Bill 10 Now Law: What Landlords Need to Know About Illegal Drug Activity
Ontario's new Safer Streets Act creates serious penalties for landlords who knowingly allow drug production or trafficking. Here's what changed.
Bill 10 received Royal Assent on June 5, 2025. Part of it—Schedule 8, the “Measures Respecting Premises with Illegal Drug Activity Act”—directly affects residential landlords in Ontario.
What This Law Does
It creates penalties for landlords whose rental properties are used for drug production or trafficking.
You’re now legally required to NOT:
- Knowingly allow your property to be used for drug production/trafficking
- Possess any proceeds (money or property) from these activities
- Obstruct police or designated authorities acting under this law
Police Powers
Under this legislation, police can:
- Remove non-residents from the premises
- Seize items being used (or that will be used) for illegal activity
- Disable or restrict access to items
This applies when they have reasonable grounds to believe illegal drug activity is occurring.
The Penalties
For Individual Landlords
First conviction:
- Fine: $10,000 to $250,000
- OR imprisonment up to 2 years less a day
- OR both
Subsequent convictions:
- Fine: $5,000 to $100,000 per day the offence continues
- OR imprisonment up to 2 years less a day
- OR both
For Corporate Landlords
First conviction:
- Fine: $25,000 to $1,000,000
Subsequent convictions:
- Fine: $10,000 to $500,000 per day the offence continues
Your Defence
The law allows a defence of having taken “reasonable measures” to prevent the illegal activity.
What might count as reasonable measures:
- Proper tenant screening
- Regular property inspections (with proper notice)
- Acting promptly on complaints or warning signs
- Documenting your due diligence
Limitation Period
Legal proceedings must start within 2 years of when the offence occurred or allegedly occurred.
What This Means for You
Screen tenants carefully — While you can’t guarantee anything, documented screening shows due diligence
Do regular inspections — Legal inspections with proper notice help you catch problems early
Act on red flags — Unusual activity, complaints from neighbours, modified utilities—investigate and document
Keep records — Your defence depends on showing you took reasonable steps
Don’t ignore complaints — If neighbours or authorities report suspicious activity, you need to act
The Big Picture
This isn’t about catching landlords who genuinely didn’t know. It’s about creating accountability when landlords turn a blind eye to obvious illegal activity.
If you’re doing basic due diligence—screening tenants, inspecting your property, responding to issues—you should be fine. The law targets landlords who knowingly benefit from or ignore drug operations.
Read the full legislation at ontario.ca. For advice on your specific situation, consult a licensed legal professional.