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Neighbours claim the illegal Oasis House hostel is back in business even though a judge found the owner in contempt of court for using her townhouse for short-term rentals.

At the Oct. 24 contempt hearing, Emily Yu agreed to no longer rent out her rooms to short-term tenants. Justice Barry Davies said he would give Yu four months to prove it before handing down a sentence.

Globalnews.ca coverage of Oasis Hostel

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Neighbour Chris Stoker said he saw people with suitcases leaving Yu’s townhome just two days later. Another neighbour, Gabriel Vaghy, approached three people with suitcases this weekend.

He alleges the trio confirmed they were guests of Yu’s hostel.

Yu denies the reports.

“These are rumours and I really don’t have time for the rumours,” she said.

During the hearing, Justice Davies looked straight at Yu and asked her if she would stop renting out her rooms to short-term tenants or anyone else for that matter. Yu agreed.

He then said actions speak louder than words and gave her four months to prove it before handing down a sentence for being found in contempt of court. Justice Davies reminded Yu that if she did not keep her word he could hand down a much stronger punishment than just fines.

“The judge didn’t say I had to stop,” Yu said. “It’s I decided to stop for now.”

In fact, Yu doesn’t seem to see the four months as a window to prove she deserves a lighter sentence, but claims the case was delayed because contempt was not proven beyond a reasonable doubt.

“He suspended the sentence for a purpose because he wanted to see whether or not she would comply,” Steve Hamilton, the strata’s lawyer, said.

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Hamilton said they will be taking the matter back to court and will seek a ruling to force the sale of Yu’s home.

“This may be the only way that we’re able to finally put an end to this very long saga.”