Landlord Bankruptcy: What New Brunswick Tenants Need to Know

Being a tenant in New Brunswick can feel uncertain if your landlord goes bankrupt. This guide explains what typically happens to your lease, deposits and rent payments, and how tenant protections and the Residential Tenancies Tribunal can help you keep housing or recover money owed. You’ll learn practical steps to document your tenancy, protect your security deposit, respond to notices, and apply to the tribunal if necessary. The advice is plain-language and focused on actions renters can take right away, including what forms to look for and when to get legal or community support. If you act promptly and keep clear records, you improve your chances of resolving issues with as little disruption as possible.

What happens if a landlord files for bankruptcy?

If a landlord declares bankruptcy, a trustee is appointed to manage the landlord's property and debts. Your lease may continue until the trustee takes formal steps to assign or end that lease; tenants do not automatically lose rights because of a landlord's insolvency. If you have questions about possession, unpaid rent, or your deposit you can contact the Residential Tenancies Tribunal for guidance on how tenure and claims are handled in New Brunswick^[1]. The relevant provincial legislation also explains priority of claims and tenant protections under the Residential Tenancies Act^[2].

What tenants should do right away

• Document your tenancy: keep a copy of your lease, a photo record of the unit, and any written communications with the landlord.
• Keep rent receipts and proof of payments so you can show whether rent was paid and where funds were sent.
• Contact the trustee or the landlord's representative to confirm how rent, keys, and deposits will be handled going forward.
• Apply to the Residential Tenancies Tribunal within required deadlines if you need an order about possession, deposits, or unpaid rent.
• Complete any official application forms carefully, keep copies, and note filing dates when you submit claims.

Security deposits and bankruptcy

Security deposits are often one of the first concerns for tenants. In New Brunswick, how a deposit is handled depends on whether the trustee treats deposits as held in trust or as part of the landlord's estate. You should review your lease and gather any receipts that prove where the deposit was paid. If the trustee does not hold the deposit separately you may need to file a claim with the trustee and also seek orders from the Residential Tenancies Tribunal to try to recover your deposit^[1]. For general guidance on protecting deposits and what to expect, see Understanding Rental Deposits: What Tenants Need to Know.

Key forms and where to find them

The Tribunal provides application forms and instructions for tenants who need orders about possession, unpaid rent, or deposits. Commonly used paperwork includes an application to start a tribunal hearing and any prescribed evidence checklists. Follow the Tribunal's filing rules and attach copies of your lease and payment records when you apply^[3].

• Application to the Residential Tenancies Tribunal — use this to ask for orders about eviction, unpaid rent, or return of a security deposit; include copies of your lease and receipts when you file.

FAQ

Can my landlord end my lease if they declare bankruptcy?

Not automatically; a trustee may decide to assign or end leases, but tenants retain rights and can seek orders from the Residential Tenancies Tribunal to protect possession or claim deposits^[1].

Where should I send rent if the trustee is handling the property?

Do not stop paying rent unless you are told officially where to send it; confirm payment instructions in writing from the trustee or the Tribunal and keep receipts for any payments you make.

Which form do I use to ask the Tribunal for help?

Use the Tribunal's application form for tenants seeking orders about possession, unpaid rent or deposits, and attach your lease, receipts, and any photo evidence when you file^[3].

How-To

1. Gather documents: collect your lease, all rent receipts, photos of the unit and any written communication with the landlord or trustee.
2. Contact the trustee or the landlord's representative to confirm where to send rent and how deposits will be handled.
3. File an application with the Residential Tenancies Tribunal if you need an order for possession, unpaid rent, or to recover a deposit; follow the Tribunal's instructions on evidence and filing^[3].
4. Consider alternative housing options quickly if the trustee terminates the lease; you can search for new listings such as Find rental homes across Canada on Houseme to move without delay.

Help and Support / Resources

• Residential Tenancies Tribunal - Government of New Brunswick
• Residential Tenancies Act (New Brunswick)
• Service New Brunswick tenant information

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1. [1] Residential Tenancies Tribunal - Government of New Brunswick
2. [2] Residential Tenancies Act (New Brunswick)
3. [3] Tribunal forms and filing instructions - Government of New Brunswick