- The Landlord and Tenant Board deals specifically with residential landlord-tenant relationships.
- - Roommate arrangements where you paid a deposit to another individual occupant, not a landlord, and there's no residential tenancy between you and that person.
- Small Claims Court's monetary jurisdiction comfortably covers the overwhelming majority of deposit disputes — from a few hundred dollars between roommates to a substantial commercial or…
Someone is holding onto a deposit that belongs to you, and they won't give it back. If your instinct is to think "isn't that a Landlord and Tenant Board thing?" — sometimes, but often not. A lot of deposit disputes fall outside residential tenancy law entirely, and suing for deposit return in those cases means going to Small Claims Court instead.
Knowing which forum applies matters, because filing in the wrong one wastes time you don't need to lose.
Not Every Deposit Dispute Involves a Landlord and a Tenant
The Landlord and Tenant Board deals specifically with residential landlord-tenant relationships. A lot of real-world deposit disputes simply don't fit that description, even though they involve rent, a room, or a shared space. When the relationship isn't a residential tenancy in the first place, the dispute generally belongs in the regular civil court system — for most amounts, that means Small Claims Court.
When a Deposit Dispute Typically Belongs in Small Claims Court
- Roommate arrangements where you paid a deposit to another individual occupant, not a landlord, and there's no residential tenancy between you and that person.
- Commercial leases, where the tenancy involves business premises rather than a residence.
- Purchase deposits for goods or services — a deposit on a vehicle, event venue, custom order, or similar transaction that never involved renting a home.
- Service or contractor deposits, where you paid upfront for work that was never performed, or was cancelled.
A Quick Comparison
| Landlord and Tenant Board | Small Claims Court | |
|---|---|---|
| Handles | Residential landlord-tenant relationships | General civil money disputes, including most deposit claims outside that relationship |
| Example | Rent deposit held by your actual landlord | Deposit paid to a roommate, contractor, or business |
| Dollar range it comfortably covers | Set by its own rules | Up to Small Claims Court's monetary jurisdiction, currently $50,000 (verify the current figure before relying on it) |
Small Claims Court's monetary jurisdiction comfortably covers the overwhelming majority of deposit disputes — from a few hundred dollars between roommates to a substantial commercial or purchase deposit.
What You Need to Prove
- A deposit was actually paid — and how much.
- The terms it was paid under — what it was for, and what was supposed to happen with it.
- A breach of those terms — the deposit wasn't returned when it should have been, or was kept without a valid reason.
- The amount you're owed — ideally tied directly back to the deposit paid.
Building Your Evidence
- [ ] Proof of payment — e-transfer confirmation, bank statement, receipt, or cash receipt if one exists.
- [ ] Any written agreement, lease, contract, or text/email exchange describing the deposit and its terms.
- [ ] Communication showing you asked for the deposit back and how the other side responded (or didn't).
- [ ] Photos or documentation of the condition of the item, space, or work at the relevant time, if that's part of the dispute (for example, a claim that damage justified keeping the deposit).
- [ ] A clear, simple calculation of exactly how much you're claiming and why.
Starting the Claim
Small Claims Court claims start with a Plaintiff's Claim, along with a filing fee that's set by regulation and adjusted periodically (fees for a Small Claims filing vary depending on how frequently the person filing uses that court office — verify the current fee before you file). Once the other side is served, they have a set window to respond; if they don't, you may be able to move for default judgment without a full hearing.
Frequently asked questions
Is a roommate legally a "tenant" I can only pursue at the Landlord and Tenant Board?
Not necessarily. If your arrangement wasn't a residential tenancy between a landlord and tenant — for example, you both occupied the space as co-tenants or the deposit went to another occupant rather than a landlord — the dispute often belongs in Small Claims Court instead.
What if our agreement was only verbal, with no written lease or contract?
A verbal agreement can still support a claim. It's harder to prove without documentation, so gather whatever evidence you have — texts, e-transfer records, witnesses — to support what was actually agreed.
Can I sue for a commercial lease deposit in Small Claims Court?
Generally yes, since commercial tenancies fall outside residential tenancy law and are handled through the regular civil court system, subject to Small Claims Court's monetary jurisdiction for the amount involved.
What if the other side says they kept the deposit to cover damage or unfinished work?
That becomes a factual dispute the court will need to resolve — you'll want evidence of the condition of the item or space, and any documentation supporting (or contradicting) the claimed damage or deficiency.
This is a litigation question
Start a file online — flat, published fees, reviewed by a licensed Ontario lawyer before a dollar is owed.