Landlord Liability to 3rd Parties for Failure to Repair
Landlord Liability to 3rd Parties for Failure to Repair - The Residential Tenancies Act, Ontario and the Occupier’s Liability Act, Ontario – Are You at Risk?
Many residential landlords may assume that if their lease forms provide for their tenants to be responsible for maintenance and repair of the premises, then the landlord is not responsible if someone is injured or if property is damaged on the premises as a result of a failure to maintain or repair and a lawsuit is brought against the tenant and landlord.
Unfortunately for landlords, that is not correct. In a 2010 Ontario case (Taylor v. Allard), the landlord had granted tenancy of a house to a family. In the yard of the property was an existing fire-pit with partially sunken cinder-blocks. The lease terms (oral) provided for the tenant to be responsible for maintenance and repair of the premises. A party was held at the premises, alcohol had been consumed, a fight erupted and a guest tripped on and fell onto the fire-pit, burned himself and suffered $265,000.00 in damages.
On appeal the landlord was held “jointly and severally” liable with the tenant for 50% of the plaintiff’s damages (meaning either of them could be forced to pay the 50%) for failing to inspect the premises and remove the fire-pit hazard. The plaintiff was responsible for the other 50% for its negligence.
The rationale for the court’s decision was as follows:
1. Section 20(1) of the Residential Tenancies Act, 2006, SO 2006, c 17 provides that: “A landlord is responsible for providing and maintaining a residential complex, including the rental units in it, in a good state of repair and fit for habitation and for complying with health, safety, housing and maintenance standards”.
2. Section 3(1) of the Residential Tenancies Act, 2006 provides that: “This Act applies with respect to rental units in residential complexes, despite any other Act and despite any agreement or waiver to the contrary”.
3. Since one cannot contract out of the repair and maintenance obligations in Section 20 of the Residential Tenancies Act, 2006 any attempt to do so by the lease by making the tenant responsible for such matters was not effective.
For the complete article view the document below.
