Subletting vs Assignment in Ontario: A Tenant’s Guide

By Jatin Dua · Licensed Realtor, RE/MAX Quantum Realty · Updated August 23, 2026 · 9 min read

Quick answer

Sublet if you are coming back; assign if you are leaving for good. Both need consent. A sublet to a named subtenant cannot be refused arbitrarily; an assignment can be refused in principle, but not the person once your landlord agrees in principle.

Refused, or ignored for seven days? You can end the tenancy on 30 days’ notice.

What is the difference between a sublet and an assignment?

Whether you intend to return. The LTB’s Guide to the Residential Tenancies Act puts it in one sentence each: an assignment is where “a new person takes the place of the tenant, but all the terms of the rental agreement stay the same,” while a sublet “occurs when a tenant moves out of the rental unit, lets another person live there for a period of time, but returns to live in the unit before the tenancy ends.”

The Board’s tenant brochure is blunter still: “When you assign your unit, you are leaving your unit permanently.” And the A2 instructions describe an assignment as transferring “all of their legal interests in the tenancy agreement to another person” where “the tenant does not intend to return.”

That single fact changes everything downstream — who owes rent, who can be evicted, who has to leave when it ends, and how hard your landlord is allowed to push back.

Sublet or assignment: how do they compare?

Sublet Assignment
Section s.97 ss.95, 96
Do you come back? Yes, before the tenancy ends No — you are gone permanently
Consent needed? Yes Yes
Can the landlord refuse in principle? Consent is required, but s.97(2) bars an arbitrary or unreasonable refusal of a named subtenant Yes — s.95(2)(b) allows outright refusal of a general request
Can they refuse the person you name? Not arbitrarily or unreasonably — s.97(2) Not arbitrarily or unreasonably — s.95(5)
Who owes the landlord rent? You do — s.97(4)(a) The assignee, for the period after — s.95(8)(a)
Who owes you? The subtenant — s.97(4)(b) Nobody; you are out of the chain
What can the landlord charge? Reasonable out-of-pocket expenses only — s.97(3) Reasonable out-of-pocket expenses only — s.95(7)
What if consent is refused or ignored? A2 to the Board — s.98 Notice ending the tenancy under s.96, or an A2 — s.98
What happens at the end The subtenant has no right to stay — s.97(5) The assignee is simply the tenant now

The Board’s summary of both is that “a tenant must have the landlord’s approval for an assignment or a sublet but, in either case, the landlord must have a good reason for refusing.” That is a fair headline, but the statute is more layered than it, and the layers are where the arguments live.

What exactly can my landlord refuse?

Section 95 gives the landlord three options, and which options they get depends on how you ask.

If you make a general request — may I assign this unit to someone? — section 95(2) lets them consent or refuse, full stop. The A2 instructions say so directly: “You cannot apply if the landlord has refused in principle to allow you to assign the rental unit. The Residential Tenancies Act, 2006 allows the landlord to refuse in principle.”

If you make a specific request — may I assign to this named person? — section 95(3) gives them three choices: consent to that person, refuse that person, or refuse the assignment altogether. Refusing the person under clause 95(3)(b) is the one that is policed: section 95(5) provides that a landlord “shall not arbitrarily or unreasonably refuse consent to an assignment of a rental unit to a potential assignee.”

Section 95(6) closes a loophole. A landlord who has already consented in principle can still refuse a specific assignee — but only subject to section 95(5). They cannot use the second stage to undo the first.

Subletting has no equivalent of the in-principle refusal. Section 97(1) requires consent and section 97(2) says the landlord “shall not arbitrarily or unreasonably withhold consent to the sublet of a rental unit to a potential subtenant.” In practice that means naming your proposed subtenant, in writing, is what turns a soft no into a reviewable one.

Some tenants have no right to assign at all Section 7(1) switches off sections 95 to 99 for several categories, and the Board’s tenant brochure lists them: subsidised, public or non-profit housing; a superintendent’s unit; and housing provided by an educational institution where the tenant works or studies. As the brochure puts it, “in these situations, if your landlord refuses to let you assign the rental unit, you cannot dispute it.” Sections 95(9) and 97(6) separately exclude superintendent’s premises. Mobile homes and land lease sites have their own rules under section 159.

What if they refuse or simply never answer?

Silence has a deadline attached to it. Section 95(4) gives you the right to end the tenancy under section 96 if you asked to assign and the landlord refused, or “does not respond within seven days after the request is made” — and that applies both to a general request and to a request about a named assignee.

Two clocks then run at once, and missing either costs you the remedy:

  1. Seven days for them. No response inside seven days of your request counts as a refusal for this purpose.
  2. Thirty days for you. Section 95(4) requires the termination notice to be given “within 30 days after the date a request is made.” Not 30 days after the refusal — 30 days after the request.
  3. Then a shortened notice period. Section 96(2) sets the termination date at the lesser of the notice period otherwise required and 30 days. The A2 instructions translate that: at least 28 days for a daily or weekly tenancy, at least 30 days for all others — instead of the usual 60.

That is a genuine escape hatch. A monthly tenant who would normally owe 60 days’ notice can leave on 30 if an assignment request was properly made and refused or ignored.

The alternative is to challenge the refusal. Section 98(1) lets a tenant or former tenant apply for an order that the landlord “arbitrarily or unreasonably withheld consent to the assignment or sublet.” The form is the A2, and on the Board’s current fee schedule it costs a tenant $53 — the same application costs a landlord $201.

Section 98(3) gives the Board four remedies, and they can be combined: order that the assignment or sublet is authorised; authorise a different one you propose; terminate the tenancy; or order an abatement of your rent. Section 98(5) makes an authorised transfer take effect “as if the landlord had consented to it,” and section 98(4) lets the Board set the terms. The limitation period in section 98(2) is one year from the conduct complained of.

What a landlord may and may not charge Sections 95(7) and 97(3) both allow the landlord to charge only “the landlord’s reasonable out-of-pocket expenses” incurred in giving consent. The Board’s tenant brochure gives the example of a credit check on your proposed assignee and adds: “The landlord cannot charge you more than their actual costs.” A flat “transfer fee” or “administration fee” above actual cost is an additional charge caught by section 134.

What can go wrong afterwards?

Three things, and all of them have 60-day fuses.

An unauthorised occupancy. If you transfer occupancy other than by an authorised assignment or sublet, section 100(1) lets the landlord apply to evict both you and the occupant — but section 100(2) requires the application within 60 days of the landlord discovering it. Section 104(4) then does something remarkable: if nobody acts, and no new tenancy is negotiated inside that window, the occupation “shall be deemed to be an assignment of the rental unit with the consent of the landlord” as of the date it began.

A subtenant who will not leave. Section 97(5) is categorical — “a subtenant has no right to occupy the rental unit after the end of the subtenancy.” Section 101 lets either you or the landlord apply to evict an overholding subtenant within 60 days of the subtenancy ending, and section 102 lets you claim compensation for use and occupation. The A2 instructions confirm the tenant’s route and the 60-day limit.

A subtenant who stops paying. During a sublet you are still the landlord’s tenant. Section 99 hands you the landlord’s toolkit against your subtenant: sections 59 to 69, 87, 89 and 148 apply “as if the tenant were the landlord and the subtenant were the tenant.” You can serve your subtenant an N4. Meanwhile section 97(4)(a) keeps you liable to your own landlord for the rent regardless.

Never take a premium for a sublet Section 134(3) prohibits a tenant from subletting for more than the lawful rent, and from collecting “any fee, premium, commission, bonus, penalty, key deposit or other like amount of money, for subletting a rental unit, for surrendering occupancy of a rental unit or for otherwise parting with possession.” Section 135(3) then lets the subtenant apply against you as if you were the landlord. In a tight rental market this is the single most common way a well-meaning tenant creates a liability.

The takeaway

Ask in writing, and ask about a person. A vague request to sublet “sometime” gets you nothing; a written request naming a specific subtenant or assignee starts the seven-day clock and engages the arbitrary-or-unreasonable test. Keep the request, the date and any reply. If the answer is no or nothing, you have a 30-day window to leave on shortened notice and a year to ask the Board whether the refusal was reasonable — and both of those are better options than moving someone in quietly and hoping.

Leaving a unit and not sure whether to sublet, assign or end it?

Send me your lease, your dates and what you are trying to achieve. I will tell you which route the Act actually gives you, what your landlord can and cannot refuse, and — if you are moving within the west end — what your next place is likely to cost. No pitch, no obligation.

connect@jatindua.com · 437-987-1925 · Book a free consultation

Confidential. Reviewed personally and answered within 24 hours. I never share, sell or distribute your information.

Frequently asked questions

What is the difference between subletting and assignment in Ontario?

A sublet is temporary and an assignment is permanent. The LTB’s guide describes a sublet as the tenant moving out for a period and letting someone else live there, then returning before the tenancy ends, while in an assignment a new person takes the tenant’s place and all terms stay the same. Under section 97(4) a subletting tenant stays liable to the landlord; under section 95(8) an assignee takes over liability for the period after the assignment.

Can my landlord refuse to let me sublet in Ontario?

Only for a good reason once you name someone. Section 97(1) requires the landlord’s consent to a sublet, but section 97(2) says a landlord shall not arbitrarily or unreasonably withhold consent to the sublet to a potential subtenant. Assignment works differently: section 95(2) lets a landlord refuse a general request outright, and only section 95(5) stops an arbitrary or unreasonable refusal of a specific proposed assignee.

What can I do if my landlord will not respond to a sublet or assignment request?

Two things. Section 95(4) lets you end the tenancy on notice under section 96 if the landlord refuses or does not respond within seven days of your request, provided you give that notice within 30 days of making the request. Separately, section 98(1) lets a tenant or former tenant apply to the Board on a Form A2 for an order that consent was arbitrarily or unreasonably withheld, within one year under section 98(2).

Can I charge my subtenant more than my rent in Ontario?

No. Section 134(3)(a) prohibits a tenant from subletting for a rent payable by subtenants that is greater than the rent the landlord lawfully charges for the unit. Section 134(3)(b) also prohibits collecting any fee, premium, commission, bonus, penalty or key deposit for subletting a unit or otherwise parting with possession, and section 135(3) lets a subtenant apply to the Board as if the subtenant were the tenant to get such money back.

Sources

Related reading

About the author — Jatin Dua, Etobicoke real estate agent

I am Jatin Dua, a licensed Realtor with RE/MAX Quantum Realty, working out of 799 The Queensway in Etobicoke. I write about Ontario tenancy rules because they shape what a property is worth to a buyer, what a seller can deliver on closing and what an investor can actually do with a unit. Everything on this page is checked against the statute, the regulations and the Landlord and Tenant Board’s own published material rather than against what people say online.

Sublets and assignments come across my desk most often when someone is relocating mid-lease and has been told, wrongly, that they are stuck for the full term. Usually they are not — but the route out depends on asking the right question in writing on the right day.

Reach me at connect@jatindua.com or 437-987-1925.

Please read this. This page is general information about Ontario residential tenancy law as it stood on 23 August 2026. It is not legal advice, and I am a licensed real estate agent, not a lawyer or a licensed paralegal. Whether a particular refusal was arbitrary or unreasonable is a question of fact for the Board, and different rules apply to mobile home parks, land lease communities, care homes and social housing. Tenancy rules change — the Residential Tenancies Act, 2006 is being amended in stages through 2026, and figures such as the rent increase guideline and the Board’s filing fees are reset from time to time. Verify the current position for your own situation with the Landlord and Tenant Board at 1-888-332-3234 or 416-645-8080, on tribunalsontario.ca and ontario.ca, and get advice from a licensed paralegal or a lawyer before you act. E. & O.E.

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