N.S. fixed-term lease loophole to remain in place despite some abuse: Official

CITYnews halifax / By The Canadian Press

A Nova Scotia government official says his department is aware that fixed-term leases are being abused by some landlords, but says legislative changes won’t happen anytime soon out of fear of unintended consequences.

Gary O’Toole, associate deputy minister of Service Nova Scotia, told a legislature committee today that before any changes can be made the department needs to understand what the long-term consequences will be.

However, department official Melissa Mosher told the committee that there are no statistics to track the use of long-term leases or the number of evictions that result from them.

O’Toole, meanwhile, was unable to give an example of an unintended consequence the government is trying to avoid.

Landlords are able to get around the province’s five-per-cent cap on rent increases if they rent a unit to a new tenant.

Mark Culligan, of Dalhousie Legal Aid, says the government’s stance doesn’t make any sense, saying he believes the use of fixed-term leases amounts to a “handout” to landlords.

This report by The Canadian Press was first published May 6, 2025.