BC Supreme Court overturns arbitrator's decision in unpaid rent dispute

Landlord was denied procedural fairness due to improper service of tenant's evidence

BC Supreme Court overturns arbitrator's decision in unpaid rent dispute

The BC Supreme Court ruled in favour of a landlord seeking a judicial review of an arbitrator's decision on unpaid rent, finding the hearing procedurally unfair.

The dispute in City2City Real Estate Services Inc. v Wang, 2024 BCSC 1267 arose from a rental agreement between the landlord and tenant, with rent set at $6,120 per month as of January 1, 2023. On March 10, the tenant gave notice to vacate the rental unit by April 6, proposing to pay rent only up to that date. The landlord wanted the tenant to pay for the entire month of April. The arbitrator found that the tenant and the landlord's agent agreed to the partial rent payment for April based on written communications between them.

The landlord filed for judicial review, claiming he was not served with the tenant's evidence in accordance with the Residential Tenancy Act and regulations and did not have an opportunity to respond with his own evidence. The landlord also argued that the translation of a WeChat conversation used as evidence was inaccurate and uncertified.

The court reviewed the procedural fairness of the hearing and found that the landlord was not properly served with the tenant's evidence. The tenant testified that he had emailed the evidence, but the landlord did not provide an email address for service and stated he only saw the email during the hearing. The arbitrator proceeded with the hearing without ensuring the landlord had sufficient time to review and respond to the evidence.

The Supreme Court concluded that the landlord was denied procedural fairness because he did not receive the tenant's evidence in advance and could not provide a certified translation to counter the tenant's version. The court emphasized that procedural fairness requires parties to be aware of the case against them and to have an opportunity to respond.

As a result, the court set aside the arbitrator's decision regarding the unpaid rent. It directed the director of the Residential Tenancy Branch or their delegate to reconsider the landlord's application.