Fixed-Term vs. Periodic Tenancies in Ontario

Under the Residential Tenancies Act, 2006, a fixed-term tenancy runs for a specific period with a defined start and end date, most commonly 12 months. A periodic (month-to-month) tenancy has no set end date and simply continues from one rental period to the next until properly ended by either party.

In Ontario, a fixed-term tenancy does not automatically end just because the term expires. If neither the landlord nor the tenant takes action to end or renew it, the tenancy automatically continues as a month-to-month periodic tenancy, on the same terms as before (aside from the fixed end date, which no longer applies). A tenant does not need to sign anything new to legally continue occupying the unit under these terms.

Once a tenancy is month-to-month, either party who wants to end it must follow the RTA's notice requirements for periodic tenancies -- generally 60 days' written notice for a monthly tenancy. This is distinct from the notice a landlord must give for a fixed-term tenancy ending for a specific reason, such as the landlord's own use (N12) or major renovation (N13), which follow their own rules.

If both the landlord and tenant want to continue with another fixed term rather than sliding into month-to-month, they should sign a new lease with updated dates before the current term ends. Relying on a verbal understanding is risky -- without a signed new agreement, the tenancy will be treated as periodic once the original term expires.