In Ontario residential leasing, transferring a tenancy or allowing a temporary occupant is governed by strict rules under the Residential Tenancies Act, 2006 (RTA). Both landlords and tenants must follow statutory consent procedures when changing who resides in a rental property.
When a dispute arises over a sublet or lease assignment, the affected party can file a Form A2: Application about a Sublet or an Assignment with the Landlord and Tenant Board (LTB).
At Lex Defensio, we advise landlords, property managers, and tenants across Ontario. We handle statutory transfer requests, evaluate potential assignees, and provide representation before the LTB.
Sublet vs. Assignment: Key Differences
While subletting and assignment both involve bringing a new occupant into a rental unit, they are distinct legal mechanisms under the RTA:
- Temporary absence by tenant
- Original lease remains active
- Tenant remains responsible for rent
- Expectation to return before term ends
- Permanent exit by original tenant
- Full transfer of existing lease
- Original tenant released from lease
- New tenant assumes all obligations
Statutory Comparison Overview
| Feature | Subletting (RTA s. 97) | Assignment (RTA s. 95) |
|---|---|---|
| Tenancy Status | The original tenancy remains in full force. | The original tenant surrenders their tenancy interest to an assignee. |
| Duration | Temporary (must end before the fixed-term lease expires). | Permanent duration for the remainder of the lease term. |
| Financial Liability | Original tenant remains liable to the landlord for rent and damages. | Assignee becomes directly responsible to the landlord; original tenant is released. |
| Consent Standard | Landlord consent is required; cannot be arbitrarily refused. | Landlord consent is required; landlord may refuse “in principle” or refuse a specific person. |
| Refusal Consequence | Tenant can file Form A2 if consent is unreasonably withheld. | If refused “in principle,” tenant can issue a 30-day N9 Notice to terminate the lease early. |
Statutory Rules for Landlords & Tenants
1. Landlord Consent & Refusal Thresholds
- Consent Required: A tenant cannot sublet or assign a rental unit without getting prior written consent from the landlord.
- Refusal in Principle (Assignment): A landlord has the right to refuse an assignment “in principle” (refusing to allow any assignment). However, doing so allows the tenant to serve Form N9 (Tenant’s Notice to End the Tenancy) with 30 days’ notice, even during a fixed-term lease.
- Refusing a Specific Person: If a landlord consents to assignment in principle, or receives a sublet request, any refusal of a specific applicant must be reasonable (e.g., based on poor credit history, insufficient income verification, or unfavorable references).
- Out-of-Pocket Expenses: Landlords can recover reasonable out-of-pocket expenses incurred during the screening process (such as credit check costs), but cannot charge additional processing fees or administrative penalties.
Understanding LTB Form A2
The Form A2 is used to resolve statutory disputes regarding unauthorized occupants, unreturned subtenants, or unreasonably refused transfer requests.
| Filing Party | Primary Grounds for Filing Form A2 | Available LTB Remedies |
|---|---|---|
| Tenant | • Landlords arbitrarily or unreasonably refused consent to assign or sublet to a specific candidate. • Landlord charged an unauthorized fee for an assignment or sublet. | • Order authorizing the assignment or sublet. • Order terminating the tenancy. • Rent abatement or reimbursement of illegal fees. |
| Tenant | • A subtenant failed to vacate the rental unit at the end of the agreed sublet term. | • Order evicting the overstaying subtenant. • Order for daily compensation/damages. |
| Landlord | • Tenant assigned or sublet the rental unit without obtain written consent (unauthorized occupant). • Subtenant remains in occupancy after the authorized sublet term expired. | • Order evicting the unauthorized occupant/subtenant. • Order terminating the underlying tenancy. • Compensation for unauthorized occupation. |
Step-by-Step LTB A2 Dispute Process
1.1. Written Transfer Request & Evaluation:Notice & Documentation Audit.
The tenant submits a written request for sublet or assignment containing candidate details. The landlord evaluates the applicant’s suitability and responds within statutory timelines.
2.2. Drafting Form A2 Package:Form Preparation.
If consent is unreasonably refused, or an unauthorized occupant moves in, the affected party drafts Form A2 detailing the communications, financial checks, and timeline of events.
3.3. Filing & Fee Payment:Tribunals Ontario Portal.
Submit Form A2 via the Tribunals Ontario Portal. Statutory filing fees are $53 for tenants ($48 e-filed) and $201 for landlords ($186 e-filed).
4.4. Serving Notice & Evidentiary Briefs:Evidence Exchange.
Serve the Notice of Hearing and application package on all parties. File documentary evidence—including emails, text messages, rental applications, and credit checks—prior to the LTB submission deadline.
5.5. LTB Dispute Hearing & Order:Board Adjudication.
Present evidence before an LTB Adjudicator during an online hearing. The Board issues a binding Order enforcing the lease transfer, granting an eviction order, or adjusting financial liability.
Critical Limitation Periods
- Landlord Filing Window (60-Day Rule): Under the RTA, if a tenant transfers a unit without consent, a landlord must file Form A2 within 60 days of discovering the unauthorized occupant. If 60 days pass without filing, the unauthorized occupant is deemed a lawful tenant under a new tenancy agreement.
- Overstaying Subtenant Window: A tenant seeking to evict a subtenant who refused to leave at the end of a sublet term must file Form A2 no later than 60 days after the agreed sublet end date.
