B.C. Protects Small Businesses from Eviction by Commercial Landlords who are not availing CECRA

B.C. Finance Minister Carole James on Monday (Jun 1) issued emergency order that restricts commercial land lords who are not opting for Canada Emergency Commercial Rent Assistance (CECRA) from evicting small businesses that aren’t able to pay rent.

“Emergency order is meant to protect small businesses during COVID-19 pandemic and encourage land lords to apply for CECRA” the B.C. finance minister said. “Small businesses are a large part of our economy here in British Columbia,” James added “We need them to be able to restart and to be able to help us recover the economy.”

The emergency order restricts lease terminations, rent-repayment lawsuits, and repossession of goods and properties, and will stay in place until the end of June, when the current federal relief program is set to end. The program aims to reduce rent owed by small business tenants by 75 per cent for April, May and June. The tenant must cover up to 25 per cent of the rent.

The province will also consider extending the protection order accordingly if the federal government decides to extend its rent assistance program past June.

The federal government opened applications last week for the CECRA program, which provides non-repayable loans to commercial property rent owners to cover 50 per cent of the monthly cost.

Some land lords have called the relief program “very confusing,” stating it puts too much risk onto them as they could be left with the loan burden should their tenants are not found eligible subsequently.

Contrary, the small business owner says the CECRA program should be in the hands of tenants to apply since they are the ones who have to be eligible for it.