C-50 - Act to promote conciliation between lessees and property-owners

Replaced on 1 October 1980

This document has official status.

chapter C-50

Act to promote conciliation between lessees and property-owners

Chapter C-50 is replaced by the Act respecting the Régie du logement (chapter R-8.1). (1979, c. 48, s. 137).

1979, c. 48, s. 137.

Definitions

1. In this act, unless the context indicates a different sense, the following terms shall mean:

(a)  “administrator” : an officer charged with the administration of this act in the territory for which he is appointed and an assistant to such officer;

(b)  “lease” : a lease within the meaning of the Civil Code, whether written, verbal or presumed;

(c)  “commissioner” : a member of the Commission des loyers;

(d)  “Commission” : the Commission des loyers, charged with the administration of this act in Québec and constituted under section 2;

(e)  “house” : a house, dwelling, apartment or a room habitually occupied as a place of abode.

The fact that a lessee uses one or two rooms in the house where he regularly resides, to practice therein his profession, art, trade or business, shall not have the effect of withdrawing such house from the application of this act, provided that the space so used does not exceed one-third of the total space of the house.

In the application of sections 24, 26, 34 to 39, 50 and 54, the word “property-owner” includes the lessor of a room, even if he is not the owner thereof.

1950-51, c. 20, s. 1; 1951-52, c. 17, s. 2; 1977, c. 5, s. 14; 1977, c. 76, s. 1.

Rental Regulative Organizations

2. A commission, known as the “Commission des loyers” is hereby constituted to supervise the carrying out of this act and to exercise the other powers hereinafter assigned to it.

It is composed of members appointed in sufficient number by the Gouvernement.

One of the members, who must be a judge of the Provincial Court, is the chairman thereof and two others are the vice-chairmen.

If the chairman is unable to act by reason of absence or illness, he shall be replaced by the vice-chairman designated for such purpose by the Gouvernement or, if the latter also is unable to act, by the other vice-chairman.

The Commission may sit simultaneously in several divisions consisting of at least two members, with or without participation by the chairman or vice-chairman. In case of a tie-vote on any question, it shall be referred to the chairman, who shall decide.

1950-51, c. 20, s. 2; 1966-67, c. 83, s. 2; 1968, c. 79, s. 2; 1973, c. 73, s. 16; 1973, c. 75, s. 2; 1977, c. 5, s. 14.

3. The Gouvernement shall determine the salary of each member of the Commission, which, in each case, shall not be less than that being paid on 15 December 1958.

1950-51, c. 20, s. 3; 1952-53, c. 11, s. 1; 1956-57, c. 64, s. 1; 1958-59, c. 37, s. 1.

4. The secretary, the assistant secretary and the other officers and employees of the Commission shall be appointed and remunerated according to the Civil Service Act (chapter F-3.1).

The secretary shall have charge of the records and files of the Commission and the proceedings and documents produced before it.

He shall perform such other duties as are assigned to him by the Commission.

The assistant secretary shall exercise the powers of the secretary under the authority of the secretary. His signature authenticates any document falling within the jurisdiction of the secretary.

1950-51, c. 20, s. 4; 1975, c. 84, s. 2; 1976, c. 51, s. 2; 1978, c. 15, s. 140.

5. In case of the absence or inability to act of a commissioner for more than ten consecutive days, the Gouvernement may appoint, temporarily or permanently, a person to replace him.

1950-51, c. 20, s. 5.

6. The seat of the Commission shall be at Montréal, but it may hold sittings at any other place in Québec.

1950-51, c. 20, s. 6.

7. Two members shall constitute a quorum of the Commission.

In case of disagreement, respecting a decision to be rendered, the chairman shall have a casting vote.

Whenever a matter is heard, without the participation of the chairman, by the other commissioners, and the latter do not agree on a decision, the matter shall be referred promptly to the chairman for final decision by him.

1950-51, c. 20, s. 7; 1974, c. 76, s. 2.

8. The Gouvernement shall also appoint a rental administrator for each territory determined by it and fix his remuneration.

The Gouvernement may provide the administrators with such assistants as it deems necessary for the prompt disposal of the matters submitted to them. Such assistants shall have, in the territory for which they are appointed, the same jurisdiction and powers as the administrators to whom they are assigned, with respect to the hearing and deciding of applications made to the latter. In other respects they shall be under the direction of such administrators.

1950-51, c. 20, s. 8; 1951-52, c. 17, s. 3.

Powers of the Commission and of Administrators

9. Besides the specific powers hereinafter assigned to it, it shall be the duty of the Commission to supervise, advise and direct the local administrators, to see to the carrying out of this act in Québec and to ensure, in so far as is possible, that it is applied in a spirit of justice and fairness to lessees and property-owners.

1950-51, c. 20, s. 10.

10. The Commission may, by regulation:

(a)  prescribe the information that must be furnished by the parties and the forms it considers necessary, and determine the cases where the use of such forms is mandatory;

(b)  establish rules of practice for the service of notices, the institution and conduct of proceedings before the administrators and the Commission and the execution of their decisions;

(c)  establish rules for adjudication as to the disbursements and fees of attorneys on proceedings taken before the Commission and make tariffs for such disbursements and fees;

(d)  enact penalties for failure by witnesses to appear before the Commission or an administrator and for violation of the provisions of section 47;

(e)  determine what shall constitute a rooming-house within the meaning of paragraph f of section 39 and of section 60;

(f)  adopt such other measures as it deems expedient to ensure the fair and effective carrying out of this act.

1950-51, c. 20, s. 11; 1975, c. 84, s. 3.

11. Every regulation made by the Commission under section 10 shall be published in the Gazette officielle du Québec and shall come into force from and after the date of its publication or such other later date as is fixed by the regulation.

Every regulation so published shall be authentic and shall make proof of its existence and contents, and shall be deemed a public instrument of which all persons must take notice.

1950-51, c. 20, s. 12.

12. The Commission shall have jurisdiction to revise, on appeal by an interested party, the decisions of local administrators.

Subject to sections 17 to 22, decisions of the Commission are final.

1950-51, c. 20, s. 13; 1963 (1st sess.), c. 60, s. 2; 1975, c. 84, s. 4.

13. On pain of the lapse of the appeal, the party seeking revision of the decision of an administrator must, within thirty days following the mailing of such decision, file his application in the office of the secretary of the Commission, give notice thereof to the interested parties and to the administrator who rendered the decision and furnish to the Commission proof of such notice.

One of the parties may, for reasonable cause, request authorization from the Commission to file an application for appeal after the expiry of the delay provided for in the preceding paragraph, provided the other party does not incur serious prejudice thereby.

1950-51, c. 20, s. 14; 1951-52, c. 17, s. 4; 1953-54, c. 12, s. 2; 1960-61, c. 94, s. 2; 1975, c. 84, s. 5.

14. The administrator shall transmit the record of the case to the secretary of the Commission, not later than within three days from the receipt of such notice, and the Commission shall revise the decision of the administrator and render its own decision not later than within fifteen days thereafter, on the record as produced.

Nevertheless, if the Commission is of opinion that the record does not reveal all the facts requisite for the decision of the matter, it may obtain them by any means which it deems convenient, including the procuring of additional documents and of affidavits and the summoning, swearing and hearing of any persons capable of giving information, with power to compel them to appear, at a designated place and date, which date shall be the earliest possible within thirty days of the receipt of the record.

The Commission shall render its decision of the appeal not later than within ten days after the obtaining of such additional evidence and its secretary shall immediately give communication thereof to the parties and to the administrator before whom the matter was initiated.

1950-51, c. 20, s. 15.

15. Within their respective territorial jurisdiction, the administrators, in conformity with this act and the regulations made thereunder, shall pronounce upon matters of eviction, prolongation of leases and fixing of rents, and they shall hear and decide such contestations as arise in respect thereof between lessors and lessees.

They shall have all necessary powers to conduct inquiries, to summon, swear and hear witnesses and compel them to appear and to produce documents.

Their decisions are final, except in the cases contemplated by section 12 and subject to sections 17 to 22.

1950-51, c. 20, s. 16; 1975, c. 84, s. 6.

16. The Commission, the commissioners, the administrators and the other employees cannot be sued by reason of official acts done in good faith in the exercise of their functions.

None of the extraordinary recourses provided in articles 834 to 850 of the Code of Civil Procedure shall be exercised and no injunction shall be granted against the Commission or any of its members, administrators or assistant administrators by reason of acts, proceedings or decisions relating to the exercise of their functions under this act.

Article 33 of the Code of Civil Procedure shall not apply to the Commission.

Two judges of the Court of Appeal, upon motion, may annul summarily any writ, order or injunction issued or granted contrary to the two preceding paragraphs.

The commissioners and administrators and their secretaries may administer any oath required for the purposes of this act.

1950-51, c. 20, s. 17; 1968, c. 79, s. 3; 1974, c. 11, s. 2; 1975, c. 84, s. 7.

17. The administrator must, exofficio or on the written application of a party, correct any decision he has rendered in which there is a clerical error in writing or calculation.

On receipt of the application, the administrator shall send copy thereof to the other party.

He shall send the corrected decision with the shortest possible delay to the parties or, where such is the case, notify them that the application is dismissed.

1975, c. 84, s. 8.

18. Another administrator may correct the decision if the administrator who rendered the decision is no longer in office, or is absent or unable to act.

1975, c. 84, s. 8.

19. Where a decision is rendered against a party who was prevented from appearing or from filing evidence, by surprise, fraud or another reason considered sufficient, such party may demand, in writing, that the decision be revoked and that a new hearing be held within fifteen days from the day the decision is known or, as the case may be, from the time the party is no longer prevented from appearing.

A party may also, within fifteen days of the service of a decision, apply in writing for the revocation thereof if the administrator has omitted to adjudicate on part of the demand or has granted more than was demanded.

1975, c. 84, s. 8.

20. On receipt of the demand for revocation, the administrator shall send copy thereof to the other party and to the Commission and shall notify the parties of the day and time of the hearing of the demand.

He shall send the new decision to the parties with the shortest possible delay or, as the case may be, notify them of the dismissal of the demand.

1975, c. 84, s. 8.

21. The revocation or correction of a decision shall not be demanded if the decision has been appealed from or homologated.

The demand for revocation or correction suspends the execution of the decision and interrupts the delay for appeal until the parties are notified of the new decision.

1975, c. 84, s. 8.

22. Sections 17 to 21 apply, with the necessary changes, to a decision of the Commission.

1975, c. 84, a. 8.

Prevention of evictions and fixing of rents

23. Except in the cases of sections 39 and 56, no lessee shall be evicted, by reason of the expiration of his lease, from the house in which he is living, if he obtains a prolongation of such lease and pays the rent exigible thereunder in conformity with the following provisions.

However, in the case of the lease of a room and if the lessor of such room is himself lessee of the house, the lessee of such room may also be evicted when the lessor’s lease ends, without prejudice to his recourses; for the application of this paragraph, a lease tacitly renewed, renewed or extended is not deemed to have ended.

1950-51, c. 20, s. 19; 1962, c. 56, s. 3; 1977, c. 76, s. 2.

24. The lessee who receives the notice provided for in article 1630, 1646, 1647 or 1660 of the Civil Code may:

(1)  within thirty days of such notice, in the case of a lease for a fixed term of twelve months or more, or

(2)  within ten days of such notice in other cases:

(a)  notify the property-owner in writing of his intention to vacate the dwelling at the expiry of the lease, or

(b)  file and application to the administrator for the extension of the lease and fixing of the rent. He must, within such delay, give the owner notice of such application and furnish the administrator proof that such notice has been given.

1973, c. 75, s. 3; 1974, c. 76, s. 3.

25. The lessee who does not act in accordance with section 24 is deemed to have agreed to vacate the dwelling or to have assented to the extension of the lease on the conditions or at the rent sought by the lessor.

Such extension shall be for a period identical to that of the current lease but shall not exceed one year.

1950-51, c. 20, s. 20; 1951-52, c. 17, s. 5; 1962, c. 56, s. 4; 1968, c. 79, s. 4; 1973, c. 75, s. 3; 1974, c. 76, s. 4.

26. Pursuant to an application made under paragraph b of paragraph 2 of section 24, the administrator must extend the lease and fix the rent exigible in respect of the extended term.

However, the application for an extension must be denied when the administrator grants an application made under section 34, 39, 41, 43, 44 or 45 or when he has authorized the registration of a declaration of co-ownership under section 42 except in the case of subsection 6 of the said section.

The administrator may extend the lease for any period he deems fair and just to the parties but not longer than one year.

He shall rule, if such is the case, on the application of the owner to change any condition of the lease other than the rent.

1951-52, c. 17, s. 6; 1973, c. 75, s. 4; 1974, c. 76, s. 5; 1975, c. 84, s. 9; 1977, c. 76, s. 3.

27. The administrator, after hearing the parties and before rendering his decision, shall endeavour to reconcile their respective demands and bring them to an agreement.

For this purpose and in order to hasten the disposal of the matters submitted to him, he may also upon examination of the record and of a report of the inquiry containing the requisite information, and without waiting for the case to come on his roll for hearing send to the parties a proposal of settlement, by registered or certified letter to the last address given him by each of them respectively.

If, within ten days of the mailing of such proposal, neither of the parties serves notice on the administrator of his refusal to accept it, they shall be deemed to have accepted it or to have otherwise agreed, and the administrator shall note such fact in the record; otherwise he shall proceed to hear the case in the ordinary manner.

1951-52, c. 17, s. 6; 1975, c. 83, s. 84.

28. The parties shall be bound by any agreement reached between them, or deemed to have been reached pursuant to section 27.

1951-52, c. 17, s. 6.

29. For the purposes of the fixing of rental in accordance with this act, the lease of a parking place made with the lessor is deemed accessory to the principal lease, even if it is the subject of a distinct contract.

1973, c. 75, s. 5.

30. The administrator who dismisses an application for retaking possession, conversion, subdivision or demolition of the immoveable under section 34, 42, 43, 44 or 45 or for cancellation of the lease under section 39 must extend the lease and fix the rent in accordance with section 26.

This section applies only to applications which have effect only at the expiry of the lease. It also applies in the case of a request for the cancellation of lease when the final award occurs after the expiry of the delay provided for by article 1661 of the Civil Code.

In the case of an immoveable contemplated in section 62, the administrator shall extend the lease without fixing the rent.

1974, c. 76, s. 6; 1977, c. 76, s. 4.

31. In case of objection respecting the amount of readjustment of the lease from a clause of variation of rent, the lessee may, within fifteen days of the application of the lessor, apply to the administrator to fix the rent in accordance with the clause of variation.

The administrator may also, if circumstances so require, adjudicate on the validity and interpretation of such clause.

1974, c. 76, s. 6; 1975, c. 84, s. 10.

32. No lessee shall be evicted from the house which he occupies during the delay allowed him to apply for the prolongation of his lease, or before final adjudication on such application; and during that period he shall only pay the rent stipulated in the lease, save the payment of the supplement within the twenty days following the final adjudication on his application, if a higher rent is fixed and save the reimbursement of the difference within the same delay, if a lower rent is fixed.

If the lessee is required to pay additional rent following final adjudication on his application, and if such adjudication was pronounced more than three months after the filing of such application, the administrator or the Commission as the case may be, may apportion the amount of such additional rent, in equal monthly payments, over a period which he deems equitable, but which in no case shall exceed six months or the term of the prolongation of the lease.

1950-51, c. 20, s. 21; 1951-52, c. 17, s. 7; 1977, c. 76, s. 5.

33. Failing agreement between the parties, the administrators and the Commission, in the exercise of their respective jurisdictions and within the limits of this act, may prevent the eviction of lessees at the expiration of leases, prolong the latter and fix reasonable rents for the prolongation thereof.

1950-51, c. 20, s. 22.

34. The owner or usufructuary of a dwelling may, at the expiry of the lease or, as the case may be, at the expiry of the delay provided for in the second paragraph of article 1646 of the Civil Code, recover possession thereof to dwell therein himself or to lodge therein his mother, grandmother, father, grandfather, son, grandson, daughter, grand-daughter, daughter-in-law, son-in-law, father-in-law, mother-in-law, stepson or stepdaughter or to lodge therein any other relative whose main support he is.

Nevertheless, such recovery of possession can only be granted if the owner or usufructuary shows clearly that he is in good faith, that he really intends to use said house for one of the purposes specifically mentioned in this section and that it is not a case of a pretext or design to attain other purposes.

If the owner, or the relation for whose use he applies for the possession of the house, under this section, already occupies another house belonging to the owner, the administrator may, according to circumstances, refuse the application or impose as a condition that the owner grant to the lessee the use of the house that he or the relation in question has been occupying, for the rent and for the term which the administrator determines. This provision applies also to the usufructuary.

The evicted lessee has, and has always had since 30 April 1951, a recourse before the courts of competent jurisdiction, to recover the damages caused to him by a recovery of possession obtained in bad faith, for a purpose other than those contemplated in this section. However, a lessee of a room may not exercise such recourse by reason of an eviction occurring before 22 December 1977.

1950-51, c. 20, s. 23; 1951-52, c. 17, s. 8; 1952-53, c. 9, s. 2; 1962, c. 56, s. 5; 1974, c. 76, s. 7; 1975, c. 84, s. 11; 1977, c. 76, s. 6.

35. To exercise such right, the owner or usufructuary must give to the lessee a prior notice of at least ninety clear days before the expiry of the lease or, as the case may be, before the expiry of the delay provided for in the second paragraph of article 1646 of the Civil Code, if the term of the lease is one year or more. In the other cases, the notice shall be of thirty clear days.

Such notice must mention the date when the owner intends to resume possession of his house, the name of the person for whom he intends it and the degree of his relationship to such person.

If the lessee neglects or refuses to vacate the dwelling on the date specified in the notice, the administrator, on proof made to his satisfaction that the lessor will use the house in conformity with the provisions of section 34 and for one of the purposes therein mentioned, shall refuse the prolongation of the lease and thereupon the lessee shall be deemed to be occupying the house unlawfully.

The lessee who has received such notice shall, within thirty days of receiving it, in the case of a notice of ninety days or over, and within fifteen days of receiving it, in the case of a notice of thirty days or more but of less than ninety days, inform the owner of his intention to comply or not to comply with such notice, in default of which he shall be deemed to have agreed to vacate the house on the date mentioned in the notice and must do so. If the lessee informs the owner of his intention not to vacate the house on the date specified in the notice, the administrator may, on the application of either party and without awaiting the expiration of the delay given by the owner to the lessee to vacate the premises, hear the parties to determine if the owner meets the conditions required by section 34 for repossessing the rented house and he shall then adjudicate on the claims of the parties, in the same manner and with the same effect as if he had heard them, under this section, after the expiration of the date mentioned in the owner’s notice.

When an owner demands, in view of a future event, repossession of a rented house, the administrator may prolong the lease or extend its prolongation beyond the date specified for vacating in the owner’s notice, as the case may be, and until the occurrence of such event. Should the event not occur, the administrator may again prolong the lease or extend its prolongation as if the owner had not demanded repossession thereof; the case shall be the same when the person for whose use the owner demanded repossession dies before the date on which the lessee was bound to vacate the premises.

1950-51, c. 20, s. 24; 1952-53, c. 9, s. 3; 1974, c. 76, s. 8.

36. The owner who has recovered possession of a house for one of the purposes stated in section 34 may not at any time afterwards rent it or permit the use thereof for another purpose, unless he has obtained, previously, from the administrator authorization to do so and, if it is to be leased, the fixing of a maximum rent.

If the administrator is convinced, after having heard the interested parties, by the evidence and the circumstances that the owner was in bad faith in recovering possession of the house and that the reason given for such recovering of possession was a pretext to achieve another purpose, the administrator must only grant such authorization subject to the condition that the lessee evicted from the house under sections 34 and 35 may resume possession thereof, for the term and rent fixed by the administrator if, after having been informed by the latter of the owner’s application, the evicted lessee expresses the wish to do so.

If the evicted lessee does not avail himself of his right to recover possession of the house, authorization may be given to rent it to another person but, in such case, the administrator may make such authorization subject to any conditions which he may deem fair, including the fixing of the rent and the term of the lease.

1951-52, c. 17, s. 9; 1952-53, c. 9, s. 4.

37. No right of action shall lie to recover the rent of a house leased in violation of section 36, or in violation of any condition of an authorization obtained under the said section.

1951-52, c. 17, s. 9; 1952-53, c. 9, s. 5.

38. Every owner convicted, upon proceedings under Part I of the Summary Convictions Act, of infringing the provisions of section 36, or of violating any condition of an authorization obtained under the said section, is liable, in addition to the cost, to a fine equal to two months of the rent which was exigible from the lessee before his eviction.

1951-52, c. 17, s. 9; 1952-53, c. 9, s. 6.

39. The administrator must cancel the lease and allow the eviction of the lessee if one of the following facts is proved to him:

(a)  that the lessee is more than three weeks in arrears in the payment of his rent and the said rent has not been paid prior to hearing before the administrator;

(b)  that the lessee, a member of his family or any other person under his control or living with him behaves on the leased premises in such a way as to constitute, in the opinion of the administrator, a serious source of annoyance to the owner or to the neighbours;

(c)  that the premises are occupied for immoral purposes or contrary to any law or regulation of public order;

(d)  that the lessee continues in occupation of the premises more than three days after the date when he should have vacated the same pursuant to an agreement in writing made subsequently to his lease;

(e)  that the house has become crowded in consequence of the admission of occupants who are not members of the lessee’s family, to the point of exposing the occupants of such house to serious physical or moral perils;

(f)  that the lessee, without the owner’s permission, has converted the leased premises into a rooming-house as defined by the regulations of the Commission;

(g)  that the house concerned has been acquired by a municipal, school or ecclesiastical corporation or by a teaching or hospitalization institution and that the purchaser wants to use same, and it is a sine qua non condition, for public, educational or hospitalization purposes. The administrator may decree that cancellation of the lease shall only take effect at the expiry of a delay which shall not exceed thirty days, except by consent of the parties;

(h)  that the lessee or persons for whom he is responsible deteriorate the leased premises, volontarily or through neglect.

1950-51, c. 20, s. 25; 1951-52, c. 17, s. 10; 1952-53, c. 9, s. 7; 1957-58, c. 7, s. 7; 1962, c. 56, s. 8; 1974, c. 76, s. 12.

40. Whenever a house, without the act or fault of the lessee or of a person for whom he is responsible, suffers any deterioration which seriously reduces its rental value, or whenever the lessor reduces its space, services, or conveniences, the lessee, failing agreement with the lessor, may apply to the local administrator for cancellation of the lease or a reduction of rent and the administrator shall have power to grant him such reduction if he deems it equitable.

If the administrator has granted a reduction of rent, the lessor, from the moment he has remedied the defect, shall be entitled to re-establish the rent for the future.

1950-51, c. 20, s. 26; 1960-61, c. 94, s. 3; 1974, c. 76, s. 14.

41. The administrator may cancel the lease whenever, through age, disrepair, fortuitous event or irresistible force, the house is in danger of falling and dangerous to the public or occupants.

He may also permit an owner who so desires to make repairs to such house, and for such purpose may, if necessary, order the same to be temporarily vacated, on such conditions as he deems it expedient to fix for the protection of the lessee’s rights.

1951-52, c. 17, s. 11; 1974, c. 76, s. 15.

42. (1)  No person may, without the authorization of the administrator, register a declaration of co-ownership respecting a housing immoveable occupied by a lessee.

The application shall be made by the owner, in good faith, and served, within ten days, on the lessees affected by the change of destination of the premises.

(2)  The administrator shall notify each party of his decision.

The decision giving the authorization shall mention:

(a)  that the lease shall be maintained until its expiry, except in the cases provided by law, and

(b)  that, without further notice, the lease shall not be extended beyond its term except if the premises occupied by the lessee are not sold.

(3)  The owner who has obtained such authorization or the purchaser of the dwelling occupied by the lessee must, subject to the second paragraph of article 1646 of the Civil Code, respect the current lease until its expiry.

(4)  The owner who has obtained such authorization must, within thirty days, post up in a conspicuous place in the entrance hall a notice indicating:

(a)  that the administrator has authorized the registration of a declaration of co-ownership, and

(b)  that, for every lease made, renewed or extended by the owner after the date of the posting up, the lessee shall not be entitled to an extension of his lease, except if the premises occupied by the lessee are not sold.

The notice shall also indicate the date of the authorization. It must be kept posted up until the dwellings are sold.

(5)  An owner who has obtained such authorization shall not subsequently make, renew or extend a lease without having previously obtained the authorization of the administrator who shall then fix the exigible rent with regard to such lease in accordance with section 26.

There is no right of action for collection of rent if the authorization has not been obtained.

(6)  Any lessee of a dwelling which is not sold three months before the expiry of the lease or who has not received from the new purchaser the notice mentioned in section 35, unless he gave the notice provided for in the second paragraph of article 1660 of the Civil Code, may apply to the administrator for an extension of the lease.

The application must be filed not later than within the fifteen days following the expiry of the lease and notified to the owner of the immoveable within the same delay.

The administrator shall extend the lease for a term equal to that of the preceding lease but not exceeding one year. He shall also fix the rent exigible, in accordance with section 26, if the owner requires it at the hearing.

(7)  The registrar must register every declaration of co-ownership upon proof that the authorization provided for in subsection 1 has been granted and that the decision has not been appealed from.

(8)  Any person who contravenes subsection 1, 3, 4 or 5 of this section or who, to prevent the extension of a lease, falsely represents that the dwelling has been sold is guilty of an offence.

(9)  Any lease made, renewed or extended by the purchaser of a dwelling contemplated by this section is subject to this act.

1974, c. 76, s. 16.

43. No person shall, without the authorization of the administrator, convert a dwelling-house into a commercial or industrial establishment.

The administrator shall not permit such conversion to be made or undertaken, while the house is occupied by a lessee under a lease or a prolongation of a lease in force, but he may, before the expiration of the term of such lease or of such prolongation, hear the application for conversion and grant it to take effect at the expiration of such term; if he decides to grant the application for conversion every application for prolongation of a lease pending before him shall be deemed rejected, notwithstanding the provisions of section 26.

Such request to convert may be made by the owner only. The said conversion must be requested in good faith under penalty of damages recoverable before the competent court.

1950-51, c. 20, s. 27; 1951-52, c. 17, s. 12; 1952-53, c. 9, s. 9; 1973, c. 75, s. 6; 1974, c. 76, s. 17.

44. Subject to the application of all municipal by-laws then in force and especially by-laws respecting the construction and alteration of immoveables in the municipality, the administrator may authorize the subdivision into several dwellings, of a large house occupied by a single lessee under a prolongation of a lease, upon such conditions as he may determine for the protection of the rights of such lessee and of the lessees of the new dwellings.

If such a subdivision is made without the authorization of the administrator, the lessor or the lessee of any dwelling resulting therefrom may obtain from the administrator the fixing of a reasonable rent for any such dwelling, on application made within sixty days of the lessee’s entry into possession.

1951-52, c. 17, s. 13; 1952-53, c. 9, s. 20; 1954-55, c. 7, s. 2.

45. Subject to the application of all municipal by-laws then in force and especially by-laws respecting the construction and alteration of immoveables in the municipality, the administrator may authorize the demolition of a dwelling-house with a view to its reconstruction as a dwelling-house or as an industrial or commercial establishment.

The administrator shall not permit such demolition to be made or undertaken while the house is occupied by a lessee under a lease or a prolongation of a lease in force, but he may, before the expiration of the term of such lease or of such prolongation, hear the application for demolition and grant it to take effect at the expiration of such term; if he decides to grant the application for demolition, every application for prolongation of a lease pending before him shall be deemed rejected.

Such application for demolition may be made by the owner only. The said demolition must be applied for and effected in good faith under penalty of damages recoverable before a competent court.

1968, c. 79, s. 5.

46. The lessee who wishes to cancel his lease for one of the causes mentioned in article 1664a of the Civil Code must file an application with the administrator with the delay provided for in the said article. He must, with the same delay, give to the lessor notice of his application and furnish to the administrator proof that such notice has been given.

The administrator shall then grant the cancellation if the lessee shows that he has obtained permission to occupy one of the dwellings contemplated in the said article and that it is not a pretext to attain other purposes.

If the lessee has obtained such cancellation in bad faith for a purpose other than those provided for by article 1664a of the said Code, the lessor may claim from him, before the competent tribunal, an indemnity for the prejudice he has suffered by reason of such cancellation.

1974, c. 76, s. 18.

47. It is forbidden to exact from the lessee, directly or indirectly, any disguised additional rent in the form of a premium, commission, bonus, penalty, money payment to obtain the key, purchase of furnishings at a price above their value, or by any other subterfuge designed to conceal a part of the consideration exacted from the lessee for the lease of a house.

The lessee shall have a right of action to recover any sum so paid, without prejudice to the penalty provided by the regulations of the Commission for such offence.

Such right of action shall be prescribed by one year from the day when the lessee vacated the leased house.

1950-51, c. 20, s. 28; 1957-58, c. 7, s. 8.

48. In the case of the sale of furnishings by the lessor to the lessee as a condition or at the time of a lease, the lessee, on alleging on oath that he has reason to believe that the sale price of such furnishings is exaggerated and is a subterfuge for exacting from him a disguised additional rent, may apply to the administrator to have such furnishings valued; for the purposes of this act, the administrator’s valuation shall avail as proof of the value of such furnishings.

Such application, on pain of nullity, must be made within sixty days after the lease is made.

The lessee has a right of action against the lessor to recover the difference between the value of the furnishings as fixed by the administrator and the price he has effectively paid the lessor for them. Such action is prescribed by one year.

The lessee may also retain, and set off in compensation against the rent due or to become due, the amount which he is entitled to recover from the lessor under this section.

1951-52, c. 17, s. 14; 1952-53, c. 9, s. 10; 1962, c. 56, s. 9.

49. When a lessee, in order to obtain a lease or possession of a house, is forced to agree to the purchase of furnishings from a preceding lessee, he may, on alleging on oath that he has reason to believe that the sale price thereof is abusive, apply to the administrator to value such furnishings; for the purposes of this act, the administrator’s valuation shall be proof of the value of such furnishings.

Such application, on pain of nullity, must be made within sixty days after the lease is made.

The purchaser of the furnishings has a right of action against the seller to recover the excess over the value of the furnishings as established by the administrator’s valuation. Such action is prescribed by one year.

The lessee may also, at his option, when furnishings have been placed in the house with a view to imposing the sale thereof upon him, through the preceding lessee as intermediary, as a condition of the leasing or the possession of such house, obtain the annulment of the sale, by action brought before the competent civil court, within sixty days after taking possession of the house.

Without prejudice to other legal means of proof, it shall be presumed that the furnishings were placed in the house for such purpose when they were placed there less than ninety days before the departure of the preceding lessee.

1952-53, c. 9, s. 11; 1953-54, c. 12, s. 3.

50. Any sale of furnishings to a lessee by a person other than the owner or a preceding lessee, as a condition or consideration for the lease of a house or as a means of obtaining such lease, is illegal and the lessee may have it annulled upon an ordinary action before the competent court. Neither the illegality of the sale nor the annulment thereof shall entail the nullity or annulment of the lease, notwithstanding article 1080 of the Civil Code.

Such action is prescribed by ninety days from the taking possession, by the lessee, of the rented house.

1952-53, c. 9, s. 11.

51. If the lessee, in order to obtain a lease of a house, is forced also to rent a garage, building, shed or similar premises, at a price which he has reason to believe to be abusive and to be exacted in order to obtain from him a disguised additional rent for the house, he may, within sixty days after the making of the lease respecting such garage, shed or premises, apply to the administrator to fix the rent thereof and the administrator, if it is established before him that the rent exacted is abusive, may reduce it to a fair amount.

1954-55, c. 7, s. 3.

52. An administrator, failing agreement between the interested parties, may grant to one or more persons of the family of a deceased lessee whom he deems sufficiently solvent, a prolongation of the lease in his or their name, for the benefit of such family, in the same manner as he might have granted it to the lessee himself if the latter had not died.

If the prolongation of the lease is granted to more than one person of the family, they are jointly and severally responsible for the rent and for the performance of the other obligations resulting from the lease so prolonged.

The administrator may also, on the same conditions, grant to the separated or divorced spouse of the lessee an extension of the lease in his name.

1951-52, c. 17, s. 15; 1953-54, c. 12. s. 4; 1975, c. 84, s. 12.

53. No person may, without the authorization of the administrator, exact from a new lessee or from a sublessee a rent higher than the lowest rent that was in force during the twelve months preceding the beginning of the lease or the sublease, computed on a monthly basis. However, the highest rent during such twelve months may be exacted if it was fixed by the administrator.

Every person who pays a rent exacted in contravention to the first paragraph may within sixty days from the date of beginning of the lease or the sublease, apply for the reduction of his rent to the level provided for by the said paragraph. The administrator shall then fix the rent as if it were an application for the fixing of rent provided for in section 24.

1951-52, c. 17, s. 15; 1952-53, c. 9, s. 12; 1953-54, c. 12, s. 5; 1954-55, c. 17, s. 2; 1960-61, c. 94, s. 4; 1974, c. 76, s. 19; 1976, c. 51, s. 4.

54. When an owner has obtained unilaterally from the administrator, under section 53, authorization to rent a house to a new lessee at a price higher than that which was exigible from the preceding lessee, without the new lessee having been summoned or called before the administrator to attend the hearing of the owner’s application for authorization, the new lessee, if he has reason to believe that the rent authorized in his absence, upon the unilateral evidence of the owner, is excessive, may apply to the administrator for the reduction thereof, by an application made within thirty days after taking possession of the house and upon such application, the administrator may revise his former authorization, or confirm or alter the same, and the rent fixed after such revision shall be the lawful rent exigible from the new lessee.

1954-55, c. 7, s. 4.

55. The expression “new lessee”, within the meaning of sections 53 and 54, includes a person who was occupying the premises during the lease of the previous lessee and becomes the lessee himself on the expiry of the lease.

1976, c. 51, s. 5.

56. Nothing in this act shall prevent a competent court of justice from annulling an unexpired or prolonged lease for any cause of nullity common to contracts, or from rescinding the same for any cause contemplated by the Civil Code.

1950-51, c. 20, s. 30; 1973, c. 75, s. 7.

57. One party may, on reasonable ground, apply to the administrator for the authorization to give a notice or file an application after the expiry of the delays provided by this act provided that the other party suffers no serious prejudice.

1974, c. 76, s. 21.

58. The decision of an administrator or of the Commission may be homologated by the Provincial Court or by one of its judges, in the district where the dwelling forming the object of the lease is situated.

The judgment of homologation shall be executory fifteen days after the date it is rendered, unless the administrator, in the cases provided by this act, has granted a longer delay for the execution of his decision, in which case the judgment is executory only at the expiry of such delay.

The judgment of homologation shall be rendered upon filing of a copy of the decision of the administrator or the Commission, which must be certified by the administrator or his assistant, or a commissioner or the secretary of the Commission, as the case may be.

1974, c. 76, s. 21.

Miscellaneous

59. The Gouvernement may make regulations

(a)  to decree any suppletory, interpretative or accessory provision relating to the application of this act or having the effect of amending or repealing provisions thereof;

(b)  to determine, subject to the provisions of sections 2 to 8, the duties, powers and conditions of engagement or of appointment of the commissioners, of the administrators and of their employees;

(c)  to modify the formalities and delays of procedure prescribed by this act whenever it deems it expedient for the protection of the respective rights of interested parties;

(d)  to enact penalties for the violation of the provisions of this act;

(e)  establish a method for the fixing of the rent of a dwelling taking into account the rent paid at the expiry of the lease, the income from the immoveable in which the dwelling is situated, the variations in the cost of operating the immoveable, repairs, major improvements and new services, the impact of the variation of the market interest rate on hypothecs upon the value of immoveables or any other circumstance relevant to the fixing of a fair and reasonable rent;

(f)  adopt any other appropriate measure to attain the objects contemplated by this act.

The regulations made under this section shall be published in the Gazette officielle du Québec and come into force from such publication or any later date fixed therein.

1950-51, c. 20, s. 31; 1951-52, c. 17, s. 16; 1973, c. 75, s. 8; 1975, c. 84, s. 13.

60. This act does not apply:

(1)  to premises leased for other than residential purposes;

(2)  to a room

(a)  situated in an establishment for which a permit has been issued under the Hotels Act (chapter H-3) and the Act respecting health services and social services (chapter S-5), or

(b)  leased within the main residence of the lessor if two rooms or fewer are leased or offered for rent;

(3)  to a rooming-house as defined by the regulations of the Commission subject to subparagraph f of section 39;

(4)  to a dwelling leased as a vacation resort;

(5)  to a dwelling leased by an employer to his employee, accessory to a contract of work, except as regards the fixing of the rent;

(6)  to an immoveable on which construction work began after 31 December 1973.

Such exception shall only prevail for five years following the termination of the work.

“Termination of the work” means, for the purposes of the preceding paragraph, the date on which the immoveable is ready for the use for which it is intended.

This paragraph does not apply to a room situated in such an immoveable.

1950-51, c. 20, s. 34; 1951-52, c. 17, s. 17; 1952-53, c. 9, s. 14; 1968, c. 79, s. 7; 1973, c. 75, s. 10; 1974, c. 76, s. 22; 1977, c. 76, s. 7.

61. When a lease applies both to a house and to premises leased for commercial or industrial purposes, with a separate entrance for each and an inclusive rent for both, the lease may be prolonged and a rent fixed for the house, pursuant to the provisions of this act.

1952-53, c. 9, s. 15.

62. Sections 24, 25, 26, 31, 34, 35, 36, 37, 38, 53, 54, and 55, and subsection 6 of section 60, do not apply to low rental housing

(a)  administered by a corporation constituted in accordance with section 57 of the Act respecting the Société d’habitation du Québec (chapter S-8);

(b)  constructed under the Act to authorize the members of the council of the city of Montréal to carry out a plan for the elimination of slums and the construction of sanitary housing (1956/1957, chapter 23) and the Act further to facilitate the carrying out of a plan for the elimination of slums and the construction of sanitary dwellings in the city of Montréal (1956/1957, chapter 53); or

(c)  owned by the Société d’habitation du Québec.

The lessor of such an immoveable who does not intend to extend, at its expiry, the lease of a lessee must apply for authorization therefor to the administrator. Such authorization shall not be granted except for a reason provided in section 39. The application must be made within the delays provided for in articles 1631 and 1661 of the Civil Code.

1977, c. 76, s. 8.

63. The spirit and the purposes of this act are to do justice to all interested parties, to encourage conciliation between them, and to ensure a rental regime equitable to the public in general, having regard to the circumstances, and in its application it shall be interpreted broadly and in keeping with those principles.

1950-51, c. 20, s. 36; 1951-52, c. 17, s. 19.