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Discussion Starter #1 (Edited)
Funny Story. Well first off it isn't really an eviction. But it is a warrant to vacate premises.

A buddy of mine is renting a condo. Has been for a little over 12 months. Initially he gave first and last, as well as 10 more checks which would have covered his first year. He is now into month 1 of year 2, LL has yet to pick up any checks. They have been in correspondence about getting the LL the checks. He has written out all of his checks for the next year. The LL is to pick them up and has not, going on about 2 weeks waiting for the LL to pick them up.

The LL has no intention of evicting him.

Yesterday he received a package delivered to the door of the unit, addressed to the tenant/owner of unit #...

As it was addressed to him, the tenant, he opened it.

In the envelope was a warrant issued by the bailiff to either vacate the premises or pay approximately 3 years back taxes owed to the city (Toronto) with in 7 days.

As a tenant what would be his choices in this event? He is worried that if he does not vacate his possessions will be locked in the unit by the bailiff.

Also, as much as this sucks, he is starting a new job next week, so the timing is really inconvenient.

My advice to him was to call the RE agent (who lives in the next building) that helped him get that until, as she may know more about these situations, also she may know of a vacant unit that perhaps he could move to.

I also told him not to give the LL any checks until he can provide proof of payment.

Also to contact the ORHT for additional information/rights in this situation.

Any other advice for him?
 

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He has to call the Land Lord Tenant office.
If he has a lease it automatically renews. He is still required to pay rent though. He should have sent them the checks in the mail. Since he technically hasn't paid rent they can evict him. Has the LLT granted eviction? If not they have to file and go through the process. The LLT office should be able to stop the bailiff. It is the owner responsibility.
If the bailiff comes it then he needs to call the police and they will stop(if he has a valid lease.)
 

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In the 80s, I had a bailiff show up at the front door to repossess my car. I showed him my bill-of-sale and pointed out the clause on the back that said it included free and clear title transfer. It was a private deal but the seller had his buddy run it through the dealership so I could buy an extended warranty.

The amount owing was $17k to TD bank. I filed a complaint with the Ontario dealer licencing board and they threated to pull the dealer's licence. Eventually they settled with TD for $2k.

You have to treat this bailiff seriously. Without a valid lease, the landlord could claim that you agreed to pay the taxes, along with other utilities.
 

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Generally the mortgagor will pay the back taxes rather than lose their interest in the property.

This is why most banks like you to pay the taxes as part of the mortgage.

I would follow up by calling the Landlord & Tenant Board.

His lease in Ontario is still valid it just becomes a month to month tenancy with the same terms and conditions.

He can also call any numbers on the letter he got to get more info.
 

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Discussion Starter #5
Update:

He called the bailiff. The bailiff is going to wait until the effective date. At that date, if unpaid taxes are still owing, the bailiff will collect rent checks and apply them to the amount owed. When/If amount owed is paid off, then the remaining monthly checks will be given to the LL.

As he could show that he is in fact the tenant, and has paid his rent, and with the exception of the July 1st rent check that has not been picked up, is in good standing, all rent will go towards the LL's taxes owing until fully paid. The bailiff is going to provide him with a document stating that he cannot be evicted (not that the LL want him to move out anyways) until the tax debt is paid. Of course unless he decides to move out on his own accord.

Basically it seems that the City of Toronto is saying to LL's that 'we get paid first' and it is up to you as a LL to pay the mortgage on the property without receiving rent, until we are paid in full.

And of course....the tenant is fully protected.
 

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Awesome for your friend :)

I have to say though, this a great example of what happens to landlords who do not buy cash flow positive properties.

Maybe he's irresponsible, maybe he just can't afford it, perhaps his employment has changed or something like that.

Furthermore, it's still not a great solution because now how is the landlord going to pay the mortgage?

Who's got some dough ? It sounds like a good buying opportunity :D
 

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Awesome for your friend :)

I have to say though, this a great example of what happens to landlords who do not buy cash flow positive properties.

Maybe he's irresponsible, maybe he just can't afford it, perhaps his employment has changed or something like that.

Furthermore, it's still not a great solution because now how is the landlord going to pay the mortgage?

Who's got some dough ? It sounds like a good buying opportunity :D
How do you know the property is not cash flow positive?
 

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Your friend may want to look at moving out anyway. It smells like the LL may be having some financial/business difficulties. If so, the condo would likely go on the market. Why hasn't the LL arranged to pick up the rent cheque? It's the middle of the month (I assume rent is due on the 1st?).
 
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