An Ottawa landlord recently received an unexpected letter demanding she pay interest on a water bill her tenant left behind seven years ago. She says she paid the original bill back in 2018 and was under the impression the matter was settled. However, this month, the city billed her for hundreds of dollars in interest—on a debt she thought had been cleared long ago.
The landlord learned that, even though the tenant moved out years ago, the remaining unpaid water amount kept growing due to interest charges over all that time. She expressed surprise, saying it was shocking to find herself paying for something she thought was long taken care of.
The city's rules allow unpaid utility debts to be carried forward—even when tenants leave—by applying them to the homeowner’s account. In this case, interest stacked up year after year, eventually ballooning to a heavy sum. The landlord said she never heard about this added cost until now.
Residents in Ottawa have shared similar experiences online. One said they received notice about long‑ago utility charges long after moving in. Others wondered why the city didn’t inform new owners sooner. Still, the city maintains its system allows these costs to follow the property itself, not the person who originally owed them.
Experts note this situation highlights a risk many property owners may not expect. When buying or managing a home, it’s easy to overlook the fact that outstanding debts tied to utilities can “stick” to the property for years. Landlords and buyers alike are being reminded to check for any hidden debts before assuming a property is free of obligations.
Going forward, landlords say they’d appreciate clearer notices or a change in how old utility charges are handled. Meanwhile, the city points out that its current policy is legal—and until it changes, the interest on unpaid bills will continue to be the responsibility of whoever owns the property at the time it’s collected.