What to Do When a Tenant Refuses a Rent Increase in Quebec

The tenant's 3 possible replies

Example: notice received January 15. The tenant has until February 15 to reply in writing if they refuse the change or are leaving.

They have 3 options:

• Accept the renewal with the changes.
• Refuse the changes and stay in the unit.
• Not renew, and move out when the lease ends.

No reply: the tenant is deemed to accept

Example: notice received January 10, no reply by February 10. The tenant is deemed to have accepted the new rent and the other conditions in the notice.

That one-month period starts when the tenant receives the notice. This is why proof of receipt matters so much: without it, you cannot show when the period started, or even that the tenant got the notice.

With ProprioSign, the tenant confirms receipt with a click, then can reply and sign their answer online. Every date is recorded, so you have a clear record of who received what, and when.

Does refusing mean the tenant has to leave?

In most cases, no. Example: your tenant refuses a $45 monthly increase. They keep the unit, the lease renews, and the rent will be set by agreement or by the Tribunal.

A refusal forces the tenant to leave only if the restrictions section of the lease states one of these situations:

• The dwelling is in a housing cooperative.
• The dwelling is in a building built, or converted to rental use, 5 years ago or less. For a lease signed after February 20, 2024, in a building ready for habitation after that date, the lease must also state the maximum rent for those 5 years.

After a refusal: one month to apply to the Tribunal

Example: refusal received February 5. Your application to the TAL must be filed by March 5 at the latest. The Tribunal can then set the rent or rule on the other change you asked for.

If you do not apply within that time, the lease renews at the same rent and conditions. Before you file, gather:

• A copy of the notice sent to each tenant.
• Proof of receipt for each notice.
• The tenant's written refusal, with the date you received it.
• Documents that explain the increase, such as tax bills or invoices for work.

Application fees

The landlord pays the fees to open the application. The Tribunal can later order the tenant to reimburse them.

Example: you asked for $45 more per month, and the Tribunal grants $45 or more. If you had given the tenant access to the relevant data before applying, this is the kind of case where the Tribunal may have the tenant reimburse your fees. Sharing your numbers before you file can help.

Negotiating a settlement before the decision

Example: you asked for $1,045, and the tenant offers $1,020. You can settle at $1,030. Put the agreement in writing, dated and signed by you and by each tenant who signed the lease.

You can still negotiate after filing, as long as the Tribunal has not decided. A simple conversation with your numbers in hand can settle things faster than a hearing.

This guide is general information, not legal advice. The outcome of an application to the Tribunal depends on the facts of each case.