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Mandatory lease, Section G and lease assignment: what changed

Old lease forms stop being valid at the end of 2026, Section G now carries real liability, and refusing an assignment can end the lease. Here is where the rules stand.

Published 6 min read By the Location Ajax team
Mandatory lease, Section G and lease assignment: what changed

Three recent changes directly affect owners who rent out a condo or units in a plex. First, new lease forms have been in force since 1 January 2026, and the old ones can only be used until 31 December 2026, unless a free TAL appendix is attached. Second, a false statement in Section G of the lease can now lead to punitive damages. Third, since 21 February 2024, an owner may refuse a lease assignment for any reason, and the lease then ends.

Here is what to know about the mandatory lease, Section G, renewal, assignment and subletting, based on the Civil Code and the Tribunal administratif du logement (TAL).

The mandatory lease form

Since 1 September 1996, every new residential lease (room, apartment, condo, house) must be made on the TAL form. Special forms exist for co-ops, low-rental housing, student residences and mobile-home lots. The owner gives the tenant a copy within 10 days of signing. If the lease is verbal, the owner must give the tenant the "mandatory writing" within the same period.

The 2026 forms

The electronic lease

The official electronic lease costs $2.99 plus tax ($3.44). The parties sign remotely, each with an email address. The process must be completed within 36 hours, and the PDF can be downloaded for 90 days. Building rules can be attached.

Section G: the lowest rent of the last 12 months

At signing, the owner must tell the new tenant the lowest rent paid in the 12 months before the lease starts, or the rent fixed by the TAL during that period (art. 1896 C.C.Q.). If no rent was paid during those 12 months, the owner gives the last rent paid and its date. The 2026 forms now include a box for that case.

Why it matters: a new tenant (or sub-tenant) paying more than that amount can ask the TAL to fix their rent:

Since Bill 31, for leases signed from 21 February 2024, a false statement or knowingly failing to give the notice can also lead to punitive damages.

A few exceptions: co-ops, low-rental housing, and buildings ready for occupancy 5 years ago or less (or converted to residential use within 5 years). For those buildings, the exemption must be stated in Section F and, for leases signed since 21 February 2024, Section F must also state the maximum rent the owner may charge during those 5 years.

Lease renewal

The tenant has a personal right to stay in the premises and cannot waive it in advance (art. 1936). The lease renews automatically for the same term, or for 12 months if the original lease was longer (art. 1941). To change a condition, including the rent, the owner sends a notice within set time limits; we explain the calculation in our article on 2026 rent increases. If the tenant receives no notice and wants to leave, it is up to the tenant to notify the owner, within the same time limits.

Ending a lease early: a stubborn myth

A tenant cannot leave on "three months' notice" for just any reason. The law (arts. 1974 and 1974.1) allows it only in four situations: being allocated low-rental housing, a disability that prevents them from living in the unit, a senior's permanent admission to a CHSLD or seniors' residence, and conjugal, sexual or child-related violence. For any other reason (buying a house, a new job), the tenant must negotiate a termination or propose an assignment or a sublet.

Lease assignment since Bill 31

A tenant who wants to assign the lease sends a notice giving the proposed assignee's name and address and the intended assignment date. The owner has 15 days to answer. If the owner says nothing, they are deemed to accept.

Owner's answerResult
AcceptThe assignee takes over the lease as it stands. The owner may claim reasonable expenses, such as the cost of the credit check.
Refuse for a serious reason (poor conduct, inability to pay)The lease continues. The tenant may contest the refusal before the TAL.
Refuse for any other reasonThe lease ends on the assignment date given in the notice. The owner gets the unit back and can re-rent it, with a new Section G notice.

This third option has existed since 21 February 2024 and does not apply to notices sent before that date. A tenant may not charge the assignee anything for the assignment: doing so is an offence punishable by a fine. After the assignment, the outgoing tenant is released, no new lease is signed, and the assignee cannot have the rent fixed, since they are not a "new tenant".

Key takeaway: an assignment request calls for a written decision within 15 days. Accept, refuse for a serious reason, or take the unit back: the three choices have very different effects, and silence counts as acceptance.

Subletting

What we do for owners

Whether it's a condo or a plex, we sign leases on the current form, fill in Section G from the rents actually collected, and handle every assignment or sublet request within the 15-day limit, with a written recommendation.

A lease to renew or an assignment request on your desk? Write to us through the contact form: a 30-minute consultation and a written quote, both free.

This article provides general information as of 25 September 2026. It is not legal advice. For a specific situation, check with the Tribunal administratif du logement or a lawyer.

Frequently asked questions

Can the old lease form still be used?

Printed forms bought before 1 January 2026 may be used until 31 December 2026. After that, use the new form or the old one with the TAL's free adjustment appendix.

What happens if the owner doesn't answer a lease assignment request?

The owner has 15 days to answer. After that, silence counts as accepting the assignment.

Can an owner refuse a lease assignment without a serious reason?

Yes, since 21 February 2024. In that case, the lease ends on the assignment date given in the tenant's notice, and the owner gets the unit back.

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