Landlord's Rent Claim Dismissed Due to Lack of Compliance
📌 In brief
The Tenancy Tribunal dismissed the landlord's application for rent arrears because the landlord could not prove that the converted garage met the legal requirements for residential use. The landlord was required to provide evidence that the council had approved the change of use from a garage to a sleepout and proof of a service address for the tenant.
⚖️ Legal holding
A landlord cannot enforce rent payments if the rented premises do not comply with the necessary legal standards for residential use.
📖 What the law says
This rule states that a building owner cannot change the use of a building to include new living units unless the local council confirms in writing that the building, in its new use, meets building code standards as much as reasonably possible. This applies to the case because the converted garage was used as a sleepout, which is a change of use to a household unit.
Plain-English explanation — does not replace advice from a lawyer.
📖 Technical summary
The application was dismissed due to lack of evidence regarding the legality of the converted garage as a sleepout.
📜 Headnote Official document
The Tenancy Tribunal dismissed the landlord's application for rent arrears because the landlord failed to provide evidence that the converted garage met the legal requirements for residential use.
📚 Full judgment Official document
__________________________________________________________________________________ 5133028 1
[2025] NZTT 5133028
TENANCY TRIBUNAL AT [Event location suppressed]
APPLICANT: [redacted]
Landlord
RESPONDENT: [redacted]
Tenant
TENANCY ADDRESS: Room Sleep-out, [ADDRESS], [POSTCODE], Pink Palace, single
ORDER
1. The name and identifying details of the tenant are suppressed.
2. The application is dismissed.
3. This matter is decided by the orders above, but the landlord is allowed until 10am on Friday 21 March 2025 within which to:-
a. Provide evidence that the council has approved in writing the change of use of the sleepout (from a garage to a sleepout), and
b. Provide proof of a service address for the tenant.
4. If the evidence in order a and b above is provided before the date specified, the landlord can email [EMAIL] and request that the application be re-opened.
Reasons:
1. The landlord has filed an application against the tenant for payment of rent owing of $4,200.00.
2. A first hearing was held by telephone and only the landlord attended.
3. The Tribunal was told that the tenant is currently in prison.
4. I made an order that the landlord must provide, by 7 March 2025:-
a. A fully completed and signed Healthy Homes Standards statement; and
__________________________________________________________________________________ 5133028 2
b. Written notice from the territorial authority that the sleepout complies with the building code relating to escape from fire, protection of other property, sanitary facilities, structural performance, and fire-rating performance; and
c. Evidence that the tenant (or someone on her behalf) asked the landlord to keep the sleepout room available for her until 20 January 2025.
5. The landlord has now provided a signed Healthy Homes Standards statement but has not provided evidence on the other two matters.
6. I have decided to dismiss the landlord’s application.
7. The reason I have made this decision is because the landlord told me at the first hearing that the sleepout rented to the tenant is a “converted garage” and she did not know if the council had been notified of the change of use to a sleepout.
8. The law says that if the use of a building is changed, the council must certify that the building complies with important fire safety, sanitary and structural requirements in the building code; section 115 Building Act 2004.
9. I have given the landlord the opportunity to provide evidence from the council that the sleepout does comply, but she has not done so.
10. This means that I have not been able to determine whether the sleepout can lawfully be used for residential living.
11. The Tribunal will not usually order a tenant to pay rent arrears or other compensation if the building they rent is unlawful; see section 78A(3) of the Residential Tenancies Act 1986 (RTA).
12. The landlord is allowed until 10am on Friday 21 March 2025 to request that the application be reopened if she can provide evidence that the council has approved the change of use of the sleepout (from a garage to a sleepout) and provides proof of a service address for the tenant.
13. I suppress the tenant’s name as the application is not proven.
[NAME] 13 March 2025
__________________________________________________________________________________ 5133028 3
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 tenancy.govt.nz/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 tenancy.govt.nz/disputes/enforcing-decisions, waea atu ki Ratonga Takirua ma runga [PHONE] ranei.
A manaomia nisi faamatalaga poo se fesoasoani, e uiga i lau mataupu, asiasi ifo le matou aupega tafailagi: tenancy.govt.nz/disputes/enforcing-decisions, pe fesootai mai le Tenancy Services i le numera [PHONE].
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.tenancy.govt.nz/disputes/enforcing-decisions https://www.tenancy.govt.nz/disputes/enforcing-decisions http://www.tenancy.govt.nz/disputes/enforcing-decisions/
Reasons:
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- The landlord provided a signed Healthy Homes Standards statement.
- The Tribunal requested evidence that the council had approved the change of use of the sleepout from a garage to a sleepout.
- The Tribunal required proof of a service address for the tenant.
❌ Tends to be rejected
- The landlord did not provide evidence that the council had approved the change of use of the sleepout.
- The landlord did not provide proof that the sleepout complied with important fire safety, sanitary, and structural requirements.
- The Tribunal could not confirm that the sleepout could lawfully be used for residential living due to lack of evidence.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tenancy Tribunal dismissed the landlord's application for rent arrears.
What was the dispute about?
The dispute was about whether the landlord could collect rent arrears from the tenant for a converted garage that was being used as a sleepout.
How did the court decide, and why?
The court decided to dismiss the application because the landlord failed to provide evidence that the converted garage met the legal requirements for residential use.
Which laws or rules were applied?
The Residential Tenancies Act 1986 and the Building Act 2004 were applied.
What was the argument that mattered most?
The argument that mattered most was the requirement under the Building Act 2004 that the council must certify that the building complies with important fire safety, sanitary and structural requirements.
Was the decision for or against the person who brought the case?
The decision was against the landlord who brought the case.
What does this mean for someone in a similar situation?
For someone in a similar situation, it means that they need to ensure that their rental property meets all legal requirements for residential use before seeking rent arrears.
What evidence or documents mattered?
The evidence that mattered was proof that the council had approved the change of use from a garage to a sleepout and proof of a service address for the tenant.
