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Lease & signingMay 24, 20269 min read

Eviction for subdivision or expansion in Quebec: Law 31 and the 24-month indemnity

Buying a triplex to convert it to a quintuplex, expanding a 4½ into two 2½, or turning a unit into an office — Law 31 multiplied the cost of evicting a tenant for these projects by 8. Understanding the new rules BEFORE the acquisition is often worth more than the project itself.

The Civil Code of Quebec distinguishes two completely different mechanisms for recovering a rented unit: repossession (article 1957, to house yourself or an eligible relative) and eviction (article 1959, to subdivide, substantially expand, or change the use of the unit). Many investors confuse the two — but the conditions, procedure, and ESPECIALLY the costs are radically different.

This article covers exclusively eviction in the sense of article 1959: the 3 admissible grounds, the new regime since Law 31 (February 2024), the minimum 24-month indemnity that replaced the old 3-month indemnity, the mandatory TAL procedure, and the economic analysis to do before planning any work that involves evicting a tenant.

Repossession vs eviction: the distinction that changes everything

These two mechanisms are routinely confused, even though they have almost nothing in common:

AspectRepossession (art. 1957)Eviction (art. 1959)
PurposeHouse the owner or an eligible relativeSubdivide, expand, change the use
BeneficiaryOwner, spouse, children, parents, etc.The project itself (no personal beneficiary)
CCQ article19571959
Notice deadline6 months (6+ month lease)6 months (6+ month lease)
Minimum indemnity3 months' rent + actual costs24 months' rent + actual costs (Law 31)
TAL procedureMandatory if refused (Law 31)Mandatory — eviction is not a right, the TAL MUST authorize it
Burden of proofShow the housing projectShow the subdivision/expansion/use-change project
Post-eviction cancellationPossible if quick resalePossible if work not completed

The 3 admissible grounds for eviction (article 1959 CCQ)

Eviction under article 1959 is ONLY possible for three specific projects. Any other reason raised is rejected by the TAL:

1. Subdivision of the unit

Dividing an existing unit into two or more separate units. Typical example: a 6½ converted into two 3½. The subdivision must produce separate rental units with their own entrances, bathrooms and kitchens to qualify as such. A simple partition without independent services is not a subdivision in the legal sense.

2. Substantial expansion of the unit

Materially extending the unit's surface area, generally into an adjacent space (acquired neighboring unit, attic, basement, annex built). 'Substantial' is interpreted by the TAL: a 10% expansion is generally not substantial; above 30% with a room added, yes. Cosmetic renovations (kitchen, plumbing, floors) are NEVER eviction grounds — they can justify a rent increase but not an eviction.

3. Change of use of the unit

Transforming the residential unit into a commercial space, office, short-term tourist accommodation (with municipal permit), or any other non-residential use. The change must be real and permanent — the operation must be documented by municipal permits, zoning authorizations and architectural plans. A 'temporary' change is not a change of use.

The new regime since Law 31

Before Law 31, the mechanism resembled repossession: notice sent, tenant had a month to respond, silence meant tacit acceptance, and only on active refusal did the owner have to apply to the TAL. Since February 2024, everything has changed:

  1. 1Tenant silence equals REFUSAL — no longer acceptance as before.
  2. 2The owner MUST systematically apply to the TAL to have the eviction authorized, even if the tenant doesn't respond.
  3. 3The burden of proof is fully on the owner from the start — project evidence, municipal permits, architectural plans, work schedule, financing.
  4. 4The minimum indemnity jumped from 3 to 24 months' rent (plus possible upward adjustment by the TAL for vulnerable tenants).
  5. 5The TAL can refuse the eviction even if all technical criteria are met, if the project is deemed premature, uncertain or opportunistic.

The 24-month indemnity: how it's calculated

The legal minimum is 24 months of CURRENT rent — not market rent, not projected rent post-work. This minimum covers the base indemnity. To this are added the actual costs incurred by the tenant:

ComponentMinimum amount
Base indemnity (Law 31)24 months of current rent
Moving costsMover quotes, transport
Service transfer feesHydro, internet, telecom
Rent differential if new unit costs moreOn proof, variable period (may add to 24 months)
Documented reasonable costsBoxes, deposits, hookups
Upward adjustment for vulnerabilityTAL discretion — elderly tenants, disability, long occupancy

For a $1,500/month rent, the minimum is therefore 24 × 1,500 = $36,000, excluding costs. For a $1,200/month rent, $28,800 minimum. This sum is due at the eviction's effective date, in trust or directly to the tenant.

Economic analysis before planning the work

For an eviction to be economically justifiable, the rental gain post-work must exceed the total eviction cost. Simple formula:

Worked example: converting a 5½ into two 3½

Investor buys a duplex with a 5½ rented at $1,400/month. Plan: subdivide into two 3½ rentable at ~$1,100/month each.

ItemAmount
Current rent$1,400 / month
Projected rents (2 × $1,100)$2,200 / month
Monthly rental gain+$800 / month
Annual rental gain+$9,600 / year
Law 31 indemnity (24 × $1,400)−$33,600
Estimated actual costs (10%)−$3,360
Total eviction cost−$36,960
Subdivision work cost (estimated)−$85,000
Total investment−$121,960
Payback period via cashflow≈ 12.7 years

Step-by-step procedure

  1. 1Obtain municipal permits (subdivision, expansion, change of use) — without permits, the TAL will refuse the eviction.
  2. 2Get firm work quotes from a contractor — the schedule must be realistic and financed.
  3. 3Send an eviction notice to the tenant by bailiff or registered mail, minimum 6 months before lease end (6+ month lease) or 1 month (lease < 6 months).
  4. 4The tenant has one month to respond — silence equals REFUSAL since Law 31.
  5. 5File an application with the TAL to authorize the eviction, with all evidence (permits, plans, quotes, schedule, financing).
  6. 6Hearing at the TAL — the tribunal assesses the seriousness of the project and the legitimacy of the eviction. Decision rendered at hearing or in deliberation.
  7. 7If authorized: pay the minimum 24-month indemnity (in trust or directly), the tenant vacates on the fixed date.
  8. 8Carry out the work within the announced timeframe — otherwise the tenant can demand reinstatement or damages.

Traps to avoid

  • Buying a building expecting to convert without having included 24 months × number of tenants × rent in the business case
  • Sending the notice before having municipal permits — incomplete proof, TAL rejection
  • Underestimating TAL processing time (typically 4 to 9 months between filing and decision) — meanwhile the project stays blocked
  • Not completing the work within the announced timeframe — risk of tenant reinstatement or punitive damages
  • Confusing renovation with substantial expansion — renovation alone is never an eviction ground under article 1959
  • Presenting a 'temporary' change of use to free the unit briefly — clear bad faith
  • Forgetting our TAL notice calendar to validate the notice deadline

Repossession, eviction, assignment: which path to choose?

If the goal is simply to recover the unit (without a subdivision/expansion project), eviction under article 1959 is NOT the right path. Comparison of the three Law 31 mechanisms:

ObjectiveMechanismApproximate total cost
House yourself or eligible relative[Repossession (art. 1957)](/blog/unit-repossession-quebec-landlord-guide)3 months rent + costs (~$5,000 for $1,500/mo)
Recover the unit, no housing project[Assignment refusal (Law 31)](/blog/lease-assignment-quebec-law-31)$0 — if an assignment request appears
Subdivide / expand / change useEviction (art. 1959, this article)24 months rent + costs + work (~$37,000 + work for $1,500/mo)

Final decision: should you evict?

Before launching an eviction procedure for subdivision, expansion or change of use, validate these 5 points:

  1. 1Municipal permits in hand or in progress with a solid file
  2. 2Work financing confirmed (loan, equity, line of credit)
  3. 3Business case holds with the 24-month indemnity built into total cost
  4. 4Work schedule realistic on a 6-12 month horizon after eviction
  5. 5You're ready to wait 4-9 months between TAL filing and the decision
FAQ

Frequently asked questions

Does the 24-month indemnity also apply to repossession?+

No. Repossession (article 1957, to house yourself or an eligible relative) remains at 3 months' rent minimum + actual costs since Law 31. The 24 months apply only to eviction under article 1959 — subdivision, substantial expansion, or change of use. Confusing the two can be expensive in a business case.

Can I evict for deep renovation without subdividing?+

No. Renovation alone, even deep, is not an eviction ground under article 1959. Major renovations can justify a substantial rent increase at next renewal, and in some cases a temporary eviction with mandatory relocation — but not a permanent eviction. The distinction is critical.

How long does an eviction procedure at the TAL take since Law 31?+

Count 4 to 9 months between filing the TAL application and the final decision, plus the 6-month notice period upstream. Realistic total: 10 to 15 months between the decision to launch the eviction and the moment the unit is vacated and ready for work. Any business plan assuming less is unrealistic.

What happens if I don't carry out the work after evicting?+

The tenant can, within two years of the eviction, ask the TAL for reinstatement in the unit on the original lease terms. If reinstatement is impossible (unit destroyed, sold), the TAL can order substantial damages — beyond the indemnity already paid. Carrying out the announced work is legally mandatory.

Can the TAL refuse an eviction even with all documents in order?+

Yes. Since Law 31, eviction is an AUTHORIZATION granted by the TAL — not an owner's right. The tribunal can refuse if the project is deemed premature, uncertain, or if the tenant is in a particularly vulnerable situation (advanced age, disability, long occupancy, tight market without alternatives). Presenting a solid file is not a guarantee of success.

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