How Can A Commercial Landlord Legally Remove One Co-tenant From A Fixed-term Lease When They Have No Involvement In The Business?
Location: Ontario, Canada
I’m looking for practical advice from people familiar with Ontario commercial tenancy law. I’m trying to help a friend navigate an urgent situation involving her equestrian business, and we need to understand the quickest lawful way forward.
Background
My friend Barb is the sole owner and operator of an established equestrian business called Galloping Hills, which has been operating successfully for several years. The business provides horse boarding and training services.
Barb recently leased a physical location consisting of a barn and riding arena to operate her business. The current commercial lease is for a fixed term of 12 months, and both Barb and another individual, whom I’ll call Meagan, are named as tenants.
Barb originally agreed to have Meagan involved because she was nervous about opening the physical location alone. Meagan was supposed to be something like a silent business partner. However:
Barb has always been the sole owner and operator of Galloping Hills.
Meagan has no ownership documents or registered ownership interest in the business.
Meagan refused to sign the proposed partnership agreement, and no partnership agreement was ever signed.
Meagan has not contributed money toward the business or the rent, to Barb’s knowledge.
Meagan has not been helping operate the facility and has been absent for weeks.
Despite this, Meagan expects to receive profits from the business.
The rent issue
Barb transferred money to Meagan specifically so that Meagan could pay the landlord. Meagan allegedly used the money for personal expenses instead of paying the rent, and Barb had to provide the money again to ensure the rent was paid. This reportedly happened on more than one occasion.
Barb is currently the person ensuring that the rent is paid. She wants to protect her business and prevent further financial losses.
The safety and property issue
Meagan’s husband, whom I’ll call Ben, has two horses at the property. He has been allowed to keep them there in exchange for occasionally mucking stalls and doing some barn chores.
Recently, Ben allegedly directed racial slurs and abusive language at the landlord during a serious confrontation that reportedly lasted around an hour. The relationship has deteriorated significantly, and Barb no longer wants either Meagan or Ben involved with the facility.
Ben does not own or operate the business. However, his horses are still on the property, and we need to understand how to deal with their removal lawfully.
The landlord situation
The landlord has been difficult to communicate with and reportedly prefers to deal with men rather than Barb. After Barb requested a discussion about the tenancy, the landlord contacted Ben instead.
The landlord’s main concern appears to be receiving rent. Barb wants to continue operating her established business and is willing to keep the rent paid.
I am a separate individual who is willing to act as a replacement co-signer or guarantor if that would help secure the tenancy. I have been employed with my current employer for five years and earn approximately $250,000 annually. I can potentially provide proof of employment and income.
My questions
Since Meagan and Barb are both named on the 12-month commercial lease, what is the quickest lawful way to remove Meagan as a tenant if Barb wants to continue the lease?
Can the landlord agree to a written lease amendment removing Meagan and retaining Barb as the tenant, with me replacing Meagan as a co-signer or guarantor if required?
If the landlord refuses to amend the existing lease, can the parties mutually terminate it and enter into a new lease with Barb and me instead? What happens if Meagan refuses to cooperate?
Does Meagan’s lack of business ownership, lack of financial contributions, and refusal to sign a partnership agreement have any bearing on her rights under the lease or her claimed entitlement to business profits?
What evidence should Barb preserve regarding the money transferred for rent, the alleged misuse of those funds, and Meagan’s lack of involvement in the business?
What is the lawful process for requiring Ben to remove his two horses when his permission to keep them there was based on an informal arrangement involving occasional barn chores?
Does the alleged racial abuse directed at the landlord affect the landlord’s ability to terminate or change the tenancy, or to restrict Ben’s access to the property?
If the landlord continues communicating with Ben instead of Barb, what formal written steps can Barb take to establish that she is the business owner and the person seeking to continue the tenancy?
We are in Ontario, and this is a commercial property used for horse boarding and training, not residential accommodation.
We are trying to act quickly without making the situation worse or taking any steps that could expose Barb or the business to additional legal or financial liability.
I’m particularly interested in practical steps under Ontario law, relevant legislation, and any official resources or procedures that could help us resolve this.
Side note- barb messaged Meagan and her husband Ben
Around how unacceptable it was to use racial slurs against the landlord and barb reached out to the landlord and listing agent to discuss the behaviour - however since the landlord only “speaks to men” the landlord came to Ben with barbs email, causing Ben and Meagan to corner barb, screaming at her and threatening her. They also sent her a demand letter demanding 19,000 for general labour and 20,000 in other labour. Meagan lost her other job and has a terrible credit score and so is acting desperate- they have never financially contributed to this operation- are demanding money because Meagan’s husband has been doing barn chores in exchange for Barb keeping his horses for free- but sounds like they are now trying to also get her to pay them 39000 on top of that…. This is wild.
I know the lease and implied partnership are 2 different things- so 1 how the heck do we legally get Megan off this lease as a co tenant. Her name is on absolutely nothing else, the business was operating for years before she came into the picture, she’s only been in the picture for 1 1/2 months
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