{"id":460,"date":"2019-06-12T14:28:51","date_gmt":"2019-06-12T14:28:51","guid":{"rendered":"https:\/\/rentals.ca\/blog\/?p=460"},"modified":"2019-06-13T15:10:03","modified_gmt":"2019-06-13T15:10:03","slug":"how-landlords-should-prepare-for-the-new-marijuana-laws","status":"publish","type":"post","link":"https:\/\/rentals.ca\/blog\/how-landlords-should-prepare-for-the-new-marijuana-laws","title":{"rendered":"How Landlords Should Prepare for the New Marijuana Laws 2019"},"content":{"rendered":"

April 20th, 2018 marked Canada\u2019s last \u201c4-20 celebration\u201d. \u00a0Historically, this annual quiet protest gathered hundreds of marijuana enthusiasts who urged for the legalization of cannabis (or marijuana). \u00a0The Liberal government heard their pleas and, if all goes to plan, in July 2018 Bill C-45 will legalize marijuana cultivation, distribution and consumption Canada-wide.<\/span><\/p>\n

The issue of marijuana legalization is a hot-button topic for many Canadians. Whether it be from a health and safety perspective, a moral standpoint or, a rights and freedom angle, everyone has an opinion about it. \u00a0When it comes to real estate, the issue of cannabis consumption can be just as divisive.<\/span><\/p>\n

How Landlords Should Prepare For the New Marijana Laws?<\/h2>

The easiest and most effective tool will be to include stipulations in drafting new leases where the tenant agrees not to smoke inside the rental. \u00a0Such clauses can be similar to existing tobacco ones. To avoid any misunderstanding, a specific marijuana clause should be drafted and be made separate from tobacco.<\/p>\n<\/div>\n

How C-45 Will Impact Landlords<\/b><\/h2>\n

The federal government is responsible for drafting laws regulating industry-wide standards, production and manufacturing. \u00a0It\u2019s then up to the provinces to regulate sales, distribution and, most importantly for landlords, where marijuana can be consumed.<\/span><\/p>\n

On that last point, provinces are inspiring themselves from existing tobacco laws which prohibits consumption in public places. \u00a0Essentially, tenants will have to enjoy marijuana in the comfort of their homes. <\/span><\/p>\n

Landlord advocacy groups are concerned by this. \u00a0They argue that marijuana consumption in rentals will incur additional costs when the tenant leaves and the smells need to be cleaned up. \u00a0Landlords also argue that smoke will bother other renters in multi-unit properties and maybe even adversely affect surrounding families with children.<\/span><\/p>\n

Tenants, on the other hand, argue that not being allowed to smoke in public restricts them to their apartments. \u00a0Where else will they be able to smoke?<\/span><\/p>\n

Both are valid arguments and provinces haven\u2019t yet addressed this issue in their public consultations.<\/span><\/p>\n

Not Just The Smoke<\/b><\/h2>\n

The other major challenge for landlords will be managing the impact of individual marijuana production. \u00a0Ontario, for example, will allow residents to grow up to four plants. <\/span><\/p>\n

Growing marijuana inside a rental is a recipe for disaster: the humidity required to grow a marijuana plant can cause mould buildup. \u00a0When the tenant leaves, the landlord is forced to spend thousands to fix the issue.<\/span><\/p>\n

This isn\u2019t only an additional cost for the landlord, it can also have serious health implications to the tenant growing the plants.<\/span><\/p>\n

On this issue, Quebec doesn\u2019t intend to make personal cultivation legal. \u00a0However, landlords in Ontario, BC and the prairies and the Maritimes will have to deal with this problem.<\/span><\/p>\n

So What Now?<\/b><\/h2>\n

Landlords used to be able to rely on provincial tenant laws that prohibited illegal activities from taking place in their units. \u00a0Since smoking or growing cannabis was illegal, it was a straightforward process: \u201cstop doing that or we\u2019ll evict you\u201d. Landlords will lose this tool in July 2018 since every aspect of cannabis production and consumption will be legal. \u00a0<\/span><\/p>\n

So what now? \u00a0Quite simply, landlords will have to find creative ways at preventing marijuana consumption or cultivation in their rentals. <\/span><\/p>\n

The easiest and most effective tool will be to include stipulations in drafting new leases where the tenant agrees not to smoke inside the rental. \u00a0Such clauses can be similar to existing tobacco ones. To avoid any misunderstanding, a specific marijuana clause should be drafted and be made separate from tobacco.<\/span><\/p>\n

As for existing leases (where adding clauses can\u2019t be done), landlords can use tenancy act stipulations that prevent one tenant from interfering with the reasonable enjoyment of other tenants or the landlord. \u00a0This, of course, varies province to province and may be difficult to establish if the issue goes to court.<\/span><\/p>\n

Finally, if the landlord is renting a unit that\u2019s part of a condominium community, the issue may not even be the landlord\u2019s to decide. \u00a0Some condo associations are planning on banning smoking marijuana inside units or on balconies by making it a condo bylaw. <\/span><\/p>\n

As with any new condo bylaw, the issue will have to go to a vote which can take a few months.<\/span><\/p>\n

Tenant-Landlord Communication Is Key<\/b><\/h2>\n

Cannabis legalization is still a few months away and landlords hoping to prevent tenant problems can get ready now.<\/span><\/p>\n

If smoking clauses weren\u2019t part of existing leases, landlords should take the first steps and communicate with their tenants. \u00a0Simply asking them if they intend to regularly smoke inside their units will help predict where problems may occur. In such cases, a gentle reminder asking the tenant to, for example, open a window so as to not affect neighbours, may prevent issues between tenants. \u00a0<\/span><\/p>\n

Like any landlord-tenant matter, it\u2019s better to address an issue before it becomes ones.<\/span><\/p>\n

Similarly, a landlord could ask the tenant to turn on the fan over the oven and blow the smoke under the range hood. \u00a0In most units, this is enough to prevent smoke from leaving the unit.<\/span><\/p>\n

Alternatively, if a tenant who intends to frequently smoke marijuana is informed that a family with children live next door, that may affect their willingness to smoke on their balcony.<\/span><\/p>\n

For Existing Leases, Consider Retrofitting Units<\/b><\/h2>\n

In the event a tenant intends to take full advantage of cannabis products in their unit, landlords can take active steps at reducing odours by retrofitting the property to limit the spread of smoke.<\/span><\/p>\n

For multi-unit properties, ensuring that the door isn\u2019t allowing air to flow through will prevent the smells from affecting the common areas. \u00a0The same high-quality door draft stoppers that save heating costs during the winter can be used to curtail the propagation of smoke.<\/span><\/p>\n

As for reducing the smells, landlords can offer to install ozone air in the unit. \u00a0This will drastically cut down on the smell left by smoke.<\/span><\/p>\n

Another thing to consider is to make sure the ducts from a smoker\u2019s unit aren\u2019t connected to others in the building. <\/span><\/p>\n

After Legalization<\/b><\/h2>\n

While the media makes it seem like every Canadian will become Cheech and Chong, it\u2019s not necessarily true that every tenant will become an avid marijuana consumer<\/span><\/p>\n

According to a number of studies, there may not be a direct link between increases in marijuana consumption and legalization. \u00a0For example, a 2017 <\/span>study<\/span><\/a> showed that \u201cthe steep rise in marijuana use in the United States […] is attributable to general period effects not linked specifically to the liberalization of marijuana policies in some states\u201d.<\/span><\/p>\n

To put it simply, it\u2019s unlikely that a non-smoking tenant today will suddenly become a frequent and avid consumer in July.<\/span><\/p>\n

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