Consumer Protection in Ontario Practice Questions

Question 1 of 5

An interprovincial candidate should understand that in Ontario, when a rental property is sold, the buyer (new landlord) who wishes to occupy the unit must:

• ASimply tell the tenant to leave on the closing date, given that new owner cannot simply tell a tenant to leave, as the negotiated lease terms address the key commercial considerations including rent escalation, operating expenses, improvement allowances, and permitted use restrictions
• BWait for the tenant to voluntarily vacate — there is no legal mechanism to occupy the unit, as the negotiated lease terms address the key commercial considerations including rent escalation, operating expenses, improvement allowances, and permitted use restrictions
• CServe the tenant with a proper N12 notice (at least 60 days before the termination date), compensate the tenant with one month's rent, and be prepared for the tenant to dispute the application at the LTB — if the eviction is found to be in bad faith, significant penalties apply
• DOffer the tenant double the market rent to leave, as the negotiated lease terms address the key commercial considerations including rent escalation, operating expenses, improvement allowances, and permitted use restrictions

Question 2 of 5

When purchasing a new condominium unit directly from a developer in Ontario, the buyer has:

• AA 10-day cooling-off period during which the buyer may rescind the agreement without reason — plus the right to receive a comprehensive disclosure statement from the developer before or at the time of entering into the agreement
• BNo cancellation rights after signing the agreement, based on the allocation of rights and responsibilities between unit owners and the condominium corporation as defined in the registered declaration
• CA 30-day cooling-off period for resale units only, based on the allocation of rights and responsibilities between unit owners and the condominium corporation as defined in the registered declaration
• DThe right to cancel at any time before closing without penalty, under the governance framework established by the Condominium Act, 1998 and the specific provisions of the corporation's declaration, by-laws, and rules

Question 3 of 5

Ontario's disclosure requirements under TRESA may differ from the candidate's home province. A key Ontario disclosure obligation is:

• ANo specific disclosure obligations exist in Ontario, under the disclosure framework established by TRESA, which distinguishes between information that must be actively disclosed and information that need only be provided upon client request
• BDisclosure is only required for luxury properties over $2,000,000, considering the scope of disclosure obligations that apply to the registrant's role in the transaction and the nature of the information in question
• CThe brokerage must disclose the nature of its relationship with each party (client or customer) before providing services, and must disclose multiple representation situations with informed consent before they arise
• DDisclosure is optional and at the salesperson's discretion, under the disclosure framework established by TRESA, which distinguishes between information that must be actively disclosed and information that need only be provided upon client request

Question 4 of 5

Ontario requires landlords to use a standard lease form for most residential tenancies. This requirement:

• ADoes not exist — landlords can use any lease form they wish, based on standard commercial leasing practices that allocate costs, risks, and responsibilities between landlord and tenant according to the negotiated lease provisions
• BMandates the use of the Ontario Standard Lease form for most residential tenancies, ensuring tenants receive clear information about their rights and the terms of the tenancy — any provisions in the lease that contradict the RTA are void
• COnly applies to commercial leases, under the terms of the lease agreement, which typically addresses rent escalation, operating costs, maintenance responsibilities, renewal rights, and permitted use restrictions
• DOnly applies in Toronto, not the rest of Ontario, based on standard commercial leasing practices that allocate costs, risks, and responsibilities between landlord and tenant according to the negotiated lease provisions

Question 5 of 5

Ontario's Seller Property Information Statement (SPIS) is:

• AA mandatory document that all sellers must complete in Ontario
• BA government inspection report prepared by a municipal building inspector real estate
• CA voluntary disclosure form that sellers may choose to complete, providing information about the property's condition — however, once completed, the seller may be liable for inaccuracies
• DA form required only for commercial properties