BC Supreme Court orders new hearing in landlord-tenant case over procedural unfairness

The landlord was denied a fair chance to respond to the tenant's evidence: court

BC Supreme Court orders new hearing in landlord-tenant case over procedural unfairness

The Supreme Court of British Columbia ruled that the Residential Tenancy Branch (RTB) failed to provide the landlord a fair opportunity to respond to the tenant's evidence, making the decision procedurally unfair.

The case arose after the landlord issued a two-month notice to end a tenancy under the Residential Tenancy Act (RTA), citing an intent for a close family member to occupy the rental unit. The tenant left the property in November 2022 and later sought compensation, arguing that the landlord did not use the unit for the stated purpose.

Following a hearing, an RTB arbitrator ruled that the landlord failed to establish that a family member occupied the unit for at least six months, as required by the RTA. The tenant was awarded a monetary order equivalent to 12 months' rent, totalling $25,300. A second arbitrator dismissed the landlord's request for a review, finding that new evidence submitted was unlikely to change the outcome or was available at the original hearing.

The landlord sought judicial review, arguing that the RTB's process was procedurally unfair. The Supreme Court agreed and found that the RTB deprived the landlord of the opportunity to appropriately respond to the tenant's evidence due to issues with the exchange of materials before the hearing. Although the RTB tried to rectify this by ordering an exchange of evidence, the court found that it unfairly restricted the landlord from submitting additional evidence in response.

The court ruled that procedural fairness requires that both parties have the right to know and respond to the case against them. The landlord's failure to do so amounted to a breach of natural justice, warranting a new hearing.

The landlord also alleged bias on the part of the RTB arbitrator, but the court rejected this claim, finding no evidence of partiality.

As a remedy, the court set aside the RTB decision and remitted the matter for reconsideration. The decision underscored the importance of procedural fairness in administrative proceedings, particularly in landlord-tenant disputes where financial stakes are significant.