Bill 97 Is Finally Here — Well, Almost. Part V

On June 8, 2023, Bill 97, Helping Homebuyers, Protecting Tenants Act, 2023, received Royal Assent. Among other statutes, Bill 97 proposed amendments to the Residential Tenancies Act, 2006 (RTA). None of those amendments took effect in 2023, and the province did not announce a start date. As a result, the changes remained dormant, leaving landlords without a firm timeline. That uncertainty now has an end date.

September 21, 2026 is when some, though not all, provisions in Bill 97 will amend the RTA. In this article, the landlord’s legal team at Gobin & Leyenson LLP isolates one material change that takes effect on that date and assesses its implications for residential landlords in Ontario. Follow us on social media to remain informed and to make sound, timely decisions about your rental investment property. You can access our other articles HERE.

Overview of the September 21, 2026 Amendments

As noted in our May 23 article, the coming changes refine the framework for renovation or repair evictions. Landlords must notify tenants of the anticipated completion date, provide updates when that date shifts, and, where the tenant gives written notice, honour the tenant’s right of first refusal to return after the work concludes. These amendments clarify what constitutes a failure to meet those obligations and extend time limits for tenant applications.

Professional legal-themed graphic in deep royal blue, gold, and white for Gobin & Leyenson LLP. The image features an Ontario Landlord and Tenant Board N13 form on a clipboard with the heading “Notice to End your Tenancy Because the Landlord Wants to Demolish the Rental Unit, Repair it or Convert it to Another Use.” Beside the form are gold-accented legal books labeled “Residential Tenancies Act” and “Landlord and Tenant Board,” along with a black and gold pen. The right side contains gold calendar icons referencing July 1, 2026 and September 21, 2026 legislative changes, a notice that not all provisions are being brought into force, references to Bill 97 and Bill 60, and a “Follow Our Blog” section. The bottom displays the G&L logo with the text “Gobin & Leyenson LLP – Landlord’s Legal Team” and gold outline illustrations of residential buildings and houses.

ONTARIO LANDLORDS — IMPORTANT CHANGES ARE COMING.
New rules affecting N13 renovation, repair, demolition, and conversion notices are coming into force.
Do you understand:
• The Right of First Refusal?
• New landlord obligations?
• Potential risks at the LTB?
Procedural mistakes can be costly.
Stay informed before serving notices or starting renovation-related proceedings.

Presumption of Landlord’s Failure

  • Right of first refusal and re-occupancy: After an N13 notice for renovations or repairs, a tenant may deliver written notice of their intention to return when the work is complete. Once the work concludes, the landlord must permit re-occupancy on the same terms and conditions that applied before vacancy.
  • Remedies for denial: If the landlord refuses re-occupancy after receiving the tenant’s written notice, the tenant may apply to the Landlord and Tenant Board (LTB) for relief.
  • Statutory presumption effective September 21, 2026: A landlord who fails to provide the estimated re-occupancy date, fails to update any changes to that date, or fails to notify the tenant when the unit becomes available will be deemed to have failed to afford the tenant their statutory right of first refusal.

LTB Remedies and Timelines

Where a landlord fails to permit re-occupancy after a tenant exercises the right of first refusal in writing, the LTB may order the landlord to:

  • Compensate the tenant for increased rent the tenant paid or will pay for up to one year.
  • Pay general compensation up to 12 months of the last rent charged, even if the tenant did not incur higher rent elsewhere.
  • Reimburse reasonable out-of-pocket moving, storage, and comparable expenses.
  • Pay an administrative fine to the LTB of up to $50,000.00.
  • Comply with any further order the Board considers appropriate.

Under the current regime, the tenant must file within two years of moving out. Effective September 21, 2026, Bill 97, s. 3 amends RTA s. 57.1 to add an alternate filing window: the tenant may file within six months after completion of the repairs or renovations. This addition is significant where the work exceeds two years; the tenant can await completion and still file within six months if re-occupancy is refused.

Pending Applications

The amendments will apply to certain cases already in progress. If a tenant filed an application before September 21, 2026 and the LTB has not issued a final determination by that date, the new timing rule governs. A claim that missed the two-year window can still proceed if it satisfies the six-month-after-completion deadline. This retroactive effect is noteworthy and may revive applications that would otherwise be out of time.

Previously Dismissed Applications

The amendments will also permit, in defined circumstances, a fresh application on the same issue despite a prior dismissal. As of September 21, 2026, a tenant may file a new application within two years after moving out or within six months after completion of the repairs or renovations, whichever applies, even if their previous application was dismissed by the LTB. This operates alongside existing avenues such as a Request to Review, appeals, or judicial review.

Practical Impact on Landlords

  • Extended exposure periods: If renovations or repairs exceed two years, landlords remain exposed to claims for an additional six months after completion. Tenants can pursue re-occupancy and monetary remedies if re-entry is denied.
  • Heightened compliance expectations: The new presumption attaches to failures in notification—initial estimated completion, subsequent changes, and notice of availability. Those lapses will be treated as a failure to honour the right of first refusal, increasing potential liability.
  • Strategic planning: Attempting to run out the two-year clock by prolonging work will no longer insulate against applications. The six-month post-completion window closes this gap and may affect pending and previously dismissed matters.

Compliance Checklist for Landlords

  • Document timelines: Record your initial estimated completion date, track revisions, and communicate promptly in writing.
  • Confirm tenant rights: Acknowledge any tenant’s written notice exercising the right of first refusal and set out clear re-occupancy steps and timing.
  • Build realistic schedules: Include contingencies for permits, inspections, and supply issues to avoid unnecessary delays.
  • Preserve evidence: Keep copies of permits, contracts, change orders, inspection reports, and all communications. Robust records can be decisive before the LTB.

Landlord legal team at Gobin & Leyenson LLP invites you to follow us on social media and stay current on changes and new cases affecting residential landlords in Ontario. This article provides general information only. It is not legal advice. Contact Gobin & Leyenson LLP for advice tailored to your situation.