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Toronto landlord launches $1.6M lawsuit after city gave stranger approval to rent her condo on Airbnb

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A Toronto landlord is suing her former tenant, the tenant’s boyfriend, the City of Toronto and Airbnb, after her downtown condominium was rented out on the short-term rental platform for months without her knowledge or consent.

The statement of claim, filed on behalf of Allison Rasquinha in Ontario Superior Court of Justice on June 22, says Michele Nicole Carter and Jose Cornejo Kelly registered Rasquinha’s studio condo on Adelaide Street West with the city for short-term rental without authorization and rented it out dozens of times on Airbnb in violation of the condo corporation’s rules.

It accuses Airbnb and the city of facilitating the registration and rental of the unit, claiming both neglected their responsibilities to verify whether Carter and Cornejo Kelly had the legal right to rent out the property on a short-term basis.

“[My condo] is my most valuable possession. It’s near and dear to my heart,” Rasquinha said in an interview with CBC.

“It’s a terrible feeling to see something that you love be weaponized for profit and gain that you weren’t even aware of.”

The lawsuit seeks $1.6 million in damages from the four defendants for financial losses and mental anguish, among other harms. The allegations haven’t been proven in court and none of the defendants has filed a statement of defence yet.

Multiple attempts to contact Carter and Cornejo Kelly by phone, email and at a Hamilton, Ont., home registered to owners with the same names were unsuccessful.

A seven-storey condo building.
Rasquinha’s condo is in a building on Adelaide Street West. (Ryan Patrick Jones/CBC)

According to the statement of claim, Rasquinha entered into a one-year lease agreement with Carter that began on July 1, 2022.

The agreement, viewed by CBC Toronto, prohibits tenants from subleasing the property without written permission from the landlord and compels them to abide by the condo corporation’s declaration. The declaration, also viewed by CBC, forbids renting out residential units for less than a year.

Two weeks after the lease took effect, the city issued a short-term rental registration for the unit to Jose Cornejo Kelly, according to the claim and a document obtained by Rasquinha through a freedom of information request.

CBC Toronto previously reported that Carter said Cornejo Kelly lived in the unit with her, although his name wasn’t on the lease. Rasquinha said she had never met him and she was never informed that he’d moved in.

Property rented ‘at least 30 times,’ lawsuit says

The claim alleges Carter and Cornejo Kelly listed the unit on Airbnb between July 14, 2022, and April 2, 2023.

“The property listing has over 30 reviews and as such, it is evident that it has been rented at least 30 times during the duration of the listing,” the lawsuit says.

Rasquinha confronted Carter in February after learning from the building’s security team that she may have been running an unauthorized Airbnb business, but Carter denied knowing anything about it, according to the suit and emails viewed by CBC Toronto.

In March, Rasquinha located a listing for her unit on Airbnb, according to screenshots of the listing, and she contacted the tenants, the city and Airbnb in an attempt to bring the situation to an end.

Suit alleges breach of contract, unjust enrichment

Rasquinha’s lawsuit alleges Carter and Cornejo Kelly breached the terms of the lease by registering and listing the unit for short-term rental. It also accuses them of unjustly enriching themselves by receiving payments from short-term rental customers.

When Carter and Cornejo Kelly spoke to CBC Toronto in May, Carter said she rented out the condo on Airbnb on occasion when she was out of town.

At that time, Carter said she and Cornejo Kelly were unaware that short-term rentals weren’t allowed at the building because even though the condo rules were referenced in the lease agreement, Rasquinha had not provided her with a copy of the declaration.

Both Carter and Cornejo Kelly said they took down the listing when Rasquina told them it wasn’t allowed.

A screenshot of the Airbnb listing.
A screenshot shows one of the Airbnb listings for Rasquinha’s condo. (Submitted by Allison Rasquinha)

‘Everyone had a financial gain’ except property owner, lawyer says

Mirielle Dahab, Rasquinha’s lawyer, said the crux of the claim is that all of the defendants benefited financially through the wrongful renting out of the unit.

Airbnb collects service fees from both guests and hosts for all accommodations booked through its platform, according to its website. Meanwhile, the city collects a $53 fee from those who register their units for short-term rental and charges a six per cent municipal accommodation tax on all short-term rental revenues.

“Everyone had a financial gain” except Rasquinha, said Dahab. “Whether it’s the city with their rental taxes, whether it’s Airbnb with their profit margins … and then obviously the two individuals.”

Dahab argued that Carter and Kelly had an obligation to abide by the condo corporation’s rules, whether they received a physical copy of the condo’s declaration or not.

“When you’re agreeing to the terms of a contract or rules … the onus is on you to make sure that you’re complying with them,” she said. “If you don’t know what they are, ask for them.”

 

Airbnb hosts vs. renters: a tough conversation about the housing crisis

 

Many Canadians are struggling to find housing, but are short-term rentals part of the problem? The National brings together landlords who have turned to Airbnb and long-term renters who feel like they’re being crushed by soaring rent prices and the shrinking availability of rental properties.

Airbnb, city accused of negligence

The lawsuit accuses Airbnb of negligence for facilitating through its online platform the advertisement, rental and payment for short-term rental of the unit, arguing the company has a responsibility to ensure that all listings posted on its platform are valid and authorized by the property owners.

It also accuses Airbnb of failing to promptly remove the listing for Rasquinha’s unit from its platform after she informed the company of its “fraudulent nature” in March.

Airbnb took down the listing on April 16 after its customer service team followed up with the host about ownership of the condo.

The company said in a statement the host is no longer hosting on the platform, but didn’t specifically address the claims in Rasquinha’s lawsuit.

The lawsuit also accuses the city of negligence, arguing it did not conduct any background checks to confirm whether Carter and Cornejo Kelly were authorized to rent it out or whether the condo corporation allowed short-term rentals.

A spokesperson for the City of Toronto said in an email it wouldn’t comment on the allegations in Rasquinha’s lawsuit because the matter is before the courts.

Generally, the city said to register a unit for short-term rental on Airbnb, hosts only have to prove it’s their “principal residence” using an Ontario driver’s licence or Ontario photo card. The city said some applications are approved automatically, while others require additional review or a property inspection.

Rasquinha said the city should be doing more to vet people who apply for short-term rental registration.

In an email viewed by CBC Toronto, a city employee told Rasquinha the city doesn’t have the resources to verify that those who apply for short-term rental registration are authorized to do so or whether short-term rentals are authorized at the building before they approve registrations.

“If they are going to launch a regulation service and take fees and take taxes from short-term rentals, they have a duty of care to the citizens of Toronto to be doing a good job on handing out these licenses like they’re not candy,” Rasquinha said.

The city said in its statement it’s the responsibility of building property managers to inform the city of any condo corporation rules around short-term rentals, and that it’s the responsibility of the owner or tenant to follow them.

 

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Statistics Canada reports wholesale sales higher in July

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OTTAWA – Statistics Canada says wholesale sales, excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain, rose 0.4 per cent to $82.7 billion in July.

The increase came as sales in the miscellaneous subsector gained three per cent to reach $10.5 billion in July, helped by strength in the agriculture supplies industry group, which rose 9.2 per cent.

The food, beverage and tobacco subsector added 1.7 per cent to total $15 billion in July.

The personal and household goods subsector fell 2.5 per cent to $12.1 billion.

In volume terms, overall wholesale sales rose 0.5 per cent in July.

Statistics Canada started including oilseed and grain as well as the petroleum and petroleum products subsector as part of wholesale trade last year, but is excluding the data from monthly analysis until there is enough historical data.

This report by The Canadian Press was first published Sept. 13, 2024.

The Canadian Press. All rights reserved.



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Dolphins’ Tua Tagovailoa sustains third concussion of his career after hitting head on turf

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MIAMI GARDENS, Fla. (AP) — Miami Dolphins quarterback Tua Tagovailoa sustained a concussion for the third time in his NFL career, leaving his team’s game Thursday night against Buffalo after running into defensive back Damar Hamlin and hitting the back of his head against the turf.

Tagovailoa remained down for about two minutes before getting to his feet and walking to the sideline after the play in the third quarter. He made his way to the tunnel not long afterward, looking into the stands before smiling and departing toward the locker room.

The Dolphins needed almost no time before announcing it was a concussion. The team said he had two during the 2022 season, and Tagovailoa was diagnosed with another concussion when he was a college player at Alabama.

Dolphins coach Mike McDaniel said Tagovailoa would get “proper procedural evaluation” and “appropriate care” on Friday.

“The furthest thing from my mind is, ‘What is the timeline?’ We just need to evaluate and just worry about my teammate, like the rest of the guys are,” McDaniel said. “We’ll get more information tomorrow and take it day by day from here.”

Some players saw Tagovailoa in the locker room after the game and said they were encouraged. Tagovailoa spoke with some players and then went home after the game, McDaniel said.

“I have a lot of love for Tua, built a great relationship with him,” said quarterback Skylar Thompson, who replaced Tagovailoa after the injury. “You care about the person more than the player and everybody in the organization would say the same thing. Just really praying for Tua and hopefully everything will come out all right.”

Tagovailoa signed a four-year, $212 million extension before this season — a deal that makes him one of the highest-paid players in the NFL — and was the NFL’s leading passer in Week 1 this season. Tagovailoa left with the Dolphins trailing 31-10, and that was the final score.

“If you know Tua outside of football, you can’t help but feel for him,” Bills quarterback Josh Allen said on Amazon following the game. “He’s a great football player but he’s an even greater human being. He’s one of the best humans on the planet. I’ve got a lot of love for him and I’m just praying for him and his family, hoping everything’s OK. But it’s tough, man. This game of football that we play, it’s got its highs and it’s got its lows — and this is one of the lows.”

Tagovailoa’s college years and first three NFL seasons were marred by injury, though he positioned himself for a big pay bump with an injury-free and productive 2023 as he led the Dolphins into the playoffs. He threw for 29 touchdowns and a league-best 4,624 yards last year.

When, or if, he can come back this season is anyone’s guess. Tagovailoa said in April 2023 that the concussions he had in the 2022 season left him contemplating his playing future. “I think I considered it for a time,” he said then, when asked if he considered stepping away from the game to protect himself.

McDaniel said it’s not his place to say if Tagovailoa should return to football. “He’ll be evaluated and we’ll have conversations and progress as appropriate,” McDaniel said.

Tagovailoa was hurt Thursday on a fourth-down keeper with about 4:30 left in the third. He went straight ahead into Hamlin and did not slide, leading with his right shoulder instead.

Hamlin was the player who suffered a cardiac arrest after making a tackle during a Monday night game in January 2023 at Cincinnati, causing the NFL to suspend a pivotal game that quickly lost significance in the aftermath of a scary scene that unfolded in front of a national television audience.

Tagovailoa wound up on his back, both his hands in the air and Bills players immediately pointed at him as if to suggest there was an injury. Dolphins center Aaron Brewer quickly did the same, waving to the sideline.

Tagovailoa appeared to be making a fist with his right hand as he lay on the ground. It was movement consistent with something that is referred to as the “fencing response,” which can be common after a traumatic brain injury.

Tagovailoa eventually got to his feet. McDaniel grabbed the side of his quarterback’s head and gave him a kiss on the cheek as Tagovailoa departed. Thompson came into the game to take Tagovailoa’s spot.

“I love Tua on and off the football field,” Bills edge Von Miller said. “I’m a huge fan of him. I can empathize and sympathize with him because I’ve been there. I wish him the best.”

Tagovailoa’s history with concussions — and how he has since worked to avoid them — is a huge part of the story of his career, and now comes to the forefront once again.

He had at least two concussions during the 2022 season. He was hurt in a Week 3 game against Buffalo and cleared concussion protocol, though he appeared disoriented on that play but returned to the game.

The NFL later changed its concussion protocol to mandate that if a player shows possible concussion symptoms — including a lack of balance or stability — he must sit out the rest of the game.

Less than a week later, in a Thursday night game at Cincinnati, Tagovailoa was concussed on a scary hit that briefly knocked him unconscious and led to him being taken off the field on a stretcher.

His second known concussion of that season came in a December game against Green Bay, and he didn’t play for the rest of the 2022 season. After that, Tagovailoa began studying ways where he may be able to fall more safely and protect himself against further injury — including studying jiu-jitsu.

“I’m not worried about anything that’s out of my hands,” McDaniel said. “I’m just worried about the human being.”

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David Beckham among soccer dignitaries attending ex-England coach Sven-Goran Eriksson’s funeral

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TORSBY, Sweden (AP) — David Beckham and former England coach Roy Hodgson were among the soccer dignitaries who attended the funeral of Sven-Goran Eriksson on Friday in the Swedish manager’s small hometown of Torsby.

Eriksson’s wooden coffin was covered in white flowers and surrounded by six tall candles and other floral wreaths as the ceremony began inside the 600-seat Fryksande church.

“It is a day of grief but also a day of thankfulness,” the priest, Ingela Älvskog, told those in attendance.

Beckham, who arrived by private jet on Thursday, greeted Eriksson’s 95-year-old father Sven and other family members with hugs inside the church before the funeral started.

Eriksson became England’s first foreign-born coach when he led the national team from 2001-06, and made Beckham his captain.

Eriksson, who also won trophies at club level in Italy, Portugal and Sweden, died on Aug. 26 at the age of 76, eight months after he revealed he had been diagnosed with pancreatic cancer and had at most one year to live.

Some 200 seats in the neo-Gothic church from 1898 were reserved for his family, friends and players from his career in the football world, according to his agent. The remaining seats were open for the public, according to Eriksson’s wish, with a big screen set up outside the church where hundreds more gathered to watch the ceremony. The funeral was also broadcast live on some Swedish media websites.

The wooden coffin was wheeled in by pallbearers at the church Friday morning as fog wrapped Torsby — a town of about 4,000 people located about 310 kilometers (193 miles) west of Stockholm. Next to the casket was a photo of Eriksson on a small table. The floral wreaths included ones sent by FIFA and Lazio, the Italian team that Eriksson led to the Serie A title in 2000.

The ceremony began with somber piano and organ music, but later took on a more upbeat note with Swedish singer Charlotta Birgersson performing Elton John’s song “Candle In The Wind” and then “My Way” in a duet with Johan Birgersson, who later intoned the popular Italian song “Volare” after the family had gathered around the casket to lay flowers.

Beckham also visited Eriksson in Sweden in June to say goodbye. Others attending the funeral included the Swedish coach’s longtime partner Nancy Dell’Olio. Eriksson’s agent had said that guests from England, Italy and Spain were expected.

After the funeral, the casket was carried out of the church by eight men to the hearse. The guests then walked in a procession accompanying the coffin to a nearby museum where speeches and eulogies to the coach fondly known as “Svennis” were planned on an outdoor stage. A brass band played during the procession through Torsby, including the tune “You never walk alone” from the musical “Carousel” which has become the anthem of Liverpool, the club Eriksson supported since childhood.

The local soccer club Torsby IF, where Eriksson started his career in the 1960s, wrote on its webpage that “you also showed your greatness by always being yourself, the caring Svennis who talked to everyone and took the time, for big and small, asking how things were and how the football was going. We will miss you.”

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AP soccer:

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