Buyers walk through a house, fall in love with the chandelier in the dining room, sign the deal, and arrive on closing day to find the chandelier gone and bare wires hanging from the ceiling. The seller swears it was personal property. The buyer is furious. This kind of dispute, the chattel vs fixture argument, is one of the most common closing day fights in Ontario real estate.
The line between a chattel (movable personal property) and a fixture (something attached and now part of the land) sounds simple, but Ontario courts have been refining the test since 1902. Get it wrong on your Agreement of Purchase and Sale, and you may end up in small claims court or, in serious cases, watching the deal collapse.
This guide breaks down the legal test, gives you a quick reference table, and shows you how to protect yourself before signing.
What is a Chattel vs Fixture?
A chattel is movable personal property that is not part of the land. It only goes with the house if the seller agrees in writing. Examples include freestanding fridges, furniture, area rugs, and portable air conditioners.
A fixture is something attached to the land or building in a way that makes it part of the property. It automatically goes with the house unless the seller specifically excludes it in writing. Examples include built in cabinetry, light fixtures, attached shelving, central air conditioning, and hot water tanks (when owned, not rented).
The default rule is simple. Chattels stay with the seller unless listed as included. Fixtures stay with the property unless listed as excluded.
What Is a Chattel
A chattel is personal property that has not been attached to the land in a permanent way. Ontario courts treat chattels as separate property from the real estate. They do not transfer automatically with the house.
Common examples of chattels in residential real estate include freestanding refrigerators, washers, and dryers (when not built in), microwaves sitting on countertops, area rugs and freestanding furniture, portable air conditioners and dehumidifiers, garden hoses and patio furniture, and pictures, mirrors, and decorations hung with simple hooks or nails.
Chattels are not covered by the buyer’s mortgage on the property. If the buyer wants the seller’s fridge, the only way that fridge moves to the buyer is if the seller agrees and the agreement is recorded in the Chattels Included section of the Agreement of Purchase and Sale.
What Is a Fixture
A fixture is personal property that has become so attached to the land or building that it is treated as part of the real estate. Once an item becomes a fixture, it transfers automatically with the property when title changes hands, unless the parties agree otherwise.
Common examples of fixtures in Ontario homes include built in dishwashers, ovens, and microwaves, central air conditioning systems and heat pumps, ceiling lights, chandeliers, and recessed lighting, attached bathroom mirrors, vanities, and built in shelving, mounted televisions where the bracket is screwed into the wall, automatic garage door openers (often debated), hot water tanks (when owned, not rented), satellite dishes attached to the roof, and built in window coverings such as California shutters and motorized blinds.
The buyer’s mortgage covers fixtures as part of the security on the property. Removing a fixture before closing without the buyer’s written consent can be a breach of contract.
The Legal Test from Stack v T Eaton Co
The foundational Ontario case is Stack v T Eaton Co, [1902] 4 O.L.R. 335, decided by the Ontario Divisional Court. The five principles set out in that case have been applied in hundreds of Canadian decisions since and remain the starting point for any chattel vs fixture analysis today.
Chief Justice Meredith, writing for the court, set out the following principles.
1. Items resting by their own weight are presumed to be chattels. An article that sits on the property only because of its own weight is presumed to be a chattel, unless the circumstances show it was intended to be part of the land.
2. Items affixed even slightly are presumed to be fixtures. An article attached to the land in any way (screws, nails, plumbing, electrical wiring, brackets) is presumed to be part of the land, unless the circumstances show it was intended to remain a chattel.
3. The circumstances that rebut the presumption must be visible. The evidence used to challenge the default presumption (degree and purpose of attachment) must be patent to anyone looking at the item. Hidden intentions do not count.
4. The subjective intention of the person who attached the item is not relevant. What matters is the objective intention that can be inferred from how the item is attached and why.
5. Tenant’s fixtures remain fixtures. Items a tenant installs for trade or business purposes are still legally fixtures, but the tenant has a right to remove them during the tenancy, provided the premises are restored.
The Stack test is still good law in Ontario. It has been adopted across Canada, including by the British Columbia Court of Appeal in La Salle Recreations Ltd v Canadian Camdex Investments Ltd (1969) and applied in countless cases involving disputes between owners, buyers, lenders, and tenants.
The Modern 6 Rule Framework
The British Columbia Supreme Court in Royal Bank of Canada v Maple Ridge Farmers Market Ltd, [1995] B.C.J. No. 1696 built on Stack v Eaton with a more practical 6 rule framework that Ontario courts now commonly apply.
Rule 1. Any item unattached to the property, except by its own weight, that can be removed without damage or alterations needing repair, is a chattel.
Rule 2. Any item that is plugged in and can be removed without any damage or alteration is a chattel. A standard fridge plugged into a regular outlet is a chattel, even though it draws power from the home.
Rule 3. Any item attached even minimally (anything more than plugging into a wall outlet) is a fixture. A dishwasher hardwired into the electrical system is a fixture.
Rule 4. If equipment is attached to a structure where the attached portion is needed for the item to function, the entire piece is a fixture. A built in oven where the wiring is hardwired into the wall is a fixture, even if the oven itself could theoretically be removed.
Rule 5. Tenants’ fixtures (trade fixtures) are still fixtures, but a tenant can remove them during the tenancy provided the premises are restored to their original condition.
Rule 6. In rare cases, where the rules above do not give a clear answer, courts look at the purpose test. An expensive item placed on the property in a way that suggests permanence (a mobile home set on a concrete foundation with utility hookups, for example) can be a fixture even though it is technically resting on its own weight.
This framework gives buyers and sellers a practical way to assess what stays and what goes before signing.
Chattel vs Fixture Comparison Table
| Item | Chattel or Fixture | Reason |
| Freestanding fridge | Chattel | Sits on its own weight, plugged into standard outlet |
| Built in fridge | Fixture | Integrated into cabinetry, removal causes damage |
| Microwave on countertop | Chattel | Movable, plugged in only |
| Built in microwave | Fixture | Hardwired and integrated above the oven |
| Curtains | Chattel | Hang on rods, easy to remove |
| Curtain rods | Fixture | Screwed into wall |
| Mounted TV | Chattel | TV itself goes, bracket usually stays |
| TV bracket | Fixture | Screwed into wall |
| Ceiling chandelier | Fixture | Hardwired, removal damages wiring |
| Floor lamp | Chattel | Movable, plugged in |
| Hot water tank (owned) | Fixture | Hardwired into plumbing |
| Hot water tank (rented) | Neither, contract assumed | Buyer takes over rental contract |
| Central air conditioner | Fixture | Hardwired and integrated |
| Window air conditioner | Chattel | Removable without damage |
| Built in cabinets | Fixture | Permanently attached |
| Freestanding bookshelf | Chattel | Sits on the floor |
| Mirror screwed to wall | Fixture | Attached with screws |
| Mirror hung on a hook | Chattel | Removable without damage |
| Garage door opener | Fixture | Mounted to garage ceiling |
| Above ground pool | Chattel or fixture | Depends on installation, often disputed |
| In ground pool | Fixture | Integrated into the land |
| Shed bolted to slab | Fixture | Attached to permanent foundation |
| Shed sitting on grass | Chattel | Resting on its own weight |
| Solar panels (owned) | Fixture | Attached to roof |
| Satellite dish | Fixture | Bolted to roof or wall |
| Wall to wall carpet | Fixture | Attached to floor with tack strips |
| Area rug | Chattel | Sits loose on the floor |
When in doubt, list the item explicitly in the Agreement of Purchase and Sale. Specificity prevents disputes.
How the OREA Form 100 Handles It
The standard Ontario residential resale agreement, OREA Form 100, has two sections that control what transfers with the property.
Chattels Included. A blank field where the parties list every chattel that the seller agrees will stay with the property. If a chattel is not listed here, the seller takes it.
Fixtures Excluded. A blank field where the parties list every fixture that the seller will remove before closing. If a fixture is not listed here, it stays with the property.
Rental Items. A separate section identifies items that look like they belong to the property but are rented from a third party (hot water tanks, furnaces, water softeners, alarm systems, solar panels). The buyer typically assumes the rental contract on closing.
The OREA form also states that the seller must deliver the property in substantially the same condition as it was when the deal was signed. Removing a fixture (or substituting a cheaper version of a listed chattel) is a breach of this obligation.
Custom agreements drafted by lawyers for private sales or commercial deals usually contain similar provisions, but the wording can vary. Read every clause before signing.
What Happens When Disputes Arise
Despite the OREA form’s clarity, disputes happen often. The most common scenarios.
The seller takes a fixture without listing it as excluded. The seller installed a custom chandelier or a built in wine fridge years ago and considers it personal property. On closing day, it is gone. The buyer’s remedy is to sue for the cost of replacement plus installation.
The seller substitutes a cheaper chattel. The listing showed a stainless steel fridge. The seller swaps in an older white one before closing. The buyer can claim damages for the difference in value.
Damage from removing a fixture. Even if the seller is allowed to remove an excluded fixture, the seller must repair any resulting damage. Holes in walls, exposed wiring, and gouged floors are not the buyer’s problem.
Confusion over rented items. The buyer assumes the hot water tank is owned, signs without checking, and then discovers a rental contract attached to it. The remedy depends on the wording of the agreement.
For disputes under $35,000, the Small Claims Court is the usual forum. Filing fees are modest, and lawyers are not required (though they help). For higher value disputes or where the deal is at risk of collapsing, the Ontario Superior Court of Justice is the venue.
The buyer’s lawyer typically holds back funds at closing to address fixture disputes. A common practice is to withhold a sum equal to the estimated replacement cost in trust until the parties resolve the issue. The trust hold gives the buyer leverage and the seller motivation to resolve quickly.
How to Protect Yourself Before You Sign
Walk through the property carefully. Take photos of every fixture you assume comes with the house. Photos taken before the offer becomes part of your evidence if something goes missing later.
List every chattel you want. Do not assume the fridge, washer, dryer, or window coverings are included. Write them into the Chattels Included section by brand, model, and location. “Fridge in kitchen” is too vague. “Stainless steel Whirlpool side by side refrigerator in kitchen” is specific.
List every fixture you want excluded. If you are the seller and want to take the dining room chandelier with you, name it specifically in the Fixtures Excluded section. Saying “personal items” is not enough.
Address rented items. Identify which items are rented (hot water tank, water softener, furnace, security system), the contract terms, and who assumes them on closing. Surprise rental contracts are a leading source of post closing disputes.
Build a final walk through into the agreement. A walk through within 24 to 48 hours before closing lets you verify nothing has been removed or substituted. If something is wrong, your lawyer can flag it before money changes hands. See our guide to condition clauses in Ontario real estate for more on how to negotiate this protection.
Document everything. Keep photos, emails, listing screenshots, and conversations. If a dispute goes to court, evidence wins.
Have a real estate lawyer review the APS. A 30 minute review by an experienced real estate lawyer in Toronto catches vague language, missing chattels, and ambiguous fixture descriptions before they become problems.
Frequently Asked Questions
What is the main legal test for whether something is a chattel or a fixture in Ontario?
Ontario courts apply the test from Stack v T Eaton Co (1902), refined by Royal Bank of Canada v Maple Ridge Farmers Market Ltd (1995). The test has two parts. First, the degree of attachment to the land (anything more than resting on its own weight or being plugged in is presumed to be a fixture). Second, the purpose of attachment (whether it was attached to improve the property itself or simply to use the item as a chattel). The intention of the person who attached the item matters only if it can be inferred from how and why it was attached.
Are appliances chattels or fixtures in Ontario?
It depends on how they are installed. Freestanding appliances plugged into a standard outlet are chattels. Built in appliances that are hardwired, plumbed in, or integrated into cabinetry are fixtures. A standard refrigerator is a chattel. A built in refrigerator under cabinetry is a fixture. A standard stove is a chattel. A built in wall oven is a fixture.
What happens if a seller removes a fixture before closing in Ontario?
Removing a fixture without listing it in the Fixtures Excluded section of the Agreement of Purchase and Sale is a breach of contract. The buyer can refuse to close, hold back funds at closing to pay for replacement, or sue the seller for damages in Small Claims Court (for claims under $35,000) or the Superior Court for larger claims. Your real estate lawyer will typically negotiate a holdback at closing to resolve the issue.
Do chattels need to be listed in the Agreement of Purchase and Sale?
Yes, if you want them to go with the property. The default rule under Ontario law is that chattels do not transfer with the land. The Chattels Included section of OREA Form 100 is where the parties list every chattel that the seller agrees to leave behind. Anything not listed there belongs to the seller and can be removed before closing.
Are rented items like hot water tanks chattels or fixtures?
Rented items are technically chattels, but they are owned by the rental company, not the seller. The rental contract typically transfers to the buyer on closing. The Agreement of Purchase and Sale must identify rental items so the buyer knows what contracts to assume. Most buyers receive a list of rental items, the rental company’s name, and the monthly cost as part of the disclosure package before closing.
Can a chattel become a fixture after closing?
Yes. If a buyer installs a chattel in a way that makes it permanent (a freestanding fridge integrated into custom cabinetry, for example), it can become a fixture. This matters if the buyer later sells the property, takes out a mortgage (the lender’s security covers fixtures), or rents to a tenant. The Stack v Eaton test applies to determine when the conversion happens.
The information provided above is of a general nature and should not be considered legal advice. Every transaction or circumstance is unique, and obtaining specific legal advice is necessary to address your particular requirements. Therefore, if you have any legal questions, it is recommended that you consult with a lawyer.
