed
-
Dispute Categories
Notices Sent
Agree with the ruling?
Timeline
Hearing Date
Feb 2023
Order Date
Feb 28, 2024
Dispute Summary
Landlord applied for an order to terminate the tenancy and evict Tenant due to non-payment of rent. However, the Tenant filed for a Consumer Proposal under the Bankruptcy and Insolvency Act before the hearing, resulting in a stay of proceedings.
Determinations
- Tenant filed for Consumer Proposal on 2023-01-24
- Bankruptcy and Insolvency Act requires stay of proceedings
- Landlord's application seeks termination based on rent arrears
- Application must be stayed due to Tenant's bankruptcy filing
Case Study
The Bankruptcy and Insolvency Act, specifically section 69.3, provides that all claims provable in bankruptcy are stayed. As the Landlord's application seeks termination based on payment of compensation or rent arrears, and the Tenant filed for bankruptcy prior to the hearing, the Board is required to stay the application.
Arguments and Actions
Landlord
Actions
Landlord applied for termination of tenancy and eviction due to non-payment of rent.
Tenant
Arguments
The Tenant's filing for bankruptcy triggers a stay of proceedings under section 69.3 of the Bankruptcy and Insolvency Act.
Actions
Tenant filed for a Consumer Proposal under the Bankruptcy and Insolvency Act on January 24, 2023, before the hearing date.
Decision Summary
The Landlord's application is stayed due to the Tenant's filing of a Consumer Proposal under the Bankruptcy and Insolvency Act prior to the hearing. The Board is required to stay all claims provable in bankruptcy, including the Landlord's application for termination based on rent arrears.
Adjudicator Details
LTB Member
Total Orders
502
Landlord Favorable
95.0%
Tenant Favorable
2.4%
Mutual Agreement
2.6%
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