The senior tenants of the Mont-Carmel residence, in Montreal, obtained a new victory Tuesday in the legal saga opposing them to real estate developer Henry Zavriyev. The latter’s company was found guilty of contempt of court for eight of the nine charges that had been presented against it by tenants exasperated by the lack of services offered in their private seniors’ residence (RPA).
In July 2022, Superior Court judge Sylvain Lussier granted dozens of senior tenants a safeguard order providing that the developer should commit to maintaining all of the services that an RPA must offer in this building. 216 apartments until this file is analyzed on its merits.
However, this order was not respected, argued the senior tenants of this building before the Superior Court. Of the nine charges presented, eight were upheld by Judge Daniel Urbas, of the same court, in a decision rendered on May 28. The judge thus condemned the owner for contempt of court for having notably failed to ensure that a receptionist was present at all times at the reception of this building and that residents had access to various activities, as well as to the swimming pool, the billiards room and the building’s Internet lounge, among others. These services, noted Judge Urbas, are necessary since they allow the building to qualify as an RPA and prevent the isolation of its residents.
Before the Superior Court, Mr. Zavriyev’s company argued that the safeguard order issued in 2022 was “unclear” and that it “does not know what the obligation to operate an RPA means “. Arguments that Judge Daniel Urbas rejected.
“When it comes to paying tens of millions of dollars, confirming your words in writing and going before a notary, it is reasonable to believe that, in this context, [l’entreprise de Henry Zavriyev] knows what she committed to by promising to respect the operation of the Mont-Carmel residence” when she acquired it in 2021, continues the judge.
This judicial decision does not include financial sanctions against Mr. Zavriyev. One of the tenants’ lawyers, Manuel Johnson, specifies, however, that the developer’s company could be sentenced to a “heavy fine” or to “social utility work” from the Quebec state for each of the heads of charge.
In writing, the tenants behind this legal action specify for their part that their lawyers “will take steps shortly to ensure that hearing dates are set as quickly as possible”, in order to determine the appropriate sanction against the tenant. Henry Zavriyev’s company. In the meantime, they rejoice at having obtained this new “victory” against their owner.
Promoter Henry Zavriyev had not reacted to this legal decision at the time of writing.
A long saga
Mr. Zavriyev acquired the Mont-Carmel residence in 2021 for the sum of $40 million. The deed of sale then mentioned that the RPA vocation of the place, which then only had elderly tenants, had to be maintained by the buyer.
However, in January 2022, all tenants of the building received a notice mentioning that the building would lose its RPA vocation from 1er August of the same year to become a traditional rental complex. Residents who decide to stay in their accommodation would then see their rent increase by 3%, in addition to losing access to several services, such as the presence of an alarm button in the rooms and an auxiliary nurse at all. time.
The building’s elderly tenants then came together to fight together in court to keep their RPA. On March 12, Henry Zavriyev finally sent a letter to the senior residents of this building in which he announced his decision to maintain the allocation of their accommodation and to “continue to offer the same level of services as during of recent years and for the foreseeable future.
Some 49 elderly tenants, two of whom left the building after receiving financial compensation from the owner, also filed last fall an application instituting proceedings before the Administrative Housing Tribunal (TAL) against their owner in which they are demanding a reduction in their rent of 35% as well as compensation of $35,000 for each applicant. A hearing date has not been set in this case.