In rental properties, damage may begin small but can worsen over time if left unaddressed. Under the Residential Tenancies Act, tenants have a legal obligation to notify the landlord of any needed repairs or ongoing damage. Failing to do so can turn unintentional minor damage into intentional damage, making tenants fully liable.
Gradual Damage
Unintentional minor damage, such as a small leak or crack, can potentially worsen over time. If the tenant notices the damage but fails to report it, allowing the issue to continue, it would be considered intentional damage. Both tenants and landlords should take reasonable steps to prevent damage from escalating. Tenants must notify landlords as soon as possible when repairs or maintenance are needed.
Substantial Damage
Intentional or substantial damage can lead to tenancy termination. A landlord can apply for termination if the tenant causes, permits, or threatens to cause significant damage to the rental property. Substantial damage is often the result of intentional harm, such as vandalism or severe neglect.
Damage Protocol for Landlords
When damage occurs, landlords should follow these steps to assess and address damages:
- Initial Inspection: Complete a comprehensive inspection report with photos of all areas. Take multiple photos of the damage(s).
- Determine Liability: Determine if the damage is fair wear and tear, intentional or careless..
- Consult the Tenant: Ask the tenant how the damage occurred and document their explanation. Take photos of the damage and check insurance coverage.
- Verify Damage with Owner: Verify the age and condition of the damaged area or item. Refer to the IRD depreciation schedule for depreciation and betterment.
- Contractor Evaluation: Obtain a contractor’s quote and summary of how the damage occurred.
- Issue Notice: Send a 14-day notice to the tenant with an invoice and ask them to sign an agreement if they accept liability.
- Repair Process: If the tenant agrees, proceed with the repairs and arrange payment even if the tenant needs a payment plan to cover costs..
- Tenancy Tribunal: If the tenant disputes liability, file an application with the Tenancy Tribunal for an order requiring the tenant to pay for damages.
