Tenant

Legal Steps to Take When a Tenant Damages Your Property

Learn how to handle tenant-caused property damage legally and recover costs through proper documentation, deductions, or legal action.

March 1, 2025

As a landlord, property damage beyond normal wear and tear can be frustrating and costly. Whether it’s broken appliances, holes in the walls, or major structural damage, you have legal options to recover the costs. However, it’s crucial to follow the proper steps to avoid tenant disputes or legal trouble.

This guide explains how to document damage, communicate with tenants, and take legal action if necessary.

1. Distinguishing Normal Wear and Tear vs. Tenant-Caused Damage

📌 Before taking legal action, determine if the damage is legally the tenant’s responsibility.

Normal wear and tear (Landlord responsibility):

  • Faded paint or minor scuffs on walls.
  • Loose cabinet handles or worn carpets.
  • Small nail holes from hanging pictures.

Tenant-caused damage (Tenant responsibility):

  • Broken windows, doors, or appliances due to negligence.
  • Large holes in walls or severe stains on carpets.
  • Flooding from improper use of plumbing.
  • Unapproved modifications (e.g., painting without permission).

🚀 Landlords can charge tenants for excessive damage, but they must provide evidence.

For more, check Tenant Responsibilities in Ontario.

2. Documenting Property Damage Properly

📌 Before contacting the tenant, gather solid evidence of the damage.

How to document damage:

  • Take clear photos and videos showing the extent of the damage.
  • Compare with move-in inspection reports (if available).
  • Save emails, texts, or maintenance requests related to the issue.
  • Get repair estimates from licensed contractors.

🚀 The more proof you have, the stronger your case will be if legal action is needed.

For more, check How to Conduct Rental Property Inspections.

3. Notifying the Tenant and Requesting Repairs

📌 Once you confirm tenant-caused damage, notify them formally.

Steps to notify the tenant:

  1. Send a written notice detailing the damage.
  2. Request that they repair or pay for the damages.
  3. Provide a reasonable deadline (e.g., 7–14 days) to respond.
  4. Attach photo evidence and repair estimates.

✍️ Example Notice:Subject: Urgent Repair Request – Property Damage
Hi [Tenant's Name],
During our recent inspection, we noticed significant damage to [describe damage]. As per our lease agreement, tenants are responsible for repairs beyond normal wear and tear. Please arrange repairs or provide payment of [$X] by [date]. If we do not hear back, we may need to take legal action. Let us know how you’d like to proceed.
Best, [Your Name]

🚀 Keeping communication professional helps avoid disputes.

For more, check How to Communicate With Tenants About Issues.

4. Deducting Repair Costs From the Security Deposit

📌 If the tenant refuses to fix the damage, landlords may deduct costs from the security deposit.

Steps to deduct repair costs legally:

  1. Provide a detailed breakdown of deductions (materials, labor, etc.).
  2. Give the tenant a receipt showing how funds were used.
  3. Refund any remaining deposit within 30 days of move-out.

🚨 You CANNOT deduct for normal wear and tear or excessive penalties.

For more, check How to Handle Security Deposit Deductions.

5. Filing a Claim in Small Claims Court

📌 If the damage costs exceed the security deposit, landlords can sue the tenant in Small Claims Court.

Steps to file a claim:

  1. Complete a Plaintiff’s Claim (Form 7A) – Available from the Ontario Small Claims Court website.
  2. Attach proof of damages, repair invoices, and communication records.
  3. File the claim at the Small Claims Court registry (for amounts up to $35,000).
  4. Serve the claim to the tenant’s last known address.
  5. Attend the court hearing and present your case.

🚀 Winning a claim allows you to seek payment through wage garnishment or asset seizure.

For legal help, check How to Sue a Tenant for Damages.

6. Eviction for Major Property Damage

📌 If the damage is severe and intentional, eviction may be necessary.

Steps to evict a tenant for damage:

  1. Serve a Form N5 – Notice to End Tenancy for Substantial Damage.
  2. Provide 7 days for the tenant to repair the damage.
  3. If they do not comply, file an L2 Application to Evict a Tenant with the Landlord and Tenant Board (LTB).
  4. Attend the LTB hearing and present evidence.
  5. If approved, hire a sheriff to enforce the eviction.

🚨 Landlords CANNOT change locks or force tenants out without an LTB order.

For eviction guidance, check How to Legally Evict a Tenant in Ontario.

7. Preventing Property Damage in the Future

📌 The best way to avoid damage disputes is to prevent them from happening.

Tips to protect your rental property:

  • Conduct thorough tenant screening before leasing.
  • Use a strong lease agreement with clear rules on damage responsibility.
  • Perform regular inspections (with proper notice).
  • Require renter’s insurance to cover accidental damage.
  • Keep detailed move-in and move-out inspection reports.

🚀 Preventative measures reduce the risk of future costly damage.

For lease drafting tips, check How to Create a Strong Lease Agreement.

Final Thoughts: Protect Your Property With the Right Legal Steps

📌 Key Takeaways:

  • Differentiate between normal wear and tenant-caused damage.
  • Document all damage with photos and written communication.
  • Give tenants a chance to fix the issue before taking legal action.
  • Deduct from the security deposit or sue in Small Claims Court if necessary.
  • If the damage is extreme, eviction through the LTB may be an option.

🚀 Need legal support for tenant disputes? Contact Carson Frankum for expert landlord assistance.