Whether you're a landlord drafting a lease or a tenant signing one, understanding Ontario's lease rules is essential. Many common lease clauses are actually illegal under the Residential Tenancies Act (RTA).
The Ontario Standard Lease
Since April 30, 2018, most residential landlords in Ontario must use the Ontario Standard Lease form. This is a government-mandated template that ensures basic tenant protections are included.
Who Must Use It?
- Most private residential landlords
- Covers apartments, houses, condos, basement units
Who's Exempt?
- Social/community housing
- Student residences at universities
- Living accommodations included with employment
- Short-term rentals (less than a year) for vacation purposes
Common Illegal Lease Clauses
Even if both parties sign, these clauses are void and unenforceable:
❌ No Pets
The RTA prohibits no-pet clauses. You cannot evict a tenant for having a pet unless it causes allergies, damage, noise, or safety issues to other tenants.
❌ No Guests / Guest Restrictions
Tenants have the right to have guests. A clause limiting overnight guests or requiring guest registration is unenforceable.
❌ Post-Dated Cheques Required
A landlord can request post-dated cheques but cannot require them. Tenants can choose their payment method.
❌ Key Money / Extra Deposits
The only deposits a landlord can legally collect are: last month's rent deposit and the key deposit (refundable, actual cost only).
❌ Automatic Rent Increases
Clauses that automatically increase rent each year are void. Rent can only be increased with proper notice (N1 form, 90 days) and within the guideline.
When the Lease Ends
This surprises many people: your tenancy doesn't end when the lease term ends. In Ontario, a fixed-term lease automatically converts to a month-to-month tenancy with the same terms and same rent.
Your landlord cannot:
- Force you to sign a new lease at a higher rent
- Require you to move out at the end of the term
- Charge you a "lease renewal fee"
Know Your Rights
If your landlord has included illegal clauses in your lease or is trying to enforce them, you may have grounds to file a T2 Application with the LTB.