The appellant tenants appealed three orders of the Landlord and Tenant Board authorizing an above-guideline rent increase for municipal taxes and charges.
The landlord had applied for the increase based on fees paid for a Rental Housing Licence and Electrical Safety Authority inspections required by a municipal by-law.
The Divisional Court dismissed the appeal, finding that the Board's conclusions that the fees qualified as municipal charges and were not exempt were reasonable.
The Court also upheld the Board's determination that it lacked discretion to amortize the rent increase over a period longer than 12 months.
Although the tenants received inadequate notice and disclosure initially, the Court found this procedural unfairness was cured by the Board's subsequent review hearings.