Does a new commercial landlord inherit the right to seize a tenant's goods for unpaid rent in Ontario?

Generally, yes. Under the Commercial Tenancies Act, a landlord has a remedy called distress, which allows seizing and selling a tenant's goods found on the premises to recover unpaid rent, without needing to go to court first. This is a distinctly commercial remedy — the Residential Tenancies Act, 2006 abolished distress for residential tenancies, but it remains available for commercial premises, and a new owner who takes over as landlord under an existing lease generally inherits the ability to use it.

The nuance is that distress is a technical, formality-heavy remedy with specific rules about what can be seized, how it must be carried out, and what happens if it's done incorrectly. Mishandling it can expose a landlord to a claim from the tenant instead of resolving the arrears. It's also not always the most practical first step; many landlords pursue negotiation, notice, or other lease remedies before resorting to distress, since seizing a tenant's goods can also disrupt a business the landlord may still want operating, and paying rent, going forward.

A new owner inheriting a tenant in arrears should get legal advice on the specific circumstances before acting, since the right to use distress doesn't mean it's always the right tool for the situation.