Intent to Occupy and Good Faith under the RTA BC

Under Section 49(3) of British Columbia’s Residential Tenancy Act (RTA), a landlord may end a tenancy if they or a close family member intends in good faith to occupy the rental unit. The recent case of Osama v. Jiang, 2025 BCSC 1079, clarifies what this requirement means, including how long occupancy must last and how courts treat allegations of dishonest motives.

What Does “Occupy for 12 Months” Really Mean?

Since legislative changes in 2024, BC law now requires the occupant to intend to live in the unit for at least 12 months after the tenancy ends.

In Osama v. Jiang, the Court emphasized that this does not require the occupant to:

Live there every single day,
Treat the unit as their primary residence, or
Avoid travel or temporary absences.

It does require:

Using the unit as living accommodation on an ongoing basis, and
A credible plan to genuinely reside there for the coming year.

This reflects RTB Policy Guideline 2A and aligns with Sefcikova v. Orca Realty Inc., 2024 BCSC 697.

What Counts as a Dishonest Motive?

In Gichuru v. Palmar Properties Inc., 2011 BCSC 827, the Court confirmed:

Good faith requires honest intent to occupy, without any deceptive purpose.
Even if a secondary motive exists, it may not be “dishonest” if the main intent is genuine and the secondary motive is a consequential gain flowing from the original intent.

In Osama, concerns about Vancouver’s Empty Homes Tax were raised. The Court did draw an adverse inference against the landlord for not testifying. Still, the Court held that the primary motive was the relocation of the family, not tax avoidance. The notice remained valid.

Key Takeaways

To ensure a s. 49(3) notice is upheld:

Have a clear, documented plan to move in.
Be ready to start occupancy within a reasonable time.
Be honest about any secondary motivations that are consequential.
Avoid misleading the tenant or the RTB.
If challenged, be prepared to testify at an RTB hearing. Failure to do so may result in adverse inferences of an intention to mislead or conceal evidence.

by Pearl Onyema

Law Digest CA