When a landlord in Ontario wants to move into their rental property, they must follow a specific legal process using an N12 Notice. Misunderstanding these rules can result in the Landlord and Tenant Board dismissing the application or imposing severe fines for bad faith.
The short answer
An N12 Notice is used when a landlord, their close family member, or a purchaser requires the rental unit for their own personal use. It requires 60 days' notice and the landlord must pay the tenant one month's rent as compensation before the termination date.
Who qualifies for 'Own Use'?
The N12 can only be used if the person moving in is the landlord, the landlord's spouse, a child or parent of the landlord or their spouse, or a caregiver for any of them. It can also be used on behalf of a purchaser if the property has been sold.
The Good Faith Requirement
The LTB requires the landlord to have a genuine, 'good faith' intention to occupy the unit for residential purposes for at least one year. If a landlord evicts a tenant and then immediately re-rents the unit at a higher price or lists it on Airbnb, the tenant can sue for a bad faith eviction. Pursuing damages for bad faith can sometimes intersect with civil litigation depending on the complexities of the monetary claims involved.
Tenant Rights
Tenants do not have to move out just because they receive an N12. They have the right to wait for a hearing at the LTB, where the landlord must prove their good faith intention. Learn more about the eviction hearing process.
When to talk to a lawyer
Whether you are a landlord needing to ensure your N12 is flawless, or a tenant suspecting a bad faith eviction, Kuner Law can help. Contact our Mississauga office for strategic advice on tenancy disputes.
Frequently asked questions
Q: Does the landlord have to pay compensation for an N12?
A: Yes. The landlord must pay the tenant an amount equal to one month's rent by the termination date specified on the notice.
Q: What is the penalty for a bad faith N12 eviction?
A: The LTB can order the landlord to pay the tenant's moving costs, the difference in rent for up to a year, general damages, and an administrative fine of up to $50,000.
About the Author
Jora Kuner
Jora Kuner is the founder of Kuner Law and a lawyer called to the bar of the Law Society of Ontario. He holds a Juris Doctor from Bond University, an NCA Certificate, a BA (Hons.) from York University, and a Certificate in Dispute Resolution. He practises civil litigation, criminal defence, and tenancies in Mississauga and across Ontario.
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