Claimant wins levy recovery case at Tenancy Tribunal
📌 In brief
At the Tenancy Tribunal, the claimant successfully recovered unpaid levies, interest, and costs from the unit owner. The Tribunal ruled that a unit owner must pay all levies and outgoings payable for the unit, including interest and reasonable costs incurred by the body corporate in collecting unpaid levies.
⚖️ Legal holding
A unit owner must pay all levies and outgoings payable for the unit, including interest and reasonable costs incurred by the body corporate in collecting unpaid levies.
📖 Technical summary
The claimant successfully recovered unpaid levies, interest, and costs from the unit owner.
📜 Headnote Official document
The Tenancy Tribunal ordered the unit owner to pay the claimant $9,054.07 for unpaid levies, interest, and costs. The Tribunal ruled that a unit owner must pay all levies and outgoings payable for the unit, including interest and reasonable costs incurred by the body corporate in collecting unpaid levies.
📚 Full judgment Official document
__________________________________________________________________________________ 9061744 1
[2025] NZTT 9061744
TENANCY TRIBUNAL AT REMOTE LOCATION | TE TARAIPIUNARA RETIHANGA
APPLICANT: [redacted]
RESPONDENT: [redacted] [COMPANY] [NAME] Owner, Owner
UNIT ADDRESS: Unit/Flat Unit 5D, 10-[ADDRESS], [POSTCODE], The Workshops
ORDER
1. [COMPANY] [NAME], [COMPANY] [NAME] must pay [NAME] $9,054.07 immediately, calculated as follows:
Descriptions Applicant Respondent
Levy $3,487.75 Costs: [NAME] Manager's charges $920.00 Costs: s.124 Solicitor's charges $3,539.60 Costs: Solicitor's charges for hearing time
$310.50
Interest $296.22 Filing Fee $500.00 Total award $9,054.07
Total payable by Respondent to Applicant
$9,054.07
__________________________________________________________________________________ 9061744 2
Reasons:
1. Both parties attended the remote hearing.
2. The [NAME] has applied for recovery of unpaid levies, interest, costs and the filing fee from the unit owner.
Does the Unit Owner owe the levies claimed?
3. A unit owner must pay all [NAME] levies and outgoings payable for the unit. See sections 80(1)(f) and 121(1) Unit Titles Act 2010.
4. The [NAME] has determined the levies payable and unit owner's share has been calculated according to their utility interest.
5. The [NAME] has fixed the due date for the levies to be paid, and the unit owner has not paid the levies by that date. See section 124(1) Unit Titles Act 2010. The [NAME] has provided records to prove the amount claimed.
Is the Unit owner liable for interest?
6. If a unit owner fails to pay levies by the due date, interest accrues on the unpaid balance. A [NAME] may charge interest up to 10% per annum. See section 128 Unit Titles Act 2010.
7. The [NAME] has resolved to charge interest at 10% per annum on unpaid levies. The [NAME] has proved the amount of interest owing from the due date to the hearing date.
Is the Unit owner liable for costs?
8. Pursuant to section 124 UTA, and as resolved at meetings of the [NAME], the [NAME] is entitled to recover any reasonable costs incurred by it in collecting unpaid levies as a debt due by the owner to the [NAME]. In accordance with the judgments (of the District Court and Court of Appeal respectively) in [NAME] 162791 v [NAME] DC Auckland, CIV2014-004- 0120, 24 June 2014 and [NAME] 162791 v Gilbert [2015] NZCA 185, the Tribunal must order that the reasonable costs incurred by the [NAME] in recovering the levies, objectively assessed, be paid by a defaulting unit owner. I have reduced the solicitor’s hearing fee to $310.50 to reflect the actual hearing time. I am satisfied that the costs ordered above are reasonable.
__________________________________________________________________________________ 9061744 3
9. As the [NAME] has succeeded with the claim, I have reimbursed the filing fee. Section 176(1) Unit Titles Act 2010 and section 102(4) Residential Tenancies Act 1986.
S Young 21 March 2025
__________________________________________________________________________________ 9061744 4
Please read carefully:
SHOULD YOU REQUIRE ANY HELP OR INFORMATION REGARDING THIS MATTER PLEASE CONTACT UNIT TITLE SERVICES [PHONE].
MEHEMA HE PĀTAI TĀU E PĀ ANA KI TENEI TAKE, PĀTAI ATU KI TE TARI UNIT TITLE SERVICES [PHONE].
AFAI E TE MANA’OMIA SE FESOASOANI E UIGA I LENEI MATAUPU FA’AMOLEMOLE IA FA’AFESO’OTAI’I LOA LE OFISA O LE UNIT TITLE SERVICES [PHONE].
Rehearings:
You may make an application to the Tenancy Tribunal for a rehearing. Such an application must be made within five working days of the order and must be lodged at the Court where the dispute was heard.
The only ground for a rehearing of an application is that a substantial wrong or miscarriage of justice has or may have occurred or is likely to occur. Being unhappy or dissatisfied with the decision is not a ground for a rehearing. (See ‘Right of Appeal’ below).
Right of Appeal:
If you are dissatisfied with the decision of the Tenancy Tribunal, you may appeal to the District Court. You only have 10 working days after the date of the decision to lodge a notice of appeal.
However, you may not appeal to the District Court:
1. Against an interim order made by the Tribunal. 2. Against an order, or the failure to make an order, for the payment of money where the
amount that would be in dispute on appeal is less than $1,000. 3. Against a work order, or the failure to make a work order, where the value of the work
that would be in dispute on appeal is less than $1,000.
There is a $200.00 filing fee payable at the time of filing the appeal.
Enforcement:
Where the Tribunal made an order that needs to be enforced then the party seeking enforcement should contact the Collections Office of the District Court on [PHONE] or go to www.justice.govt.nz/fines/civil-debt for forms and information.
Notice to a party ordered to pay money or vacate premises, etc:
Failure to comply with any order may result in substantial additional costs for enforcement. It may also involve being ordered to appear in the District Court for an examination of your means or seizure of your property.
http://www.justice.govt.nz/fines/civil-debt
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- The unit owner must pay all levies and outgoings for the unit.
- The body corporate calculated the levies based on the unit owner's utility interest.
- The unit owner did not pay the levies by the due date.
- The body corporate proved the amount of interest owed on unpaid levies.
- The costs incurred by the body corporate in collecting unpaid levies were reasonable.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tenancy Tribunal ordered the unit owner to pay the claimant $9,054.07 for unpaid levies, interest, and costs.
What was the dispute about?
The dispute was about the unit owner's obligation to pay levies, interest, and costs related to the unit.
How did the court decide, and why?
The court decided in favour of the claimant, ruling that the unit owner must pay all levies and outgoings payable for the unit, including interest and reasonable costs incurred by the body corporate in collecting unpaid levies.
Which laws or rules were applied?
The Unit Titles Act 2010, sections 80(1)(f), 121(1), 124(1), and 128 were applied.
What was the argument that mattered most?
The argument that mattered most was that the unit owner must pay all levies and outgoings payable for the unit, including interest and reasonable costs incurred by the body corporate in collecting unpaid levies.
Was the decision for or against the person who brought the case?
The decision was for the claimant.
What does this mean for someone in a similar situation?
Someone in a similar situation can seek recovery of unpaid levies, interest, and costs from the unit owner under the Unit Titles Act 2010.
What evidence or documents mattered?
The judgment does not specify the evidence or documents that mattered.
