Tenancy Terminated for Ongoing Rent Arrears - Tenancy Tribunal Decision
📌 In brief
The Tenancy Tribunal ended a tenancy because the tenant repeatedly failed to pay rent on time, despite warnings from the landlord. The Tribunal ruled that it was unfair to continue the tenancy given the persistent arrears.
⚖️ Legal holding
A tenant's failure to pay rent on time and in arrears can lead to termination of the tenancy.
📖 What the law says
This rule allows a tenant to ask the Tenancy Tribunal to cancel a notice ending their tenancy if they believe the landlord gave the notice because the tenant complained or used their rights as a tenant. The tenant must apply within 14 working days of receiving the notice.
Plain-English explanation — does not replace advice from a lawyer.
📖 Technical summary
The tenancy was terminated due to ongoing rent arrears despite multiple notices.
📜 Headnote Official document
The Tenancy Tribunal terminated the tenancy of the tenant due to ongoing rent arrears, despite previous notices to remedy the breach. The Tribunal found it inequitable to refuse termination given the tenant's repeated failures to pay rent on time.
📚 Full judgment Official document
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[2024] NZTT 5041388
TENANCY TRIBUNAL - Remote Location
APPLICANT: [redacted]
Landlord
RESPONDENT: [redacted]
Tenant
TENANCY ADDRESS: [ADDRESS], [POSTCODE]
ORDER
1. The tenancy of [NAME] and [NAME] at [ADDRESS], [POSTCODE] is terminated, and possession is granted to [COMPANY] As Agent For [NAME], at 11:59pm Saturday 7 December 2024.
2. The [COMPANY] is to pay the bond of $1,327.00 (5991514-004) to [COMPANY] As Agent For [NAME] immediately as shown in the table below:
3. The balance of the bond is to remain at the [COMPANY].
Description Landlord Tenant Rent arrears as at 2.12.24 $1,300.00 Filing fee reimbursement $27.00 Total award $1,327.00 Bond $1,327.00 Total payable by Tenant to Landlord $0.00
Reasons:
1. Both parties attended the hearing via remote teleconference.
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2. The landlord has applied for payment of rent arrears and termination of the tenancy for breach of the tenant’s obligations.
Should the tenancy be terminated?
3. The Tribunal may terminate a tenancy for breach where, due to the nature or extent of the breach, it would be inequitable to refuse to terminate. See section 56(1) Residential Tenancies Act 1986.
4. Where the breach is capable of remedy the landlord must first serve a notice on the tenant requiring them to remedy the breach within at least 14 days and establish that the tenant has failed to do so.
5. The tenants have breached their obligations by failing to pay the rent on time each week as required. The landlord provided an updated rent ledger prior to the hearing. The ledger clearly highlights the sporadic rent payments.
6. The landlord served a 14-day notice on the tenant on 4 October 2024 and the tenants did not remedy the breach within the required period. Although attempts have been made by the tenants to bring the arrears up to date the landlord confirmed during the hearing that the rent is still in arrears as at todays’ date.
7. It would be inequitable to refuse to terminate the tenancy because of the breach of tenant’s obligations and the ongoing rent arrears.
8. The landlord’s claim is proven.
9. [COMPANY] As Agent For [NAME] has wholly succeeded with the claim I must reimburse the filing fee.
[NAME]
02 December 2024
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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 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.
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/
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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].
Reasons:
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- The tenants failed to pay rent on time each week, as required by their obligations.
- The landlord served a 14-day notice requiring the tenants to remedy the breach but they did not do so within the required period.
- It would be inequitable to refuse termination of the tenancy due to ongoing rent arrears and breaches.
❌ Tends to be rejected
- Attempts made by the tenants to bring the arrears up to date were insufficient to prevent termination.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tenancy Tribunal decided to terminate the tenancy due to ongoing rent arrears.
What was the dispute about?
The dispute was about whether the tenancy should be terminated because of the tenant's failure to pay rent on time.
How did the court decide, and why?
The court decided to terminate the tenancy because the tenant had not paid rent on time despite multiple notices to remedy the breach.
Which laws or rules were applied?
The Residential Tenancies Act 1986, specifically section 54, was applied.
What was the argument that mattered most?
The most important argument was that the tenant had not remedied the rent arrears despite multiple notices.
Was the decision for or against the person who brought the case?
The decision was for the landlord who brought the case.
What does this mean for someone in a similar situation?
For someone in a similar situation, if they fail to pay rent on time and do not remedy the breach within the required period, their tenancy could be terminated.
What evidence or documents mattered?
The evidence included a rent ledger showing the sporadic rent payments and a notice served by the landlord requiring the tenant to remedy the breach.