In what circumstances will a landlord have to reserve rent for the use of furnishings for the purpose of renting out the furnishings to a tenant?
Alberta, Canada
The following excerpt is from Hudson's Bay (Hudson's Bay Company Ltd.) v. Calgary (City), 1980 ABCA 217 (CanLII):
In Cox v. Harper 1910 1 Ch. 480 at 488 Fletcher-Moulton L.J. said at p. 488, "I do not doubt that they may agree that the rent shall cover a payment for the use of articles in respect of which of themselves rent could not be reserved. For instance, you could not get rent for the use of furniture of itself, but where you reserve a rent for furnished lodgings it is no objection that the rent for the premises includes the use of the furniture."
In Finch v. Gilray 16 O.A.R. 484 MacIennan J.A. said at p. 495: "It cannot fairly be said that, by the express terms of the agreement, the taxes were to be paid as so much additional rent. The parties no doubt could have agreed to that, but I think it is not proved that they did so in this case …"
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