Tenant declaring Bankruptcy - Canada
I am starting a new lease with a tenant that is likely to declare bankruptcy on a underwater mortgage and consumer debt. That discussion aside, where does monthly rent fall in the equation? I know the security deposit is a bit murky, but if we were to start rent in Sept and declare bankruptcy in Nov for instance, does he have to continue paying monthly rent, or is there something where he could avoid eviction without paying? I am not concerned that he could suddenly vacate the premise prior to end of lease (I can just rent out again) - I am concerned he could stay there for half a year for free and there's nothing I can do about it.
Most Popular Reply
@Chris Oxford
A bankruptcy cannot stop the rent payments. He will still have to pay rent. I dont know of any legal loophole for this situation.