The Basics of the Residential Tenancy Act (Cooperatives)

Interestingly enough, housing cooperatives are included in the residential tenancy act - for obvious reason including the fact that they are a form of residential housing - despite being generally governed by a different set/combination of federal and provincial legislation, specifically the Canada Cooperative Act (1998) and the Co-operative Corporations Act (1990). To keep things simple and in-line with the rest of this document, we’re going to focus on the component of the RTA which outlines the cooperative corporation's obligations relating to the notice of termination and compensation for its members. The goal here, again, is to help folks gain an understanding of which conditions may shape their living and housing conditions, specifically the potential loss of their accommodations and/or compensation in lieu of this loss.

1. Termination of Occupancy with Notice of Termination in a Non-Profit Housing Cooperative

1. 1. After terminating a member’s membership and occupancy rights in a non-profit housing co-operative the co-operative may give the member notice of termination of occupancy in any of the following circumstances:

      1. The member has persistently failed to pay the regular monthly housing charges on the date they became due and payable;

         1. Notice of termination shall provide a termination date not earlier than the 60th day after the notice is given and the termination date shall be on the last day of a period of occupancy
            
            

      2. The member unit is in a residential complex described in paragraph 1, 2 or 3 of subsection 7 (1) of the Residential Tenancy Act and the member has ceased to meet the qualifications required for occupancy of the member unit and/or has knowingly and materially misrepresented his or her income or that of other members of his or her household;

         1. Notice of termination shall provide a termination date not earlier than the 60th day after the notice is given and the termination date shall be on the last day of a period of occupancy

1. 1. 1. The member fails to pay the regular monthly housing charges lawfully owing with respect to the member unit.

         1. Notice of termination shall provide a termination date not earlier than the 60th day after the notice is given and the termination date shall be on the last day of a period of occupancy

            1. Provide a termination date not earlier than the 14th day after the notice is given;

            2. Set out the amount of the regular monthly housing charges that is due; and

            3. Specify that the member may avoid the termination of the occupancy by paying, on or before the termination date specified in the notice, the amount as set out in the notice and any additional regular monthly housing charges that have become due as at the date of payment by the member

         2. Notice becomes void after 30 days unless member vacates unit before that time, or cooperative applies for an order terminating the occupancy of the member unit and evicting the member before that time

         3. Notice can also become void if the member pays — before the cooperative applies to the board — the regular monthly housing charges that are in arrears; and the additional regular monthly housing charges that would have been due as at the date of payment by the member had notice of termination not been given.
            
            

      2. The member or another occupant of the member unit commits an illegal act or carries on an illegal trade, business or occupation or permits a person to do so in the member unit or the residential complex.
         
         

   2. The member, another occupant of the member unit or a person whom the member permits in the member unit or the residential complex,

      1. Wilfully causes undue damage to the member unit or the residential complex

         1. The notice of termination shall,

            1. Provide a termination date not earlier than the 20th day after the notice is given; and

            2. Require the member, within seven days

               1. To repair the damaged property or pay to the co-operative the reasonable costs of repairing the damaged property, or

               2. To replace the damaged property or pay to the co-operative the reasonable costs of replacing the damaged property, if it is not reasonable to repair the damaged property.

            3. Notice is void if the member, within seven days after receiving the notice, complies with the requirement referred to in clause 94.4 (5) (b) or makes arrangements satisfactory to the co-operative to comply with that requirement
               
               

      2. Uses the member unit or the residential complex in a manner that is inconsistent with use as residential premises and that causes or can reasonably be expected to cause damage that is significantly greater than the damage that is required in order to give a notice of termination under subparagraph i or paragraph 6 of the RTA.

         1. The notice of termination may provide a termination date not earlier than the 10th day after the notice is given.
            
            

      3. Has a conduct that substantially interferes with the reasonable enjoyment of the residential complex for all usual purposes by the co-operative or another member of the co-operative or occupant of the residential complex or substantially interferes with another lawful right, privilege or interest of the co-operative or another such member or occupant;

         1. Provide a termination date not earlier than the 20th day after the notice is given; and

         2. Require the member, within seven days, to stop the conduct or activity or correct the omission set out in the notice

         3. Notice becomes void if the member, within seven days after receiving the notice, stops the conduct or activity or corrects the omission.
            
            

      4. Impairs or has seriously impaired either by act or omission the safety of any person and the act or omission occurs in the residential complex

         1. Notice of termination shall provide a termination date not earlier than the 10th day after the notice is given.
            
            

   3. The number of persons occupying the member unit on a continuing basis results in a contravention of health, safety or housing standards required by law

      1. The notice of termination shall,

         1. Provide a termination date not earlier than the 20th day after the notice is given; and

         2. Require the member, within seven days, to reduce the number of persons occupying the member unit to comply with health, safety or housing standards required by law
            
            

      2. Notice is void if the member, within seven days after receiving the notice, sufficiently reduces the number of persons occupying the member unit.
         
         

   4. A notice of termination was given to the member for a circumstance described above, and more than seven days but less than six months after the notice was given, an activity takes place, conduct occurs or a situation arises that constitutes the same circumstance under which the previous notice of termination was given;

      1. The notice of termination shall provide a termination date not earlier than the 14th day after the notice is given

1. 5. A notice of termination under section where a non-profit housing co-operative and member not a landlord-tenant relationship shall be in a form approved by the Board and shall,

      1. Identify the member unit for which the notice is given;

      2. State the date on which the occupancy is to terminate; and

      3. Be signed by a director of the co-operative giving the notice, a person authorised to act for the co-operative or the co-operative’s agent.

      4. The notice shall also set out the reasons for and details respecting the termination and inform the member that,

         1. If the member vacates the member unit in accordance with the notice, the occupancy terminates on the date set out;

         2. If the member does not vacate the member unit, the co-operative may apply to the Board for an order terminating the occupancy of the member unit and evicting the member; and

         3. If the co-operative applies for an order, the member is entitled to dispute the application.
            
            

   6. Limitations

      1. Unless a non-profit housing co-operative and member agree otherwise, the co-operative does not waive a notice of termination or reinstate a member’s membership and occupancy rights by accepting arrears of the regular monthly housing charges or compensation for the use or occupation of a member unit after,

         1. The co-operative gives a notice of termination of the occupancy

         2. The Board makes an order terminating the member’s occupancy and evicting the member.

         3. After giving a notice of termination, a cooperative may apply to the board for an order terminating the member’s occupancy of the member unit and evicting the member. This termination can not be made later than 30 days after the date set in the notice of termination.

         4. A cooperative cannot apply to the board before the remedy period (the period before the notice becomes void)

2. Termination of Occupancy Without Notice of Termination - Non-Profit Housing Cooperative

1. 1. A co-operative may, without notice to the member, apply to the Board for an order terminating the member’s occupancy of a member unit and evicting the member in any of the following circumstances:

      1. The member gave written notice of his or her intention to terminate his or her membership and occupancy rights and the member has not withdrawn the notice.

      2. The member has consented in writing to the expiry of his or her membership and occupancy rights.

      3. The member has not given a written notice that he or she wishes to continue his or her membership and occupancy rights.

      4. The member gave notice to terminate his or her membership and occupancy rights under section

         1. Not effective before the later of,

            1. The date on which the co-operative applied to the Board; and

            2. The date on which the membership and occupancy rights terminated or expired

         2. The member may make a motion to the Board, on notice to the co-operative, to have the order set aside within 10 days after the order is issued. An order is stayed when a motion to have the order set aside is received by the Board and shall not be enforced under this Act.
            
            

      5. The co-operative previously applied to the Board for an order terminating the member’s occupancy of the member unit and evicting the member.

      6. A settlement agreed to or an order made with respect to the previous application which:

         1. Imposed conditions on the member that, if not met by the member, would give rise to the same grounds for terminating the member’s occupancy of the member unit as were claimed in the previous application, and

         2. Provided that the co-operative could apply under this section if the member did not meet one or more of the conditions.

      7. The member has not met one or more of the conditions described in subparagraph 2 i. 2013, c. 3, s. 31; 2020, c. 16, Sched. 4, s. 22 of the RTA
         
         

   2. Limitations:

      1. The co-operative shall include with the application an affidavit verifying that this is the case.

      2. This application should not be made later than 30 days after the date on which the membership and occupancy rights terminated or expired

      3. On receipt of the application, the Board may make an order terminating the member’s occupancy of the member unit and evicting the member.

      4. If the member makes a motion under subsection the Board shall, after a hearing:

         1. Make an order setting aside the order if, the cooperative did not apply to the Board on the basis of the circumstances (1-4) described in the RTA.

         2. Make an order setting aside the order if the Board is satisfied, having regard to all the circumstances, that it would not be unfair to do so; or

         3. Make an order lifting the stay of the order effective immediately or on a future date specified in the order.

3. Compensation for Co-operative

2. 1. A non-profit housing co-operative is entitled to compensation for the use and occupation of a member unit by a member who does not vacate the member unit after his or her membership and occupancy rights are terminated or expire.
      
      

   2. If a non-profit housing co-operative makes an application under section 94.7 based on a notice of termination for a circumstance described in point 3 of section 94 of the RTA the co-operative may at the same time also apply to the Board for an order for the payment of arrears of the regular monthly housing charges if,

      1. The member has not paid the regular monthly housing charges lawfully owing by the member; and

      2. The member is in possession of the member unit.
         
         

   3. If a non-profit housing co-operative makes an application under section 94.7, 94.8, 94.10 or 94.11, and the member is in possession of the member unit after the member’s membership and occupancy rights have terminated or expired under the Co-operative Corporations Act, the co-operative may at the same time also apply to the Board for an order for the payment of compensation for the use and occupation of the member unit after that termination or expiry
      
      

   4. In determining the amount of arrears of the regular monthly housing charges, compensation or both owing in an order the Board must subtract from the amount owing the amount of any damage deposit and other refundable amounts that would be owing to the member on termination.
      
      

   5. The Board may also include the following amounts in determining the total amount owing to the co-operative by a member in respect of a member unit:

      1. If its under section 94.7

         1. The amount of NSF cheque charges claimed by the co-operative and charged by financial institutions in respect of cheques tendered to the co-operative by or on behalf of the member, to the extent the co-operative has not been reimbursed for the charges.

         2. The amount of unpaid administration charges in respect of the NSF cheques, if claimed by the co-operative.

         3. The amount of other unpaid housing charges, other than any refundable amounts, lawfully owing by the member.

2. 5. 2. If its under section 94.7, 94.8, 94.10 or 94.11

         1. The amount of NSF cheque charges claimed by the co-operative and charged by financial institutions in respect of cheques tendered to the co-operative by or on behalf of the member, to the extent the co-operative has not been reimbursed for the charges.

         2. The amount of unpaid administration charges in respect of the NSF cheques, if claimed by the co-operative.

4. Compensation for Damages

1. 1. If a non-profit housing co-operative makes an application under section 94.7 or 94.8 based on a notice of termination for a circumstance described in point 6 or 7 page 15 the cooperative may at the same time also apply to the Board for an order requiring the member to pay reasonable costs that the co-operative has incurred or will incur for the repair or, where repairing is not reasonable, the replacement of damaged property, if the member is in possession of the member unit and if the member, another occupant of the member unit or a person whom the member permitted in the residential complex,

      1. Wilfully or negligently caused undue damage to the member unit or the residential complex where the notice of termination is based on a circumstance described in paragraph 6 of subsection 94.2 (1); or

      2. Wilfully caused undue damage to the member unit or the residential complex where the notice of termination is based on a circumstance described in paragraph 7 of subsection 94.2 (1). 2013, c. 3, s. 31.

1. 2. If the Board makes an order requiring payment under subsection (1) and for the termination of the member’s occupancy of the member unit and the eviction of the member, the Board shall set off against the amount required to be paid the amount of any damage deposit and other refundable amounts that would be owing to the member on termination. 2013, c. 3, s. 31.