Five New Laws Coming into Effect in 2025 – What You Need to Know

As we approach 2025, it is essential to stay informed about important updates to
Ontario’s legal and regulatory landscape. While the changes coming into effect may not
be numerous or drastic, their effects could will have significant implications for
individuals, businesses and organizations alike.

At Walker Law, we are dedicated to helping our clients are stay ahead of the curve. In
this update, we will highlight a few key legal changes set to take effect in 2025 and
provide insights on how to navigate these developments. Whether you’re directly
impacted, have professional interests at stake, or are simply curious about what our
legislators have been working on, this guide will help you stay informed.

1. New Licensing and Zoning Laws for Hospitality and Entertainment Industry

Starting on January 1, 2025, Toronto will implement updated licensing and zoning
bylaws for restaurants, bars, and entertainment venues. The city has enacted these
changes with the goals to clarify and modernize the existing rules while fostering
business opportunities and stimulating Toronto’s economy outside of the downtown
core.

One of the most significant changes is to nightclubs. Nightclubs will now be permitted
city-wide in most commercial zones, whereas they are currently only allowed in the
downtown core. The city is implementing this change to reduce the barriers business
operators currently face in obtaining the correct business license.

There will also be changes for eating establishments, retail food establishments,
circuses, theatres, and public halls. The city is developing a licence finder tool and a
video to help businesses understand which licence(s) are suited to their operations.

If you want to learn about the changes in full, follow this link to the city’s notice.

2. Digital Platform Workers’ Rights Act

On July 1, 2025, Ontario’s Digital Platform Workers’ Rights Act will come into force,
introducing new protections for workers engaged in ride-share, delivery, courier, and
other digital platform-based services such as Uber and Door Dash. The Act will be the
first of its kind, and will apply to workers and operators of digital platforms, regardless of
employment status under the Employment Standards Act (“ESA”).

Among its most significant provisions are requirements for operators to pay at least the
ESA-prescribed minimum wage for each work assignment, establish recurring pay
periods, and provide detailed information about how worker pay is calculated. Operators
are also prohibited from withholding earnings or tips, except in limited circumstances.
Additionally, workers cannot be removed from platform access without written notice,
except in cases involving public safety, willful misconduct, or legal restrictions.

To ensure compliance, Ontario will appoint compliance officers with authority to
investigate violations and issue penalties, including fines and potential imprisonment for
non-compliance. Businesses that qualify as operators and digital platform workers alike
should take proactive steps to familiarize themselves with these new obligations ahead
of the 2025 implementation date.

If you have any questions about this new law or you that it may apply to you, please
contact a member of our employment litigation team.

3. The 2024 Ontario Building Code

On January 1, 2025, major revisions to the Ontario Building Code will come into effect.
The province is advertising that the changes will “reduce regulatory burdens for the
construction industry, increase the safety and quality of buildings, and make it easier to
build housing.” The province also states that the code will increase harmonization with
the National Construction Codes by eliminating at least 1,730 technical variations
between the provincial and national requirements.

The province developed the latest edition of the Building code in consultation with
building officials, fire prevention officials, architects, engineers, builders and the
construction industry to ensure that Ontario’s buildings continue to be among the safest
in North America.

There will be a three-month grace period until March 31, 2025, during which time permit
applications may be submitted using the 2012 Building Code if the applicantw
demonstrates that their working drawings were substantially complete by December 31,
2024. After that date, however, all permit applications must be submitted using the new
2024 Building Code.

If you are a construction lawyer or an individual entering into any sort of renovation, new
construction, or any project that might alter a building’s structure, safety, or systems
(like plumbing, electrical, or HVAC) it is essential to familiarize yourself with the updated
Building Code or contact one of our lawyers to help you.

4. Toronto’s New “Renoviction” Bylaw

It is no secret that rent prices across the province – especially in Toronto – are at record
highs and continue to climb while wages stagnate. While rent control provides some
protection for tenants who remain in their units, landlords have increasingly turned to a
loophole known as “renovictions” to circumvent these regulations. A Renoviction is
when a tenant is evicted under the false pretense of a necessary renovation so
landlords can increase rent for a subsequent renter.

To combat this, Toronto City Council has passed the Rental Renovation Licence Bylaw,
which will take effect on July 31, 2025. This bylaw is a crucial response to the city’s
increasingly aggressive rental market, where renovictions have become a common
strategy used by landlords.

When the bylaw comes into force, landlords seeking to evict tenants for renovations
using an N13 notice will be required to obtain a Rental Renovation Licence from the
City. To apply for a license, landlords will need to provide approved building permits,
provide a report that the renovation requires vacant possession, and pay a $700
application fee.

Importantly, landlords will have to complete a Tenant Accommodation or Compensation
plan to provide tenants who are planning to return to their units with temporary,
comparable housing at similar rents or to provide them monthly- rent-gap payments to
cover the rent difference.

Toronto is following in the footsteps of a similar bylaw passed in New Westminster,
British Columbia, in 2019. New Westminster’s bylaw was challenged by a landlord all
the way up to the B.C. Court of Appeal in V.I.T. Estates Ltd v. New Westminster (City),
2023 BCCA 183 (CanLII), where the province’s highest court upheld its validity. The
bylaw has also been incredibly successful in its effects, as its enactment virtually
eliminated all renovictions, with their number reducing from 333 households between
2016 and 2017 to zero since 2019, when the bylaw came into force.

5. Legislative Changes to Ontario’s Rules of Civil Procedure

In terms of changes to the practice of law, civil litigation lawyers will want to take note
that Ontario enacted O. Reg. 384/24 on October 9, 2024, which will introduce new
procedural requirements for factums and expert reports when it comes into effect on
December 1, 2024.

The first change requires any party who submits a factum or an expert report at trial, on
appeal, or in a judicial review application to also file a signed certificate of authenticity.
Under the new Rule 4.06.1(2.2) this certificate must certify “that the person signing the
statement is satisfied as to the authenticity of every authority cited in the factum”. An
exception to this Rule is any authority that is published on a government website or
otherwise by a government printer, on the Canadian Legal Information Institute website
(CanLII), on a court’s website, or by a commercial publisher of court decisions.
For a more in-depth review of the effects of the changes, review the amendment linked
above in full.

Conclusion

If you or anyone you know has questions about these issues or any other regulatory
changes coming into effect, please don’t hesitate to reach out to a member of our team.
We’re here to help navigate these changes and ensure you’re well-informed. Contact us
today to learn more or to schedule a consultation.

Tags: Employment Litigation Law, Civil Litigation Law,   Construction Disputes

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