Tenant-Landlord Dispute vs Small Claims Court in New Brunswick

New Brunswick has two different forums for disputes between landlords and tenants, and filing in the wrong one wastes time, money, and your filing fee. Whether the tenancy has ended and whether the TLRO still has administrative jurisdiction both matter.

The TLRO Handles Active Tenancies

The Tenant and Landlord Relations Office (TLRO) has jurisdiction over residential tenancy disputes under the Residential Tenancies Act. If the lease is still in effect or the tenancy has not formally ended, the TLRO is where you go for:

• Security deposit return disputes
• Rent arrears during an active tenancy
• Habitability and repair complaints
• Eviction orders

A Residential Tenancies Officer hears the case and issues an order. If either party disagrees with that order, they can apply to the Court of King's Bench for a review within seven days — but only on grounds of lack of jurisdiction or error of law, not just because they dislike the outcome.

Small Claims Court After the Tenancy Ends

Once a residential tenancy has ended and the TLRO no longer has administrative jurisdiction, former landlords and former tenants can take their dispute to Small Claims Court for amounts up to $20,000. Common post-tenancy claims include:

• A former landlord suing a former tenant for property damage beyond the security deposit
• A former tenant suing to recover an unreturned security deposit after the TLRO no longer has administrative jurisdiction over it

The tenancy must have ended, and the TLRO must no longer have administrative jurisdiction over the security deposit or property-damage claim.

Commercial Leases Go Straight to Small Claims

This jurisdictional split applies only to residential tenancies. Commercial lease disputes — unpaid rent on a retail space, damage to a commercial property, disputes over a commercial lease break — are governed by contract law and the Landlord and Tenant Act, not the Residential Tenancies Act. There is no TLRO jurisdiction over commercial leases. If the claim is $20,000 or less, it goes directly to Small Claims Court.

What If the Other Side Filed in the Wrong Forum?

If someone has sued you in Small Claims Court over a dispute that should be at the TLRO (or vice versa), raise the jurisdictional issue in your response. A hearing officer cannot hear a case that falls outside the court's subject-matter jurisdiction. A Residential Tenancies Officer cannot adjudicate a commercial lease, while a post-tenancy property-damage claim belongs in Small Claims Court only when the TLRO no longer has administrative jurisdiction over it.

Getting this right up front saves months of procedural detours.

Our New Brunswick small claims response guide covers the jurisdictional rules for defendants and includes a decision matrix for determining which forum applies to your dispute.

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