Enforcing a Residential Tenancy Branch Monetary Order in BC

You have a monetary order from the Residential Tenancy Branch (RTB), but the other side still has not paid. The RTB can decide a dispute and order payment, but it does not collect the money for you.

To turn the order into money, you file it with a BC court and use that court's enforcement steps. This guide walks through the sequence for landlords and tenants, and the points where people most often lose time.

Why an RTB order does not collect itself

The Province's own guidance is blunt: the RTB has the power to issue monetary orders but cannot enforce them. Enforcement belongs to the courts.

The Residential Tenancy Act gives you the route. Under section 84, an RTB decision or order can be filed in the Supreme Court and enforced as a judgment of that court. Under section 85, an order for money (or the return of personal property) that is within the Small Claims monetary limit can instead be filed in the Provincial Court and enforced as a judgment of that court. The Small Claims limit is currently $35,000, excluding interest and costs.

Once filed, your RTB order is treated much like any other court judgment. That is useful, because it opens up the same collection tools a creditor has after a lawsuit.

Step one: serve the order and let the review period run

Before you file, give the other party a copy of the order. The Province recommends serving it with a short demand letter that says how and where you will accept payment, gives a reasonable deadline, and states that you will go to court if it is not paid. That letter can later serve as evidence that you asked first.

You cannot file in court while the other side can still apply for a review. Sections 84 and 85 allow filing only after a review has been refused, dismissed or concluded, or after the time to apply has expired. Under section 80, the review deadline is 2, 5 or 15 days after the party receives the decision, depending on what the decision is about. Shorter periods apply to some orders about possession, notices to end a tenancy and repairs; for most money-only orders the period is 15 days. The Province suggests checking with the RTB that no review was filed before you go to the registry.

If you cannot serve the other party by the usual methods, the RTB can make a substituted service order on application.

Money you may be able to keep without going to court

Sometimes the simplest recovery is set-off. Section 72(2) of the Act allows an amount the RTB has ordered one party to pay to be deducted:

• Tenant owed money by a landlord. The amount can be deducted from rent due to the landlord. Tell the landlord in writing what you are doing and why.
• Landlord owed money by a tenant. The amount can be deducted from a security deposit or pet damage deposit due to the tenant. Section 38(3) also lets a landlord keep, from a deposit, an amount the RTB previously ordered the tenant to pay that is still unpaid when the tenancy ends.

Set-off only helps while there is rent or a deposit to work with. Once the tenancy is over and the deposit is gone, court enforcement is usually the next step.

Filing the order in the right court

For an order of $35,000 or less, most people file in Provincial Court (Small Claims). The Province's checklist is: contact the registry nearest you to confirm what it needs, then file the original monetary order or a certified copy, a completed Confirmation of Service of Monetary Order for Enforcement (form RTB-21), and proof of service such as receipts or tracking records. A filing fee applies, and the Province notes it can be added to your claim.

Larger orders go to the Supreme Court under section 84. Supreme Court enforcement uses different forms and procedures, so it is worth getting advice before you start.

Collection tools once the order is filed

Under Rule 11 of the Small Claims Rules, a creditor can use one or more of these steps:

• Payment hearing. You file a summons to a payment hearing (Form 12) at least 14 days before the hearing date and serve it with a blank statement of finances. The other party must file a statement of finances at least 7 days before the hearing. A judge or justice then assesses the debtor's ability to pay and can set a payment schedule.
• Garnishing order. Under the Court Order Enforcement Act, money owed to the debtor, such as wages or a bank balance, can be redirected to you. The Provincial Court warns that the rules are strict.
• Order for seizure and sale. A court bailiff can seize and sell the debtor's personal property. The order expires if not enforced within 12 months, though another can be issued. Bailiff costs can be significant, so check first that there is something worth seizing.
• Registration against land. If the debtor owns land in BC, a certificate of judgment can be registered at the land title office. According to the Provincial Court, the owner normally cannot sell or mortgage the land until the debt is paid.
• Default hearing. If the debtor falls behind on a court-ordered payment schedule, you can ask for a default hearing.

Two limits are worth knowing. While a debtor keeps up with a payment schedule, you cannot take other collection steps. And if you already have an order for seizure and sale outstanding, you need a judge's permission to ask for a payment hearing.

Choosing the right tool for the person who owes you

The right step depends on what the debtor has. A former tenant with a steady job may be a good fit for a wage garnishment or a payment hearing. A landlord who owns the rental property can often be reached through registration against land. A tenant with no known assets or address may need a payment hearing first, to find out what there is to collect.

Keep the decision proportionate. Enforcement costs time and filing fees, and a judgment against someone with nothing to collect may sit unpaid. Our guides to enforcing a judgment in BC and collecting unpaid debts cover these tools in more detail.

Holding an RTB order that still has not been paid?

Our litigation lawyers can review your order, file it in the right court and take the enforcement steps that suit the debtor's situation, whether you are a landlord or a tenant.

Call 604-259-2844 or send us a message to arrange a consultation at our Vancouver office.