Home Trust Company v. Mahmood

Split/Other wins · Mississauga · 2024-07-26

Adjudicator

Justice M. Kurz

Dispute

Mortgage Default, Tenancy Agreement Validity

Amount

>$20K

Landlord

A.M., S.B.

Tenant

U.R., A.R.

What happened

Home Trust Company, the mortgagee, applied to set aside a residential tenancy agreement between the landlords (mortgagors) and tenants. The mortgagors had defaulted on their mortgage payments and entered into a lease agreement with tenants after the default, which the mortgagee argued was done to discourage them from taking possession of the property.

The ruling

The court set aside the residential tenancy agreement between the landlords and tenants. The tenants were ordered to vacate the property by November 1, 2024, and pay $14,700 to the mortgagee by August 10, 2024. The landlords were ordered to pay $4,500 in costs to the mortgagee.