Yes. Under the Ontario Commercial Tenancies Act, a commercial landlord can legally change the locks without a court order after 15 days of rent default. This “Right of Re-entry” is exclusive to commercial real estate and is strictly illegal if attempted on a residential tenant.
When rent stops coming in, a landlord’s first instinct is often to secure the property and stop the financial bleeding. In Ontario, your right to take physical action depends entirely on what kind of property you own. If you try to lock out a family renting an apartment, you will face severe government fines and potential arrest. However, the rules for business properties are drastically different.
For landlords dealing with a failing business in Ottawa, Toronto, or Waterloo, the Commercial Tenancies Act (CTA) provides a powerful, fast-acting remedy. 📍 The law recognizes that businesses are sophisticated entities, meaning landlords do not have to jump through the bureaucratic hoops of a tribunal. Understanding exactly when and how you can exercise your Right of Re-entry is vital to protecting your commercial real estate investment.
Step-by-Step Process for Changing Commercial Locks in Ontario
Changing the locks to terminate a commercial lease is legally known as “Forfeiture.” While you do not need a judge’s permission, you must follow strict statutory rules to avoid being sued for an illegal lockout. Here is the correct process.
Step 1: Confirm the Tenancy Type (Commercial vs. Residential)
This sounds obvious, but mixed-use properties can cause confusion. If you rent out a main-floor storefront with an apartment upstairs to the same tenant under one lease, the Residential Tenancies Act (RTA) may protect the entire property. If the RTA applies, you absolutely cannot change the locks. Your lawyer must confirm that the lease is 100% commercial before you proceed.
Step 2: Wait the Mandatory 15-Day Period
You cannot change the locks the day after rent is missed. Under Section 18 of the Commercial Tenancies Act, a landlord has the right to re-enter the premises only after rent has been unpaid for a minimum of 15 days.
However, you must cross-reference this with your specific lease agreement. If your lease requires you to give the tenant a formal 3-day written warning before locking them out, you must serve that notice and wait. The written contract between you and the business tenant usually overrides the basic CTA guidelines.
Step 3: Execute the Right of Re-entry via a Bailiff
Do not show up with a drill and a new deadbolt yourself. To minimize liability and prevent physical altercations with an angry business owner, commercial landlords should hire a licensed private bailiff. The bailiff will go to the property (usually early in the morning), legally breach the door if necessary, install new locks, and secure the perimeter.
Step 4: Post the Notice of Forfeiture
Once the new locks are installed, the bailiff will tape a formal Notice of Forfeiture to the front door. This document publicly and legally declares that the lease has been permanently terminated due to non-payment of rent. At this exact moment, the landlord takes back full possession of the unit.
| Action | Commercial Tenancy (CTA) | Residential Tenancy (RTA) |
|---|---|---|
| Lockout for Unpaid Rent | Legal after 15 days without a court order. | Strictly illegal. Requires an LTB eviction order and the Sheriff. |
| Seizing Inside Property | Legal (Distress), but cannot be combined with a lockout. | Strictly illegal. Landlord cannot hold belongings hostage. |
| Involvement of Police | Police consider it a civil matter and will let the bailiff work. | Police or RHEU will force the landlord to let the tenant back in. |
How Much Does it Cost in Ontario?
Taking back your commercial property requires a small upfront investment to ensure it is done legally and safely. 💵 As of May 2026, typical costs in CAD include:
- Legal Review: Paying a commercial real estate lawyer to review the lease and draft the forfeiture notice usually costs $400 to $750 CAD.
- Commercial Bailiff: Retaining a professional bailiff to execute the lockout generally runs between $600 and $1,500 CAD.
- Locksmith: Re-keying commercial glass doors or high-security deadbolts adds roughly $200 to $400 CAD.
How Long Does the Process Take?
The timeline is remarkably fast. You simply wait 15 days after the rent due date. Once day 16 arrives, your bailiff can secure the property in less than 2 hours. From deciding to evict to having the keys back in your hand, the entire physical process takes less than a single morning.
Frequently Asked Questions (FAQ)
What happens to the tenant’s equipment inside after I change the locks?
Because you chose forfeiture (terminating the lease), you cannot seize and sell their equipment. The physical goods still belong to the tenant. You must arrange a supervised time for them to hire movers and clear out their inventory, desks, and computers.
Can the tenant break back into the unit?
If the tenant smashes a window or drills out your new locks to get back inside, they are committing breaking and entering, as well as trespassing. At that point, you should contact the local Ontario police to have them removed.
What if the tenant only owes a small amount of rent?
Under the CTA, any default in rent-even if it is just a few hundred dollars short-technically triggers the 15-day countdown. However, locking out a tenant for a very minor shortfall is risky, as a judge could overturn the forfeiture for being unnecessarily harsh.
Can I lock out a residential tenant if they haven’t paid in 6 months?
Absolutely not. Under the Residential Tenancies Act, self-help evictions are a severe offence. Even if a residential tenant has not paid rent in a year, you must wait for a formal Landlord and Tenant Board order and use the Court Enforcement Office (the Sheriff) to remove them.
Leave a Reply