March 8, 2023
Manitoba Government Proposes Modernized Life-Lease Legislation
– – –Amendments Would Improve Consumer Protection with Greater Transparency: Teitsma
The Manitoba government is seeking to modernize legislation to improve protection and increase transparency for life-lease tenants and their families, Consumer Protection and Government Services Minister James Teitsma announced today.
“We are committed to the protection of consumers across the province and these changes in a bill introduced today would better protect life-lease tenants,” said Teitsma. “The proposed amendments have been developed in response to stakeholder engagement with a shared goal of making Manitoba the best place to age.”
The Life Leases Amendment Act would modernize life-lease tenancies, which the minister noted are a popular housing model among Manitoba seniors. The act would ensure a tenant’s interests in a rental unit during a change of ownership of a life-lease complex by increasing the new owner’s obligations as a landlord. Specifically, the amendments would ensure that new owners due to mortgage sales, tax sales or foreclosures are responsible for refunding entrance fees to life-lease tenants if existing tenancies are terminated.
The amended legislation would also mandate landlords that are currently required to have reserve funds to regularly review such funds in order to ensure a reserve fund can maintain and replace assets of the complex at all times. As well, the bill would ensure any necessary audited annual financial statements are prepared in accordance with generally accepted accounting principles.
The minister noted a further review and amendments may be required following the outcome of planned consultations with stakeholders and recommendations from the Minister’s Advisory Group to build an action plan for seniors.
- 30 -