Repossessing or reclaiming a rental unit

Two very different situations, two distinct procedures. Repossession applies when you want to reclaim your property to live there yourself or house a family member. Reclaiming the unit at lease end concerns a tenant’s ordinary departure when the lease expires. Confusing the two, or overlooking legal deadlines, can cost you dearly in money and time.

Repossession: Rights and Conditions

You can repossess your unit to live there yourself or to house a family member. The law defines a limited list of eligible people: yourself, your children, your parents, your current spouse, or another relative or relative-by-marriage whom you primarily support financially. You cannot repossess a unit to give it to a friend, a colleague, or anyone with whom you have no family or spousal relationship.

An Important Limit on Ownership Structure

If your property is owned by a corporation, you cannot exercise the right of repossession. This right is attached to a natural person, not a legal entity. If you co-own the property with a third party who is not your spouse, your repossession rights are limited under specific conditions. Check your property’s ownership structure before starting any procedure.

The Procedure: Steps in Order

The Notice of Repossession

Send the tenant written notice at least 6 months before the end of the lease. This notice must state the exact date of repossession, the full name of the person who will live in the unit, and their family relationship to you. An incomplete notice can be challenged and invalidated. Send it by registered mail or hand-deliver it against signature.

The Tenant’s Response

The tenant has one month to respond in writing. If they accept, the lease ends on the planned date. If they refuse or don’t respond, this counts as a refusal, and you must file an application with the Tribunal administratif du logement (TAL) within the following month. If you don’t file within that one-month deadline, you lose your right of repossession for this cycle.

The Mandatory Indemnity Since Bill 31 (2024)

Since February 2024, Bill 31 requires a minimum indemnity for the evicted tenant. The calculation: one month’s rent per year of continuous tenancy, with a floor of 3 months and a cap of 24 months. You must also reimburse reasonable moving costs upon presentation of receipts. Concrete example: a tenant in place for 7 years with monthly rent of $1,200. Base indemnity: 7 months’ rent, or $8,400. Plus moving costs on receipts. Likely minimum total: between $9,000 and $11,000. Factor this cost into your decision before sending the notice.

The Risk of Bad Faith

If you repossess a unit and re-rent it within the following 12 months at a higher price, without having actually lived there or housed the person named in the notice, the evicted tenant can sue you for bad-faith repossession. Punitive damages awarded by the TAL in these cases can be substantial, sometimes tens of thousands of dollars. Repossession must be a genuine life plan, not a strategy to adjust rent to market rate.

Tenant Departure at Lease End

The Move-Out Inspection: Your Only Recourse for Damages

At the end of the lease, the tenant must return the keys by noon on the last day at the latest. Schedule the move-out inspection for the same day, with the tenant present. Compare each room against the move-in inspection report. Photograph any notable differences. If damages exceed normal wear and tear expected over the lease term, you can claim reimbursement through the TAL, but only if you have a move-in inspection report to support your claim. Without a move-in inspection report, you have virtually no recourse. Without a move-out inspection done in the tenant’s presence, your case will be weaker. The two documents together form your full protection.

Belongings Left in the Unit

If the tenant leaves items behind, the procedure depends on their nature and value. Obvious waste and items with no market value can be disposed of after photographic documentation. Items with real market value must be kept for 90 days. You must notify the tenant in writing of their presence, their location, and the deadline available to retrieve them. Disposing of valuable items too quickly can lead to a civil lawsuit.

Conclusion

Repossession is a real but demanding right, requiring rigorous preparation and strict adherence to deadlines. A tenant’s ordinary departure, on the other hand, is a well-defined procedure provided you have the right documents. In both cases, documentation and meeting deadlines are your best protection.