MR. SPENCER CHANDRA HERBERT

BILL M 205 — 2011

RESIDENTIAL TENANCY AMENDMENT ACT, 2011

This Act amends thc Residential Tenancy Act to provide more protection for tenants. It allows a tenant the option of continuing residence following renovations and prohibits the landlord from raising the rent any more than would otherwise be lawful. It also protects tenants who rent units that are later converted to strata-lots by providing them the right to first refusal when the unit is sold.

This Act protects the homes of long term renters by removing the geographic area increase clause which allows landlords to apply for large rent increases over and above the yearly rent increase. The Act also protects long term tenants by requiring landlords to show that they have no other suites available, before evicting a tenant to create a caretakers unit.

This act is an acknowledgement or the imbalance of power that exists between landlords and tenants, particularly with regards to the many avenues available for landlords to eject tenants with very little notice and compensation. With this Act British Columbia recognizes and protects the rights and interests of tenants in a way that is fair and reasonable to landlords

HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of British Columbia, enacts as follows:

1 Section 43 of the Residential Tenancy Act, S.B.C. 2002, c. 78, is amended by adding the following subsection:

(6) A landlord may not impose a rent increase under subsection (1) (a) or (b) on the basis that the rent for the rental unit is significantly lower than the rent payable for other rental units that are similar to, and in the same geographic area as, the rental unit.

2 Section 49 is amended by repealing subsection (6) (c).

3 Section 49 is amended by adding the following subsection:

(6.1) A landlord must not end a tenancy under section 49 (6) (c) [conversion to use for a caretaker, manager or superintendent], if there is another suite unoccupied or available for use by the caretaker, manager or superintendent of the residential property.

4 The following sections are added:

Right to re-occupy after renovations

49.2 (1) A tenant who receives notice of termination of a tenancy under section 49 (6) (b) [for the purpose of repairs or renovations] has a right to re-occupy the property as a tenant once the repairs or renovations are complete if prior to vacating the unit the tenant provides the landlord with written notice that the tenant intends to re-occupy.

(2) A landlord who receives notice under subsection (1) must offer the former tenant a new tenancy agreement with terms identical to the original tenancy agreement.

(3) Despite subsection (2), a landlord may vary the amount of rent in the tenancy agreement, as long as the new amount does not exceed the amount that could have been charged had the tenancy not been terminated.

(4) An offer under subsection (2) must be made after renovations and repairs are complete, unless the former tenant agrees in writing to receive the offer on an earlier date.

(5) A former tenant ceases to have the right to re-occupy if the former tenant

(a) declines an offer made under subsection (2), or

(b) fails to accept an offer made under subsection (2) within 15 days of receipt.

Right to first refusal on strata conversion

49.3 (1) In this section:

"converted tenant" means a tenant who:

(a) was occupying a rental unit prior to the unit's conversion to a strata lot under the Strata Property Act, and

(b) continues to occupy the rental unit.

(2) If a landlord receives an acceptable offer to purchase a rental unit that is occupied by a converted tenant the landlord must

(a) provide the converted tenant with notice of the offer,

(b) not accept the offer until 24 hours after notice is provided, and

(c) accept an offer by the converted tenant to purchase the rental unit if

(i) the converted tenant's offer to purchase contains the same price as the original offer,

(ii) the converted tenant's offer contains terms and conditions that are either

(A) the same as the terms and conditions of the original offer, or

(B) acceptable to the landlord, and

(iii) the converted tenant's offer is made within 48 hours of receiving notice under paragraph (a).

(4) Subsections (3) and (4) do not apply if

(a) the offer to purchase is for more than one unit; or

(b) the unit has been previously purchased after conversion to strata title, but not together with any other units.

5 Section 51 is amended by:

(a) in subsection (1) deleting the following text, highlighted by strikethrough, and adding the following text, highlighted by underline:

51 (1) A tenant who receives a notice to end a tenancy under section 49 [landlord's use of property], other than under section 49 (6) (b) [renovation or repair requiring vacancy of the unit] is entitled to receive from the landlord on or before the effective date of the landlord's notice an amount that is the equivalent of one month's 2 months' rent payable under the tenancy agreement.

(b) adding the following subsections:

(3) A tenant who receives notice to end a tenancy under section 49 (6) (b) [renovation or repair requiring, vacancy of the unit] is entitled to receive from the landlord

(a) an amount equivalent to 2 months rent payable under the tenancy agreement if

(i) the tenant does not submit a notice to the landlord under section 49.2 (1) [tenants right to re-occupy] prior to vacating the rental unit.

(ii) the tenant declines an offer made under section 49.2 (2) [offer to re-occupy],

(iii) the tenant does not accept a new tenancy agreement within 15 days of receiving an offer under section 49.2 (2) [offer to re-occupy] or

(iv) the tenant re-occupies the rental unit under section 49.2 [right to re-occupy] more than 59 days after vacating the rental unit, or

(b) an amount equivalent to the rent that would have been payable under the tenancy agreement for the period commencing the day after the tenant vacated the unit and ending the day before the tenant re-occupied the unit, if the tenant re-occupies the rental unit under section 49.2 [right to re-occupy] less than 60 days after vacating the rental unit.

(4) A payment under subsection (3) must be paid no later than

(a) 30 days after the tenant re-occupies if the tenant re-occupies the rental unit under section 49.2 [right to re-occupy],

(b) 30 days after the tenant declines an offer made under section 49.2 (2) [offer to re-occupy],

(c) 30 days after thee tenant vacates the rental unit, if the tenant does not submit a notice under section 49.2 (1) [tenant's right to re-occupy], or

(d) 45 days after the tenant is provided notice under section 49.2 (2) [offer to re-occupy] if the tenant does not respond to that offer within 15 days.

6 Section 52 is amended by adding the following paragraphs:

(f) for a notice under section 49 (6) (b) [renovation or repair requiring vacancy of the unit], include

(i) proof that the landlord has all the relevant permits and approvals required under that subsection, and

(ii) a description of the tenant's rights under section 49.2 [right to re-occupy after renovation]; .

 
Explanatory Note

This Act amends thc Residential Tenancy Act to provide more protection for tenants. It allows a tenant the option of continuing residence following renovations and prohibits the landlord from raising the rent any more than would otherwise be lawful. It also protects tenants who rent units that are later converted to strata-lots by providing them the right to first refusal when the unit is sold.

This Act protects the homes of long term renters by removing the geographic area increase clause which allows landlords to apply for large rent increases over and above the yearly rent increase. The Act also protects long term tenants by requiring landlords to show that they have no other suites available, before evicting a tenant to create a caretakers unit.

This act is an acknowledgement or the imbalance of power that exists between landlords and tenants, particularly with regards to the many avenues available for landlords to eject tenants with very little notice and compensation. With this Act British Columbia recognizes and protects the rights and interests of tenants in a way that is fair and reasonable to landlords