Landlord and Tenant Issues

How do cash-for-keys deals and N11 agreements to end a tenancy work?

Last updated October 7, 2026.

In Ontario, a landlord and tenant can agree to end a tenancy on any date they choose, usually by signing Form N11. "Cash for keys" is the informal name for a deal where the landlord pays the tenant to sign and leave; the law sets no amount. Once an N11 is signed, the landlord can ask the Landlord and Tenant Board (LTB) for an eviction order without a hearing, and the tenant has only 10 days to challenge that order.

An N11 is short, but signing one gives up the tenant's security of tenancy. Whether you are the landlord making an offer or the tenant deciding on one, our page on landlord and tenant help in Hamilton explains how Carson Frankum, a licensed paralegal, reviews deals like this and represents people at the LTB.

How does an N11 agreement work, step by step?

The rules are in sections 37, 41 and 77 of the Residential Tenancies Act, 2006 (the Act), section 8.2 of Ontario Regulation 516/06, the N11 form and the LTB's L3 instructions.

The two sides talk. Either side can raise the idea. A landlord might want the unit back without a clear legal ground; a tenant might want to leave a lease early. The Act lets them agree to end the tenancy without any notice (s. 37(3)).
They settle the terms. The key terms are the termination date, any payment, when the payment is made, how the rent deposit is handled and the condition the unit is left in. The N11 form only records names, the address, the termination date and signatures, so money terms belong in a separate written agreement that both sign.
Everyone signs. The LTB's Guideline 11 says an agreement to terminate must be agreed to by or on behalf of all parties, and the LTB's brochure says written agreements should be signed by all the tenants. Each side keeps a copy.
The landlord may file an L3 right away. The landlord does not have to wait until the termination date, but must file no later than 30 days after it (s. 77(3)). The L3 needs a copy of the agreement and a signed declaration or sworn affidavit confirming it (s. 77(2)). The fee is $201, or $186 through the Tribunals Ontario Portal.
The LTB usually decides without a hearing. The tenant is not sent the application. The LTB can issue an eviction order based on the paperwork alone (s. 77(4)), although a member can send it to a hearing instead. The order cannot take effect before the agreed date (s. 77(5)).
The tenant moves out by the agreed date. The tenant must remove all belongings. Property left behind after a tenant leaves under an agreement can be disposed of by the landlord (s. 41(1)), and the N11 form warns that the tenant loses any rights to it.
If the tenant stays, only the Sheriff can remove them. The landlord files the LTB order with the Court Enforcement Office. A landlord cannot change the locks on its own.

Compared with a contested eviction, this route is fast, which is why it appeals to landlords. For the timing of other routes, see how long an eviction takes in Ontario.

N11 agreements to end a tenancy: the key rules (Residential Tenancies Act, 2006 and LTB materials, read October 7, 2026)
Rule	What it says	Where it comes from
Agreeing to end a tenancy	Allowed at any time, even during a fixed-term lease; no notice is needed	s. 37(3); LTB brochure
Agreement signed when renting	Void if made when the tenancy agreement is signed or as a condition of renting, except some student housing and care homes	s. 37(5) to (7); N11 form
Form	N11 is recommended, not required; a clear written agreement is safest	LTB brochures
Landlord's application	L3, filed any time after signing and no later than 30 days after the termination date	s. 77(1), (3)
L3 fee	$201, or $186 through the Tribunals Ontario Portal	LTB fee schedule
Hearing	Usually none; the order is made on the documents	s. 77(4)
Earliest eviction date	The termination date in the agreement	s. 77(5)
Tenant's motion to set aside	Within 10 days after the order is issued; no fee; filing it puts the order on hold	s. 77(6), (7); LTB fee schedule
Test on that motion (since September 21, 2026)	Set aside only if it would not be unfair; changes in the tenant's circumstances after signing are not considered	s. 77(8); O. Reg. 516/06, s. 8.2
Belongings left behind	The landlord may dispose of them	s. 41(1); N11 form

What is a tenant giving up by signing?

A tenant who signs an N11 swaps rights under the Act for whatever the agreement offers. That trade can make sense, but it is worth seeing what the landlord's other routes would have required. When a landlord serves a notice, it must prove the ground at a hearing, and the Board must consider whether to refuse or delay the eviction (s. 83). With an N11, none of that happens unless the tenant brings a motion.

An N11 compared with common landlord notices (Act and LTB brochure, How a Landlord Can End a Tenancy)
Route	Minimum notice	Payment the Act requires	Hearing before eviction?
N11 agreement	Whatever date both sign	None; anything is negotiated	Usually no
N12, landlord's own use	60 days	One month's rent or another unit, unless an N12 served on or after September 21, 2026 gives at least 120 days	Yes, if the tenant disputes it
N13, demolition, conversion or major repairs	120 days	Depends on the reason and building size; for example, three months' rent or another unit in a building with 5 or more units	Yes, if the tenant disputes it
N8, persistent late rent	60 days (28 for daily or weekly)	None	Yes, if the tenant disputes it

If a landlord has already served an N12 for family use, compare the offer with what an N12 for the landlord's own use requires. If the plan is renovation or demolition, read how N13 evictions for renovations work, including the right to move back in. And if the landlord is selling, know your rights when the house is sold, because a sale alone does not end a tenancy.

What should a cash-for-keys agreement say?

The Act does not regulate the amount, so the written terms do the work. A clear agreement usually covers:

the termination date, written the same way on the N11 and the side agreement;
the amount, how it is paid and when (for example, part at signing and the rest when the keys are returned);
the last month's rent deposit, which the landlord must apply to the last rent period (s. 106(10)), and any interest owed on it;
whether rent is still payable up to the termination date, and any amount already owing;
the condition the unit is left in and how the keys are returned;
a reference letter or other promise the tenant cares about, if the landlord agrees to it.

Two cautions. First, the Act applies despite any agreement or waiver to the contrary (s. 3(1)), so a side deal cannot strip away rights the Act protects beyond ending the tenancy itself. Second, section 134(3)(b) says a tenant must not collect or require a fee, premium or similar amount "for surrendering occupancy". How that applies to a particular buyout depends on the facts, so a tenant should get advice before setting a price. For deposit questions, see what happens to your last month's rent deposit.

What changes the answer?

When the agreement was signed. An agreement made at the start of the tenancy, or as a condition of renting, is void (s. 37(5)), except in post-secondary student housing covered by s. 37(6) and (7) and the care home situations listed on the N11 form.
Whether the tenant really agreed. On a motion, the Board must set aside the order if there was no agreement and no tenant notice (s. 77(8)(a)). Since September 21, 2026, it can also set it aside if that would not be unfair, but it cannot consider changes in the tenant's situation after signing (O. Reg. 516/06, s. 8.2).
Pressure from the landlord. A landlord must not harass, obstruct, coerce or threaten a tenant (s. 23). If the L3 goes to a hearing, Guideline 7 says the member considers the circumstances around the signing. Harassment, coercion or threats can also be the subject of a tenant's own application within one year (s. 29); see harassment and interference by a landlord (T2).
Who signed. An agreement must be made by or on behalf of all the parties (Guideline 11). One roommate cannot sign away a co-tenant's tenancy.
Rent for the final months. Where the tenant leaves under an agreement, rent is owing up to the agreed termination date and no later (Guideline 11).
A deal reached at the LTB. Settlements made through LTB mediation are enforced differently: if a mediated settlement lets the landlord apply when a condition is broken, the landlord uses an L4, not an L3 (s. 78).

A worked example

For example, imagine a Hamilton tenant named Priya who pays $1,600 a month on a month-to-month tenancy. Her landlord wants the unit empty to sell it and has no notice that fits. He offers $4,000 if she leaves by the end of next month. Priya asks for more time instead, and they settle on a date about three months away, with $1,000 paid at signing and $3,000 paid when she hands back the keys.

They write the money terms on one page, both sign it, and both sign an N11 showing the same date. The agreement also says her last month's rent deposit covers the final month, and that the landlord will pay the deposit interest owed. The landlord files an L3 the next week. The LTB issues an eviction order without a hearing, effective on the agreed date.

Six weeks later Priya's new apartment falls through and she wants to stay. Her 10 days to file a motion to set aside have passed, so she would also need a request to extend the deadline, and the Board cannot consider a change in her circumstances that arose after she signed. Her most practical step is the one the LTB's brochure suggests: ask the landlord whether they will agree to let the tenancy continue. Priya is hypothetical, and so are the amounts; nothing in the Act sets what a buyout should pay.

Common mistakes

Relying on an N11 signed with the lease. Outside the student and care home exceptions, an agreement signed when renting is void, and the N11 form itself says the tenant does not have to move out based on it.
Leaving the money off the paper. The N11 has no space for payment terms. Without a signed side agreement, a dispute about what was promised is hard to prove.
Paying everything up front. Landlords who pay the whole amount at signing have no leverage if the tenant stays. Tenants who accept "payment later" with no date written down have little to point to.
Missing one tenant's signature. Every tenant on the tenancy should sign, or the agreement may not end the tenancy for everyone.
Waiting too long to act on an ex parte order. A tenant who believes the order should not have been made has 10 days. After that, a Request to Extend Deadline must explain the delay.
Leaving belongings behind. After a move-out under an agreement, the landlord may dispose of what is left (s. 41(1)).

What to do this week

Write down what you want from the deal: the date, the amount, the payment schedule and how the deposit is handled.
Tenants: list what you would be entitled to if the landlord used a notice instead (notice length and any compensation), and compare.
Put every term in one written page, and make sure the date matches the N11 exactly.
Have every tenant and every landlord sign, date and keep a copy of both documents.
Landlords: file the L3 with a copy of the agreement and a declaration, well within 30 days after the termination date.
Tenants: watch your mail and email for an LTB order, and note the 10-day deadline if you think it should not have been made.
If you want the terms reviewed before anyone signs, contact Cheddar Paralegal PC in Hamilton.

Frequently asked questions

Does a landlord have to pay a tenant to sign an N11?

No. The Act requires no payment for an agreement to end a tenancy. Any money is a matter of negotiation, unlike the compensation tied to certain landlord notices such as N12 and N13.

Do we have to use the N11 form?

No. The LTB says an agreement can even be oral, but it recommends a written one, and the N11 is its own form for that. The L3 instructions ask for a copy of the notice or written agreement, so having one on paper matters.

Can the landlord change the locks on the agreed date?

No. Even with an N11 and an LTB order, only the Sheriff can enforce an eviction. A landlord who changes the locks on a tenant who is still living there risks an illegal lockout application.

What if I signed under pressure?

File a motion to set aside within 10 days of the eviction order and explain what happened. Section 23 bars a landlord from coercing or threatening a tenant, and a motion is heard at a hearing. If the matter becomes contested, options when you disagree with an LTB order explains review requests and appeals.

Can we sort this out through the LTB instead?

Yes. If an application is already filed, the parties can settle through the LTB's dispute resolution process. See how mediation at the Landlord and Tenant Board works.

Is an N11 the same as a tenant's N9 notice?

No. An N9 is a notice the tenant gives alone, with at least 60 days' notice for a monthly tenancy ending at the end of a period or term. An N11 is a two-sided agreement and can set any date, including one in the middle of a lease.

What if the landlord's real complaint is late rent?

Then the landlord has a notice built for that purpose and the tenant has a hearing. Read about eviction for persistent late payment of rent before agreeing to leave over it.

Where would a Hamilton dispute be heard?

At the LTB, mostly by video. Our page on the Landlord and Tenant Board for Hamilton rentals covers the local details.

Sources

Facing a landlord-tenant issue? Contact us today for assistance.

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This page gives general information about Ontario law, not legal advice for your situation. Cheddar Paralegal PC is a paralegal firm licensed by the Law Society of Ontario; licensed paralegals can help only with matters the Law Society allows paralegals to handle.