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The Life Leases Amendment Act

This is an unofficial version.
If you need an official copy, contact Statutory Publications.

S.M. 2005, c. 14

Bill 20, 3rd Session, 38th Legislature

The Life Leases Amendment Act

(Assented to June 9, 2005)

HER MAJESTY, by and with the advice and consent of the Legislative Assembly of Manitoba, enacts as follows:

C.C.S.M. c. L130 amended

1           The Life Leases Act is amended by this Act.

2(1)        Subsection 18(1) is amended by striking out everything after "allows," and substituting the following:

(a) to present the financial statements referred to in subsection (3); and

(b) to hear any representations by tenants respecting

(i) the financial statements referred to in subsection (3),

(ii) the audited financial statements, if any, provided under section 18.2, or

(iii) the operation of the complex.

2(2)        Subsection 18(3) is amended

(a) by replacing the part of clause (a) before subclause (i) with the following:

(a) if the landlord has established a refund fund under subsection 19(2), or any other fund for the purpose of refunding entrance fees, a statement setting out in respect of that fund,

(b) in the part of clause (b) before subclause (i), by adding "if the landlord is a non-profit landlord," before "a statement".

2(3)        The following is added after subsection 18(3):

Statement by trustee or landlord

18(4)       The statement referred to in clause (3)(a) shall be made by a trustee appointed under subsection 19(2) or, if no such trustee has been appointed, by the landlord.

Owner representative to attend meeting

18(5)       At least

(a) one director of the board of the owner of a residential complex that is owned by a corporation; or

(b) one authorized representative of owners holding a majority interest in a residential complex that is not owned by a corporation;

shall attend the annual meeting and report to the board or to the owners on any concerns or issues raised by tenants.

3           The following is added after section 18 as part of Part 3:

Tenant representation at board meetings

18.1(1)     The tenants of a non-profit landlord may select one or two tenants, or a greater number if provided for in their life leases or the landlord's by-laws, and alternates, to represent them at meetings of the landlord's board of directors.

Notice of board meeting

18.1(2)     The landlord shall give each tenant representative selected under subsection (1)

(a) a copy of the landlord's by-laws; and

(b) notice of the time and place of each board meeting, with the agenda for the meeting, at the same time and by the same method that notices and agendas are given to the directors.

Right to attend and be heard

18.1(3)     A tenant representative, or his or her alternate, is entitled to place matters on the agenda for a board meeting and to attend and speak at the meeting, but this section does not give a tenant representative the right to vote.

Confidential matters

18.1(4)     A landlord may restrict the rights of a tenant representative under subsection (3) to matters that do not involve personal information pertaining to individual tenants or to personnel of the landlord.

Board minutes

18.1(5)     After each board meeting, the landlord must give each tenant representative a copy of the minutes of the meeting, not including any part of the minutes that contains personal information about a tenant or about personnel of the landlord.  But this personal information may be provided to a tenant representative if the person the information is about consents.

Access to minutes

18.1(6)     A tenant representative may give other tenants access to the minutes.

Meaning of "majority of tenants"

18.2(1)     For the purposes of this section, "majority of tenants" means a majority of the tenants in occupied rental units in a residential complex.  In calculating the majority,

(a) multiple tenants of one rental unit count as one tenant; and

(b) a tenant who has given or has been given notice of termination of the tenancy is not counted.

Audited financial statements

18.2(2)     If a non-profit landlord has not obtained audited financial statements for the residential complex for the preceding fiscal year, the landlord shall

(a) obtain those audited financial statements as soon as practicable, if requested to do so in writing by a majority of tenants; and

(b) subject to subsection (4), continue to obtain audited financial statements for each succeeding fiscal year.

Tenant entitled to a copy of audited statements

18.2(3)     If a non-profit landlord has obtained audited financial statements for the residential complex for the preceding fiscal year, whether obtained under subsection (2) or otherwise, the landlord shall provide a copy of the statements to a tenant on request.

Withdrawal of request

18.2(4)     A request to obtain audited financial statements under subsection (2) may be withdrawn by a written notice given to the landlord that is signed by a majority of tenants.

Personal information in financial statements

18.2(5)     For the purposes of subsection (3), the landlord must take reasonable steps to avoid disclosing personal information pertaining to personnel of the landlord.

4(1)        Clause 24(3)(b) is amended by striking out "the end of the third month after".

4(2)        The following is added after subsection 24(3):

No deduction for damage or arrears

24(3.1)     A landlord shall not deduct any amount from a tenant's entitlement to a refund of an entrance fee for

(a) damage to the rental unit or residential complex;

(b) rent arrears; or

(c) other compensation that the landlord claims from the tenant;

except an amount to satisfy a final decision or order for compensation made in the landlord's favour by the director under The Residential Tenancies Act.

5           The following is added after section 37 and before the centred heading "OFFENCES AND PENALTIES":

Payment of shortfall as a rent increase

37.1(1)     Despite sections 118 and 119 of The Residential Tenancies Act, if

(a) a life lease provides for the tenant's rent to be the tenant's share of budgeted operating costs and contributions to reserve funds and to any refund fund;

(b) the actual operating costs and contributions exceeded revenue for the previous fiscal year; and

(c) the life lease requires the tenant to pay his or her share of the shortfall by one or more payments, whether or not such payments would constitute a second rent increase within a 12-month period;

a non-profit landlord may require the tenant to pay all or part of the tenant's share of the shortfall as a rent increase by a minimum of 12 equal monthly payments.

Landlord to give written notice

37.1(2)     The landlord shall give the tenant at least three months' written notice of a rent increase resulting from a shortfall.  Notice must be given in accordance with sections 25 and 27 of The Residential Tenancies Act.

Paying shortfall by a lump sum payment

37.1(3)     Instead of paying a share of a shortfall in accordance with subsection (1),

(a) the tenant may pay his or her share of the shortfall by making one or more lump sum payments; and

(b) the landlord may receive the payment or payments at any time after the notice is given;

if the landlord and tenant agree and the tenant has received notice under subsection (2).

6           The following is added after subclause 45(1)(g)(i):

(i.1) subsection 24(3.1) (no deduction for damage or arrears),

Consequential amendments, C.C.S.M. c. R119

7(1)        The Residential Tenancies Act is amended by this section.

7(2)        Clause 7(2)(a) is amended by striking out ", unless it is a life lease".

7(3)        Subsection 7(4) is amended

(a) by striking out ", other than a life lease,"; and

(b) by adding "or The Life Leases Act" after "this Act".

7(4)        Section 27 is amended  by striking out "and" at the end of clause (c), adding "and" at the end of clause (d) and adding the following after clause (d):

(e) any additional prescribed information.

7(5)        Subsection 140.1(1) is amended by striking out "under subsection 25(1)" and substituting "in accordance with subsection 25(1) of this Act or section 37.1 of The Life Leases Act".

Coming into force

8(1)        Subject to subsection (2), this Act comes into force on royal assent.

8(2)        Subsections 2(2), 2(3), 4(1), 7(2) and 7(3) come into force on a day to be fixed by proclamation.