A landlord client is leasing a unit in a building first occupied for residential purposes in 2022. She wants the tenant to know that future rent increases are not capped by the guideline, and to be able to prove the exemption if challenged. What should the salesperson recommend?
Correct Answer
C) Add an additional term in section 15 stating the exemption, and keep records such as permits that prove it
Ontario's guidance says a landlord can show a unit is exempt by including an additional term under section 15 of the standard lease stating the exemption and keeping records that prove it, such as permits and occupancy documents. Under s. 6.1(6) of the Act, the landlord bears the onus of proving the exemption in any Board application.
Why This Is the Correct Answer
The ontario.ca rent guideline page recommends a section 15 additional term plus records, and s. 6.1(6) places the burden of proof on the landlord.
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