Landlord Tenant Small Claims Court Ontario

The Landlord and Tenant Board Comes First

If you are a landlord or tenant in a residential tenancy governed by the Residential Tenancies Act, 2006 (RTA), the Landlord and Tenant Board (LTB) has exclusive jurisdiction over your dispute. Section 168(2) of the RTA is clear on this: rent arrears, damage claims, and security deposit disputes between current landlord and tenant go through the LTB, not Small Claims Court.

This applies even after the tenant leaves. A landlord seeking arrears or property damage compensation from a former tenant must file with the LTB within one year from the date the tenant ceased to be in possession of the unit. Miss that one-year window and the claim is time-barred — Small Claims Court cannot serve as a backup forum for time-barred LTB applications.

When Small Claims Court Does Apply

Small Claims Court handles landlord-tenant money disputes that fall outside the RTA's scope:

Commercial tenancies. The RTA governs residential tenancies only. If you lease commercial space — an office, retail storefront, or workshop — and the tenant owes rent or caused property damage, Small Claims Court is the correct forum for claims up to $50,000.

Excluded living arrangements. The RTA does not cover situations where the occupant shares a kitchen or bathroom with the property owner. If you rent a room in your own home and the arrangement goes wrong, that dispute belongs in Small Claims Court, not the LTB.

Post-LTB enforcement. If you already have an LTB money order and the tenant has not paid, confirm the current enforcement route with the LTB or a legal clinic. Do not treat enforcement of that order as a new Small Claims Court claim for the underlying residential tenancy dispute.

Third-party guarantors. A guarantor who co-signed a lease but is not themselves a tenant falls outside the LTB's jurisdiction. You sue the guarantor directly in Small Claims Court.

Tenant Damage Deposits

For residential tenancies governed by the RTA, money disputes between landlord and tenant fall within the LTB's exclusive jurisdiction. The deposit rules depend on the type of tenancy, so identify whether the RTA applies before choosing a forum.

If a tenant caused damage beyond normal wear and tear, the landlord's remedy is an LTB application under sections 88.1 or 89 of the RTA — filed within one year of the tenant leaving. If the arrangement is a commercial tenancy or an excluded occupancy, damage claims go through Small Claims Court instead.

If you are seeking the return of money paid as a deposit, use the LTB process for an RTA-governed tenancy. If the tenancy is excluded from the RTA (such as a commercial lease or certain shared accommodation with the owner), a money claim may belong in Small Claims Court.

Filing the Right Claim in the Right Place

Getting the forum wrong wastes time and money. A Small Claims Court clerk will accept your filing — they do not screen for LTB jurisdiction — but the defendant can bring a motion to dismiss, and you will be back at square one minus your filing fee and the months you lost.

Before you file, ask one question: is this a residential tenancy under the RTA? If yes, the LTB is your forum. If no — commercial lease, excluded occupancy, or third-party guarantor — Small Claims Court handles it.

Our Ontario Small Claims Court filing guide covers the full filing process for claims that belong in Small Claims Court, including naming the correct parties, serving documents, and preparing evidence for the hearing.

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