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Breaking a Lease in Canada: Assign, Sublet, or Exit Early

By Recording Law Editorial Team7 min read
Breaking a Lease in Canada: Assign, Sublet, or Exit Early

Frequently Asked Questions

Can I break my lease early in Canada without penalty?

Only if a recognized legal route applies, such as assignment, subletting, mutual agreement with the landlord, or, in Ontario, British Columbia, and Alberta, an early-termination right for family or domestic violence. Leaving without one of these generally leaves a tenant liable for the landlord's actual losses, reduced by the landlord's duty to mitigate.

What is the difference between assigning a lease and subletting it?

Assignment permanently transfers the lease to a new tenant, who takes over all rights and obligations, and the original tenant is generally released. Subletting is temporary; the original tenant keeps the lease and stays responsible for the rent and the subtenant's conduct.

Can my landlord refuse to let me assign or sublet my unit?

In Ontario, British Columbia, and Alberta, a landlord's consent generally cannot be unreasonably withheld, and a tenant can dispute an unreasonable refusal. In Quebec, a landlord may refuse an assignment for any reason since a 2024 reform, but the refusal then ends the lease and releases the tenant; a refusal to sublet still needs a serious reason.

Does my landlord have to try to re-rent the unit if I move out early?

In the provinces covered here, yes. Landlords generally have a duty to take reasonable steps to minimize their losses, typically by advertising the unit and making reasonable efforts to find a new tenant, rather than simply billing the departing tenant for the entire remaining term.

What happens if my fixed-term lease ends and I do not sign a new one?

In Ontario, the tenancy automatically continues on a month-to-month basis under the same terms, and the landlord cannot force the tenant out just because the term expired. British Columbia reaches a similar result in most cases, since a clause requiring the tenant to leave at the end of a fixed term is only enforceable in narrow situations. Rules differ elsewhere, so check with the provincial tenancy office.

Sources and References

  1. Government of Ontario (e-Laws) - Residential Tenancies Act, 2006, SO 2006, c 17 (ss 16 duty to mitigate, 38 deemed renewal as a monthly tenancy, 95-100 assignment and subletting)(ontario.ca).gov
  2. Tribunals Ontario, Landlord and Tenant Board - How a Tenant Can End Their Tenancy (covers s 47.1 early termination for fear of sexual or domestic violence, Form N15)(tribunalsontario.ca).gov
  3. Tribunals Ontario, Landlord and Tenant Board - Form N11, Agreement to End the Tenancy(tribunalsontario.ca).gov
  4. Province of British Columbia (BC Laws) - Residential Tenancy Act, SBC 2002, c 78 (s 34 assignment and subletting, ss 45.1-45.2 family violence and long-term care)(bclaws.gov.bc.ca).gov
  5. BC Residential Tenancy Branch - Policy Guideline 5: Duty to Minimize Loss(gov.bc.ca).gov
  6. BC Residential Tenancy Branch - Policy Guideline 30: Fixed Term Tenancies (vacate-clause exceptions)(gov.bc.ca).gov
  7. Residential Tenancies Act, SA 2004, c R-17.1 (Alberta) - s 22 assignment and subletting (CanLII)(canlii.org)
  8. Government of Alberta (Open Government) - Residential Tenancies (Safer Spaces for Victims of Domestic Violence) Amendment Act(open.alberta.ca).gov
  9. Civil Code of Québec, CQLR c CCQ-1991 - arts 1870-1871, lease assignment and subletting (CanLII)(canlii.org)
  10. Tribunal administratif du logement (Québec) - Cession de bail et sous-location: contrat de cession de bail et avis de sous-location(tal.gouv.qc.ca).gov
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