3 Things Landlords Can Do To Regulate Pot in Rental Properties

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With the Cannabis Act making recreational pot/marijuana use legal on October 17, 2018, I’ve had several clients, both landlord and tenant, approach me with questions regarding the consumption and production of pot/marijuana in rental properties.

In a nutshell, without adequate wording in their lease agreement, a landlord cannot prevent an existing tenant from consuming or producing pot/marijuana in a rental property, so long as the tenant complies with the following covenants, as set out in Section 21 of the Residential Tenancies Act:

  • That the tenant will not in any significant manner interfere with the rights of either the landlord or other tenants in the premises, the common areas or the property of which they form a part;
  • That the tenant will not endanger persons or property in the premises, the common areas or the property of which they form a part;
  • That the tenant will not do or permit significant damage to the premises, the common areas or the property of which they form a part; and
  • That the tenant will maintain the premises and any property rented with it in a reasonably clean condition.

So, what can a landlord do?

1) Argue that a tenant is in breach of the above covenants and, accordingly, demand an eviction. Due to the smell, danger of overburden electrical systems and increased moisture levels connected with the consumption and production of pot/marijuana, landlords may be able to successfully argue that a tenant who chooses to consume or produce pot/marijuana in a rental property is in breach of the covenants outlined above in the Residential Tenancies Act and, accordingly, demand an eviction.

2) Ask existing tenants to sign a new lease agreement that contains a prohibition on the consumption and production of pot/marijuana. In order for such a lease to be enforceable, the tenant signing the new lease agreement must be provided with fresh consideration such as a new lease term, a small cash payment or reduced rent.

3) Implement lease agreements for all new tenants with a prohibition on the consumption and production of pot/marijuana. This step is recommended in all cases due to the issues referenced in point (1) above and the potential for the consumption and production of pot/marijuana to be in breach of residential and commercial insurance policies.

Have questions about your rights as a landlord regarding the regulation of pot in your rental properties?

Or, want to implement a lease agreement that contains a prohibition on the consumption and production of pot?

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