Conditional Termination Order for Tenant Owing Rent Arrears
📌 In brief
The Tenancy Tribunal granted a conditional termination order for a tenant owing rent arrears, allowing a payment plan under the Residential Tenancies Act 1986. The order will lapse if fully complied with, otherwise the possession order may be enforced for 90 days from the first breach.
⚖️ Legal holding
A tenant is entitled to a conditional termination order if they agree to a payment plan for rent arrears.
📖 What the law says
This section states that the Tenancy Tribunal must end a tenancy if the rent is at least 21 days overdue when the landlord applies, or if the tenant has caused or threatened significant damage to the property, or has assaulted or threatened the landlord or related individuals.
This section explains that if a tenancy ends, the Tribunal must issue an order giving possession of the property to the person who is entitled to it. It also clarifies that certain orders terminating a tenancy, including those made under section 55, automatically act as possession orders for the landlord.
Plain-English explanation — does not replace advice from a lawyer.
📖 Technical summary
The Tenancy Tribunal granted a conditional termination order for a tenant owing rent arrears.
📜 Headnote Official document
The Tenancy Tribunal granted a conditional termination order for a tenant owing rent arrears, allowing a payment plan under the Residential Tenancies Act 1986. The order will lapse if fully complied with, otherwise the possession order may be enforced for 90 days from the first breach.
📚 Full judgment Official document
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[2025] NZTT 5240634
TENANCY TRIBUNAL AT REMOTE LOCATION | TE TARAIPIUNARA RETIHANGA
APPLICANT: [redacted]
Landlord
RESPONDENT: [redacted]
Tenant
TENANCY ADDRESS: [ADDRESS], [POSTCODE]
ORDER
1. [NAME] and [NAME] owes [COMPANY] As Agent For The [COMPANY] $7,197.14, being rent arrears until 9 June 2025 (“the debt”).
2. [NAME] and [NAME] must pay rent and the debt as follows:
a. By 35 weekly payments of $780.00, being $580.00 for rent and $200.00 for the debt.
b. A final payment of $777.14, being $580.00 for rent and $197.14 for the debt.
c. Payments will be every Wednesday, with the first payment on 11/06/2025 and continuing until 11/02/2026.
3. Payments will be allocated in the following order: rent and rent arrears.
4. If the tenant fails to pay rent and rent arrears within 2 working days of the due dates:
a. The landlord has the right to issue a seven-day notice to terminate the tenancy at [ADDRESS], [POSTCODE] and take possession of the premises.
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b. The balance of the debt will be payable immediately.
Reasons:
1. Both parties attended the hearing.
2. The landlord applied for termination of the tenancy and rent arrears; or alternatively, a conditional termination if an acceptable payment plan of arrears could be reached. The landlord would accept repayment of debt at $200.00 per week if ongoing rental obligations are met.
3. Both tenants are prepared to pay the debt off at $200.00 per week, and Ms [NAME] wishes to prevent termination.
Should a conditional termination order be made?
4. Where rent is at least 21 days in arrears on the date the application was filed, the Tribunal must make either a final or a conditional termination order. See section 55(1)(a) and (1A) Residential Tenancies Act 1986.
5. I am satisfied the tenants will pay the debt within the period specified in the order and is unlikely to commit any further relevant breaches. I have therefore granted a conditional termination order.
6. The conditional termination order will lapse if it is fully complied with. If the tenants breach the order, the possession order may be enforced for 90 days from the first breach. See section 64(4)(b) Residential Tenancies Act 1986.
[NAME]
10 June 2025
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Please read carefully: Visit justice.govt.nz/tribunals/tenancy/rehearings-appeals for more information on rehearings and appeals.
Rehearings You can apply for a rehearing if you believe that a substantial wrong or miscarriage of justice has happened. For example: • you did not get the letter telling you the date of the hearing, or • the adjudicator improperly admitted or rejected evidence, or • new evidence, relating to the original application, has become available.
You must give reasons and evidence to support your application for a rehearing. A rehearing will not be granted just because you disagree with the decision. You must apply within five working days of the decision using the Application for Rehearing form: justice.govt.nz/assets/Documents/Forms/TT-Application-for-rehearing.pdf
Right of Appeal Both the landlord and the tenant can file an appeal. You should file your appeal at the District Court where the original hearing took place. The cost for an appeal is $260. You must apply within 10 working days after the decision is issued using this Appeal to the District Court form: justice.govt.nz/tribunals/tenancy/rehearings-appeals
Grounds for an appeal You can appeal if you think the decision was wrong, but not because you don’t like the decision. For some cases, there’ll be no right to appeal. For example, you can’t appeal: • against an interim order • a final order for the payment of less than $1000 • a final order to undertake work worth less than $1000.
Enforcement Where the Tribunal made an order about money or property this is called a civil debt. The Ministry of Justice Collections Team can assist with enforcing civil debt. You can contact the collections team on [PHONE] or go to 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.
If you require further help or information regarding this matter, visit [NAME]/disputes/enforcing- decisions or phone Tenancy Services on [PHONE].
Mēna ka hiahia koe ki ētahi atu awhina, kōrero ranei mo tēnei take, haere ki tenei ipurangi [NAME]/disputes/enforcing-decisions, waea atu ki Ratonga Takirua ma runga [PHONE] ranei.
https://www.justice.govt.nz/tribunals/tenancy/rehearings-appeals https://www.justice.govt.nz/assets/Documents/Forms/TT-Application-for-rehearing.pdf https://www.justice.govt.nz/tribunals/tenancy/rehearings-appeals/ https://www.justice.govt.nz/fines/about-civil-debt/ https://www.[NAME]/disputes/enforcing-decisions https://www.[NAME]/disputes/enforcing-decisions http://www.[NAME]/disputes/enforcing-decisions/
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A manaomia nisi faamatalaga poo se fesoasoani, e uiga i lau mataupu, asiasi ifo le matou aupega tafailagi: [NAME]/disputes/enforcing-decisions, pe fesootai mai le Tenancy Services i le numera [PHONE].
Reasons:
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- The tenants agreed to a payment plan for rent arrears.
- The tenants are prepared to pay the debt off at $200.00 per week.
- The Tribunal is satisfied that the tenants will pay the debt within the period specified in the order.
- The Tribunal believes the tenants are unlikely to commit any further relevant breaches.
❌ Tends to be rejected
- The landlord's request for unconditional termination of the tenancy was rejected.
- The requirement for immediate payment of the full debt was not accepted.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tenancy Tribunal granted a conditional termination order for a tenant owing rent arrears, allowing a payment plan under the Residential Tenancies Act 1986.
What was the dispute about?
The dispute was about a tenant owing rent arrears and agreeing to a payment plan to avoid termination of the tenancy.
How did the court decide, and why?
The court decided to grant a conditional termination order because the tenant agreed to a payment plan and the Tribunal was satisfied the tenant would comply with the order.
Which laws or rules were applied?
The Residential Tenancies Act 1986, sections 55(1)(a) and 64(4)(b) were applied.
What was the argument that mattered most?
The argument that mattered most was that the tenant agreed to a payment plan for rent arrears, which the Tribunal found satisfactory.
Was the decision for or against the person who brought the case?
The decision was for the landlord, who brought the case seeking termination of the tenancy.
What does this mean for someone in a similar situation?
Someone in a similar situation might be able to avoid termination of their tenancy by agreeing to a payment plan for rent arrears.
What evidence or documents mattered?
The judgment does not specify the evidence or documents that mattered.
