Bill 97 doubles RTA fines for Ontario landlords starting July 1, 2026. Individual landlords now face fines up to $100,000 and corporations up to $500,000 for offences under the Residential Tenancies Act.
On June 8, 2023, Bill 97, Helping Homebuyers, Protecting Tenants Act, 2023 (“Bill 97”) received Royal Assent. Among other Acts, Bill 97 sought to amend the Residential Tenancies Act, 2006 (“RTA”) on various issues. However, none of those amendments came into force in 2023. In fact, the province did not even announce a start date. As a result, the proposed changes did not become law, and landlords waited without a clear timeline. Until now.
July 1, 2026 is the date on which some, but not all, items within Bill 97 will change the RTA. In this article, the landlord’s legal team at Gobin & Leyenson LLP identifies one of the changes that become law on July 1, 2026, and explains how it affects residential landlords in Ontario.
Landlords can face charges under the RTA and the Provincial Offences Act with double fines. This article focuses on some of the common charges and how Bill 97 increases the associated fines.
Offences with “Knowledge”
Landlords may be charged with a provincial offence under the RTA. A landlord “knowingly” committing an offence under the RTA may be found guilty. For example:
- Knowingly changing the locks without giving a key to the tenant
- Giving false information in or about an eviction notice
- Taking back the rental unit without following the RTA rules
- Harassing or threatening a tenant, causing them to leave
Other Offences
Some offences do not require knowledge for a charge or a conviction. These include:
- Illegally entering a rental unit
- Failing to pay interest on a last month’s rent deposit
- Not providing a rent receipt
- Charging illegal amounts
Harassment and Interference
A landlord or their agent can be found guilty of an RTA offence if they knowingly harass a tenant. This also applies if they interfere with a tenant’s reasonable enjoyment of the rental unit or building.
What Else?
- An attempt to commit an RTA offence can lead to charges and a conviction.
- Corporate landlords are not protected. Directors and officers of a corporation can be charged if they knew about an offence and allowed it to happen without acting to stop it.
- Authorities have two years to charge a landlord after they learn about an offence. For some offences, the deadline is two years from when the offence happened.
- An RTA conviction is not a criminal record. It is a provincial law, so there is no risk of jail time.
- Investigators from the Investigation and Enforcement Unit (IEU) typically lay these charges. This unit is part of the Ministry of Municipal Affairs and Housing. In serious cases, police may get involved.
What Changes on July 1, 2026?
Currently, an individual landlord, director, or officer found guilty of an RTA offence could pay a fine of up to $50,000. A corporation could pay up to $250,000.
Starting July 1, 2026, these fines will double. An individual found guilty could face fines of up to $100,000. A corporation could face fines of up to $500,000.
With higher fines, the Investigation and Enforcement Unit will likely investigate RTA offences more actively. Landlords should get legal help immediately if the IEU contacts them with questions or accusations.
Disclaimer
This article is provided for general informational purposes only and does not constitute legal advice. Every situation is unique and the outcome of any particular matter will depend upon its specific facts and circumstances. Reading this article does not create a paralegal-client, lawyer-client, or solicitor-client relationship. If you require legal advice regarding your situation, you should obtain professional legal assistance. Contact Gobin & Leyenson LLP for advice specific to your situation.