Small Claims Court for Landlords: When to Use It Instead of the LTB

The LTB handles most landlord-tenant disputes in Ontario — but it is not the only option. In some situations, Small Claims Court is the better venue for recovering money from a current or former tenant. Understanding when to use each forum can save time and improve your chances of recovery.

When the LTB Has Jurisdiction

The LTB handles claims related to active tenancies — rent arrears, property damage, unauthorized subletting, interference with reasonable enjoyment. It also handles post-tenancy claims through the L10 application, within one year of the tenancy ending. The LTB is the default forum for most landlord-tenant money disputes.

When Small Claims Court Makes More Sense

Small Claims Court handles claims up to $35,000. It may be the right choice when: the claim exceeds the LTB’s monetary jurisdiction, the one-year L10 deadline has passed, the dispute involves a matter outside the RTA’s scope (a commercial arrangement or deposit that was not a proper LMR), or the landlord simply prefers the court process.

You Cannot Use Both

You cannot pursue the same claim at both the LTB and Small Claims Court — once you elect one forum, you generally cannot start over at the other for the same cause of action. Choose strategically based on the amount, the nature of the claim, and the deadline situation.

The Small Claims Process

Filing a Small Claims Court claim involves completing a Plaintiff’s Claim form and paying a filing fee. The defendant is served. If the matter is not resolved at a settlement conference, it proceeds to a trial. Paralegals can represent clients at Small Claims Court up to $35,000 — the same paralegal who handles your LTB matters can handle Small Claims.